Document:

Exhibit 10.3

    Exhibit
      10.3

    

    Nexia
      Holdings Inc.

    PLACEMENT
      AGENT AGREEMENT

    

    Dated
      as
      of: August 15, 2005.

    

    GunnAllen
      Financial

    5002
      W.
      Waters Avenue

    Tampa,
      Florida 33634

    

    Ladies
      and Gentlemen:

    

    The
      undersigned, Nexia
      Holdings Inc.,
      a
      Nevada corporation (the "COMPANY"), hereby agrees with Gunn Allen Financial
      (the
      "PLACEMENT AGENT") and Dutchess Private Equities Fund II, L.P., a Delaware
      Limited Partnership (the "INVESTOR") as follows:

    

    	1.  	
            OFFERING.
              The Company hereby engages the Placement Agent to act as its exclusive
              placement agent in connection with the Investment Agreement dated August
              15, 2005 (the "INVESTMENT AGREEMENT") pursuant to which the Company
              shall
              issue and sell to the Investor, from time to time, and the Investor
              shall
              purchase from the Company (the "OFFERING") up to Ten Million Dollars
              ($10,000,000) of the Company's Class A Voting Common Stock (the
              "COMMITMENT AMOUNT"), par value $0.001 per share (the "COMMON STOCK"),
              at
              price per share equal to the Purchase Price, as that term is defined
              in
              the Investment Agreement. Pursuant to the terms hereof, the Placement
              Agent shall render consulting services to the Company with respect
              to the
              Investment Agreement and shall be available for consultation in connection
              with the advances to be requested by the Company pursuant to the
              Investment Agreement. All capitalized terms used herein and not otherwise
              defined herein shall have the same meaning ascribed to them as in the
              Investment Agreement. The Investor will be granted certain registration
              rights with respect to the Common Stock as more fully set forth in
              a
              Registration Rights Agreement between the Company and the Investor
              dated
              August 15, 2005 (the "REGISTRATION RIGHTS AGREEMENT"). The documents
              to be
              executed and delivered in connection with the Offering, including,
              but not
              limited, to this Agreement, the Investment Agreement, and the Registration
              Rights Agreement, and any Prospectus or other disclosure document (
              including all amendments and supplements ) utilized in connection with
              the
              Offering are referred to sometimes hereinafter collectively as the
              "OFFERING MATERIALS." The Company's Common Stock is sometimes referred
              to
              hereinafter as the "SECURITIES." The Placement Agent shall not be
              obligated to sell any Securities and this Offering by the Placement
              Agent
              shall be solely on a "best efforts basis."

          

    

    	2.  	
            REPRESENTATIONS,
              WARRANTIES AND COVENANTS OF THE PLACEMENT AGENT.
              

          

    

    A.
      The
      Placement Agent represents, warrants and covenants as follows:

    

    (i) The
      Placement Agent has the necessary power to enter into this Agreement and to
      consummate the transactions contemplated hereby.

    

    (ii) The
      execution and delivery by the Placement Agent of this Agreement and the
      consummation of the transactions contemplated herein will not result in any
      violation of, or be in conflict with, or constitute a default under, any
      agreement or instrument to which the Placement Agent is a party or by which
      the
      Placement Agent or its properties are bound, or any judgment, decree, order
      or,
      to the Placement Agent's knowledge, any statute, rule or regulation applicable
      to the Placement Agent. This Agreement when executed and delivered by the
      Placement Agent, will constitute the legal, valid and binding obligations of
      the
      Placement Agent, enforceable in accordance with their respective terms, except
      to theextent
      that (a) the enforceability hereof or thereof may be limited by bankruptcy,
      insolvency, reorganization, moratorium or similar laws from time to time in
      effect and affecting the rights of creditors generally, (b) the enforceability
      hereof or thereof is subject to general principles of equity, or (c) the
      indemnification provisions hereof or thereof may be held to be in violation
      of
      public policy.

     

    
      
         

      

      
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    (iii) Upon
      receipt and execution of this Agreement the Placement Agent will promptly
      forward copies of this Agreement to the Company or its counsel and the Investor
      or its counsel.

