Document:

Amendment to Letter Agreement with William P. McComas dated 11/15/2006.

 EXHIBIT 10.79 
 Full House Resorts, Inc. 
 4670 S. Fort Apache Road, Suite 190 
 Las Vegas, Nevada 89147 
 SECOND AMENDMENT
TO LETTER AGREEMENT 
 November 15, 2006 
 William P. McCornas 
 75-398 Morningstar Drive 
 Indian Wells, CA 92210 
 Dear Mr. McComas: 
 This letter will
serve as an amendment to the letter agreement dated September 13. 2006 between you and Full House Resorts, Inc. concerning your 350,000 shares of series 1992 Preferred Stock. 
 When signed or accepted by you, paragraph 5 titled Termination of the September 13, 2006 agreement shall be amended to replace October 31, 2006 with December 31, 2006 with the effect that the
agreement to convert your preferred shares into common upon the Company’s payment of accrued and unpaid dividends on the preferred shall terminate and expire as of 5:00 PM Las Vegas time on December 31, 2006. 
 If’ this is your understanding, please countersign this letter and return to me at the office address above, or be fax to 702-221-8101 or by noting your acceptance
in a reply email to me. 
 We appreciate your understanding and consideration in this matter. 
  

			
	 Very truly yours,
  
 FULL HOUSE RESORTS, INC.
  

		
	By:	 	/S/ BARTH F. AARON
		 	Name:    Barth F. Aaron
		 	Title:    Secretary

 Accepted and Agreed as of the __ day of November, 2006 
  

	
	
	 /S/ WILLIAM P. MCCOMAS

 

	William P. ComasFuego Entertainment, Inc. new release

    
      

    

    Exhibit
      10.1 News Release

     

    

      Fuego
        Entertainment Announces the Acquisition of Vision Sports Entertainment Network
        with 24 Affiliate Stations Reaching 14 Million US Households 

      

      MIAMI,
        FL. November 20 -- Fuego Entertainment, Inc. (OTC Bulletin Board: FUGO) today
        announces that it has acquired Vision Sports Entertainment Network (VSEN-TV),
        broadcasting on 24 affiliate stations and reaching over 14 million US
        households. Based in Burbank, VSEN-TV will relocate to Las Vegas, NV, and
        its
        founder, Rod Myers, will remain President of this wholly-owned subsidiary
        of
        Fuego Entertainment under a three-year employment agreement. Financial terms
        of
        the acquisition were not disclosed.

      

      “We
        are
        very excited to penetrate so many markets with this acquisition and go
        on-the-air with 24-hour broadcasting. While VSEN-TV is broadcasting in English,
        we hope to utilize some of the content for FuegoTV’s Spanish-speaking viewers as
        well,” stated Hugo Cancio, CEO of Fuego Entertainment. “Our sales and management
        teams are working to promote VSEN-TV with national advertisers and we are
        committed to developing its infrastructure internally and through future
        acquisitions.”

      

      The
        Arena2 Football League, World Dirt Racing League, IBL Basketball, and Freestyle
        Fighting are leading programs on VSEN-TV. Also showing extreme sports, movies,
        talk shows, and gambling events, VSEN-TV provides an attractive advertising
        platform for media buyers on local and national levels.

      

      “Having
        launched VSEN-TV in July 2006, the network has been successful in collaborating
        with various programming suppliers and television broadcasters,” said Rod Myers,
        President of VSEN-TV and General Manager of FuegoTV’s channel 28 in Las Vegas,
        NV. “Our current partners and sponsors, together with Fuego Entertainment’s
        leadership, will increase our brand awareness to sporting enthusiasts and
        continue our expansion onto additional stations.”

      

      VSEN-TV
        is currently broadcasting in Wichita, Hartford, Fresno, Sacramento, Louisville,
        Biloxi, Dayton, Houston, Mobile, Buffalo, Springfield (MA), Little Rock,
        the US
        Virgin Islands, and other markets. 

      

      About
        Vision Sports Entertainment Network

      

      Vision
        Sports Entertainment Network is a television broadcasting company with 24
        affiliate stations reaching 14 million US households. Primarily distributing
        sports programming, VSEN-TV’s headquarters is located in Burbank, California.
        For more information, please visit VSEN-TV’s website at
        http://www.vsentv.com.

      

      About
        Fuego Entertainment, Inc.

      

      With
        stations in Las Vegas and Puerto Rico, Fuego Entertainment, Inc. is a media
        and
        entertainment company primarily engaged in the television broadcasting of
        Spanish-speaking programming on its US television network, FuegoTV.
        Additionally, the Company is broadcasting Vision Sports Entertainment Network
        on
        24 stations across the US and US Virgin Islands. The Company also produces
        filmed content and manages a music record label, Fuego Entertainment Music
        International (FEMI), with seven Latin artists. For more information, please
        visit Fuego’s website at http://www.fuegoentertainment.net. 

      

      This
        press release contains statements, which may constitute forward-looking
        statements within the meaning of the Securities Act of 1933 and the Securities
        Exchange Act of 1934, as amended by the Private Securities Litigation Reform
        Act
        of 1995. Those statements include statements regarding the intent, belief,
        or
        current expectations of Fuego Entertainment, Inc., members of their management,
        and assumptions on which such statements are based. Prospective investors
        are
        cautioned that any such forward-looking statements are not guarantees of
        future
        performance and involve risks and uncertainties, and that actual results
        may
        differ materially from those contemplated by such forward-looking
        statements.

      

      CONTACT:
        Fuego Entertainment, Inc., Dan York, Investor Relations, 214 675-2531,
ir@fuegoentertainment.netGeneral Security Agreement, dated October 19, 2006

      SECURITY
      AGREEMENT

    

    

    THIS
      SECURITY AGREEMENT (this “Agreement”), dated as of October 19, 2006, is made and
      given by RED
      MILE
      ENTERTAINMENT, INC.,
      a
      corporation organized under the laws of the State of Delaware (the “Grantor”),
      to OLYMPIA
      TRUST COMPANY,
      a trust
      company incorporated under the laws of the Province of Alberta in its capacity
      as Debenture Trustee (the “Security Trustee”).

     

    RECITALS

    

    A.
      The
      Grantor will or may become, or is now, indebted in the amount of a minimum
      of
      US$5,000,000 to Debentureholders under Initial Debentures issued under that
      certain Trust Indenture dated October 19, 2006 (the “Indenture”).

