Document:

AGREEMENT

            THIS  AGREEMENT  made as of the 13th day of February,  2006,  by and
among Tara Financial Services, Inc., a California corporation,  ("Lender"),  NOW
Solutions,  Inc.,  a Delaware  corporation,  (  "Borrower"),  Vertical  Computer
Systems,  Inc.,  a  Delaware  corporation,   ("Vertical"),   Robert  Farias,  an
individual, ("Farias"), and Robert Mokhtarian, an individual, ("Mokhtarian").

                              W I T N E S S E T H:

      WHEREAS,  Farias has the following loans currently outstanding to Borrower
and to Vertical:

            1. Promissory Note in the original principal amount of $84,000 dated
      June 1, 2001,  from  Enfacet,  Inc., a Texas  corporation,  as debtor,  to
      Robert Farias, as lender,  bearing interest at 8% per annum. This note was
      originally  unsecured.  The note was  amended by the  parties on March 27,
      2003 and again on February 13, 2004. The note is now secured by a Security
      Agreement  dated  February 13, 2004,  pledging a security  interest in all
      assets of Borrower. The current balance of this note is $137,841.28.

            2.  Promissory  Note in the  original  principal  amount of $280,000
      dated October 31, 2001, from Vertical, as Promissor,  to Robert Farias, as
      Promissee, bearing interest at the rate of 4% per annum, as amended by the
      parties on March 27, 2003 and again on  February  13,  2004.  This note is
      secured by an Asset Pledge Agreement dated October 31, 2001, from Vertical
      to Robert Farias,  pledging a security interest in that certain technology
      developed by Adhesive  Software and commonly known as "siteflash"  (herein
      the  "Siteflash  Technology").   The  current  balance  of  this  note  is
      $438,795.31;

            3.  Promissory  Note in the  original  principal  amount of $181,583
      dated  October  17,  2002,  from  Vertical  Computer  Systems,   Inc.,  as
      Promissor,  to Robert Farias,  as Promissee,  bearing  interest at 12% per
      annum. This note was amended on February 13, 2004. This note is secured by
      a pledge  by  Mountain  Reservoir  Corporation  of  10,450,000  shares  of
      Vertical common stock. The current balance of this note is $181,905.58.

            4.  Promissory  Note in the  original  principal  amount of $500,000
      dated February 13, 2004, from NOW Solutions,  L.L.C.  (now  Borrower),  as
      Promissor, to Robert Farias, as Promissee, bearing interest at the rate of
      10% per annum.  This note is secured by the assets of Borrower.  This note
      is also secured by a 5% royalty on sales by Borrower;  5-year  warrants to
      purchase  5,000,000  shares of Vertical  common  stock at $0.01 per share;
      5-year warrants to purchase  5,000,000  shares of Vertical common stock at
      $0.02 per share;  5-year warrants to purchase 5,000,000 shares of Vertical
      common stock at $0.03 per share;  and 5,000,000  shares of Vertical common
      stock. The current balance of this note is $359,559.90.

                                     - 1 -
02-13-06
<PAGE>

      The foregoing loans are collectively referred to as the "Farias Loans."

      WHEREAS,  Mokhtarian  has the following  loans  currently  outstanding  to
Vertical and to Enfacet:

            1.  Promissory  Note in the  original  principal  amount of $350,000
      dated August 15, 2001, from Enfacet, Inc., a Texas corporation, as debtor,
      to Robert  Mokhtarian,  as Lender,  bearing interest at 8% per annum. This
      note was  originally  unsecured.  The note was  amended by the  parties on
      February 13, 2004. The note is now secured by a Security  Agreement  dated
      February 13, 2004 pledging a security  interest in all assets of Borrower.
      The current balance of this note is $519,693.28.

            2. Promissory Note in the original principal amount of $90,000 dated
      June 26, 2003,  from  Vertical,  as Promissor,  to Robert  Mokhtarian,  as
      Promissee,  bearing  interest at 10% per annum.  This note was  originally
      unsecured.  The note was amended by the parties on February 13, 2004.  The
      note is now  secured by a  Security  Agreement  dated  February  13,  2004
      pledging  a  security  interest  in all assets of  Borrower.  The  current
      balance of this note is $115,663.16.