    (iv) The
      Placement Agent will not take any action that it reasonably believes would
      cause
      the Offering to violate the provisions of the Securities Act of 1933, as amended
      (the "1933 ACT"), the Securities Exchange Act of 1934 (the "1934 ACT"), the
      respective rules and regulations promulgated there under (the "RULES AND
      REGULATIONS") or applicable "Blue Sky" laws of any state or
      jurisdiction.

    

    (v) The
      Placement Agent will use all reasonable efforts to determine (a) whether the
      Investor is an Accredited Investor and (b) that any information furnished by
      the
      Investor is true and accurate. The Placement Agent shall have no obligation
      to
      insure that (x) any check, note, draft or other means of payment for the Common
      Stock will be honored, paid or enforceable against the Investor in accordance
      with its terms, or (y) subject to the performance of the Placement Agent's
      obligations and the accuracy of the Placement Agent's representations and
      warranties hereunder, (1) the Offering is exempt from the registration
      requirements of the 1933 Act or any applicable state "Blue Sky" law or (2)
      the
      Investor is an Accredited Investor.

    

    (vi) The
      Placement Agent is a member of the National Association of Securities Dealers,
      Inc., and is a broker-dealer registered as such under the 1934 Act and under
      the
      securities laws of the states in which the Securities will be offered or sold
      by
      the Placement Agent unless an exemption for such state registration is available
      to the Placement Agent. The Placement Agent is in compliance with all material
      rules and regulations applicable to the Placement Agent generally and applicable
      to the Placement Agent's participation in the Offering.

    

    3. REPRESENTATIONS
      AND WARRANTIES OF THE COMPANY.

    

    
      	 	
              A.
                

            	
              The
                Company makes to the Placement Agent all the representations and
                warranties it makes to the Investor in the Investment Agreement and,
                in
                addition, represents and warrants as follows:

            

    

    

    (i) The
      execution, delivery and performance of each of this Agreement, the Investment
      Agreement and the Registration Rights Agreement has been or will be duly and
      validly authorized by the Company and is, and with respect to this Agreement,
      the Investment Agreement and the Registration Rights Agreement will each be,
      a
      valid and binding agreement of the Company, enforceable in accordance with
      its
      respective terms, except to the extent that (a) the enforceability hereof or
      thereof may be limited by bankruptcy, insolvency, reorganization, moratorium
      or
      similar laws from time to time in effect and affecting the rights of creditors
      generally, (b) the enforceability hereof or thereof is subject to general
      principles of equity or (c) the indemnification provisions hereof or thereof
      may
      be held to be in violation of public policy. The Securities to be issued
      pursuant to the transactions contemplated by this Agreement and the Investment
      Agreement have been duly authorized and, when issued and paid for in accordance
      with (x) this Agreement, the Investment Agreement and the
      certificates/instruments representing such Securities, (y) will be valid and
      binding obligations of the Company, enforceable in accordance with their
      respective terms, except to the extent that (1) the enforceability thereof
      may
      be limited by bankruptcy, insolvency, reorganization, moratorium or similar
      laws
      from time to time in effect and affecting the rights of creditors generally,
      and
      (2) the enforceability thereof is subject to general principles of equity.
      All
      corporate action required to be taken for the authorization, issuance and sale
      of the Securities has been duly and validly taken by the Company.

     

    
      
         

      

      
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    (ii) The
      Company has a duly authorized, issued and outstanding capitalization as set
      forth herein and in the Investment Agreement. The Company is not a party to
      or
      bound by any instrument, agreement or other arrangement providing for it to
      issue any capital stock, rights, warrants, options or other securities, except
      for this Agreement, the agreements described herein and as described in the
      Investment Agreement, dated the date hereof and the agreements described
      therein. All issued and outstanding securities of the Company, have been duly
      authorized and validly issued and are fully paid and non-assessable; the holders
      thereof have no rights of rescission or preemptive rights with respect thereto
      and are not subject to personal liability solely by reason of being security
      holders; and none of such securities were issued in violation of the preemptive
      rights of any holders of any security of the Company. As of the date hereof,
      the
      authorized capital stock of the Company consists of 10,000,000,000 common shares
      with 3,189,045,834 issued.