    

    B.
      The
      Security Trustee is the Debenture Trustee under the Indenture.

    

    C.
      Under
      the terms of the Indenture the Grantor has agreed, and is required, to grant
      a
      security interest over all of its personal property to the Debenture Trustee
      as
      security for its obligations to, and for the benefit of, the Debentureholders
      under the Initial Debentures. The security interest granted hereunder shall
      be
      subordinated to any security interest granted over the Grantor's accounts
      receivable to secure indebtedness to any commercial bank, financial institution
      or other lender(s).

    

    D.
      The
      Grantor finds it advantageous, desirable and in its best interests to comply
      with the requirement that it execute and deliver this Agreement to the Security
      Trustee.

    

    NOW,
      THEREFORE, in consideration of the premises and in order to induce the
      Debentureholders to extend or continue credit accommodations to the Grantor,
      the
      Grantor hereby agrees with the Security Trustee for the benefit of the
      Debentureholders of the Initial Debentures as follows:

    

    Section
      1.
      Defined
      Terms.

    

    1
      (a)
      As used
      in this Agreement, the following terms shall have the meanings
      indicated:

    

    “Account”
shall
      mean the rights of the Grantor to payment for goods sold or leased or for
      services rendered which is not evidenced by an Instrument or Chattel Paper,
      whether or not such right has been earned by performance, all guaranties and
      security therefor, and all interests in the goods the sale or lease of which
      gave rise thereto, including the right to stop such goods in transit.

    

    “Account
      Debtor”
shall
      mean a Person who is obligated on or under any Account, Chattel Paper,
      Instrument or General Intangible.

    

    “Chattel
      Paper”
shall
      mean a writing or writings which evidence both a monetary obligation and a
      security interest in or lease of specific goods; when a transaction is evidenced
      by both a security agreement or a lease and by an Instrument or a series of
      Instruments, the group of writings taken together constitutes Chattel
      Paper.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    “Collateral”
shall
      mean all property and rights in property now owned or hereafter at any time
      acquired by the Grantor in or upon which a Security Interest is granted to
      the
      Security Trustee by the Grantor under this Agreement.

    

    “Debentureholders”
has
      the
      meaning ascribed to such term in the Indenture.

    

    “Debenture
      Trustee”
means
      the Security Trustee in its capacity as debenture trustee under the
      Indenture.

    

    “Document”
shall
      mean any bill of lading, dock warrant, dock receipt, warehouse receipt or order
      for the delivery of goods, together with any other document or receipt which
      in
      the regular course of business or financing is treated as adequately evidencing
      that the Person in possession of it is entitled to receive, hold and dispose
      of
      the document and the goods it covers.

    

    “Equipment”
shall
      mean all machinery, equipment, motor vehicles, furniture, furnishings and
      fixtures, including all accessions, accessories and attachments thereto, and
      any
      guaranties, warranties, indemnities and other agreements of manufacturers,
      vendors and others with respect to such Equipment.

    

    “Event
      of Default”
shall
      have the meaning given to such term in Section 18
      hereof.

    

    “Financing
      Statement”
shall
      have the meaning given to such term in Section 4
      hereof.

    

    “General
      Intangibles”
shall
      mean any personal property (other than goods, Accounts, Chattel Paper,
      Documents, Instruments and money) including choses in action, causes of action,
      contract rights, corporate and other business records, inventions, designs,
      patents, patent applications, service marks, trademarks, tradenames, trade
      secrets, internet domain names, engineering drawings, good will, registrations,
      copyrights, licenses, franchises, customer lists, tax refund claims, royalties,
      licensing and product rights, rights to the retrieval from third parties of
      electronically processed and recorded data and all rights to payment resulting
      from an order of any court.

    

    “Indenture”
means
      that certain Trust Indenture dated October 19, 2006 between the Grantor and
      the
      Debenture Trustee providing for the issue of debentures of various series
      including the Initial Debentures.

    

    “Initial
      Debentures”
means
      up to US$10,000,000 of 5.5% senior secured convertible debentures issued by
      the
      Grantor to the Debentureholders in one or more closings, and such term has
      the
      meaning ascribed thereto in the Indenture.

    

    “Instrument”
shall
      mean a draft, check, certificate of deposit, note, bill of exchange, security
      or
      any other writing which evidences a right to the payment of money and is not
      itself a security agreement or lease and is of a type which is transferred
      in
      the ordinary course of business by delivery with any necessary endorsement
      or
      assignment.

    

    “Inventory”
shall
      mean any and all goods owned or held by or for the account of the Grantor for
      sale or lease, or for furnishing under a contract of service, or as raw
      materials, work in process, materials incorporated in or consumed in the
      production of any of the foregoing and supplies, in each case wherever the
      same
      shall be located, whether in transit, on consignment, in 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    retail
      outlets, warehouses, terminals or otherwise, and all property the sale, lease
      or
      other disposition of which has given rise to an Account and which has been
      returned to the Grantor or repossessed by the Grantor or stopped in
      transit.

    

    “Lien”
shall
      mean any security interest, mortgage, pledge, lien, charge, encumbrance, title
      retention agreement or analogous instrument or device (including the interest
      of
      the lessors under capitalized leases), in, of or on any assets or properties
      of
      the Person referred to.

    

    “Obligations”
shall
      mean (a) all principal of, and interest on, the Initial Debentures and any
      extensions, renewals or replacements thereof, (b) all liabilities of the Grantor
      under the Indenture and (c) all liabilities of the Grantor under this
      Agreement.

    

    “Person”
shall
      mean any individual, corporation, partnership, limited partnership, limited
      liability company, joint venture, firm, association, trust, unincorporated
      organization, government or governmental agency or political subdivision or
      any
      other entity, whether acting in an individual, fiduciary or other
      capacity.

    

    “Security
      Interest”
shall
      have the meaning given such term in Section 2 hereof.

    

    1
      (b)
      All
      other terms used in this Agreement which are not specifically defined herein
      shall have the meaning assigned to such terms in the Uniform Commercial Code
      in
      effect in the State of New York as of the date of this Agreement to the extent
      such other terms are defined therein.

    

    1
      (c)
      Unless
      the context of this Agreement otherwise clearly requires, references to the
      plural include the singular, the singular, the plural and “or” has the inclusive
      meaning represented by the phrase “and/or.” The words “include,” “includes” and
“including” shall be deemed to be followed by the phrase “without limitation.”
The words “hereof,” “herein,” “hereunder” and similar terms in this Agreement
      refer to this Agreement as a whole and not to any particular provision of this
      Agreement. References to Sections are references to Sections in this Agreement
      unless otherwise provided.