      The foregoing loans are collectively  called the "Mokhtarian  Loans";  the
Farias Loans and the Mokhtarian Loans are  collectively,  called the "Old Debt."
The  foregoing   security   interests  pledged  to  Farias  and  Mokhtarian  are
collectively called the "Old Security."

      WHEREAS,  the Borrower has requested that Farias and Mokhtarian cancel the
Old Debt and related Old Security agreements and replace them with the following
notes between Borrower and Lender:

            1. A Secured Term Promissory Note in the original  principal  amount
      of $359,559.90  from Borrower to Lender dated  February 13, 2006,  bearing
      interest  at 12% per  annum.  This  loan  will be  secured  by a  Security
      Agreement  from  Borrower  to Lender  pledging a security  interest in all
      assets of Borrower.

            2. A Secured Term Promissory Note in the original  principal  amount
      of $438,795.31  from Vertical to Lender dated  February 13, 2006,  bearing
      interest  at 12% per annum.  This loan will be secured by an Asset  Pledge
      Agreement  from  Vertical  to Lender  pledging a security  interest in the
      Siteflash Technology.

            3. A Secured Term Promissory Note in the original  principal  amount
      of $955,103.30  from Borrower to Lender dated  February 13, 2006,  bearing
      interest  at 12% per  annum.  This  loan  will be  secured  by a  Security
      Agreement  from  Borrower  to Lender  pledging a security  interest in all
      assets of Borrower.

                                     - 2 -
02-13-06
<PAGE>

      The foregoing  notes are  collectively  referred to as the "New Notes" and
"New Security.".

      WHEREAS,  Farias  and  Mokhtarian  have  agreed to cancel the Old Debt and
Lender  agrees to replace the Old Debt with the New Notes,  subject to the terms
and conditions hereof.

      WHEREAS,  Farias and Mokhtarian have agreed to cancel the Old Security and
Lender agrees to replace the Old Security with the New Security,  subject to the
terms and conditions hereof.

      NOW,  THEREFORE,  in  consideration of the mutual covenants and agreements
herein contained, it is mutually covenanted and agreed as follows:

                                   AGREEMENT:

      1. Recitals.  Each of the Recitals above is agreed and  acknowledged to be
true and  correct  and is fully  incorporated  herein  as  though  fully set out
herein.

      2. Cancellation of Old Debt. Farias and Mokhtarian agree to cancel the Old
Debt currently outstanding as described above.

      3. Release of  Security.  Farias and  Mokhtarian  agree to release the Old
Security pledged as collateral and corresponding liens for the Old Debt.

      4.  Execution of New Notes.  Borrower  and  Vertical  agree to execute the
foregoing New Notes payable to Lender pursuant to the terms as stated therein.

      5.  Execution of New Security  Agreements.  Borrower and Vertical agree to
execute the New Security Agreements as set forth above as collateral for the New
Notes.

      6.  Time.  Time is of the  essence  in the  performance  of the  covenants
contained herein.

      7. Headings.  The section  headings hereof are inserted for convenience of
reference  only  and  shall in no way  alter,  amend,  define  or be used in the
construction or interpretation of the text of such section.

      8. Further assurances. Each of the Parties shall from time to time execute
such  documents  and  perform  such acts and  things as the  other  Parties  may
reasonably  require  to cancel the Old Debt and  related  security  and  perfect
Lender's  security  interest as collateral for the New Notes, in accordance with
the provisions of this Agreement, and to give any Party the full benefit of this
Agreement.

                                     - 3 -
02-13-06
<PAGE>

      9. Binding  Effect.  All of the terms,  covenants  and  conditions  herein
contained  shall inure to the benefit of and be binding upon the parties hereto,
their successors and assigns.