    

    (iii) The
      Common Stock to be issued in accordance with this Agreement and the Investment
      Agreement has been duly authorized and when issued and paid for in accordance
      with this Agreement, the Investment Agreement and the certificates/instruments
      representing such Common Stock, will be validly issued, fully-paid and
      non-assessable; the holders thereof will not be subject to personal liability
      solely by reason of being such holders; such Securities are not and will not
      be
      subject to the preemptive rights of any holder of any security of the
      Company.

    

    4. REPRESENTATIONS,
      WARRANTIES AND COVENANTS OF THE INVESTOR.

    

    A. The
      Investor makes to the Placement Agent all the representations and warranties
      it
      makes to the Company in the Investment Agreement and, in addition represents,
      warrants and covenants as follows:

    

    (i) The
      Investor has the necessary power to enter into this Agreement and to consummate
      the transactions contemplated hereby.

    

    (ii) The
      execution and delivery by the Investor of this Agreement and the consummation
      of
      the transactions contemplated herein will not result in any violation of, or
      be
      in conflict with,
      or
      constitute a default under, any agreement or instrument to which the Investor
      is
      a party or by which the Investor or its properties are bound, or any judgment,
      decree, order or, to the Investor's knowledge, any statute, rule or regulation
      applicable to the Investor. This Agreement when executed and delivered by the
      Investor, will constitute the legal, valid and binding obligations of the
      Investor, enforceable in accordance with their respective terms, except to
      the
      extent that (a) the enforceability hereof or thereof may be limited by
      bankruptcy, insolvency, reorganization, moratorium or similar laws from time
      to
      time in effect and affecting the rights of creditors generally, (b) the
      enforceability hereof or thereof is subject to general principles of equity,
      or
      (c) the indemnification provisions hereof or thereof may be held to be in
      violation of public policy.

     

    (iii)
       The
      Investor is not, and will not be, as a result of the transactions contemplated
      by the Offering Materials a “dealer” within the meaning of the Securities
      Exchange Act of 1934 and applicable federal and state securities laws and
      regulations. The Investor covenants that in this respect it is and will remain
      in compliance with the requirements of applicable “no action” rulings of the
      U.S. Securities Exchange Commission.

     

    (iv) The
      Investor will promptly forward copies of any and all due diligence
      questionnaires compiled by the Investor to the Placement Agent. 

    

    (v) The
      Investor is an Accredited Investor (as defined under the 1933 Act).

     

    
      
         

      

      
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    5. CERTAIN
      COVENANTS AND AGREEMENTS OF THE COMPANY. 

    

    The
      Company covenants and agrees at its expense and without any expense to the
      Placement Agent as follows: 

    

    A. To
      advise
      the Placement Agent of any material adverse change in the Company's financial
      condition, prospects or business or of any development materially affecting
      the
      Company or rendering untrue or misleading any material statement in the Offering
      Materials occurring at any time as soon as the Company is either informed or
      becomes aware thereof.

    

    B. To
      use
      its commercially reasonable efforts to cause the Common Stock issuable in
      connection with the Equity Line of Credit to be qualified or registered for
      sale
      on terms consistent with those stated in the Registration Rights Agreement
      and
      under the securities laws of such jurisdictions as the Placement Agent and
      the
      Investor shall reasonably request. Qualification, registration and exemption
      charges and fees shall be at the sole cost and expense of the
      Company.

    

    C. Upon
      written request, to provide and continue to provide the Placement Agent and
      the
      Investor copies of all quarterly financial statements and audited annual
      financial statements prepared by or on behalf of the Company, other reports
      prepared by or on behalf of the Company for public disclosure and all documents
      delivered to the Company's stockholders.

    

    D. To
      deliver, during the registration period of the Investment Agreement, to the
      Placement Agent upon the Placement Agent's request,

    

    (i) within
      forty five (45) days, a statement of its income for each such quarterly period,
      and its balance sheet and a statement of changes in stockholders' equity as
      of
      the end of such quarterly period, all in reasonable detail, certified by its
      principal financial or accounting officer;

    

    (ii) within
      ninety (90) days after the close of each fiscal year, its balance sheet as
      of
      the close of such fiscal year, together with a statement of income, a statement
      of changes in stockholders' equity and a statement of cash flow for such fiscal
      year, such balance sheet, statement of income, statement of changes in
      stockholders' equity and statement of cash flow to be in reasonable detail
      and
      accompanied by a copy of the certificate or report thereon of independent
      auditors if audited financial statements are prepared; and

    

    (iii) a
      copy of
      all documents, reports and information furnished to its stockholders at the
      time
      that such documents, reports and information are furnished to its stockholders.
      