    

    Section
      2.
      Grant
      of Security Interest.
      As
      security for the payment and performance of all of the Obligations, the Grantor
      hereby grants to the Security Trustee a security interest (the “Security
      Interest”) in all of the Grantor’s right, title, and interest in and to the
      following, whether now or hereafter owned, existing, arising or acquired and
      wherever located:

    

    2
      (a)
      All
      Accounts.

    

    2
      (b)
      All
      Chattel Paper.

    

    2
      (c)
      All
      Documents.

    

    2
      (d)
      All
      Equipment.

    

    2
      (e)
      All
      General Intangibles.

    

    2
      (f)
      All
      Instruments.

    

    2
      (g)
      All
      Inventory.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    2
      (h)
      To the
      extent not otherwise included in the foregoing, (i) all other rights to the
      payment of money, including rents and other sums payable to the Grantor under
      leases, rental agreements and other Chattel Paper and insurance proceeds, and
      each letter-of-credit right and all investment property; (ii) all books,
      correspondence, credit files, records, invoices, bills of lading, and other
      documents relating to any of the foregoing, including, without limitation,
      all
      tapes, cards, disks, computer software, computer runs, and other papers and
      documents in the possession or control of the Grantor or any computer bureau
      from time to time acting for the Grantor; (iii) all rights in, to and under
      all
      policies insuring the life of any officer, director, stockholder or employee
      of
      the Grantor, the proceeds of which are payable to the Grantor; and (iv) all
      accessions and additions to, parts and appurtenances of, substitutions for
      and
      replacements of any of the foregoing.

    

    2
      (i)
      To the
      extent not otherwise included, all proceeds and products of any and all of
      the
      foregoing.

    

    Section
      3.
      Grantor
      Remains Liable.
      Anything herein to the contrary notwithstanding, (a) the Grantor shall remain
      liable under the Accounts, Chattel Paper, General Intangibles and other items
      included in the Collateral to the extent set forth therein to perform all of
      its
      duties and obligations thereunder to the same extent as if this Agreement had
      not been executed, (b) the exercise by the Security Trustee of any of the rights
      hereunder shall not release the Grantor from any of its duties or obligations
      under any items included in the Collateral, and (c) the Security Trustee shall
      have no obligation or liability under Accounts, Chattel Paper, General
      Intangibles and other items included in the Collateral by reason of this
      Agreement, nor shall the Security Trustee be obligated to perform any of the
      obligations or duties of the Grantor thereunder or to take any action to collect
      or enforce any claim for payment assigned hereunder.

    

    Section
      4.
      Title
      to Collateral.
      The
      Grantor has (or will have at the time it acquires rights in Collateral hereafter
      acquired or arising) and will maintain so long as the Security Interest may
      remain outstanding, title to each item of Collateral (including the proceeds
      and
      products thereof), free and clear of all Liens except (i) the Security Interest
      and (ii) a Lien over the Grantor’s accounts receivable granted to a commercial
      bank, financial institution or other lender(s) (and the Security Trustee shall
      subordinate its Security Interest in such accounts receivable to such commercial
      bank, financial institution or other lender(s)). The Grantor will defend the
      Collateral against all claims or demands of all Persons (other than the Security
      Trustee) claiming the Collateral or any interest therein. As of the date of
      execution of this Agreement, no effective financing statement or other similar
      document used to perfect and preserve a security interest under the laws of
      any
      jurisdiction (a "Financing Statement") covering all or any part of the
      Collateral is on file in any recording office, except such as may have been
      filed in favor of the Security Trustee relating to this Agreement.

    

    Section
      5.
      Disposition
      of Collateral.
      The
      Grantor will not sell, lease or otherwise dispose of, or discount or factor
      with
      or without recourse, any Collateral, except sales of items of Inventory and
      accounts receivable in the ordinary course of business. For clarity, Grantor
      is
      permitted to factor its accounts receivable so long as the same are sold in
      the
      ordinary course of business to a recognized commercial factor for their
      reasonable fair market value. To facilitate such factoring, the Security Trustee
      shall permit, and the Financing Statement shall expressly provide, that sales
      of
      accounts receivable at the reasonable fair market value thereof shall
      automatically, without any further act or deed, be released from the Security
      Interest.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Section
      6.
      Names,
      Offices, Locations.
      The
      Grantor does business solely under its own name and the trade names and styles,
      if any, set forth on Schedule II hereto. Except as noted on said Schedule,
      no
      such trade names or styles and no trademarks or other similar marks owned by
      the
      Grantor are registered with any governmental unit. The chief place of business
      and chief executive office and the office where it keeps its books and records
      concerning the Accounts and General Intangibles and the originals of all Chattel
      Paper, Documents and Instruments are located at its address set forth on the
      signature page hereof. All items of Equipment and Inventory existing on the
      date
      of this Agreement are located at the places specified on Schedule I hereto.
      The
      Grantor will immediately notify the Security Trustee of any additional state
      in
      which any item of Inventory or Equipment is hereafter located. The Grantor
      will
      from time to time at the request of the Security Trustee provide the Security
      Trustee with current lists as to the locations of the Equipment and Inventory.
      The Grantor will not permit any Inventory, Equipment, Chattel Paper or Documents
      or any records pertaining to Accounts and General Intangibles to be located
      in
      any state or area in which, in the event of such location, a financing statement
      covering such Collateral would be required to be, but has not in fact been,
      filed in order to perfect the Security Interest. The Grantor will not change
      its
      name or the location of its chief place of business and chief executive office
      unless the Security Trustee has been given at least 30 days prior written notice
      thereof and the Grantor has executed and delivered to the Security Trustee
      such
      Financing Statements and other instruments required or appropriate to continue
      the perfection of the Security Interest.

    

    Section
      7.
      Rights
      to Payment.
      Except
      as the Grantor may otherwise advise the Security Trustee in writing, each
      Account, Chattel Paper, Document, General Intangible and Instrument constituting
      or evidencing Collateral is (or, in the case of all future Collateral, will
      be
      when arising or issued) the valid, genuine and legally enforceable obligation
      of
      the Account Debtor or other obligor named therein or in the Grantor’s records
      pertaining thereto as being obligated to pay or perform such obligation. Without
      the Security Trustee’s prior written consent, the Grantor will not agree to any
      modifications, amendments, subordinations, cancellations or terminations of
      the
      obligations of any such Account Debtors or other obligors except in the ordinary
      course of business (including the issuance of price protection credits, returns
      credits, marketing co-op credits, and similar credits in the normal course
      of
      business) and in amounts not exceeding $200,000 per Account Debtor or other
      obligor in any calendar year. The Grantor will perform and comply in all
      material respects with all its obligations under any items included in the
      Collateral and exercise promptly and diligently its rights
      thereunder.