      10.  Notices.  All notices,  demands,  requests  and other  communications
pursuant to this  Agreement  shall be deemed to have been properly  given,  when
made in writing,  and  delivered  personally,  or three (3) business  days after
receipt,  when sent either  through the United States Postal  Service  postpaid,
registered or certified mail with return receipt requested, or overnight courier
delivery (such as Federal Express at the expense of the  Participant)  addressed
to the Participant to receive such notice at the following  address,  or at such
other address as may hereafter be specified by written notice given as set forth
in this Section 10:

If to Lender:            Tara Financial Services, Inc., a California corporation
                         3436 Verdugo Road
                         Glendale, California 91208
                         818.209.5591

If to Borrower:          NOW Solutions, Inc., a Delaware corporation
                         201 Main Street
                         Suite 1175
                         Fort Worth, Texas 76102
                         Phone: 817.348.8717

If to Vertical:          Vertical Computer Systems, Inc., a Delaware corporation
                         201 Main Street
                         Suite 1175
                         Fort Worth, Texas 76102
                         Phone: 817.348.8717

If to Enfacet:           Enfacet, Inc., a Texas corporation
                         201 Main Street
                         Suite 1175
                         Fort Worth, Texas 76102
                         Phone: 817.348.8717

If to Farias:            Robert Farias
                         3436 Verdugo Road
                         Glendale, California 91208
                         818.500.0800

If to Mokhtarian:        Robert Mokhtarian
                         3436 Verdugo Road
                         Glendale, California 92108
                         818.500.0800

                                     - 4 -
02-13-06
<PAGE>

      11.  Applicable  Law. This Agreement  shall be governed by the Laws of the
State of California.

      12. Multiple Counterparts. This Agreement may be executed in any number of
counterparts,  all of which taken  together  shall  constitute  one and the same
Agreement,  and any of the parties  hereto may execute this Agreement by signing
any such counterpart.

      13.  Construction.  Whenever the context hereof so requires,  reference to
the singular shall include the plural and likewise, the plural shall include the
singular;  words  denoting  gender  shall be  construed  to mean the  masculine,
feminine or neuter, as appropriate;  and specific  enumeration shall not exclude
the general, but shall be construed as cumulative of the general recitation.

      14.  Severability.  If any clause or  provision  of this  Agreement  is or
should ever be held to be illegal, invalid or unenforceable under any present or
future law  applicable  to the terms hereof,  then and in that event,  it is the
intention of the parties hereto that the remainder of this  Agreement  shall not
be affected  thereby,  and that in lieu of each such clause or provision of this
Agreement that is illegal,  invalid or  unenforceable,  such clause or provision
shall be judicially  construed and interpreted to be as similar in substance and
content to such illegal,  invalid or unenforceable  clause or provision,  as the
context thereof would reasonably  suggest,  so as to thereafter be legal,  valid
and enforceable.

      15. ENTIRE  AGREEMENT.  THIS  AGREEMENT AND THE OTHER  DOCUMENTS,  IF ANY,
HEREIN  REQUIRED TO BE EXECUTED  REPRESENT  THE FINAL  AGREEMENT  OR  AGREEMENTS
BETWEEN THE PARTIES AS TO THE SUBJECT MATTER HEREOF AND THEREOF,  AND MAY NOT BE
CONTRADICTED  BY  EVIDENCE  OF  PRIOR,   CONTEMPORANEOUS,   OR  SUBSEQUENT  ORAL
AGREEMENTS OF THE PARTIES.  THERE ARE NO UNWRITTEN ORAL  AGREEMENTS  BETWEEN THE
PARTIES.  THIS  INSTRUMENT  MAY BE  AMENDED  ONLY BY AN  INSTRUMENT  IN  WRITING
EXECUTED BY THE PARTIES HERETO.

                       [Signatures follow on next pages.]

                                     - 5 -
02-13-06
<PAGE>

      IN WITNESS WHEREOF,  each of the undersigned,  being duly authorized,  has
executed this  Agreement on behalf of the  respective  Parties as of the day and
year first above written.

