Document:

SEVERANCE AGREEMENT AND GENERAL RELEASE

This Severance Agreement and Release of All Claims (hereinafter "Agreement") is
made and entered into as of the latest of the dates set forth below by and
between, Modavox, Inc., a corporation organized under the laws of the state of
Delaware (hereinafter referred to as "Employer"), and Eric Schedeler
(hereinafter referred to as "Employee").

Recitals

Whereas Employee has been employed by the Employer as its President and has
served as a Director of Employer.

Whereas Employee has executed a resignation letter attached hereto as Exhibit A
indicating that Employee's employment and any other duties with Employer,
including his position on Employer's Board of Directors, have terminated as of
August 31, 2005 ("Cessation Date"); and

Whereas, the parties, in order to settle and compromise fully and finally any
and all claims and potential claims arising out of Employee's employment and the
cessation thereof, have agreed to resolve these matters on the terms and
conditions set forth herein.

Now, therefore, in consideration of the mutual promises and covenants contained
herein, the parties agree as follows:

1.    Recitals. The recitals set forth above are true, accurate, and correct,
      and are incorporated in this Agreement by this reference and made a
      material part of this Agreement.

2.    Consideration.

      a.    Employee hereby enters into a Severance Agreement and Mutual
            Release. In consideration for the execution of this Agreement,
            Employee will receive consideration of $4,500 per month for a period
            of six months commencing upon execution of this Agreement with such
            payments due no later than the 15th of each month. Employee hereby
            acknowledges that the Employment Agreement set forth on Exhibit B is
            cancelled and of no further force and effect,

      b.    By November 1, 2005 Employee will receive 115,789 shares of
            Employer's common stock based upon a value of $44,000. This value is
            calculated by dividing $44,000 by the average price of Employer's
            common stock for the 10 days preceding today's date, with the
            parties agreeing that the average price for such 10-day period is
            $0.38. Employer agrees that it will file an S-8 Registration
            Statement by December 15, 2005 that includes the registration of the
            foregoing 115,789 shares.

      c.    The Parties hereto acknowledge that, as of the date of this
            Agreement, Employee holds the options to purchase common stock of
            Employer (the "Options"), as set forth on Exhibit C and registration
            rights set forth on Exhibit D. Employee hereby acknowledges that (i)
            (A) upon satisfaction of the conditions specified in Sections 2.a.
            and 2.b. above, the Option Agreement set forth on Exhibit C is
            hereby amended to provide for the issuance of an option to purchase
            1,000,000 shares of Employer's common stock rather than 1,500,000
            shares of Employer's common stock, (B) during the six-month period
            specified in Section 2.a. Employee's right to exercise the foregoing
            option is limited to 1,000,000 shares, and (C) subject to the
            foregoing conditions, the amendment to the Option Agreement set
<PAGE>

            forth on Exhibit E is in full force and effect; and (ii) (A) the
            Registration Rights Agreement set forth on Exhibit D is hereby
            amended to provide for tag along registration rights (tagged to the
            registration rights contained in the Registration Rights Agreements
            entered into with Hubert Glover and Jay Stulberg dated as of June 8,
            2005) rather than demand rights, and that upon execution of this
            Agreement, and (B) the amendment to Registration Rights Agreement
            set forth on Exhibit F is in full force and effect,. Despite
            anything contained therein, the Options set for on Exhibit C may be
            exercised by Employee within 10 years of the Cessation Date or
            cancelled pursuant to their terms.

3.    Adequate Consideration. Employee acknowledges and agrees that the
      consideration to Employee set forth in Paragraph 2 (including
      Subparagraphs) of this Agreement is in addition to anything of value to
      which Employee is, as a matter of law, otherwise entitled. Employee
      represents and agrees that he is not entitled to and shall not receive any
      further compensation, including salary, bonuses, vacation pay, or employee
      benefits after the Cessation Date.

4.    Mutual Release. In consideration of this Agreement (including in the case
      of Employee receipt of the severance package set forth in Paragraph 2 of
      this Agreement), each party (for that party and that party's past and
      present officers, directors, stockholders, subsidiaries, affiliates,
      agents, employees, representatives, administrators, spouses, heirs,
      estates, successors, and assigns) hereby fully, forever, irrevocably, and
      unconditionally releases and discharges the other party, including the
      other party's past and present officers, directors, stockholders,
      subsidiaries, affiliates, agents, employees, representatives, lawyers,
      administrators, spouses, and all persons acting by, through, under, or in
      concert with them (collectively, the "Released Parties"), from any and all
      claims or damages which he may have against them, or any of them, which
      could have arisen out of any act or omission occurring from the beginning
      of time to the effective date of this Agreement, whether now known or
      unknown, asserted or unasserted except for this Agreement. This release
      includes, but is not limited to, any and all claims under Title VII of the
      Civil Rights Act of 1964, as amended; the Age Discrimination in Employment
      Act of 1967, as amended; the Americans with Disabilities Act; the Fair
      Labor Standards Act, as amended; the Arizona Civil Rights Act; or under
      any other provision or theory of law, both in tort and in contract, and
      whether statutory or under the common law.