    

    Section
      8.
      Further
      Assurances; Attorney-in-Fact.
      

    

    8
      (a)
      The
      Grantor agrees that from time to time, at its expense, it will promptly execute
      and deliver all further instruments and documents, and take all further action,
      that may be necessary or that the Security Trustee may reasonably request,
      in
      order to perfect and protect the Security Interest granted or purported to
      be
      granted hereby or to enable the Security Trustee to exercise and enforce its
      rights and remedies hereunder with respect to any Collateral (but any failure
      to
      request or assure that the Grantor execute and deliver such instrument or
      documents or to take such action shall not affect or impair the validity,
      sufficiency or enforceability of this Agreement and the Security Interest,
      regardless of whether any such item was or was not executed and delivered or
      action taken in a similar context or on a prior occasion). Without limiting
      the
      generality of the foregoing, the Grantor will, promptly and from time to time
      at
      the request of the Security Trustee: (i) mark, or permit the Security Trustee
      to
      mark, conspicuously its books, records, and accounts showing or dealing with
      the
      Collateral, and each item of Chattel Paper included in the Collateral, with
      a
      legend, in form and substance satisfactory to the Security Trustee, indicating
      that each such item of Collateral and each such item of Chattel Paper is subject
      to the Security Interest granted hereby; (ii) deliver and pledge to the Security
      Trustee, all 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Instruments
      and Documents, duly indorsed or accompanied by duly executed instruments of
      transfer or assignment, with full recourse to the Grantor, all in form and
      substance satisfactory to the Security Trustee; (iii) execute and file such
      Financing Statements or continuation statements in respect thereof, or
      amendments thereto, and such other instruments or notices (including fixture
      filings with any necessary legal descriptions as to any goods included in the
      Collateral which the Security Trustee determines might be deemed to be fixtures,
      and instruments and notices with respect to vehicle titles), as may be necessary
      or desirable, or as the Security Trustee may request, in order to perfect,
      preserve, and enhance the Security Interest granted or purported to be granted
      hereby; and (iv) obtain waivers, in form satisfactory to the Security Trustee,
      of any claim to any Collateral from any landlords or mortgagees of any property
      where any Inventory or Equipment is located.

    

    8
      (b)
      The
      Grantor hereby authorizes the Security Trustee to file one or more Financing
      Statements or continuation statements in respect thereof, and amendments
      thereto, relating to all or any part of the Collateral without the signature
      of
      the Grantor where permitted by law. A photocopy or other reproduction of this
      Agreement or any Financing Statement covering the Collateral or any part thereof
      shall be sufficient as a Financing Statement where permitted by
      law.

    

    8
      (c)
      The
      Grantor will furnish to the Security Trustee from time to time statements and
      schedules further identifying and describing the Collateral and such other
      reports in connection with the Collateral as the Security Trustee may reasonably
      request, all in reasonable detail and in form and substance reasonably
      satisfactory to the Security Trustee.

    

    8
      (d)
      In
      furtherance, and not in limitation, of the other rights, powers and remedies
      granted to the Security Trustee in this Agreement, the Grantor hereby appoints
      the Security Trustee the Grantor’s attorney-in-fact, with full authority in the
      place and stead of Grantor and in the name of Grantor or otherwise, from time
      to
      time in the Security Trustee’s good faith discretion, to take any action
      (including the right to collect on any Collateral) and to execute any instrument
      that the Security Trustee may reasonably believe is necessary or advisable
      to
      accomplish the purposes of this Agreement, in a manner consistent with the
      terms
      hereof.

    

    Section
      9.
      Taxes
      and Claims.
      The
      Grantor will promptly pay all taxes and other governmental charges levied or
      assessed upon or against any Collateral or upon or against the creation,
      perfection or continuance of the Security Interest, as well as all other claims
      of any kind (including claims for labor, material and supplies) against or
      with
      respect to the Collateral, except to the extent (a) such taxes, charges or
      claims are being contested in good faith by appropriate proceedings, (b) such
      proceedings do not involve any material danger of the sale, forfeiture or loss
      of any of the Collateral or any interest therein and (c) such taxes, charges
      or
      claims are adequately reserved against on the Grantor’s books in accordance with
      generally accepted accounting principles.

    

    Section
      10.
      Books
      and Records.
      The
      Grantor will keep and maintain at its own cost and expense satisfactory and
      complete records of the Collateral, including a record of all payments received
      and credits granted with respect to all Accounts , Chattel Paper and other
      items
      included in the Collateral. 

    

    Section
      11.
      Inspection,
      Reports, Verifications.
      The
      Grantor will at all reasonable times permit the Security Trustee or its
      representatives to examine or inspect any Collateral, any evidence of Collateral
      and the Grantor’s books and records concerning the Collateral, wherever located.
      The Grantor will from time to time when requested by the Security Trustee
      furnish to the Security Trustee a report on 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    its
      Accounts, Chattel Paper, General Intangibles and Instruments, naming the Account
      Debtors or other obligors thereon, the amount due and the aging thereof. The
      Security Trustee or its designee, upon 5 days prior written notice to the
      Grantor, is authorized to contact Account Debtors and other Persons obligated
      on
      any such Collateral from time to time to verify the existence, amount and/or
      terms of such Collateral.

    

    Section
      12.
      Notice
      of Loss.
      The
      Grantor will promptly notify the Security Trustee of any loss of or material
      damage to any material item of Collateral or of any substantial adverse change,
      known to Grantor, in any material item of Collateral or the prospect of payment
      or performance thereof. 

    

    Section
      13.
      Insurance.
      The
      Grantor will keep the Inventory and Equipment insured against “all risks” for
      the full replacement cost thereof subject to a deductible not exceeding US$1,000
      and with an insurance company or companies satisfactory to the Security Trustee,
      the policies to protect the Security Trustee as its interests may appear, with
      such policies or certificates with respect thereto to be delivered to the
      Security Trustee at its request. Each such policy or the certificate with
      respect thereto shall provide that such policy shall not be canceled or allowed
      to lapse unless at least 30 days prior written notice is given to the Security
      Trustee.