    

    (iv)  a
      copy of
      all documents, reports and information furnished to the Investor at the time
      that such documents, reports and information are furnished to the
      Investor.

     

    
      
         

      

      
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    E. To
      comply
      with the terms of the Offering Materials.

    

    F. To
      ensure
      that any transactions between or among the Company, or any of its officers,
      directors and affiliates be on terms and conditions that are no less favorable
      to the Company, than the terms and conditions that would be available in an
      "arm's length" transaction with an independent third party.

    

    6. INDEMNIFICATION.

    

    A. The
      Company hereby agrees that it will indemnify and hold the Placement Agent and
      each officer, director, shareholder, employee or representative of the Placement
      Agent and each person controlling, controlled by or under common control with
      the Placement Agent within the meaning of Section 15 of the 1933 Act or Section
      20 of the 1934 Act or the SEC's Rules and Regulations promulgated there under
      (the "Rules and Regulations"), harmless from and against any and all loss,
      claim, damage, liability, cost or expense whatsoever (including, but not limited
      to, any and all reasonable legal fees and other expenses and disbursements
      incurred in connection with investigating, preparing to defend or defending
      any
      action, suit or proceeding, including any inquiry or investigation, commenced
      or
      threatened, or any claim whatsoever or in appearing or preparing for appearance
      as a witness in any action, suit or proceeding, including any inquiry,
      investigation or pretrial proceeding such as a deposition) to which the
      Placement Agent or such indemnified person of the Placement Agent may become
      subject under the 1933 Act, the 1934 Act, the Rules and Regulations, or any
      other federal or state law or regulation, common law or otherwise, arising
      out
      of or based upon (i) any untrue statement or alleged untrue statement of a
      material fact contained in (a) Section 4 of this Agreement, (b) the Offering
      Materials (except those written statements relating to the Placement Agent
      given
      by an indemnified person for inclusion therein), (c) any application or other
      document or written communication executed by the Company or based upon written
      information furnished by the Company filed in any jurisdiction in order to
      qualify the Common Stock under the securities laws thereof, or any state
      securities commission or agency; (ii) the omission or alleged omission from
      documents described in clauses (a), (b) or (c) above of a material fact required
      to be stated therein or necessary to make the statements therein not misleading;
      or (iii) the breach of any representation, warranty, covenant or agreement
      made
      by the Company in this Agreement. The Company further agrees that upon demand
      by
      an indemnified person, at any time or from time to time, it will promptly
      reimburse such indemnified person for any loss, claim, damage, liability, cost
      or expense actually and

    reasonably
      paid by the indemnified person as to which the Company has indemnified such
      person pursuant hereto. Notwithstanding the foregoing provisions of this
      Paragraph 6(A), any such payment or reimbursement by the Company of fees,
      expenses or disbursements incurred by an indemnified person in any proceeding
      in
      which a final judgment by a court of competent jurisdiction (after all appeals
      or the expiration of time to appeal) is entered against the Placement Agent
      or
      such indemnified person based upon specific finding of fact as to the Placement
      Agent or such indemnified person's gross negligence or willful misfeasance
      will
      be promptly repaid to the Company.

    

    B. The
      Placement Agent hereby agrees that it will indemnify and hold the Company and
      each officer, director, shareholder, employee or representative of the Company,
      and each person controlling, controlled by or under common control with the
      Company within the meaning of Section 15 of the 1933 Act or Section 20 of the
      1934 Act or the Rules and Regulations, harmless from and against any and all
      loss, claim, damage, liability, cost or expense whatsoever (including, but
      not
      limited to, any and all reasonable legal fees and other expenses and
      disbursements incurred in connection with investigating, preparing to defend
      or
      defending any action, suit or proceeding, including any inquiry or
      investigation, commenced or threatened, or any claim whatsoever or in appearing
      or preparing for appearance as a witness in any action, suit or proceeding,
      including any inquiry, investigation or pretrial proceeding such as a
      deposition) to which the Company or such indemnified person of the Company
      may
      become subject under the 1933 Act, the 1934 Act, the Rules and Regulations,
      or
      any other federal or state law or regulation, common law or otherwise, arising
      out of or based upon (i) the conduct of the Placement Agent or its officers,
      employees or representatives in willful violation of any of such laws and
      regulations while acting as Placement Agent for the Offering or (ii) the
      material breach of any representation, warranty, covenant or agreement made
      by
      the Placement Agent in this Agreement (iii) any false or misleading information
      provided to the Company by one of the Placement Agent's indemnified
      persons.

