Document:

Exhibit 10.1 Service Agreement Dated 7-14-05

    SEVERANCE
      AGREEMENT 

    AND
      GENERAL RELEASE

    

    This
      SEVERANCE AGREEMENT AND GENERAL RELEASE (this “Agreement” or “Agreement and
      General Release”) is made between Mark D. Rogers (“Rogers” or “Employee”) and
      SCI Services, Inc., a Virginia corporation, and its affiliates, subsidiaries,
      parent, predecessors, successors, and assigns (referred to herein, collectively
      and individually, as “Saxon” or “Company”). For purposes of this document, the
      term “Affiliates” means all affiliates including without limitation Saxon
      Capital, Inc., a Maryland corporation, and its directly or indirectly
      wholly-owned subsidiaries.

    

    REASONS
      FOR AGREEMENT AND GENERAL RELEASE

    

    A. Employee
      is separating from employment with Saxon. 

    

    B. Employee
      has agreed to comply with certain non-disclosure, non-disparagement,
      non-solicitation and cooperation provisions and provide a release to the Company
      in exchange for the consideration from the Company specified below.

    

    AGREEMENT
      AND GENERAL RELEASE

    

    For
      and
      in consideration of the mutual promises and commitments specified herein, the
      parties agree as follows:

    

    1. Termination.
      Employee separation from employment with Saxon is effective July 14, 2005 (the
      “Termination Date”).

    

    2.
       General
      Release.
      In
      consideration for the Severance Payment, Employee agrees, for himself
      and his heirs, representatives, successors, and assigns, that he has been
      finally and permanently separated from employment with Saxon, and that he
      waives, releases, and forever discharges Saxon, its owners, shareholders,
      directors, officers, employees, and agents, to the maximum extent permissible
      by
      law, from any and all claims, known or unknown, that he has or may have relating
      to or arising out of his employment with Saxon and the termination thereof,
      including but not limited to any claims of wrongful discharge, breach of express
      or implied contract, fraud, misrepresentation, defamation, liability in tort,
      claims of any kind that may be brought in any court or administrative agency,
      any claims under Title VII of the Civil Rights Act of 1964, as amended, the
      Age
      Discrimination in Employment Act, the Older Workers Benefit Protection Act,
      the
      Employee Retirement Income Security Act, the Family and Medical Leave Act,
      or
      any other federal, state, or local law relating to Employee’s employment, bonus
      plans, employee benefits, or the termination of employment, excepting only
      his
      vested benefits under Saxon’s 401(K) Plan and any COBRA benefits provided in
      accordance with the provisions of this Agreement and General
      Release.

    

    3.
       Special
      Disclosure: Age
      Discrimination Release Notification.
      The
      General Release, paragraph includes a Release of all claims under the Age
      Discrimination in Employment Act (“ADEA”) and, therefore, pursuant to the
      requirements of the ADEA, Employee
      acknowledges and agrees:

    

    (a) that
      he
      has been advised that this release includes, but is not limited to, all claims
      of age discrimination under the ADEA arising up to and including the date of
      execution of this release but does not waive rights or claims that may arise
      after the date the waiver is executed; 

    

    (b) that
      he
      is hereby advised to consult with an attorney or other advisor of his choosing
      before executing this Agreement and General Release concerning his rights and
      obligations hereunder; 

    

    (c) that
      he
      has been advised to consider fully this release before executing
      it;

    

    (d) that
      he
      has been offered ample time and opportunity of at least twenty-one (21) days
      to
      consider the release before executing it; and 

    

    (e) that
      this
      release shall become effective and enforceable seven (7) days following the
      executing of this Agreement and General Release by Employee
      (the
“Effective Date”), during which seven (7) day period Employee
      may
      revoke his acceptance of this Agreement and general Release by delivering
      written notice of revocation to Saxon Capital, Inc., 4860 Cox Road, Suite 300,
      Glen Allen, VA 23060, Attention: General Counsel. No payments with respect
      to
      the Severance Payment shall be made prior to the expiration of this seven-day
      revocation period.

    

    4. Non-Disclosure.
      

    

    (a)
      Nondisclosure of Proprietary Information. At all times during and after
Employee's
      employment with the Company, Employee
      agrees
      to keep in strict confidence and trust all Proprietary Information (as defined
      below) and not to use or disclose (or induce or assist in the use or disclosure
      of) any Proprietary Information without the prior express written consent of
      the
      Company. Employee
      acknowledges that irreparable injury will result to the Company from
Employee’s
      violation or continued violation of the terms of this Section 2, and
Employee
      expressly agrees that the Company shall be entitled, in addition to damages
      and
      any other remedies provided by law, to an injunction or other equitable remedy
      respecting such violation or continued violation. For purposes of this Agreement
      and General Release, "Proprietary Information" shall mean information generally
      unavailable to the public that has been created, discovered, developed or
      otherwise become known to the Company or in which property rights have been
      assigned or otherwise conveyed to the Company, including any modifications
      or
      enhancements thereto, which information has material economic value or potential
      material economic value to the Company or the business in which the Company
      is
      or will be engaged. Proprietary Information shall include, but not be limited
      to, financial, sales and distribution information; business plans, strategies
      and forecasts; lists of employees, employment information, contractors,
      customers, agents and independent brokers; trade secrets; processes; formulas;
      data; know-how; negative know-how; improvements; discoveries; developments;
      designs; inventions; techniques; proposals; reports; client information; and
      software programs and information (whether or not expressed in written form).
      Such restrictions on the use or disclosure of Proprietary Information do not
      extend to any item of information which (i) is publicly known immediately
      prior to the time of its disclosure, (ii) is lawfully received from
      a third
      party not bound in a confidential relationship to the Company or (iii) is
      published or otherwise made known to the public by the Company.