    

    Section
      14.
      Lawful
      Use; Fair Labor Standards Act.
      The
      Grantor will use and keep the Collateral, and will require that others use
      and
      keep the Collateral, only for lawful purposes, without violation of any federal,
      state or local law, statute or ordinance. All Inventory of the Grantor as of
      the
      date of this Agreement that was produced by the Grantor or with respect to
      which
      the Grantor performed any manufacturing or assembly process was produced by
      the
      Grantor (or such manufacturing or assembly process was conducted) in compliance
      in all material respects with all requirements of the Fair Labor Standards
      Act,
      and all Inventory produced, manufactured or assembled by the Grantor after
      the
      date of this Agreement will be so produced, manufactured or assembled, as the
      case may be. 

    

    Section
      15.
      Action
      by the Security Trustee.
      If the
      Grantor at any time fails to perform or observe any of the foregoing agreements,
      the Security Trustee shall have (and the Grantor hereby grants to the Security
      Trustee) the right, power and authority (but not the duty) to perform or observe
      such agreement on behalf and in the name, place and stead of the Grantor (or,
      at
      the Security Trustee’s option, in the Security Trustee’s name) and to take any
      and all other actions which the Security Trustee may reasonably deem necessary
      to cure or correct such failure (including, without limitation, the payment
      of
      taxes, the satisfaction of Liens, the procurement and maintenance of insurance,
      the execution of assignments, security agreements and Financing Statements,
      and
      the indorsement of instruments); and the Grantor shall thereupon pay to the
      Security Trustee on demand the amount of all monies expended and all costs
      and
      expenses (including reasonable attorneys’ fees and legal expenses) incurred by
      the Security Trustee in connection with or as a result of the performance or
      observance of such agreements or the taking of such action by the Security
      Trustee, together with interest thereon from the date expended or incurred
      at
      the highest lawful rate then applicable to any of the Obligations, and all
      such
      monies expended, costs and expenses and interest thereon shall be part of the
      Obligations secured by the Security Interest.

    

    Section
      16.
      Insurance
      Claims.
      As
      additional security for the payment and performance of the Obligations, the
      Grantor hereby assigns to the Security Trustee any and all monies (including
      proceeds of insurance and refunds of unearned premiums) due or to become due
      under, and all other rights of the Grantor with respect to, any and all policies
      of insurance now or at any time hereafter covering the Collateral or any
      evidence thereof or any business records or valuable papers pertaining thereto.
      At any time, whether before or after the occurrence of any Event of Default,
      the
      Security Trustee may (but need not), in the Security Trustee’s name or in
      Grantor’s name, execute and deliver proofs of 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

       

      claim,
        receive all such monies, indorse checks and other instruments representing
        payment of such monies, and adjust, litigate, compromise or release any claim
        against the issuer of any such policy. Notwithstanding any of the foregoing,
        so
        long as no Event of Default exists the Grantor shall be entitled to all
        insurance proceeds with respect to Equipment or Inventory provided that such
        proceeds are applied to the cost of replacement Equipment or Inventory.

    

    

    Section
      17.
      The
      Security Trustee’s Duties.
      The
      powers conferred on the Security Trustee hereunder are solely to protect its
      interest and the interests of the Debentureholders in the Collateral and shall
      not impose any duty upon it to exercise any such powers. Except
      for (a) the safe custody of any Collateral in its possession, (b) the accounting
      for monies actually received by it hereunder, (c) filing the Financing
      Statement(s) contemplated in Section 8(b) hereof, (d) subordinating its
      interest in accounts receivable as contemplated in Section 4 and (e) any duty
      expressly imposed on the Security Trustee by applicable Laws with respect to
      any
      Collateral that has not been waived by the Grantor hereunder, the Security
      Trustee shall have no duty with respect to any Collateral and no implied duties
      or obligations shall be read into this Agreement against the Security Trustee.
      Without limiting the generality of the foregoing, the Security
      Trustee shall have no duty, as to any Collateral, for (i) ascertaining or taking
      action with respect to calls, conversions, exchanges, maturities, tenders or
      other matters relative to any Collateral, (ii) taking
      any necessary steps to preserve rights against any parties with respect to
      any
      Collateral or (iii) taking any action to protect against any diminution in
      value
      of the Collateral, whether
      or not the Security Trustee has or is deemed to have knowledge of such matters,
      or as to the taking of any necessary steps to preserve rights against any
      Persons or any other rights pertaining to any Collateral
      but, in
      each case, the Security Trustee may do so and all expenses reasonably incurred
      in connection therewith shall be part of the Obligations
      The
      Security Trustee shall be deemed to have exercised reasonable care in the
      safekeeping of any Collateral in its possession if such Collateral is accorded
      treatment substantially equal to the safekeeping which the Security Trustee
      accords its own property of like kind. The Security Trustee will take action
      in
      the nature of exchanges, conversions, redemptions, tenders and the like
      requested in writing by the Grantor with respect to the Collateral in the
      Security Trustee’s possession if the Security Trustee in its reasonable judgment
      determines that such action will not impair the Security Interest or the value
      of the Collateral, but a failure of the Security Trustee to comply with any
      such
      request shall not of itself be deemed a failure to exercise reasonable care.
      

    

    Section
      18.
      Default.
      Each of
      the events described as an event of default under Section 7.1 of the Indenture
      shall be an “Event of Default” under this Agreement. 

    

    Section
      19.
      Remedies
      on Default.
      Without
      limiting its rights and remedies as Debenture Trustee under Article 7 of the
      Indenture, upon the occurrence of an Event of Default and at any time
      thereafter: 

    

    19
      (a)
      The
      Security Trustee may exercise and enforce any and all rights and remedies
      available upon default to a secured party under the Uniform Commercial
      Code.

    

    19
      (b)
      The
      Security Trustee shall have the right to enter upon and into and take possession
      of all or such part or parts of the properties of the Grantor, including lands,
      plants, buildings, Equipment, Inventory and other property as may be necessary
      or appropriate in the judgment of the Security Trustee to permit or enable
      the
      Security Trustee to manufacture, produce, process, store or sell or complete
      the
      manufacture, production, processing, storing or sale of all or any part of
      the
      Collateral, as the Security Trustee may elect, and to use and operate said
      properties for said purposes and for such length of time as the Security Trustee
      may deem 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

       

          necessary
        or
        appropriate for said purposes without the payment of any compensation to
        Grantor
        therefor. The Security Trustee may require the Grantor to, and the Grantor
        hereby agrees that it will, at its expense and upon  request of the Security
        Trustee
        forthwith, assemble all or part of the Collateral as directed by the Security
        Trustee and make it available to the Security Trustee at a place or places
        to be
        designated by the Security Trustee. 