5.    Covenant Not to Sue. Employee warrants that he has no pending complaints,
      charges, or claims for relief against the Released Parties with any local,
      state, or federal court or administrative agency. Employee understands and
      agrees that this Agreement may be pled as a complete bar to any action or
      suit before any administrative body or court with respect to any
      complaint, charge, or claim under federal, state, local, or other law
      relating to any possible claim that existed or may have existed against
      the Released Parties arising out of any event except for this Agreement
      occurring from the beginning of time through the effective date of this
      Agreement, the Company, at its option, may require Employee to pay
      Employer the sum total of all payments made pursuant to this Agreement.
<PAGE>

6.    Duty to Cooperate. Employee agrees to cooperate with Employer and its
      attorneys in connection with any threatened or pending litigation against
      Employer, and shall make himself available upon reasonable notice to
      prepare for and appear at deposition or at trial in connection with any
      such matters, provided that Employer and Employee are not adverse parties
      in any such litigation. Employer shall reimburse Employee for his
      reasonable out-of-pocket expenses in connection with his activities under
      this Section.

7.    Non-Disparagement. The parties each agree that neither that party nor
      anyone acting on that party's behalf will make any derogatory or
      disparaging statements about the other party. For purposes of this
      Agreement, the term "party" shall include a party's past and present
      officers and directors, or, where such party is an individual, that
      individual.

8.    Preservation of Company Confidential Information. Employee acknowledges
      that, during the course of his employment with Employer, he had access to,
      and became familiar with, information concerning Employer that Employer
      deems confidential, in that said information is non-public information
      which, if it became or were made public, might be disadvantageous to
      Employer. Such information includes, but is not limited to, employee
      information, business plans, financial matters, operational matters,
      corporate strategies, and the like. As a material inducement to cause
      Employer to enter into this Agreement, Employee agrees that he will not
      disclose to any third party, either directly or indirectly, any such
      confidential information. 9. Return of Company Property. Simultaneously
      with his tender of this Agreement, bearing his signature, to Employer,
      Employee shall return to Employer all Employer property in his actual or
      constructive possession with the exception of his HP Laptop which Employee
      will retain.

10.   Consultation with an Attorney. Employee specifically understands and
      acknowledges that the Age Discrimination in Employment Act of 1967, as
      amended, provides Employee the right to bring a claim against Employer if
      Employee believes that he has been discriminated against on the basis of
      age. Employee understands the rights afforded under this Act and agrees
      that he will not file any claim or action against Employer and/or Released
      Parties and waives any rights to assert a claim for relief available under
      this Act against Employer and/or Released Parties, including, but not
      limited to, back pay, front pay, attorneys' fees, damages, reinstatement,
      or injunctive relief. Employer has advised Employee to consult with an
      attorney of his choosing prior to executing this Agreement. Employee
      represents and agrees that he has thoroughly discussed all aspects of his
      rights and this Agreement, including his waiver of claims under the Age
      Discrimination in Employment Act, with an attorney, to the extent he
      wished to do so.
<PAGE>

11.   Review. Employee has been advised that he has ten (10) days from the date
      he is presented with this Agreement to consider this Agreement. If
      Employee executes this Agreement before the expiration of ten (10) days,
      he acknowledges that he has done so for the purpose of expediting the
      payment of severance benefits, and that he has expressly waived his right
      to take ten (10) days to consider this Agreement.

12.   Revocation. Employee may revoke this Agreement for a period of seven (7)
      days after he signs it. Employee agrees that if he elects to revoke this
      Agreement, he will notify Employer in writing, via certified mail, on or
      before the expiration of the revocation period. Receipt of proper and
      timely notice of revocation by Employer cancels and voids this Agreement.
      Provided that Employee does not provide notice of revocation, this
      Agreement will become effective upon expiration of the revocation period.

13.   Confidentiality. Employee agrees that he will keep the terms and fact of
      this Agreement confidential. He will not disclose the existence of this
      Agreement or any of its terms to anyone except his immediate family,
      attorneys or accountants, unless required by law.

14.   Amendment. This Agreement shall be binding upon the parties and may not be
      amended, supplemented, changed, or modified in any manner, orally or
      otherwise, except by an instrument in writing or concurrent or subsequent
      date signed by the parties.

15.   Entire Agreement. This Agreement may be executed in one or more
      counterparts, each of which, when executed, will be deemed an original.
      This Agreement contains and constitutes the entire understanding and
      agreement between the parties hereto with respect to the subject matter
      hereof, and, except as otherwise provided herein, cancels all prior or
      contemporaneous oral or written understandings, negotiations, agreements,
      commitments, representations, and promises in connection herewith.

16.   Choice of Law. This Agreement shall be governed by and construed in
      accordance with the laws of the state of Arizona.

17.   Severability. Should any provisions in this Agreement be declared or
      determined by any court to be illegal or invalid, the validity of the
      remaining parts, terms, or provisions shall not be affected, and the
      illegal or invalid part, term, or provision shall be deemed not to be part
      of this Agreement.

18.   Effect of this Agreement. It is expressly understood and agreed that this
      Agreement shall not in any way be construed at any time or for any purpose
      as an admission by the parties that either of them has acted wrongfully
      with respect to the other. The employment agreement dated June 14, 2005
      between Employer and Employee shall be of no force and effect.

19.   Attorneys' Fees. Should any legal action be commenced arising out of this
      Agreement, the prevailing party in any such action shall be entitled to an
      award of attorneys' fees incurred therein.

20.   Mutual Cooperation. The parties will cooperate in the execution of any
      further documentation required to effectuate the purposes of this
      Agreement or in connection with Employee's prior service as a director,
      officer or in his capacity as a stockholder.
<PAGE>

      By signing below, the parties acknowledge that they have carefully read
      and fully understand all of the provisions of this Agreement and that they
      are voluntarily entering into this Agreement.