    

    (b)
      Return of Proprietary Information and Property. Upon termination of employment,
      Employee
      will
      deliver to the Company all Proprietary Information and any equipment, supplies,
      facilities and other tangible property owned, leased or contracted for by the
      Company which property is in Employee's
      possession as of the date of such termination.
      including without limitation all paper and electronic company documents
      including memoranda, customer lists, price lists, marketing materials, reports,
      and analyses, and all copies thereof, and that he has destroyed any electronic
      copies of such materials remaining in his possession after he has complied
      with
      the requirements of this paragraph.

    

    5.
       Non-Disparagement.
      Employee
      agrees to refrain from making disparaging remarks, publicly or otherwise,
      regarding Saxon, its Affiliates, or the employees, officers and directors
      thereof. Saxon agrees that it will instruct its Human Resources Department
      staff
      and all Senior Vice Presidents and above to refrain from making disparaging
      comments, publicly or otherwise, regarding Employee.

    

    6.
       Non-Solicitation.
      Employee
      agrees that, for the period beginning on the Effective Date and ending one
      (1)
      year from the date of the last payment made pursuant to Section 9 herein, he
      shall not directly or indirectly solicit, induce or attempt to solicit or induce
      any Company employee to discontinue his or her employment with the Company
      or hire any Company employee.

    

    7. Cooperation. Employee
      agrees
      that he will make himself reasonably available, for a period of twelve (12)
      months from the Effective Date, for no more than four (4) hours per month to
      respond to written or verbal inquiries from Saxon related to Employee’s
      employment or areas of responsibility with Saxon.

    

    8.
       Specific
      Performance.
      Because
      of the difficulty of measuring economic losses to the Company as a result of
      a
      breach of the foregoing covenants, and because of the immediate and irreparable
      damage that could be caused to the Company for which it would have no other
      adequate remedy, Employee
      agrees
      that the foregoing covenants, in addition to and not in limitation of any other
      rights, remedies or damages available to the Company at law, in equity or under
      this Agreement and General Release, may be enforced by the Company in the event
      of the breach or threatened breach by Employee,
      by
      injunctions and/or restraining orders. If the Company is involved in court
      or
      other legal proceedings to enforce its rights under this Agreement, then, in
      the
      event the Company prevails in such proceedings, Employee
      shall be
      liable for the payment of reasonable attorneys' fees, costs and ancillary
      expenses incurred by the Company in enforcing its rights hereunder.

    

    9.
      Payment.
      Saxon
      shall pay Employee the total sum of $356,302.00, divided into twenty-four (24)
      equal installments, less withholdings required by applicable law, each payable
      on the Company’s scheduled pay dates, beginning on the first scheduled Company
      pay date after the Effective Date. Such sum and each installment payment shall
      be referred to individually and collectively as the “Severance Payment.” The
      Company shall pay Employee any accrued but unused personal time as of the
      Termination Date, less applicable federal and state withholding taxes and
      deductions required by law, regardless of whether he signs this
      Agreement.

    

    10.
       Employment
      Transition Services. The
      Company shall provide Employee, at the Company’s expense, employment transition
      services through Lee Hecht Harrison or another provider selected by the Company
      for a period of six (6) months from the Effective Date. The scope and quantity
      of services during such 6 month period and any extension to such six (6) month
      period shall be at the Company’s sole discretion.

    

    11.
       Cell
      Phone.
      Company
      shall reasonably cooperate in transferring the individual cell phone account
      and
      phone number that may currently be administered by the Company for Employee’s
      use to Employee. Employee agrees to indemnify and hold Company harmless for
      any
      charges or costs incurred after the Termination Date.

    

    12. Medical
      and Other Coverage.
      Company
      shall continue to provide Employee with the medical, dental and vision coverage
      in effect for Employee and Employee’s dependents as of the Effective Date for a
      period of twelve (12) months from the Effective Date and shall make deductions
      from the Severance Payments at the same rate as Employee’s coverage costs, which
      the Company may adjust in accordance with increases in group coverage costs.
      Employee may by timely election continue group medical, dental, vision coverage
      and/or health care flexible spending account, as applicable, pursuant to the
      Consolidated Omnibus Budget Reconciliation Act (“COBRA”). 

    

    13. Taxes.
      It is
      understood that the Severance Payment is subject to withholding by Saxon as
      set
      out above. Should, for whatever reason, a federal, state, or other governmental
      authority assert that any part of the Severance Payment is subject to additional
      federal, state, or local tax, or any additional withholding, Employee
      understands and agrees that he is responsible for and shall hold Saxon harmless
      from the payment of any taxes, interest, penalties, levies, or assessments
      applicable thereto.

    

    14. No
      Admission.
      This
      Agreement and General Release does not constitute an admission by Saxon of
      any
      sort as it relates to Employee’s employment and termination.

    

    15. Applicable
      Law.
      The
      parties agree that all questions with respect to the construction and
      interpretation of the Agreement and General Release or rights or obligations
      of
      the parties hereto shall be governed by the laws of the Commonwealth of
      Virginia.

    

    16. Severability.
      If any
      of the provisions, subsections, clauses or phrases (collectively, “Provisions”)
      of this Agreement and General Release are held to be invalid or unenforceable,
      all other provisions hereof shall nevertheless continue in full force and effect
      unless the effect of such severance would defeat the parties’ intent as set
      forth herein.