    

    

    19
      (c)
      Any
      sale of Collateral may be in one or more parcels at public or private sale,
      at
      any of the Security Trustee’s offices or elsewhere, for cash, on credit, or for
      future delivery, and upon such other terms as the Security Trustee may
      reasonably believe are commercially reasonable. The Security Trustee shall
      not
      be obligated to make any sale of Collateral regardless of notice of sale having
      been given, and the Security Trustee may adjourn any public or private sale
      from
      time to time by announcement made at the time and place fixed therefor, and
      such
      sale may, without further notice, be made at the time and place to which it
      was
      so adjourned. 

    

    19
      (d)
      The
      Security Trustee is hereby granted a license or other right to use, without
      charge, all of the Grantor’s property, including, without limitation, all of the
      Grantor’s labels, trademarks, copyrights, patents and advertising matter, or any
      property of a similar nature, as it pertains to the Collateral, in completing
      production of, advertising for sale and selling any Collateral, and the
      Grantor’s rights under all licenses and all franchise agreements shall inure to
      the Security Trustee’s benefit until the Obligations are paid in
      full.

    

    19
      (e)
      If
      notice to the Grantor of any intended disposition of Collateral or any other
      intended action is required by law in a particular instance, such notice shall
      be deemed commercially reasonable if given in the manner specified for the
      giving of notice in Section 24
      hereof
      at least ten calendar days prior to the date of intended disposition or other
      action, and the Security Trustee may exercise or enforce any and all other
      rights or remedies available by law or agreement against the Collateral, against
      the Grantor, or against any other Person or property.

    

    Section
      20.
      Remedies
      as to Certain Rights to Payment.
      Upon
      the occurrence of an Event of Default and at any time thereafter the Security
      Trustee may notify any Account Debtor or other Person obligated on any Accounts
      or other Collateral that the same have been assigned or transferred to the
      Security Trustee and that the same should be performed as requested by, or
      paid
      directly to, the Security Trustee, as the case may be. The Grantor shall join
      in
      giving such notice, if the Security Trustee so requests. The Security Trustee
      may, in the Security Trustee’s name or in the Grantor’s name, demand, sue for,
      collect or receive any money or property at any time payable or receivable
      on
      account of, or securing, any such Collateral or grant any extension to, make
      any
      compromise or settlement with or otherwise agree to waive, modify, amend or
      change the obligation of any such Account Debtor or other Person. If any
      payments on any such Collateral are received by the Grantor after an Event
      of
      Default has occurred, such payments shall be held in trust by the Grantor as
      the
      property of the Security Trustee and shall not be commingled with any funds
      or
      property of the Grantor and shall be forthwith remitted to the Security Trustee
      for application on the Obligations.

    

    Section
      21.
      Application
      of Proceeds.
      Without
      limiting its rights and remedies as Debenture Trustee under Article 7 of the
      Indenture, all cash proceeds received by the Security Trustee in respect of
      any
      sale of, collection from, or other realization upon all or any part of the
      Collateral may, in the discretion of the Security Trustee, be held by the
      Security Trustee as collateral for, or then or at any time thereafter be applied
      in whole or in part by the Security Trustee against, all or any part of the
      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    Obligations
      (including, without limitation, any expenses of the Security Trustee payable
      pursuant to Section 22
      hereof).

    

    Section
      22.
      Costs
      and Expenses; Indemnity.
      The
      Grantor will pay or reimburse the Security Trustee on demand for all
      out-of-pocket expenses (including in each case all filing and recording fees
      and
      taxes and all reasonable fees and expenses of counsel and of any experts and
      agents) incurred by the Security Trustee in connection with the creation,
      perfection, protection, satisfaction, foreclosure or enforcement of the Security
      Interest and the preparation, administration, continuance, amendment or
      enforcement of this Agreement, and all such costs and expenses shall be part
      of
      the Obligations secured by the Security Interest. The Grantor shall indemnify
      and hold the Security Trustee harmless from and against any and all claims,
      losses and liabilities (including reasonable attorneys’ fees) growing out of or
      resulting from this Agreement and the Security Interest hereby created
      (including enforcement of this Agreement) or the Security Trustee’s actions
      pursuant hereto, except claims, losses or liabilities resulting from the
      Security Trustee’s gross negligence or willful misconduct as determined by a
      final judgment of a court of competent jurisdiction. Any liability of the
      Grantor to indemnify and hold the Security Trustee harmless pursuant to the
      preceding sentence shall be part of the Obligations secured by the Security
      Interest. The obligations of the Grantor under this Section shall survive any
      termination of this Agreement.

    

    Section
      23.
      Waivers;
      Remedies; Marshalling.
      This
      Agreement can be waived, modified, amended, terminated or discharged, and the
      Security Interest can be released, only explicitly in a writing signed by the
      Security Trustee. A waiver so signed shall be effective only in the specific
      instance and for the specific purpose given. Mere delay or failure to act shall
      not preclude the exercise or enforcement of any rights and remedies available
      to
      the Security Trustee. All rights and remedies of the Security Trustee shall
      be
      cumulative and may be exercised singly in any order or sequence, or
      concurrently, at the Security Trustee’s option, and the exercise or enforcement
      of any such right or remedy shall neither be a condition to nor bar the exercise
      or enforcement of any other. The Grantor hereby waives all requirements of
      law,
      if any, relating to the marshalling of assets which would be applicable in
      connection with the enforcement by the Security Trustee of its remedies
      hereunder, absent this waiver. 

    

    Section
      24.
      Notices.
      Any
      notice or other communication to any party in connection with this Agreement
      shall be in writing and shall be sent by manual delivery, telegram, telex,
      facsimile transmission, overnight courier or United States mail (postage
      prepaid) addressed to such party at the address specified on the signature
      page
      hereof, or at such other address as such party shall have specified to the
      other
      party hereto in writing. All periods of notice shall be measured from the date
      of delivery thereof if manually delivered, from the date of sending thereof
      if
      sent by telegram, telex or facsimile transmission, from the first business
      day
      after the date of sending if sent by overnight courier, or from four days after
      the date of mailing if mailed.

    

    Section
      25.
      Grantor
      Acknowledgments.
      The
      Grantor hereby acknowledges that (a) it has been advised by counsel in the
      negotiation, execution and delivery of this Agreement, (b) the Security Trustee
      has no fiduciary relationship to the Grantor, the relationship being solely
      that
      of debtor and creditor, and (c) no joint venture exists between the Grantor
      and
      the Security Trustee.