      Modavox, Inc.

      ------------------------------          ------------------------------
      David J. Ide                            Eric Schedeler
      Chief Executive Officer                 Employee
      Dated:________________________          Dated:________________________EMPLOYMENT AGREEMENT

      This Employment Agreement, by and between MODAVOX, INC., a Delaware
corporation ("Modavox") and David Ide ("Ide"), dated as of October 15, 2005, is
effective as of the date hereof (the "Effective Date"). Modavox and Ide are
sometimes referred to individually as the "Party" and collectively as the
"Parties."

      In consideration of the mutual benefits to be derived from this Agreement
and of the representations, warranties, conditions and promises hereinafter
contained, the Parties hereby agree as follows:

1.    ENGAGEMENT.

      1.1   EMPLOYMENT TERM. Modavox will employ Ide and Ide will accept such
            employment, for a period commencing on the Effective Date and ending
            on October 15, 2008 (the "Term"), unless sooner terminated under the
            circumstances set forth in Sections 6 and 8 below.

      1.2   DUTIES AND RESPONSIBILITIES. During the Term and any extensions
            thereof, Modavox will employ Ide as "Chief Executive Officer",
            reporting directly to the Board of Directors. During the Term, Ide
            will render exclusive services to Modavox and devote his full time,
            effort and energies during business hours to his responsibilities
            for Modavox, and faithfully and to the best of his ability discharge
            those duties.

      1.3   LOCATION. Ide's services for Modavox will be based at Modavox's
            headquarters in Phoenix, Arizona unless otherwise approved by the
            Board of Directors.

2.    COMPENSATION.

      2.1   SALARY. Subject to the full and complete performance by Ide of all
            of Ide's material obligations hereunder, during the term of this
            Agreement, Modavox will pay to Ide a base salary of one hundred
            fifty thousand dollars ($150,000) per annum; provided, however, that
            upon the receipt by Modavox of aggregate proceeds, whether in the
            form of equity investment or long-term debt, exceeding one million
            five hundred thousand dollars ($1,500,000), Modavox will increase
            Ide's base salary to one hundred eighty thousand dollars ($180,000)
            per annum. Ide's salary will be payable in accordance with Modavox's
            customary payroll practices, which in no event will be less
            frequently than on a monthly basis. All salary payments made to Ide
            will be subject to such deductions, withholdings and limitations as
            will from time to time be required by law, governmental regulations
            or orders. Salary and benefits will be reviewed at least annually by
            the Board of Directors for possible increases and/or bonuses, at the
            sole discretion of the Board.
<PAGE>

      2.2   FRINGE BENEFITS. During the term of this Agreement:

            (a)   Ide will be eligible to participate, in accordance with their
                  terms, in all medical and health plans, life insurance and
                  pension plans and such other employment benefits or programs
                  that Modavox maintains for its executive employees from time
                  to time (the "Plans").

            (b)   Until Modavox establishes a medical reimbursement plan,
                  Modavox will pay the premiums associated with any medical and
                  health insurance policy comparable to the policy currently in
                  effect covering Ide and his dependents if Ide and his
                  dependents are not able to participate in Modavox's medical
                  and health plans.

      2.3   PARTICIPATION IN DEFERRED COMPENSATION AND STOCK OPTION PLANS. Ide
            shall be entitled to participate in all executive bonus plans and
            all employee qualified and non-qualified deferred compensation plans
            or supplemental income plans or programs maintained by Modavox,
            including any Section 401(k) plan adopted by Modavox, according to
            the terms and conditions thereof. Ide shall also be entitled to
            participate in all stock option and other incentive plans, according
            to the terms and conditions thereof.

      2.4   PAID VACATIONS. Ide will be entitled to paid vacation in accordance
            with Modavox's vacation policy (including, without limitation, any
            restrictions on the amount of accrued time to be paid at the
            expiration of the Term), but in no event less than four (4) weeks
            per annum.

      2.5   EXPENSES. In connection with Ide's performance of Ide's duties and
            obligations hereunder, Ide will incur certain ordinary and necessary
            expenses of a business character including, without limitation,
            travel, meals and lodging. Modavox will reimburse Ide for all such
            reasonable business expenses upon presentation of itemized
            statements therefor in accordance with Modavox's standard policies.
            With respect to business travel, Ide will be treated no less
            favorably with respect to expenses than other Modavox executives.

3.    RIGHT TO INSURE.

      Modavox will have the right to secure in its own name, or otherwise, and
      at its own expense, life, health, accident or other insurance covering Ide
      and Ide will have no right, title or interest in and to such insurance.
      Ide will assist Modavox in procuring such insurance by submitting to
      examinations and by signing such applications and other instruments as may
      be required by the insurance carriers to which application is made for any
      such insurance.

                                       2
<PAGE>

4.    FIDUCIARY OBLIGATIONS. Ide acknowledges that, as an officer of Modavox, he
      will be bound to exercise his corporate powers as a fiduciary for the
      common benefit of all of Modavox's stockholders, to wit:

      4.1   DUTY OF CARE. Ide will at all times perform his services hereunder
            honestly and in good faith, with sound business judgment using the
            level of care that a reasonably prudent person would use under the
            given circumstances to make informed decisions on Modavox's behalf.