LENDER:                             Tara Financial Services, Inc.,
                                    a California corporation

                                    By: _________________________
                                        Robert Mokhtarian
                                        President

BORROWER:                           NOW Solutions, Inc.
                                    a Delaware corporation

                                    By: ______________________
                                        Richard Wade,
                                        Chairman

VERTICAL:                           Vertical Computer Systems, Inc.
                                    a Delaware corporation

                                    By: ______________________
                                        Richard Wade,
                                        President

ENFACET:                            Enfacet, Inc.
                                    a Texas corporation

                                    By: _____________________
                                         Luiz C. Valdetaro,
                                         President

                                     - 6 -
02-13-06
<PAGE>

FARIAS:

                                    ------------------------
                                    Robert Farias

MOKHTARIAN:

                                    -------------------------
                                    Robert Mokhtarian

                                     - 7 -
02-13-06SECURED TERM PROMISSORY NOTE
                               NOW SOLUTIONS, INC.

US$ 359,559.90                                                 February 13, 2006

      FOR VALUE  RECEIVED,  the  undersigned,  NOW  Solutions,  Inc., a Delaware
corporation,  ("Debtor"), hereby covenants and promises to pay to Tara Financial
Services, Inc., a California corporation,  ("Payee"), the principal sum of THREE
HUNDRED  FIFTY-NINE   THOUSAND  FIVE  HUNDRED  FIFTY-NINE  AND  90/100  DOLLARS,
($359,559.90),  together with interest thereon at a rate equal to twelve percent
(12%) per annum, compounded annually, which shall be payable as follows:

      (a)   principal  and  interest  are  due  and  payable  in  equal  monthly
            installments  of FOUR THOUSAND  SEVEN HUNDRED  TWENTY-TWO AND 53/100
            DOLLARS ($4,722.53), on the first day of each month, beginning March
            1, 2006, and continuing through September 1, 2006;

      (b)   beginning on October 1, 2006, and continuing through December, 2006,
            interest only is due and payable monthly as it accrues;

      (c)   beginning  on January 1, 2007,  the  unpaid  principal  balance  and
            interest are due and payable in equal monthly  installments  of FOUR
            THOUSAND SEVEN HUNDRED  TWENTY-TWO  AND 53/100 DOLLARS  ($4,722.53),
            and continuing  until February 1, 2018 (the "Maturity  Date"),  upon
            which date all  outstanding  principal and interest shall be due and
            payable in full.

      All payments shall be made at 3436 Verdugo Road, Suite 250,  Glendale,  CA
91208, or at such other place as the holder of this Note may designate by notice
to the Debtor.

      Payments  shall be applied first to accrued  interest and the remainder to
reduction of the Principal Amount.

Debtor and Payee covenant and agree as follows:

      1. Prepayment.  This Note may, at the option of the Debtor, be prepaid, in
whole  or in  part,  at any  time  through  the due  date of the  final  payment
hereunder,  in order of  maturity.  Subject  to  Paragraph  4,  below,  any such
prepayment  shall be without penalty or premium but shall include the payment of
accrued  interest,  if any, on the amount  prepaid to and  including the date of
prepayment.  The  Maturity  Date shall  remain  the same and a new  amortization
schedule shall be prepared upon Payee's receipt of any prepayment amount.

      2.  Payee's  Right of  Acceleration.  Upon the  occurrence  of an Event of
Default,  as said term is  defined in  Section 3 herein,  the  entire  remaining
principal balance and other fees and charges with respect to this Note shall, at
Payee's option, become immediately due and payable.

                                  Page 1 of 5
02-13-06
<PAGE>

      3. Default and Payee's Rights Upon Default. The following shall constitute
an event of default ("Event of Default"):

            a. If any  payment  required  hereunder  is not made when due or any
default occurs in any instrument securing the payment of this note;

            b.  if  any  payment   required  under  that  certain  Secured  Term
Promissory Note of even date herewith by Taladin,  Inc., as debtor, to Strategic
Growth Partners, LLC, as Payee, in the original principal amount of $150,000, is
not made when due or any default occurs in any  instrument  securing the payment
of such Secured Term Promissory Note;

            c.  if  any  payment   required  under  that  certain  Secured  Term
Promissory Note of even date herewith by Taladin,  Inc., as debtor, to Payee, in
the original  principal amount of $450,000,  is not made when due or any default
occurs in any  instrument  securing the payment of such Secured Term  Promissory
Note;

            d. if any payment required under any other written obligations owing
by Debtor to Payee is not made when due;

            e. if any payment  required under that certain Royalty  Agreement of
even date herewith by and between NOW Solutions, Inc. and Payee is not made when
due; and

            f.  if  any  payment   required  under  that  certain  Secured  Term
Promissory  Note of even date herewith by Vertical  Computer  Systems,  Inc., as
debtor,  to Payee,  is not made when due or any default occurs in any instrument
securing the payment of such Secured Term Promissory Note.