    

    17. Entire
      Agreement.

    

    (a) The
      parties understand and agree that all terms of this Agreement and General
      Release are contractual and are not a mere recital. They represent and warrant
      that they are competent and possess the full and complete authority to covenant
      and agree as herein provided.

    

    (b) Employee
      understands, agrees, and represents that the covenants made herein and the
      releases herein executed may affect rights and liabilities of substantial extent
      and agrees that the covenants and releases provided herein are in his best
      interest. Employee represents and warrants that, in negotiating and executing
      this Agreement and General Release, he has had an adequate opportunity to
      consult with competent counsel or other representatives of her choosing
      concerning the meaning and effect of each term and provision hereof, and that
      there are no representations, promises, or agreements other than those expressly
      set forth in writing herein.

    

    (c) The
      parties have carefully read this Agreement and General Release in its entirety;
      fully understand and agree to its terms and provisions; intend and agree that
      it
      is final and binding and understand that, in the event of a breach, either
      party
      may seek relief, including damages, restitution, and injunctive relief, at
      law
      or in equity, in a court of competent jurisdiction.

    

    IN
      WITNESS WHEREOF, and intending to be legally bound, the parties have executed
      the foregoing Agreement and General Release this 15th day of July,
      2005.

    

    

    EMPLOYEE:

    

    
      
        By: /s/ Mark D. Rogers

        
          
            

          

        

        
          Mark
            D.
            Rogers

        

      

    

    

    July
      15,
      2005

    ____________________________

    Date

    

    

    SCI
      SERVICES, INC.

    

    /s/
      Matthew W. Grey

    _____________________________

    By:
      Matthew W. Grey

    Its:
      Senior Vice President

    
July
      15,
      2005

    _____________________________

    Date

    

     

    

    

    STATE
      OF
      ____________

    

    COUNTY
      OF
      __________

    The
      foregoing instrument was acknowledged and signed before me by
      ______________________________________ this ______ day of __________________,
      2005.

    

    

    ________________________________________

    Notary
      Public

    

    My
      Commission Expires: _______________

    

    

    

    

    

    

    STATE
      OF
      ___________

    

    COUNTY
      OF
      _________

    The
      foregoing instrument was acknowledged and signed before me by
      ______________________________________ this ______ day of __________________,
      2005.

    

    

    ________________________________________

    Notary
      Public

    

    My
      Commission Expires: _______________EX-4.1

Exhibit 4.1

REGISTRATION RIGHTS AGREEMENT

This Registration Rights Agreement (this “Agreement”) is made and entered into as of July 13,
2005, by and between Trinity Learning Corporation, a Utah corporation (the “Company”), and Instream
Capital LLC, a California limited liability company and Bernard National Loan Investors, Ltd., a
Cayman Islands exempted company (each a “Purchaser” and collectively the “Purchasers”).

This Agreement is made pursuant to the Credit Agreement, dated as of the date hereof, by and
among the Purchasers, the Company, Instream Investment Partners LLC, as Administrative Agent and
the lenders named therein (as amended, modified or supplemented from time to time, the “Credit
Agreement”), and pursuant to the Warrants referred to therein.

The Company and the Purchasers hereby agree as follows:

1. Definitions. Capitalized terms used and not otherwise defined herein that are
defined in the Credit Agreement shall have the meanings given such terms in the Credit Agreement.
As used in this Agreement, the following terms shall have the following meanings:

“Commission” means the Securities and Exchange Commission.

“Common Stock” means shares of the Company’s common stock, no par value per share.

“Discontinuation Event” shall have the meaning set forth in Section 6(d).

“Effectiveness Date” means with respect to each Registration Statement subject hereto, a date
no later than thirty (30) days following the date such Registration Statement is filed with the
Commission.

“Effectiveness Period” shall have the meaning set forth in Section 2(c).

“Exchange Act” means the Securities Exchange Act of 1934, as amended, and any successor
statute.

“Holder” or “Holders” means a Purchaser or any of its affiliates or transferees to the extent
any of them hold Registrable Securities.

“Indemnified Party” shall have the meaning set forth in Section 4(c).

“Indemnifying Party” shall have the meaning set forth in Section 4(c).

“Proceeding” means an action, claim, suit, investigation or proceeding (including, without
limitation, an investigation or partial proceeding, such as a deposition), whether commenced or
threatened.

“Prospectus” means the prospectus included in the Registration Statement (including, without
limitation, a prospectus that includes any information previously omitted from a prospectus filed
as part of an effective registration statement in reliance upon Rule 430A promulgated under the
Securities Act), as amended or supplemented by any prospectus supplement, with respect to the terms
of the offering of any portion of the Registrable Securities covered by the Registration Statement,
and all other amendments and supplements to the Prospectus, including post-effective amendments,
and all material incorporated by reference or deemed to be incorporated by reference in such
Prospectus.

“Registrable Securities” means the shares of Common Stock issued upon the exercise of the
Warrants.

“Registration Statement” means each registration statement filed hereunder, including the
Prospectus, amendments and supplements to such registration statement or Prospectus, including pre-
and post-effective amendments, all exhibits thereto, and all material incorporated by reference or
deemed to be incorporated by reference in such registration statement.

“Rule 144” means Rule 144 promulgated by the Commission pursuant to the Securities Act, as
such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by
the Commission having substantially the same effect as such Rule.

“Securities Act” means the Securities Act of 1933, as amended, and any successor statute.