      4.2   DUTY OF LOYALTY. IDE will at all times perform his services
            hereunder without divided loyalties or obligations to any other
            person including, without limitation, to any person who may become
            an employer of Ide following the end of the Term. Accordingly, and
            without limiting the generality of the principle set forth in the
            preceding sentence, Ide will breach this Agreement if he does the
            following:

            (a)   Without prior written notice and written consent of the Board
                  of Directors, Ide accepts employment with any business,
                  individual, partnership, corporation, trust, joint venture,
                  unincorporated association or other entity or person other
                  than Modavox at any time during the Term.

            (b)   During the Term, Ide will not become financially interested in
                  (other than as a stockholder owning less than two percent (2%)
                  of the outstanding capital stock of any publicly traded
                  corporation) or directly associated with any other business or
                  person engaged in a business that is involved in any business
                  that is competitive with Modavox's business or activities
                  without the prior written consent of Modavox.

            (c)   During the Term, Ide will not, for any reason whatsoever,
                  either alone or jointly with or on behalf of others, either
                  directly or indirectly:

                  (i)   Divert or take away, or attempt to divert or take away,
                        any of Modavox's customers or clients;

                  (ii)  Solicit the employment or engagement of, or otherwise
                        entice away from the employment of Modavox or any
                        affiliated entity, any person who is then employed by
                        Modavox or any such affiliated entity, whether or not
                        such person would commit any breach of said person's
                        contract by reason of leaving the service of Modavox or
                        any affiliated entity; or

                                       3
<PAGE>

                  (iii) Solicit the employment or engagement of any person who
                        ceased being employed by Modavox or any affiliated
                        entity, within six (6) months of Ide's solicitation.

5.    EMPLOYEE PROPRIETARY INFORMATION AND INVENTIONS AGREEMENT.

      Ide acknowledges and confirms his obligations with Modavox under the
      Employee Proprietary Information and Inventions Agreement executed by
      Modavox and Ide as of the date hereof (the "Nondisclosure Agreement").

                                       4
<PAGE>

6.    SUSPENSION/TERMINATION.

      6.1   TERMINATION WITHOUT CAUSE. Modavox will have the unilateral right,
            at any time in the Modavox Board of Directors' sole and absolute
            discretion, to terminate Ide's employment by Modavox, without cause,
            and for any reason or for no reason (Modavox's "Termination Rights")
            upon written notice to Ide. Modavox's Termination Rights are not
            limited or restricted by, and will supersede, any policy of Modavox
            requiring or favoring continued employment of its employees during
            satisfactory performance, any seniority system or any procedure
            governing the manner in which Modavox's discretion is to be
            exercised. No exercise by Modavox of its Termination Rights will,
            under any circumstances, be deemed to constitute (i) a breach by
            Modavox of any term of this Agreement, express or implied (including
            without limitation a breach of any implied covenant of good faith
            and fair dealing), (ii) a wrongful discharge of Ide or a wrongful
            termination of Ide's employment by Modavox, (iii) a wrongful
            deprivation by Modavox of Ide's office (or authority, opportunities
            or other benefits relating thereto), or injury to reputation, or
            (iv) the breach by Modavox of any other duty or obligation, express
            or implied, which Modavox may owe to Ide pursuant to any principle
            or provision of law (whether contract or tort), unless Modavox's
            determination to terminate Ide pursuant to this Section 6.1 will
            constitute a violation of any applicable federal, state or municipal
            statute, ordinance, rule or regulation, respecting which the parties
            may not contract otherwise. If Modavox elects to terminate Ide's
            employment pursuant to this Section 6.1, Modavox will have no
            obligation or liability to Ide pursuant to this Agreement except to
            pay, provided Ide executes and delivers to Modavox the Release and
            Waiver attached hereto as Exhibit A, to Ide the balance of the
            Salary due to Ide under Section 2.1 through the remainder of the
            Term, payable in accordance with Modavox's normal payroll practices,
            and a severance payment payable in one lump sum within thirty (30)
            days of Ide's termination, in an amount equal to two times Ide's
            most current annual base salary. Upon exercise of such Termination
            Right, Ide will have no further obligation to provide services to
            Modavox hereunder and Ide will be free to accept third-party
            employment.

      6.2   TERMINATION BY IDE. Ide will have the right at any time to terminate
            his employment by Modavox, subject to delivery of a letter of
            resignation providing a minimum of thirty (30) days notice. If Ide
            terminates this Agreement as provided in this Section, Modavox will
            be obligated to pay Ide only the specified salary, bonuses, fringe
            benefits, expenses and vacation accrued through the date of
            termination.

      6.3   DEATH. If Ide dies during the Term, Modavox will be obligated to pay
            to Ide's estate twelve (12) months salary in severance benefits,
            payable in twelve (12) monthly installments, unless Modavox has
            obtained, on Ide's behalf, a life insurance policy naming a
            beneficiary designated by Ide, providing for at least the same
            aggregate benefit.

                                       5
<PAGE>

      6.4   DISABILITY.

            (a)   If Ide is unable to perform fully his material obligations
                  hereunder due to a long-term disability (as defined in
                  Modavox's disability insurance policy), Modavox may terminate
                  this Agreement on or after the date that Ide receives his
                  first, periodic long-term disability payment from Modavox's
                  insurance carrier.

            (b)   If Modavox does not have a long-term disability policy
                  covering Ide, and Ide is prevented from performing fully his
                  material obligations hereunder by reason of the occurrence of
                  a long-term disability for a period of twelve (12) consecutive
                  weeks or sixteen (16) weeks in the aggregate within any given
                  six (6) calendar month period, Modavox may terminate this
                  Agreement by giving thirty (30) days prior written notice to
                  Ide and by providing a total of twelve (12) months salary in
                  severance benefits following the date of the termination
                  notice, payable in twelve (12) monthly installments. An
                  independent physician reasonably selected by Modavox will
                  determine the existence of Ide's long-term disability.