    

    Section
      26.
      Continuing
      Security Interest.
      This
      Agreement shall (a) create a continuing security interest in the Collateral
      and
      shall remain in full force and effect until payment in full of the Obligations
      and the expiration of the obligations, if any, of the Security Trustee to extend
      credit accommodations to the Grantor, (b) be binding upon the Grantor, its
      successors and assigns, and (c) inure to the benefit of, and be enforceable
      by,
      the Security Trustee and its successors, transferees, and assigns. 

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Section
      27.
      Termination
      of Security Interest.
      Upon
      payment in full of the Obligations and the expiration of any obligation of
      the
      Security Trustee to extend credit accommodations to the Grantor, the Security
      Interest granted hereby shall terminate. Upon any such termination, the Security
      Trustee will return to the Grantor such of the Collateral then in the possession
      of the Security Trustee as shall not have been sold or otherwise applied
      pursuant to the terms hereof and execute and deliver to the Grantor such
      documents as the Grantor shall reasonably request to evidence such termination.
      Any reversion or return of Collateral upon termination of this Agreement and
      any
      instruments of transfer or termination shall be at the expense of the Grantor
      and shall be without warranty by, or recourse on, the Security Trustee. As
      used
      in this Section, “Grantor” includes any assigns of Grantor, any Person holding a
      subordinate security interest in any of the Collateral or whoever else may
      be
      lawfully entitled to any part of the Collateral.

    

    Section
      28.
      Governing
      Law and Construction.
      THE VALIDITY, CONSTRUCTION AND ENFORCEABILITY OF THIS AGREEMENT SHALL BE
      GOVERNED BY THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO CONFLICT
      OF LAWS PRINCIPLES THEREOF, EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION
      OF THE SECURITY INTEREST HEREUNDER, OR REMEDIES HEREUNDER, IN RESPECT OF ANY
      PARTICULAR COLLATERAL ARE MANDATORILY GOVERNED BY THE LAWS OF A JURISDICTION
      OTHER THAN THE STATE OF NEW YORK.
      Whenever
      possible, each provision of this Agreement and any other statement, instrument
      or transaction contemplated hereby or relating hereto shall be interpreted
      in
      such manner as to be effective and valid under such applicable law, but, if
      any
      provision of this Agreement or any other statement, instrument or transaction
      contemplated hereby or relating hereto shall be held to be prohibited or invalid
      under such applicable law, such provision shall be ineffective only to the
      extent of such prohibition or invalidity, without invalidating the remainder
      of
      such provision or the remaining provisions of this Agreement or any other
      statement, instrument or transaction contemplated hereby or relating
      hereto.

    

       Section
      29.
      Consent
      to Jurisdiction.
      AT THE OPTION OF THE SECURED PARTY, THIS AGREEMENT MAY BE ENFORCED IN ANY
      FEDERAL COURT OR NEW YORK STATE COURT SITTING IN NEW YORK CITY, NEW YORK; AND
      THE GRANTOR CONSENTS TO THE JURISDICTION AND VENUE OF ANY SUCH COURT AND WAIVES
      ANY ARGUMENT THAT VENUE IN SUCH FORUMS IS NOT CONVENIENT. IN THE EVENT THE
      GRANTOR COMMENCES ANY ACTION IN ANOTHER JURISDICTION OR VENUE UNDER ANY TORT
      OR
      CONTRACT THEORY ARISING DIRECTLY OR INDIRECTLY FROM THE RELATIONSHIP CREATED
      BY
      THIS AGREEMENT, THE SECURED PARTY AT ITS OPTION SHALL BE ENTITLED TO HAVE THE
      CASE TRANSFERRED TO ONE OF THE JURISDICTIONS AND VENUES ABOVE-DESCRIBED, OR
      IF
      SUCH TRANSFER CANNOT BE ACCOMPLISHED UNDER APPLICABLE LAW, TO HAVE SUCH CASE
      DISMISSED WITHOUT PREJUDICE.

    

    Section
      30.
      Waiver
      of Notice and Hearing.
      THE GRANTOR HEREBY WAIVES ALL RIGHTS TO A JUDICIAL HEARING OF ANY KIND PRIOR
      TO
      THE EXERCISE BY THE SECURED PARTY OF ITS RIGHTS TO POSSESSION OF THE COLLATERAL
      WITHOUT JUDICIAL PROCESS OR OF ITS RIGHTS TO REPLEVY, ATTACH, OR LEVY UPON
      THE
      COLLATERAL WITHOUT PRIOR NOTICE OR HEARING. THE GRANTOR ACKNOWLEDGES THAT IT
      HAS
      BEEN ADVISED BY COUNSEL OF ITS CHOICE WITH RESPECT TO THIS PROVISION AND THIS
      AGREEMENT.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
 

    Section
      31. Waiver
      of Jury Trial.
      EACH OF THE GRANTOR AND THE SECURED PARTY, BY ITS ACCEPTANCE OF THIS AGREEMENT,
      IRREVOCABLY WAIVES 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.

    

    Section
      32.
      Counterparts.
      This
      Agreement may be executed in any number of counterparts, each of which when
      so
      executed and delivered shall be deemed an original, but all such counterparts
      together shall constitute but one and the same instrument.

    

    Section
      33.
      General.
      All
      representations and warranties contained in this Agreement or in any other
      agreement between the Grantor and the Security Trustee shall survive the
      execution, delivery and performance of this Agreement and the creation and
      payment of the Obligations. The Grantor waives notice of the acceptance of
      this
      Agreement by the Security Trustee. Captions in this Agreement are for reference
      and convenience only and shall not affect the interpretation or meaning of
      any
      provision of this Agreement.

    

    IN
      WITNESS WHEREOF, the Grantor has caused this Agreement to be duly executed
      and
      delivered by its officer thereunto duly authorized as of the date first above
      written.

    

    RED
      MILE ENTERTAINMENT, INC. 

    

    By
      ___________________________ 

    

    Title
      __________________________ 

    Address
      for Grantor:

    

    4000
      Bridgeway, Suite 101, 

    Sausalito,
      California 94965

    Fax
      

    

    Grantor’s
      Tax ID # 20-4441647

    

    

    Address
      for the Security Trustee:

    Olympia
      Trust Company

    2300,
      125
      - 9th
      Avenue
      S.E.