“Trading Market” means any of the NASD OTCBB, NASDAQ SmallCap Market, the Nasdaq National
Market, the American Stock Exchange or the New York Stock Exchange.

“Warrants” means the Common Stock purchase warrants issued pursuant to the Credit Agreement.

2. Piggy-Back Registration.

(a) If at any time the Company shall determine to prepare and file with the Commission a
registration statement relating to an offering for its own account or the account of others under
the Securities Act of any of its equity securities, other than on Form S-4 or Form S-8 (each as
promulgated under the Securities Act) or their then equivalents relating to equity securities to be
issued solely in connection with any acquisition of any entity or business or equity securities
issuable in connection with stock options or other employee benefit plans, then the Company shall
send to each Holder written notice of such determination and, if within fifteen days after receipt
of such notice, any such Holder shall so request in writing, the Company shall include in such
registration statement all or any part of such Registrable Securities such Holder requests to be
registered, to the extent the Company may do so without violating registration rights of others
which exist as of the date of this Agreement, subject to obtaining any required consent of any
selling stockholder(s) to such inclusion under such registration statement. If there are any limits
imposed by underwriters on the number of shares that may be included in any registration statement,
the number of shares that may be included in the registration shall be allocated among all holders
of securities that have the right to be included therein as follows: first to the Company and then,
to the extent the Company may do so without violating registration rights of others which exist as
of the date of this Agreement, to all selling stockholders, including the Holders, who have
requested to sell in the registration on a pro rata basis according to the number of shares
requested to be included.

(b) If any Holder disapproves of the terms of any underwriting, such Holder may elect to
withdraw therefrom by written notice to the Company and the underwriter delivered at least ten days
prior to the Effectiveness Date of the registration statement. The Registrable Securities and/or
other securities so withdrawn from such underwriting shall also be withdrawn from such
registration; provided, however, that, if by the withdrawal of such Registrable Securities a
greater number of Registrable Securities held by other Holders may be included in such registration
(up to the maximum of any limitation imposed by the underwriters), then the Company shall offer the
right to include additional shares pursuant to the terms and limitations set forth herein in the
same proportion used above in determining the underwriter limitation.

(c) Once such a Registration Statement is declared effective, the Company shall use its best
efforts to keep the Registration Statement continuously effective under the Securities Act until
the date which is the earlier date of when (i) all Registrable Securities have been sold or (ii)
all Registrable Securities may be sold immediately without registration under the Securities Act
and without volume restrictions pursuant to Rule 144(k), as determined by the counsel to the
Company pursuant to a written opinion letter to such effect, addressed and acceptable to the
Company’s transfer agent and the affected Holders (the “Effectiveness Period”).

(d) If: (i) after the Registration Statement is filed with and declared effective by the
Commission, there is a Discontinuation Event or the Registration Statement ceases to be effective
(by suspension or otherwise) as to all Registrable Securities to which it is required to relate at
any time prior to the expiration of the Effectiveness Period (without being succeeded immediately
by an additional registration statement filed and declared effective) for a period of time which
shall exceed 60 days in the aggregate per any 12 month period or more than 30 consecutive calendar
days, or (ii) prior to the expiration of the Effectiveness Period, the Common Stock is not listed
or quoted, or is suspended from trading on any Trading Market for a period of three (3) consecutive
Trading Days (provided the Company shall not have been able to cure such trading suspension within
30 days of the notice thereof or list the Common Stock on another Trading Market), (any such
failure or breach being referred to as an “Event,” and for purposes of clause (i) the date which
such 60 day or 30 consecutive day period (as the case may be) is exceeded, or for purposes of
clause (ii) the date on which such three (3) Trading Day period is exceeded, being referred to as
“Event Date”), then until the applicable Event is cured, the Company shall pay to the Holder or
Holders (pro rata to their respective Loans) an amount in cash, as liquidated damages and not as a
penalty, equal to 1.5% for each thirty (30) day period (prorated for partial periods) on a daily
basis of the original principal amount of the Note, provided, however, that this liquidated damages
provision shall only be effective if the Holders have purchased all of the Registrable Securities
prior to the applicable Event, and provided further, that the 1.5% liquidated damages shall be
decreased by the percentage of (x) Registrable Securities not included in such Registration
Statement and (y) Registrable Securities sold prior to the applicable Event (e.g., if 60% of the
Registrable Securities were not covered by the Registration Statement, the 1.5% factor would be
decreased by 0.9% to 0.6%, and if one-half of the 40% that were covered was sold prior to the
Event, the 0.6% factor would be further decreased to 0.3%). While such Event continues, such
liquidated damages shall be paid not less often than each thirty (30) days. Any unpaid liquidated
damages as of the date when an Event has been cured by the Company shall be paid within three (3)
days following the date on which such Event has been cured by the Company.

(e) The Company shall have the right to terminate or withdraw any registration initiated by it
under this Section 2 prior to the effectiveness of such registration whether or not any Holder has
elected to include Registrable Securities in such registration.

(f) Within three business days of the Effectiveness Date, the Company shall cause its counsel
to issue a blanket opinion to the transfer agent (solely to the extent such blanket opinion is
required by the transfer agent) in the form attached hereto as Exhibit A or in such other form as
may be requested by the transfer agent stating that the shares are subject to an effective
registration statement and can be reissued free of restrictive legend upon notice of a sale by the
Holder and confirmation by the Holder that it has complied with the prospectus delivery
requirements, provided that the Company has not advised the transfer agent orally or in writing
that the opinion has been withdrawn. Copies of the blanket opinion required by this Section 2(f)
shall be delivered to the Holder within the time frame set forth above.