      6.5   TERMINATION FOR CAUSE. Modavox may terminate this Agreement
            immediately upon written notice to Ide for "Cause." For purposes of
            this Agreement, "Cause" means: (i) Ide's commission of a willful act
            of fraud or dishonesty, the purpose or effect of which materially
            and adversely affects Modavox; (ii) Ide's conviction of a felony
            (other than the first offense of driving under the influence
            following the date hereof) or any admission thereof (whether by plea
            of NOLO CONTENDERE or otherwise) or Ide's being determined by a
            governmental authority to have violated, or enjoined from violating,
            any federal or state securities law or; (iii) Ide's engaging in
            willful or reckless misconduct or gross negligence in connection
            with any property or activity of Modavox; or (iv) Ide's breach of
            any material covenant to Modavox relating to noncompetition,
            nonsolicitation, nondisclosure of proprietary information or
            surrender of records, inventions or patents.

            In the event of Ide's termination for Cause, Modavox is obligated to
            pay Ide only the specified salary, bonuses, fringe benefits,
            expenses and vacation accrued through the date of termination.

                                       6
<PAGE>

7.    EQUITABLE RELIEF FOR BREACH.

      Ide acknowledges that a violation of any of the provisions of Sections 4
      and 5 will cause Modavox irreparable injury and damage, the exact amount
      of which may be impossible to ascertain and that, for such reason, among
      others, Modavox will be entitled, in addition to the remedy set forth at
      Section 9, to seek injunctive relief, both PENDENT LITE and permanently,
      against Ide to restrain any further violation of such provisions. Ide
      hereby (i) consents to any initiation by Modavox in a court of competent
      jurisdiction of any action to enjoin immediately the breach of Sections 4
      and 5, and (ii) hereby releases Modavox from the requirement of posting
      any bond in connection with temporary or interlocutory injunctive relief,
      to the extent permitted by law. This provision will not, however, be
      construed as a waiver of any other rights and remedies Modavox may have
      against Ide, including, but not limited to, the recovery for damages.

8.    BREACH BY MODAVOX.

      If Modavox breaches this Agreement, Ide will give Modavox written notice
      thereof. If Modavox does not cure such breach within thirty (30) days of
      receiving written notice thereof, Ide's remedy will be limited to
      compulsory arbitration as set forth at Section 9; provided, however, the
      foregoing will not be deemed a waiver of Ide's statutory or common law
      right to discontinue rendering services hereunder in the event of a
      material breach by Modavox of this Agreement.

9.    COMPULSORY ARBITRATION.

      Except as provided in Section 7, any controversy, claim and/or dispute
      arising out of or relating to this Agreement or the breach hereof or
      subject matter hereof (including any action in tort) will be finally and
      fully settled by arbitration in Maricopa County, Arizona in accordance
      with the then-existing Commercial Arbitration Rules of the American
      Arbitration Association (the "AAA"), and judgment upon the award rendered
      by the arbitrators may be entered in any court having applicable
      jurisdiction. Written notice of demand for arbitration will be given to
      the other parties and to the AAA within six (6) months after the
      controversy, claim or dispute has arisen or be barred, and in no event
      after the date when the institution of court proceedings based on such
      dispute would be barred by the applicable statute of limitations.
      Controversies, claims and/or disputes will be resolved by one arbitrator
      selected by the mutual agreement of the parties or, failing that agreement
      within forty-five (45) days after written notice demanding arbitration, by
      the AAA. There will be limited discovery prior to the arbitration hearing
      as follows: (i) exchange of witness lists and copies of documentary
      evidence and documents related to or arising out of the issues to be
      arbitrated, and (ii) depositions of all Party witnesses. Depositions will
      be conducted in accordance with the rules or code of Civil Procedure of
      the jurisdiction in which the arbitration is conducted, and a court
      reporter will record all hearings, with such record constituting the
      official transcript of such proceedings. All decisions of the arbitrator
      will be in writing, and the arbitrator will provide reasons for the
      decision. Each party shall bear its own respective attorney's fees and
      costs in accordance with any dispute or arbitration.

                                       7
<PAGE>

10.   MISCELLANEOUS.

      10.1  OBLIGATIONS TO OTHER COMPANIES. Ide certifies that his employment
            with Modavox will not breach any existing agreement or covenant that
            Ide has signed with any other person or entity, or violate any legal
            duty that Ide owes to such other person or entity. Ide will not
            disclose to Modavox, or use on Modavox's behalf, any trade secrets
            or proprietary information belonging to any of Ide's prior employers
            or any other person or entity.

      10.2  ASSIGNMENT. This Agreement will not be assignable, in whole or in
            part, by either party without the written consent of the other
            party, except that Modavox may, without the consent of Ide, assign
            this Agreement upon the consummation of (i) a merger or
            consolidation of Modavox with any other corporation or entity or any
            other form of business combination pursuant to which the outstanding
            stock of Modavox is exchanged for cash, securities or other property
            paid, issued or caused to be issued by the surviving or acquiring
            corporation or entity; or (ii) a sale, transfer or lease by Modavox
            of all, or substantially all, of Modavox's assets.