If any Event of Default occurs,  then from the date such Event of Default occurs
until it is cured or waived in writing,  in addition to any agreed upon charges,
the then  outstanding  principal  balance  of this Note  shall  thereafter  bear
interest at a rate of eighteen  (18%)  percent  per annum (the  "Default  Rate")
computed  on the basis of a year of three  hundred  sixty  (360) days and actual
days elapsed unless collection from the Debtor of interest at such rate would be
contrary to  applicable  law, in which event such amount shall bear  interest at
the highest rate which may be collected from the Debtor under applicable law.

      4. Principal Pay-Down. Until such time as the amounts due pursuant to this
Note have been paid in full, the principal due hereunder shall be prepaid at the
rate of 2.5% of Excess New Sales.  "Excess  New  Sales"  are  software  sales by
Debtor  to new  customers  during a  calendar  year in an  amount  greater  than
$800,000.00.  Additionally,  if software  sales by Debtor to new  customers  are
greater than $1.5 Million during a calendar year,  then an additional 4% of such
Excess  New Sales will be paid  towards  the  principal  balance.  Any  payments
applied  to  principal  pursuant  to this  Section  4,  shall be  applied to the
principal   balance   pursuant   to  the  terms  of   Section   1,   Prepayment.
Notwithstanding the foregoing,  any such prepayments  pursuant to this Section 4
shall be deemed a penalty.

      5. Savings  Clause.  Interest on the debt  evidenced by this Note will not
exceed the maximum rate or amount of nonusurious interest that may be contracted
for, taken, reserved,  charged, or received under law. Any interest in excess of
that  maximum  amount  will be  credited  on the  Principal  Amount  or;  if the
Principal  Amount has been paid,  refunded.  On any  acceleration or required or
permitted prepayment,  any excess interest will be canceled  automatically as of
the acceleration or prepayment or, if the excess interest has already been paid,
credited  on the  Principal  Amount or, if the  Principal  Amount has been paid,
refunded.  This provision overrides any conflicting  provisions in this Note and
all other instruments concerning the debt.

                                  Page 2 of 5
02-13-06
<PAGE>

      6. General Provisions.

            6.1 If this Note is not paid when due, or upon the  occurrence of an
Event of Default,  the Debtor  further  promises to pay all costs of collection,
foreclosure fees, reasonable attorneys' fees and expert witness fees incurred by
the Payee, whether or not suit is filed hereon.

            6.2  The  undersigned  hereby  consents  to any  and  all  renewals,
replacements  and/or  extensions of time for payment of this Note before,  at or
after maturity.

            6.3 No delay or  omission  on the part of the  Payee of this Note in
exercising any right shall operate as a waiver thereof or of any other right.

            6.4 No waiver by the Payee of this Note upon any one occasion  shall
be  effective  unless in writing nor shall it be construed as a bar or waiver of
any right or remedy on any future occasion.

            6.5 All the terms of this Note  shall be  binding  upon and incur to
the benefit of and be  enforceable  by the parties  hereto and their  respective
heirs, representatives, successors and assigns, whether or not so expressed.

            6.6 Time is of the essence for the performance by the undersigned of
the obligations set forth in this Note.

            6.7  Should  any  one or  more of the  provisions  of  this  Note be
determined  illegal or  unenforceable,  all other provisions shall  nevertheless
remain effective.

            6.8 This Note cannot be  changed,  modified,  amended or  terminated
orally.

            6.9 This Note  shall be  governed  by,  construed  and  enforced  in
accordance  with the laws of the State of  California  without  reference to the
principles of conflicts of laws thereof.