3. Registration Expenses. All expenses relating to the Company’s compliance with
Section 2 hereof, including, without limitation, all registration and filing fees, printing
expenses, fees and disbursements of counsel and independent public accountants for the Company,
fees and expenses (including reasonable counsel fees) incurred in connection with complying with
state securities or “blue sky” laws, fees of the NASD, transfer taxes, fees of transfer agents and
registrars, fees of, and disbursements incurred by, one counsel for the Holders (to the extent such
counsel is required due to Company’s failure to meet any of its obligations hereunder), are called
“Registration Expenses”. All selling commissions applicable to the sale of Registrable Securities,
including any fees and disbursements of any special counsel to the Holders beyond those included in
Registration Expenses, are called “Selling Expenses.” The Company shall only be responsible for
all Registration Expenses.

4. Indemnification.

(a) In the event of a registration of any Registrable Securities under the Securities Act
pursuant to this Agreement, the Company will indemnify and hold harmless each Holder, and its
officers, directors and each other person, if any, who controls a Holder within the meaning of the
Securities Act, against any losses, claims, damages or liabilities, joint or several, and expenses
to which the Holder, or such persons may become subject under the Securities Act or otherwise,
insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of
or are based upon any untrue statement or alleged untrue statement of any material fact contained
in any Registration Statement under which such Registrable Securities were registered under the
Securities Act pursuant to this Agreement, any preliminary Prospectus or final Prospectus contained
therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or
alleged omission to state therein a material fact required to be stated therein or necessary to
make the statements therein not misleading, and will reimburse the Holder, and each such person for
any reasonable legal or other expenses incurred by them in connection with investigating or
defending any such loss, claim, damage, liability or action; provided, however, that the Company
will not be liable in any such case if and to the extent that any such loss, claim, damage or
liability arises out of or is based upon an untrue statement or alleged untrue statement or
omission or alleged omission so made in conformity with information furnished by or on behalf of
the Holders or such person, as the case may be, in writing specifically for use in any such
document.

(b) In the event of a registration of the Registrable Securities under the Securities Act
pursuant to this Agreement, each Holder will indemnify and hold harmless the Company, and its
officers, directors and each other person, if any, who controls the Company within the meaning of
the Securities Act, against all losses, claims, damages or liabilities, joint or several, to which
the Company or such persons may become subject under the Securities Act or otherwise, insofar as
such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are
based upon any untrue statement or alleged untrue statement of any material fact which was
furnished in writing by or on behalf of such Holder to the Company expressly for use in (and such
information is contained in) the Registration Statement under which such Registrable Securities
were registered under the Securities Act pursuant to this Agreement, any preliminary Prospectus or
final Prospectus contained therein, or any amendment or supplement thereof, or arise out of or are
based upon the omission or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, and will reimburse the Company
and each such person for any reasonable legal or other expenses incurred by them in connection with
investigating or defending any such loss, claim, damage, liability or action, provided, however,
that a Holder will be liable in any such case if and only to the extent that any such loss, claim,
damage or liability arises out of or is based upon an untrue statement or alleged untrue statement
or omission or alleged omission so made in conformity with information furnished in writing to the
Company by or on behalf of such Holder specifically for use in any such document. Notwithstanding
the provisions of this paragraph, the Holder shall not be required to indemnify any person or
entity in excess of the amount of the aggregate net proceeds received by the Holder in respect of
Registrable Securities in connection with any such registration under the Securities Act.

(c) Promptly after receipt by a party entitled to claim indemnification hereunder (an
“Indemnified Party”) of notice of the commencement of any action, such Indemnified Party shall, if
a claim for indemnification in respect thereof is to be made against a party hereto obligated to
indemnify such Indemnified Party (an “Indemnifying Party”), notify the Indemnifying Party in
writing thereof, but the omission so to notify the Indemnifying Party shall not relieve it from any
liability which it may have to such Indemnified Party other than under this Section 4(c) and shall
only relieve it from any liability which it may have to such Indemnified Party under this Section
4(c) if and to the extent the Indemnifying Party is prejudiced by such omission. In case any such
action shall be brought against any Indemnified Party and it shall notify the Indemnifying Party of
the commencement thereof, the Indemnifying Party shall be entitled to participate in and, to the
extent it shall wish, jointly with any other Indemnifying Party similarly noticed, to assume and
undertake the defense thereof with counsel satisfactory to such Indemnified Party, and, after
notice from the Indemnifying Party to such Indemnified Party of its election so to assume and
undertake the defense thereof, the Indemnifying Party shall not be liable to such Indemnified Party
under this Section 4(c) for any legal expenses subsequently incurred by such Indemnified Party in
connection with the defense thereof; if the Indemnified Party retains its own counsel, then the
Indemnified Party shall pay all fees, costs and expenses of such counsel, provided, however, that,
if the defendants in any such action include both the Indemnified Party and the Indemnifying Party
and the Indemnified Party shall have reasonably concluded that there may be reasonable defenses
available to it which are different from or additional to those available to the Indemnifying Party
or if the interests of the Indemnified Party reasonably may be deemed to conflict with the
interests of the Indemnifying Party, the Indemnified Party shall have the right to select one
separate counsel and to assume such legal defenses and otherwise to participate in the defense of
such action, with the reasonable expenses and fees of such separate counsel and other expenses
related to such participation to be reimbursed by the Indemnifying Party as incurred; provided,
however, if the Indemnifying Party is the Company, the Company shall only pay reasonable fees and
expenses of one separate counsel for all Indemnified Parties to the action or proceeding.