                                       8
<PAGE>

      10.3  NOTICES. All notices and other communications required or permitted
            under this Agreement will be delivered to the parties at the address
            set forth below their respective signature blocks, or at such other
            address that they hereafter designate by notice to all other parties
            in accordance with this Section. All notices and communications will
            be deemed to be received in accordance with the following: (i) in
            the case of personal delivery, on the date of such delivery; (ii) in
            the case of facsimile transmission, on the date on which the sender
            receives confirmation by facsimile transmission that such notice was
            received by the addressee, provided that a copy of such transmission
            is additionally sent by mail as set forth in (iv) below; (iii) in
            the case of overnight air courier, on the second business day
            following the day sent, with receipt confirmed by the courier; and
            (iv) in the case of mailing by first class certified mail, postage
            prepaid, return receipt requested, on the fifth business day
            following such mailing.

      10.4  GOVERNING LAW. This Agreement will be deemed to have been executed
            in the State of Arizona and will be governed and construed as to
            both substantive and procedural matters in accordance with the laws
            of the State of Arizona, but excepting (i) any State of Arizona rule
            which would result in judicial failure to enforce the arbitration
            provisions of Section 9 hereof or any portion thereof and (ii) any
            State of Arizona rule which would result in the application of the
            law of a jurisdiction other than the State of Arizona. Any dispute
            arising from this Agreement must be filed in Maricopa County,
            Arizona.

      10.5  COMPLETE AGREEMENT. This Agreement, along with the Ide Promissory
            Note and the Nondisclosure Agreement, contains the entire agreement
            of the parties relating to the subject matter hereof and supersedes
            all prior agreements and understandings, whether written or oral,
            with respect to such subject matter, and the Parties have made no
            agreements, representations or warranties relating to the subject
            matter of this Agreement which are not set forth herein. If a
            conflict is determined to exist among any of the aforementioned
            agreements, the terms of this Agreement will control.

      10.6  AMENDMENT. This Agreement may not be amended, modified, superseded,
            canceled or terminated, and any of the matters, covenants,
            representations, warranties or conditions hereof may not be waived,
            except by written instrument executed by the Parties or, in the case
            of a waiver, by the Party to be charged with such waiver.

      10.7  COUNTERPARTS. This Agreement may be executed by any one or more of
            the Parties in any number of counterparts, each of which will be
            deemed to be an original, but all such counterparts will together
            constitute one and the same instrument.

                                       9
<PAGE>

      10.8  WAIVER. The failure of a Party to insist upon strict adherence to
            any term, condition or other provision of this Agreement will not be
            considered a waiver or deprive that Party of the right thereafter to
            insist upon strict adherence to that term or any other term,
            condition or other provision of this Agreement.

      10.9  HEADINGS. The headings of this Agreement are solely for convenience
            of reference and will not affect its interpretation.

      10.10 INDEMNITY. Modavox will indemnify and hold harmless Ide from and
            against any and all liability, costs, damages and expenses
            (including reasonable attorneys' fees and court costs) which Ide may
            sustain or suffer by reason of any third Party claim which is not
            caused by a breach by Ide hereunder.

      10.11 SEVERABILITY. If any one clause or part of this Agreement is deemed
            invalid, unenforceable or illegal by the arbitrators or court of
            competent jurisdiction, then it is severed from this Agreement and
            the rest of this Agreement remains in full force and effect. Ide
            acknowledges the uncertainty of the law in this respect and
            expressly stipulates that this Agreement be given the construction
            which renders its provisions valid and enforceable to the maximum
            extent possible under applicable law.

      10.12 FURTHER ASSURANCES. The Parties will sign such other instruments,
            cause such meetings to be held, resolutions passed and by-laws
            enacted, exercise their vote and influence, do and perform and cause
            to be done and performed such further and other acts and things as
            may be necessary or desirable in order to give full effect to this
            Agreement.

      10.13 IDE ACKNOWLEDGES THAT HE HAS HAD THE OPPORTUNITY TO CONSULT WITH THE
            ADVISOR OF HIS CHOICE AND THAT HE HAS FREELY AND VOLUNTARILY ENTERED
            INTO THIS AGREEMENT. MODAVOX ACKNOWLEDGES THAT IDE IS A LICENSED
            ATTORNEY, THAT IDE DRAFTED THIS AGREEMENT WITH MODAVOX'S FULL
            KNOWLEDGE AND CONSENT AND THAT MODAVOX HAS HAD THE OPPORTUNITY TO
            CONSULT WITH THE ADVISOR OF ITS CHOICE AND THAT IT HAS FREELY AND
            VOLUNTARILY ENTERED INTO THIS AGREEMENT.

                                       10
<PAGE>

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

Modavox:

MODAVOX, INC.

------------------------------
Nathan T. Bradley

Ide:

------------------------------
David J. Ide

                                       11
<PAGE>

                             NONDISCLOSURE AGREEMENT

June 14, 2005

Modavox, Inc.
2801 South Fair Lane
Suite 101
Tempe, AZ  85282

RE: Employee Proprietary Information And Inventions Agreement

To Whom It May Concern:

The following confirms my Agreement and understanding with Modavox, Inc., a
Delaware corporation, which is a material part of the consideration for my
employment by Modavox. Capitalized terms not otherwise defined herein have the
meaning set forth at the end of this Agreement.

1.    Modavox possesses and will possess Proprietary Information (as hereinafter
      defined) and Documentation (as hereinafter defined) which is important to
      its Business (as hereinafter defined).