            6.10 The Debtor  shall have  forty-five  (45) days to cure a payment
default after notice of default thereof sent to Debtor by or on behalf of Payee.

            6.11  Principal  of, and  interest on, this Note shall be payable in
lawful money of the United States of America. If a payment hereunder becomes due
and payable on a Saturday,  Sunday or legal holiday,  the due date thereof shall
be extended to the next  succeeding  business day, and interest shall not accrue
until such next succeeding business day.

                                  Page 3 of 5
02-13-06
<PAGE>

            6.12 ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO ANY DISPUTE WILL
BE TRIED IN A COURT OF COMPETENT  JURISDICTION BY A JUDGE WITHOUT A JURY. DEBTOR
WAIVES  ANY  RIGHT  TO A JURY  TRIAL  IN  ANY  SUCH  ACTION  OR  PROCEEDING  AND
ACKNOWLEDGES  THAT YOUR ACCEPTANCE OF THIS NOTE  CONSTITUTES  YOUR WAIVER OF ANY
RIGHT TO A JURY TRIAL IN ANY SUCH ACTION OR PROCEEDING.

            6.13 The  jurisdiction,  venue and choice of law provision set forth
herein will survive the termination of this Note.

      7.  Security  Agreement.  This Note is secured by a security  interest  in
certain of Debtor's collateral as identified in that certain Security Agreement,
between  Debtor and Payee,  dated as of February  13, 2006 (as the same has been
amended,  revised,  or amended and  restated  from time to time,  the  "Security
Agreement").  All of the terms and  conditions  of the  Security  Agreement  are
incorporated  herein and made a part hereof.  Nothing  herein shall be deemed to
limit any of the terms, provisions, conditions,  representations,  stipulations,
or agreements contained in the Security Agreement or any other present or future
document,  instrument  or  agreement,  between the Debtor and Payee,  and all of
Payee's rights and remedies hereunder and thereunder are cumulative.

      8. Debtor and all guarantors, endorsers and sureties consent that Payee at
any time may extend  the time of payment of all or any part of the  indebtedness
secured hereby, or may grant any other indulgences.

      9. Except as otherwise stated herein,  all notices,  responses,  requests,
documents and service of legal process will be  sufficiently  given or served if
mailed or delivered  via  certified  mail,  return  receipt  requested,  or by a
nationally  recognized  overnight  delivery  service:  (a) to Debtor at 201 Main
Street,  Ste. 1175,  Fort Worth,  Texas 76102;  and (b) to Payee at 3436 Verdugo
Road,  Suite 250,  Glendale,  CA 91208, or such other address as the parties may
specify from time to time in the manner  required  for notice set forth  herein.
Notices shall be effective:  (a) if given by certified  mail, on the fifth (5th)
day after deposit in the mail with postage prepaid,  addressed as aforesaid; and
(b) if given by a  nationally  recognized  overnight  delivery  service,  on the
business day following  deposit with such service,  addressed as aforesaid  with
receipt of delivery.

THIS NOTE CONTAINS A JURY WAIVER.

                                  Page 4 of 5
02-13-06
<PAGE>

DEBTOR:

NOW Solutions, Inc.
a Delaware corporation

By:
   --------------------------------------------------
   Richard Wade,
   Chairman

STATE OF CALIFORNIA   ss.
                      ss.
COUNTY OF __________  ss.

      On the 13 day of February in the year 2006, before me, the undersigned,  a
Notary Public in and for said State,  personally appeared Richard Wade, Chairman
of NOW Solutions, Inc., a Delaware corporation, personally known to me or proved
to me on the basis of satisfactory  evidence to be the individual  whose name is
subscribed to the within  instrument and acknowledged to me that he executed the
same  in his  capacity,  and  that  by his  signature  on  the  instrument,  the
individual,  or the person upon behalf of which the individual  acted,  executed
the instrument.

                                                        ________________________
                                                        Notary Public in and for
                                                        the State of California

                                  Page 5 of 5
02-13-06

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