(d) In order to provide for just and equitable contribution in the event of joint liability
under the Securities Act in any case in which either (i) a Holder, or any officer, director or
controlling person of a Holder, makes a claim for indemnification pursuant to this Section 4 but it
is judicially determined (by the entry of a final judgment or decree by a court of competent
jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that
such indemnification may not be enforced in such case notwithstanding the fact that this Section 4
provides for indemnification in such case, or (ii) contribution under the Securities Act may be
required on the part of a Holder or such officer, director or controlling person of a Holder in
circumstances for which indemnification is provided under this Section 4; then, and in each such
case, the Company and the Holder will contribute to the aggregate losses, claims, damages or
liabilities to which they may be subject (after contribution from others) in such proportion so
that the Holder is responsible only for the portion represented by the percentage that the public
offering price of its securities offered by the Registration Statement bears to the public offering
price of all securities offered by such Registration Statement; provided, however, that, in any
such case, (A) the Holder will not be required to contribute any amount in excess of the public
offering price of all such securities offered by it pursuant to such Registration Statement; and
(B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 11(f)
of the Securities Act) will be entitled to contribution from any person or entity who was not
guilty of such fraudulent misrepresentation.

5. Representations and Warranties.

(a) Except as set forth on Schedule 5(a) attached hereto, the Common Stock of the Company is
registered pursuant to Section 12(b) or 12(g) of the Exchange Act, and the Company has timely filed
since June 30, 2004 all proxy statements, reports, schedules, forms, statements and other documents
required to be filed by it under the Exchange Act. The Company has filed (i) its Annual Report on
Form 10-KSB for its fiscal year ended June 30, 2004 and (ii) its Quarterly Reports on Form 10-QSB
for each of the fiscal quarters ended September 30, 2004, December 31, 2004 and March 31, 2005,
respectively (collectively, the “SEC Reports”). Except as set forth on Schedule 5(a), each SEC
Report was, at the time of its filing, in substantial compliance with the requirements of its
respective form and none of the SEC Reports, nor the financial statements (and the notes thereto)
included in the SEC Reports, as of their respective filing dates, contained any untrue statement of
a material fact or omitted to state a material fact required to be stated therein or necessary to
make the statements therein, in light of the circumstances under which they were made, not
misleading. The financial statements of the Company included in the SEC Reports comply as to form
in all material respects with applicable accounting requirements and the published rules and
regulations of the Commission or other applicable rules and regulations with respect thereto. Such
financial statements have been prepared in accordance with generally accepted accounting principles
(“GAAP”) applied on a consistent basis during the periods involved (except (i) as may be otherwise
indicated in such financial statements or the notes thereto or (ii) in the case of unaudited
interim statements, to the extent they may not include footnotes or may be condensed) and fairly
present in all material respects the financial condition, the results of operations and the cash
flows of the Company and its subsidiaries, on a consolidated basis, as of, and for, the periods
presented in each such SEC Report.

(b) The Common Stock is listed for trading on the NASD OTCBB and satisfies all requirements
for the continuation of such listing. The Company has not received any notice that its Common
Stock will be delisted from the NASD OTCBB or that the Common Stock does not meet all requirements
for the continuation of such listing.

(c) The Warrants and the shares of Common Stock which a Purchaser may acquire pursuant to the
Warrants are all restricted securities under the Securities Act as of the date of this Agreement.
The Company will not issue any stop transfer order or other order impeding the sale and delivery of
any of the Registrable Securities at such time as such Registrable Securities are registered for
public sale or an exemption from registration is available, except as required by federal or state
securities laws.

(d) The Company understands the nature of the Registrable Securities issuable upon the
exercise of the Warrant and recognizes that the issuance of such Registrable Securities may have a
potential dilutive effect. The Company specifically acknowledges that its obligation to issue the
Registrable Securities is binding upon the Company and enforceable regardless of the dilution such
issuance may have on the ownership interests of other shareholders of the Company.

(e) Except for agreements made in the ordinary course of business, there is no agreement that
has not been filed with the Commission as an exhibit to a registration statement or to a form
required to be filed by the Company under the Exchange Act, the breach of which could reasonably be
expected to have a material and adverse effect on the Company and its subsidiaries, or would
prohibit or otherwise interfere with the ability of the Company to enter into and perform any of
its obligations under this Agreement in any material respect.

(f) The Company will at all times have authorized and reserved a sufficient number of shares
of Common Stock for the exercise of the Warrants.

6. Miscellaneous.

(a) Remedies. In the event of a breach by the Company or by a Holder, of any of their
respective obligations under this Agreement, each Holder or the Company, as the case may be, in
addition to being entitled to exercise all rights granted by law and under this Agreement,
including recovery of damages, will be entitled to specific performance of its rights under this
Agreement.

(b) No Piggyback on Registrations. Except as and to the extent specified in Schedule
6(b) hereto, neither the Company nor any of its security holders (other than the Holders in such
capacity pursuant hereto) may include securities of the Company in any Registration Statement other
than the Registrable Securities, and the Company shall not after the date hereof enter into any
agreement providing any such right for inclusion of shares in the Registration Statement to any of
its security holders. Except as and to the extent specified in Schedule 6(b) hereto, the Company
has not previously entered into any agreement granting any registration rights with respect to any
of its securities to any Person that have not been fully satisfied.