2.    My employment creates a relationship of confidence and trust between
      Modavox and me with respect to Proprietary Information (i) applicable to
      the Business; or (ii) applicable to the business of any customer of
      Modavox; or (iii) which Modavox is under a contractual obligation to keep
      confidential which may be made known to me by Modavox or by any customer
      of Modavox, or learned by me during the period of my employment.

3.    The Proprietary Information, whether now or hereafter furnished to me in
      whole or in part, is confidential. Modavox's business and prospects could
      be damaged if the Proprietary Information is disclosed to third parties
      without Modavox's consent.

4.    As a condition to sharing with me, whether in writing or orally,
      Proprietary Information, in consideration of my employment by Modavox and
      the compensation received by me from Modavox from time to time, I hereby
      acknowledge and agree as follows:

      (a)   All Proprietary Information and all intellectual property rights
            associated therewith ("Rights") are the sole property of Modavox. I
            assign to Modavox any Rights I may have or acquire in such
            Proprietary Information. At all times, both during my employment by
            Modavox and after its termination, I will keep in confidence and
            trust and will not use or disclose (or permit the use or disclosure
            of) any Proprietary Information or anything relating to it for a
            purpose detrimental to the Business and without the prior written
            consent of Modavox except as may be necessary and appropriate in the
            ordinary course of performing my duties to Modavox.

                                       12
<PAGE>

      (b)   All Documentation constitutes the sole property of Modavox. During
            my employment by Modavox, I will not remove any Documentation from
            the business premises of Modavox or deliver any Documentation to any
            person or entity outside Modavox for a purpose detrimental to the
            Business and except as I am required to do in connection with
            performing the duties of my employment. Immediately upon the
            termination of my employment by me or by Modavox for any reason, or
            during my employment if so requested by Modavox, I will return all
            Documentation, equipment and other physical property, or any
            reproduction of such property, excepting only (i) my personal copies
            of records relating to my compensation; (ii) my personal copies of
            any materials previously distributed generally to stockholders of
            Modavox; and (iii) my copy of this Agreement.

      (c)   I will promptly disclose in writing to my immediate supervisor or to
            any persons designated by Modavox, all Inventions (as hereinafter
            defined) related to the Business made or conceived or reduced to
            practice or developed by me, either alone or jointly with others,
            during the term of my employment. I will not disclose Inventions
            covered by this Agreement to any person outside Modavox unless I am
            requested to do so by its duly authorized officers. All Inventions
            related to Modavox's Business which I make, conceive, reduce to
            practice or develop (in whole or in part, either alone or jointly
            with others) during my employment belong solely to Modavox to the
            maximum extent permitted by applicable law, and I assign such
            Inventions and all Rights therein to Modavox and Modavox is the sole
            owner of all Rights in connection therewith. This Section 3(c) does
            not apply to inventions which qualify for protection under section
            2870 of the Arizona Labor Code, but I bear the full burden of
            proving to Modavox that any such invention qualifies fully under
            Section 2870.

      (d)   I will perform, during and after my employment, all reasonable acts
            deemed necessary or desirable by Modavox to permit and assist it, at
            Modavox's expense, in evidencing, perfecting, obtaining,
            maintaining, defending and enforcing Rights and/or my assignment
            with respect to such Inventions in any and all countries. Such acts
            may include, but are not limited to, execution of documents and
            assistance or cooperation in legal proceedings. I hereby irrevocably
            designate and appoint Modavox and its duly authorized officers and
            agents, as my agents and attorneys-in-fact to act for and in my
            behalf and instead of me, to sign and file any documents and to do
            all other lawfully permitted acts to further the above purposes with
            the same legal force and effect as if signed by me.

                                       13
<PAGE>

      (e)   I have attached hereto, as Attachment A, a complete list of all
            existing Inventions to which I claim ownership as of the date of
            this Agreement which are related to the Business and that I desire
            to specifically clarify are not subject to this Agreement.

      (f)   My performance of all the terms of this Agreement will not breach
            any Agreement to keep in confidence proprietary information acquired
            by me in confidence or in trust prior to my employment by Modavox. I
            have not entered into, nor will I enter into, any Agreement either
            written or oral in conflict herewith or in conflict with my
            employment with Modavox.

      (g)   My obligation of secrecy and confidentiality with respect to
            Proprietary Information which constitutes trade secrets under the
            Uniform Trade Secrets Act (or other similar applicable law) will run
            for as long as such information remains a trade secret. My
            obligation of confidentiality with respect to Proprietary
            Information that is not covered under the Uniform Trade Secrets Act
            (or other similar applicable law), will run for three (3) years from
            the date my employment by Modavox ceases.

      (h)   This Agreement is not an employment contract and, as an employee of
            Modavox, I have obligations to Modavox which are not set forth in
            this Agreement.

      (i)   Any dispute in the meaning, effect or validity of this Agreement
            will be resolved in accordance with the laws of the State of Arizona
            without regard to the conflict of laws provisions thereof.

      (j)   If one or more provisions of this Agreement are held to be illegal
            or unenforceable under applicable Arizona law, such illegal or
            unenforceable portion(s) will be limited or excluded from this
            Agreement to the minimum extent required so that this Agreement will
            otherwise remain in full force and effect and enforceable in
            accordance with its terms.

      (k)   Wrongful disclosure or use of Proprietary Information in
            contravention of the provisions of this Agreement will give rise to
            irreparable injuries not adequately compensable in damages. If
            preliminary injunctive relief to maintain the status quo is
            required, Modavox may seek such relief from any court of competent
            jurisdiction. I am bound by any and all orders rendered by such
            court.