     

    
      
         

      

      
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    C. The
      Investor hereby agrees that it will indemnify and hold the Placement Agent
      and
      each officer, director, shareholder, employee or representative of the Placement
      Agent, and each person controlling, controlled by or under common control with
      the Placement Agent within the meaning of Section 15 of the 1933 Act or Section
      20 of the 1934 Act or the Rules and Regulations, harmless from and against
      any
      and all loss, claim, damage, liability, cost or expense whatsoever (including,
      but not limited to, any and all reasonable legal fees and other expenses and
      disbursements incurred in connection with investigating, preparing to defend
      or
      defending any action, suit or proceeding, including any inquiry or
      investigation, commenced or threatened, or any claim whatsoever or in appearing
      or preparing for appearance as a witness in any action, suit or proceeding,
      including any inquiry, investigation or pretrial proceeding such as a
      deposition) to which the Placement Agent or such indemnified person of the
      Placement Agent may become subject under the 1933 Act, the 1934 Act, the Rules
      and Regulations, or any other federal or state law or regulation, common law
      or
      otherwise, arising out of or based upon (i) the conduct of the Investor or
      its
      officers, employees or representatives in its acting as the Investor for the
      Offering or (ii) the material breach of any representation, warranty, covenant
      or agreement made by the Investor in the Offering Materials (iii) any false
      or
      misleading information provided to the Placement Agent by the Investor or one
      of
      the Investor's indemnified persons.

    

    D. The
      Placement Agent hereby agrees that it will indemnify and hold the Investor
      and
      each officer, director, shareholder, employee or representative of the Investor,
      and each person controlling,
      controlled by or under common control with the Investor within the meaning
      of
      Section 15 of the 1933 Act or Section 20 of the 1934 Act or the Rules and
      Regulations, harmless from and against any and all loss, claim, damage,
      liability, cost or expense whatsoever (including, but not limited to, any and
      all reasonable legal fees and other expenses and disbursements incurred in
      connection with investigating, preparing to defend or defending any action,
      suit
      or proceeding, including any inquiry or investigation, commenced or threatened,
      or any claim whatsoever or in appearing or preparing for appearance as a witness
      in any action, suit or proceeding, including any inquiry, investigation or
      pretrial proceeding such as a deposition) to which the Investor or such
      indemnified person of the Investor may become subject under the 1933 Act, the
      1934 Act, the Rules and Regulations, or any other federal or state law or
      regulation, common law or otherwise, arising out of or based upon (i) the
      conduct of the Placement Agent or its officers, employees or representatives
      in
      willful violation of any of such laws and regulations while acting as the
      Placement Agent for the Offering or (ii) the material breach of any
      representation, warranty, covenant or agreement made by the Placement Agent
      in
      this Agreement (iii) any false or misleading information provided to the
      Investor by one of the Placement Agent's indemnified persons.

    