(c) Compliance. Each Holder covenants and agrees that it will comply with the
prospectus delivery requirements of the Securities Act as applicable to it in connection with sales
of Registrable Securities pursuant to the Registration Statement.

(d) Discontinued Disposition. Each Holder agrees by its acquisition of such
Registrable Securities that, upon receipt of a notice from the Company of the occurrence of a
Discontinuation Event (as defined below), such Holder will forthwith discontinue disposition of
such Registrable Securities under the applicable Registration Statement until such Holder’s receipt
of the copies of the supplemented Prospectus and/or amended Registration Statement or until it is
advised in writing (the “Advice”) by the Company that the use of the applicable Prospectus may be
resumed, and, in either case, has received copies of any additional or supplemental filings that
are incorporated or deemed to be incorporated by reference in such Prospectus or Registration
Statement. The Company may provide appropriate stop orders to enforce the provisions of this
paragraph. For purposes of this Section 6(d), a “Discontinuation Event” shall mean (i) when the
Commission notifies the Company whether there will be a “review” of such Registration Statement and
whenever the Commission comments in writing on such Registration Statement (the Company shall
provide true and complete copies thereof and all written responses thereto to each of the Holders);
(ii) any request by the Commission or any other Federal or state governmental authority for
amendments or supplements to such Registration Statement or Prospectus or for additional
information; (iii) the issuance by the Commission of any stop order suspending the effectiveness of
such Registration Statement covering any or all of the Registrable Securities or the initiation of
any Proceedings for that purpose; (iv) the receipt by the Company of any notification with respect
to the suspension of the qualification or exemption from qualification of any of the Registrable
Securities for sale in any jurisdiction, or the initiation or threatening of any Proceeding for
such purpose; and/or (v) the occurrence of any event or passage of time that makes the financial
statements included in such Registration Statement ineligible for inclusion therein or any
statement made in such Registration Statement or Prospectus or any document incorporated or deemed
to be incorporated therein by reference untrue in any material respect or that requires any
revisions to such Registration Statement, Prospectus or other documents so that, in the case of
such Registration Statement or Prospectus, as the case may be, it will not contain any untrue
statement of a material fact or omit to state any material fact required to be stated therein or
necessary to make the statements therein, in light of the circumstances under which they were made,
not misleading. Provided, however, the Company will use its best efforts to promptly eliminate the
Discontinuation Event; and, in the case of a Discontinuation Event described in (v) above, such
Discontinuation Events shall be limited to sixty (60) days in the aggregate per any 12 month period
and in no case more than thirty (30) consecutive calendar days. This Paragraph 6(d) shall not
relieve Company of its obligation to make payments pursuant to Section 2(d).

(e) Amendments and Waivers. The provisions of this Agreement, including the
provisions of this sentence, may not be amended, modified or supplemented, and waivers or consents
to departures from the provisions hereof may not be given, unless the same shall be in writing and
signed by the Company and the Holders of the then outstanding Registrable Securities.
Notwithstanding the foregoing, a waiver or consent to depart from the provisions hereof with
respect to a matter that relates exclusively to the rights of certain Holders and that does not
directly or indirectly affect the rights of other Holders may be given by Holders of at least a
majority of the Registrable Securities to which such waiver or consent relates; provided, however,
that the provisions of this sentence may not be amended, modified, or supplemented except in
accordance with the provisions of the immediately preceding sentence.

(f) Notices. Any notice or request hereunder may be given to the Company or a
Purchaser at the respective addresses set forth below or as may hereafter be specified in a notice
designated as a change of address under this Section 6(f). Any notice or request hereunder shall
be given by registered or certified mail, return receipt requested, hand delivery, overnight mail,
Federal Express or other national overnight next day carrier (collectively, “Courier”) or telecopy
(confirmed by mail). Notices and requests shall be, in the case of those by hand delivery, deemed
to have been given when delivered to any party to whom it is addressed, in the case of those by
mail or overnight mail, deemed to have been given three (3) business days after the date when
deposited in the mail or with the overnight mail carrier, in the case of a Courier, the next
business day following timely delivery of the package with the Courier, and, in the case of a
telecopy, when confirmed. The address for such notices and communications shall be as follows:

	 	 	 	 	 	 	 	 	 
	If to the Company:	 	Trinity Learning Corporation

	 	 	3685 Mt. Diablo Blvd., Suite 161

	 
	 	Lafayette, CA 94549
	 	 	 	 
	 
	 	Attention:
	 	Chief Financial Officer

	 
	 	Facsimile:
	 	 	925.284.8023	 
	 
	 	with a copy to:
	 	 	 	 
	 
	 	Attention:
	 	Reed Smith LLP

C/o Garth A. Osterman

Two Embarcadero Center, Suite 2000

San Francisco, California 94111

Tele: 415.659.5967

Fax: 415.391.8269

	 	 	 
	If to a Purchaser:

	 	To the address set forth under such

Purchaser’s name on the signature pages hereto.
	 
	 	 
	If to any other Person

who is then the

registered Holder:

	 	

To the address of such Holder as it appears

in the stock transfer books of the Company

or such other address as may be designated in writing hereafter in accordance with this Section
6(f) by such Person.

(g) Successors and Assigns. This Agreement shall inure to the benefit of and be
binding upon the successors and permitted assigns of each of the parties and shall inure to the
benefit of each Holder. The Company may not assign its rights or obligations hereunder without the
prior written consent of each Holder. Each Holder may assign their respective rights hereunder in
the manner and to the Persons as permitted under the Credit Agreement with the prior written
consent of the Company, which consent shall not be unreasonably withheld.