                                       14
<PAGE>

      (l)   No failure or delay in exercising any right, power or privilege
            hereunder will operate as a waiver thereof nor will any single or
            partial exercise thereof preclude any other or further exercise
            thereof or the exercise of any right, power or privilege.

      (m)   No modification of this Agreement is valid unless made in writing
            and signed by me and a duly authorized officer of Modavox.

      (n)   This Agreement will survive termination of my employment, regardless
            of the circumstances of such termination.

      (o)   This Agreement is effective as of the first day of my employment by
            Modavox.

      (p)   This Agreement is binding upon my heirs, executors, administrators
            or other legal representatives.

      (q)   Notwithstanding the foregoing, nothing contained herein will
            prohibit me from disclosing to anyone the amount of my wages.

      (r)   This Agreement constitutes the full, complete and exclusive
            Agreement between Modavox and me with regard to this Agreement's
            subject matter. These Agreements supersede any previous Agreements
            or representations, whether oral or written, express or implied
            between Modavox and me with respect to their subject matter.

      (s)   The following terms have the following meanings:

            (i)   "Business" means the actual business of Modavox on today's
                  date, as well as any other business that Modavox acquires,
                  develops or initiates during the term of this Agreement,
                  including each of its current and future subsidiaries,
                  affiliates, business units and divisions.

            (ii)  "Documentation" means tangible paper or electronic media that
                  contain or embody Proprietary Information or any other
                  information concerning the business, operations or plans of
                  Modavox, whether I or others have prepared such documents. By
                  way of illustration but not limitation, Documentation includes
                  blueprints, drawings, photographs, charts, graphs, notebooks,
                  customer lists, computer disks, tapes or printouts, sound
                  recordings and other printed, typewritten or handwritten
                  documents, as well as samples, prototypes, models, products
                  and the like.

            (iii) "Inventions" means all data, discoveries, designs,
                  developments, formulae, ideas, improvements, inventions,
                  know-how, processes, programs, and techniques, whether or not
                  patentable or registerable under copyright, trademark or
                  similar statutes, and all designs, trademarks and
                  copyrightable works that I made or conceived or reduced to
                  practice or learned, either alone or jointly with others,
                  during the period of my employment which (A) are related or
                  useful in Modavox's business, research, design, development,
                  experimental production, financing, manufacturing, licensing,
                  distribution or marketing activity, or (B) result from tasks
                  Modavox assigned me, or (C) result from use of premises or
                  equipment owned, leased or contracted for by Modavox.

                                       15
<PAGE>

            (iv)  "Proprietary Information" means information from which Modavox
                  might derive economic value, actual or potential, from such
                  information not being generally known to, and not being
                  readily ascertainable by proper means by, other persons who
                  can obtain economic value from its disclosure or use, and
                  which is the subject of efforts that are reasonable under the
                  circumstances to maintain its secrecy. By way of illustration
                  but not limitation, Proprietary Information includes: (A)
                  inventions, confidential knowledge, trade secrets, ideas,
                  data, programs, works of authorship, know-how, improvements,
                  discoveries, designs, techniques and sensitive information
                  Modavox receives from its customers or receives from a third
                  party under obligation to keep confidential; (B) technical
                  information relating to Modavox's existing and future products
                  and services, including, where appropriate and without
                  limitation, software, firmware, information, patent
                  disclosures, patent applications, development or experimental
                  work, formulae, engineering or test data, models, techniques,
                  processes and apparatus relating to the same disclosed by
                  Modavox to me or obtained by me through observation or
                  examination of information or developments; (C) confidential
                  marketing information (including without limitation marketing
                  strategies, customer names and requirements and product and
                  services, prices, margins and costs); (D) confidential future
                  product plans; (E) confidential financial information provided
                  to me by Modavox; (F) personnel information (including without
                  limitation employee compensation); (G) merger and acquisition
                  strategies (including without limitation target lists); and
                  (H) other confidential business information.

                                       16
<PAGE>

5.    I HAVE READ THIS AGREEMENT CAREFULLY AND I UNDERSTAND AND ACCEPT THE
      OBLIGATIONS WHICH IT IMPOSES UPON ME WITHOUT RESERVATION. NO PROMISES OR
      REPRESENTATIONS HAVE BEEN MADE TO ME TO INDUCE ME TO SIGN THIS AGREEMENT.
      I SIGN THIS AGREEMENT VOLUNTARILY AND FREELY, IN DUPLICATE, WITH THE
      UNDERSTANDING THAT ONE COUNTERPART WILL BE RETAINED BY MODAVOX AND THE
      OTHER COUNTERPART WILL BE RETAINED BY ME.

                                          Dated: June 14, 2005

                                          ----------------------------
                                          David J. Ide

Accepted and Agreed to:

MODAVOX, INC.

By: Nathan T. Bradley

Its: Vice Chairman

                                       17
<PAGE>

                                  ATTACHMENT A

      The following is a complete list of Inventions relevant to the subject
matter of my employment by Modavox, Inc. relating to Modavox's Business that
have been made or conceived or first reduced to practice by me alone or jointly
with others prior to my employment by Modavox that I desire to clarify are not
subject to Modavox's Proprietary Information and Inventions Agreement.

List of Inventions:

None.

I propose to bring to my employment the following materials and documents of a
former employer:

None.

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