    Calgary,
      Alberta T2G OP6

    Fax
      (403)
      265-1455

    

    

    
      
        
          

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

    SCHEDULE
      I 

    to

    Security
      Agreement

     

    

    Locations
      of Equipment and Inventory as of September 30, 2006:

    

    Raw
      Materials: $53,789.79 at warehouse of Lixivian Corporation in
      Minnesota;

    Finished
      Goods: $15,899.13 at warehouse of Lixivian Corporation in
      Minnesota;

    Raw
      Materials and Finished Goods: $40,000 at warehouse of Zomax Corp. in
      Minnesota.

    

    

    Lixivian
      Corporation is a third party manufacturer of PC Games; Their offices are located
      at the following:

    

    153
      East
      Lake Street

    Wayzata,
      MN 55391

    

    Zomax
      Corp. is a third party manufacturer of PC Games; Their offices are located
      at
      the following:

    

    5353
      Nathan Lane

    Plymouth,
      MN 55442

    

    

    

    

    

    

    

    

    

    
      
        
          

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

    SCHEDULE
      II 

    to

    Security
      Agreement

    

    

    Trade
      Names and Trade Styles

    

    

    

    Red
      Mile’s sole registered trademark is the Red Mile Entertainment, Inc. name.

    

    

    

    

    
      
        
          

        

        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

    

    (Suggested
      Exhibit for Financing Statement.

    NOT
      PART OF THE SECURITY AGREEMENT.)

    

    EXHIBIT
      A

    TO
      FINANCING STATEMENT

    

    

      
        	
                Debtor:

              	
                Red
                  Mile Entertainment, Inc.

              
	 	
                4000
                  Bridgeway, Suite 101, 

              
	 	
                Sausalito,
                  California 94965

              
	 	 
	
                Security
                  Trustee:

              	
                Olympia
                  Trust Company

              
	 	
                2300,
                  125 - 9th
                  Avenue S.E.

              
	 	
                Calgary,
                  Alberta T2G OP6

              

      

    

    

    This
      Financing Statement covers the following types (or items) of
      property:

    

    All
      of
      the Debtor’s right, title, and interest in and to the following, whether now or
      hereafter owned, existing, arising or acquired and wherever
      located:

    

    All
      Accounts

    

    All
      Chattel Paper

    

    All
      Documents

    

    All
      Equipment

    

    All
      General Intangibles

    

    All
      Instruments

    

    All
      Inventory

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    To
      the
      extent not otherwise included in the foregoing, (i) all other rights to the
      payment of money, including rents and other sums payable to the Debtor under
      leases, rental agreements and other Chattel Paper and insurance proceeds; (ii)
      all books, correspondence, credit files, records, invoices, bills of lading,
      and
      other documents relating to any of the foregoing, including, without limitation,
      all tapes, cards, disks, computer software, computer runs, and other papers
      and
      documents in the possession or control of the Debtor or any computer bureau
      from
      time to time acting for the Debtor; (iii) all rights in, to and under all
      policies insuring the life of any officer, director, stockholder or employee
      of
      the Debtor, the proceeds of which are payable to the Debtor; and (iv) all
      accessions and additions to, parts and appurtenances of, substitutions for
      and
      replacements of any of the foregoing

    

    To
      the
      extent not otherwise included, all proceeds and products of any and all of
      the
      foregoing.

    

    Debtor
      is
      permitted to factor its accounts receivable so long as the same are sold in
      the
      ordinary course of business at the fair market value thereof. Accounts
      receivable factored as aforesaid shall automatically, without any further act
      or
      deed, be released from the security interest evidenced by this financing
      statement.

    

    Debtor
      is
      permitted to grant to a commercial bank, financial institution or other lenders
      a security interest in its accounts receivable and the Secured Party’s security
      interest in such accounts receivable shall be subordinate to such creditor’s
      security interest in such accounts receivable.

    

    DEFINED
      TERMS

    

    As
      used
      in this Financing Statement, the following terms shall have the meanings
      indicated:

    

    “Account”
shall
      mean the rights of the Debtor to payment for goods sold or leased or for
      services rendered which is not evidenced by an Instrument or Chattel Paper,
      whether or not such right has been earned by performance, all guaranties and
      security therefor, and all interests in the goods the sale or lease of which
      gave rise thereto, including the right to stop such goods in
      transit.

    

    “Chattel
      Paper”
shall
      mean a writing or writings which evidence both a monetary obligation and a
      security interest in or lease of specific goods; when a transaction is evidenced
      by both a security agreement or a lease and by an Instrument or a series of
      Instruments, the group of writings taken together constitutes Chattel
      Paper.

    

    “Document”
shall
      mean any bill of lading, dock warrant, dock receipt, warehouse receipt or order
      for the delivery of goods, together with any other document or receipt which
      in
      the regular course of business or financing is treated as adequately evidencing
      that the Person in possession of it is entitled to receive, hold and dispose
      of
      the document and the goods it covers.

    

    “Equipment”
shall
      mean all machinery, equipment, furniture, furnishings and fixtures, including
      all accessions, accessories and attachments thereto, and any guaranties,
      warranties, indemnities and other agreements of manufacturers, vendors and
      others with respect to such Equipment.

    

    “General
      Intangibles”
shall
      mean any personal property (other than goods, Accounts, Chattel Paper,
      Documents, Instruments and money) including choses in action, causes of action,
      contract rights, corporate and other business records, inventions, designs,
      patents, patent applications, service marks, trademarks, tradenames, trade
      secrets, engineering drawings, good will, registrations, copyrights, licenses,
      franchises, customer lists, tax refund claims, royalties, licensing and product
      rights, rights to the retrieval

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    from
      third parties of electronically processed and recorded data and all rights
      to
      payment resulting from an order of any court.

    

    “Instrument”
shall
      mean a draft, check, certificate of deposit, note, bill of exchange, security
      or
      any other writing which evidences a right to the payment of money and is not
      itself a security agreement or lease and is of a type which is transferred
      in
      the ordinary course of business by delivery with any necessary endorsement
      or
      assignment.

    

    “Inventory”
shall
      mean any and all goods owned or held by or for the account of the Debtor for
      sale or lease, or for furnishing under a contract of service, or as raw
      materials, work in process, materials incorporated in or consumed in the
      production of any of the foregoing and supplies, in each case wherever the
      same
      shall be located, whether in transit, on consignment, in retail outlets,
      warehouses, terminals or otherwise, and all property the sale, lease or other
      disposition of which has given rise to an Account and which has been returned
      to
      the Debtor or repossessed by the Debtor or stopped in transit.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}]]