(h) Execution and Counterparts. This Agreement may be executed in any number of
counterparts, each of which when so executed shall be deemed to be an original and, all of which
taken together shall constitute one and the same Agreement. In the event that any signature is
delivered by facsimile transmission, such signature shall create a valid binding obligation of the
party executing (or on whose behalf such signature is executed) the same with the same force and
effect as if such facsimile signature were the original thereof.

(i) Governing Law. All questions concerning the construction, validity, enforcement
and interpretation of this Agreement shall be governed by and construed and enforced in accordance
with the internal laws of the State of New York applicable to contracts executed and to be
performed wholly in such State, without regard to the principles of conflicts of law thereof (other
than Section 5-1401 of the General Obligations Laws of the State of New York). Each party agrees
that all Proceedings concerning the interpretations, enforcement and defense of the transactions
contemplated by this Agreement shall be commenced exclusively in the state and federal courts
sitting in the City of New York, Borough of Manhattan. Each party hereto hereby irrevocably submits
to the exclusive jurisdiction of the state and federal courts sitting in the City of New York,
Borough of Manhattan for the adjudication of any dispute hereunder or in connection herewith or
with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and
agrees not to assert in any Proceeding, any claim that it is not personally subject to the
jurisdiction of any such court, that such Proceeding is improper. Each party hereto hereby
irrevocably waives personal service of process and consents to process being served in any such
Proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with
evidence of delivery) to such party at the address in effect for notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice
thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in
any manner permitted by law. Each party hereto hereby irrevocably waives, to the fullest extent
permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out
of or relating to this Agreement or the transactions contemplated hereby. If either party shall
commence a Proceeding to enforce any provisions of a Transaction Document, then the prevailing
party in such Proceeding shall be reimbursed by the other party for its reasonable attorneys fees
and other costs and expenses incurred with the investigation, preparation and prosecution of such
Proceeding.

(j) Cumulative Remedies. The remedies provided herein are cumulative and not
exclusive of any remedies provided by law.

(k) Severability. If any term, provision, covenant or restriction of this Agreement
is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the
remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in
full force and effect and shall in no way be affected, impaired or invalidated, and the parties
hereto shall use their reasonable efforts to find and employ an alternative means to achieve the
same or substantially the same result as that contemplated by such term, provision, covenant or
restriction. It is hereby stipulated and declared to be the intention of the parties that they
would have executed the remaining terms, provisions, covenants and restrictions without including
any of such that may be hereafter declared invalid, illegal, void or unenforceable.

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

[BALANCE OF PAGE INTENTIONALLY LEFT BLANK;

SIGNATURE PAGE FOLLOWS]

1

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

	 	 	 
	TRINITY LEARNING CORPORATION

	 
	 	 
	By:

	 	/s/ Douglas D. Cole
	
 
	 	 
	Name:

	 	Douglas D. Cole
	
 
	 	 
	Title:

	 	Chief Executive Officer
	
 
	 	 
	 
	 	 

2

	 	 	 
	 	 	INSTREAM CAPITAL LLC
	 	 	By:	 	 	/s/ Christopher Allick
	 	 	Name:	 	 	Christopher Allick
	 	 	Title:	 	 	Managing Director

	 	 	 	Address for Notices:

	 	 	 
	c/o Instream Capital

	 	

	 
	 	 
	350 California Street, Suite 1940

	 
	 	 
	San Francisco, CA 94104

Attention:

Facsimile:

	 	

Christopher W. Allick

(415) 677-9505 (fax)
	 
	 	 

3

BERNARD NATIONAL LOAN INVESTORS, LTD.

	 	 	 
	By:

	 	/s/ David A. Proshan
	
 
	 	 
	Name:

	 	David A. Proshan
	
 
	 	 
	Title:

	 	Director
	
 
	 	 

	 	 	 	Address for Notices:

	 	 	 
	745 5th Avenue, 18th Floor

	 
	 	 
	New York, New York 10151

Attention:

Telephone:

Facsimile:

	 	

David Proshan

(646) 720-9100

(646) 720-9008

4

EXHIBIT A

[Month __, 2005]

[Continental Stock Transfer

& Trust Company

Two Broadway

New York, NY 10004

Attn: William Seegraber]

Re: [Company Name]. Registration Statement on Form [SB-2]

Ladies and Gentlemen:

As counsel to Trinity Learning Corporation, a Utah corporation (the “Company”), we have been
requested to render our opinion to you in connection with the resale by the individuals or entitles
listed on Schedule A attached hereto (the “Selling Stockholders”), of an aggregate of
[amount]shares (the “Shares”) of the Company’s Common Stock.

A Registration Statement on Form [SB-2] under the Securities Act of 1933, as amended (the
“Act”), with respect to the resale of the Shares was declared effective by the Securities and
Exchange Commission on [date]. Enclosed is the Prospectus dated [date]. We understand that the
Shares are to be offered and sold in the manner described in the Prospectus.

Based upon the foregoing, upon request by the Selling Stockholders at any time while the
registration statement remains effective, it is our opinion that the Shares have been registered
for resale under the Act and new certificates evidencing the Shares upon their transfer or
re-registration by the Selling Stockholders may be issued without restrictive legend. We will
advise you if the registration statement is not available or effective at any point in the future.

Very truly yours,

[Company counsel]

5

Schedule A

	 	 	 
	Selling Stockholder

	 	Shares

Being Offered
	 

	 	 
	 
	 	 

6

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