    E. Promptly
      after receipt by an indemnified party of notice of commencement of any action
      covered by Section 6(A), (B), (C) or (D), the party to be indemnified shall,
      within five (5) business days, notify the indemnifying party of the commencement
      thereof; the omission by one (1) indemnified party to so notify the indemnifying
      party shall not relieve the indemnifying party of its obligation to indemnify
      any other indemnified party that has given such notice and shall not relieve
      the
      indemnifying party of any liability outside of this indemnification if not
      materially prejudiced thereby. In the event that any action is brought against
      the indemnified party, the indemnifying party will be entitled to participate
      therein and, to the extent it may desire, to assume and control the defense
      thereof with counsel chosen by it which is reasonably acceptable to the
      indemnified party. After notice from the indemnifying party to such indemnified
      party of its election to so assume the defense thereof, the indemnifying party
      will not be liable to such indemnified party under such Section 6(A), (B),
      (C),
      or (D) for any legal or other expenses subsequently incurred by such indemnified
      party in connection with the defense thereof, but the indemnified party may,
      at
      its own expense, participate in such defense by counsel chosen by it, without,
      however, impairing the indemnifying party's control of the defense. Subject
      to
      the proviso of this sentence and notwithstanding any other statement to the
      contrary contained herein, the indemnified party or parties shall have the
      right
      to choose its or their own counsel and control the defense of any action, all
      at
      the expense of the indemnifying party if, (i) the employment of such counsel
      shall have been authorized in writing by the indemnifying party in connection
      with the defense of such action at the expense of the indemnifying party, or
      (ii) the indemnifying party shall not have employed counsel reasonably
      satisfactory to such indemnified party to have charge of the defense of such
      action within a reasonable time after notice of commencement of the action,
      or
      (iii) such indemnified party or parties shall have reasonably concluded that
      there may be defenses available to it or them which are different from or
      additional to those available to one or all of the indemnifying parties (in
      which case the indemnifying parties shall not have the right to direct the
      defense of such action on behalf of the indemnified party or parties), in any
      of
      which events such fees and expenses of one additional counsel shall be borne
      by
      the indemnifying party; provided, however, that the indemnifying party shall
      not, in connection with any one action or separate but substantially similar
      or
      related actions in the same jurisdiction arising out of the same general
      allegations or circumstance, be liable for the reasonable fees and expenses
      of
      more than one separate firm of attorneys at any time for all such
      indemnified parties. No settlement of any action or proceeding against an
      indemnified party shall be made without the consent of the indemnifying
      party.

     

    
      
         

      

      
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    F. In
      order
      to provide for just and equitable contribution in circumstances in which the
      indemnification provided for in Section 6 is due in accordance with its terms
      but is for any reason held by a court to be unavailable on grounds of policy
      or
      otherwise, the Company and the Placement Agent and the Investor shall contribute
      to the aggregate losses, claims, damages and liabilities (including legal or
      other expenses reasonably incurred in connection with the investigation or
      defense of same) which the other may incur in such proportion so that the
      Company, the Placement Agent and the Investor shall be responsible for such
      percent of the aggregate of such losses, claims, damages and liabilities as
      shall equal the percentage of the gross proceeds paid to each of them.;
      provided, however, that no person guilty of fraudulent misrepresentation within
      the meaning of Section 11(f) of the 1933 Act shall be entitled to contribution
      from any person who was not guilty of such fraudulent misrepresentation. For
      purposes of this Section 6(F), any person controlling, controlled by or under
      common control with the Placement Agent, or any partner, director, officer,
      employee, representative or any agent of any thereof, shall have the same rights
      to contribution as the Placement Agent and each person controlling, controlled
      by or under common control with the Company within the meaning of Section 15
      of
      the 1933 Act or Section 20 of the 1934 Act and each officer of the Company
      and
      each director of the Company shall have the same rights to contribution as
      the
      Company and each person controlling, controlled by or under common control
      with
      the Investor within the meaning of Section 15 of the 1933 Act or Section 20
      of
      the 1934 Act and each member of the general partner of the Investor shall have
      the same rights to contribution as the Company. Any party entitled to
      contribution will, promptly after receipt of notice of commencement of any
      action, suit or proceeding against such party in respect of which a claim for
      contribution may be made against the other party under this Section 6(F), notify
      such party from whom contribution may be sought, but the omission to so notify
      such party shall not relieve the party from whom contribution may be sought
      from
      any obligation they may have hereunder or otherwise if the party from whom
      contribution may be sought is not materially prejudiced thereby. The indemnity
      and contribution agreements contained in this Section 6 shall remain operative
      and in full force and effect regardless of any investigation made by or on
      behalf of any indemnified person or any termination of this
      Agreement.

    

    7.      FEES.
      The
      Company hereby agrees to pay the Placement Agent $1000.00 from the gross
      proceeds from each Put to a maximum of Ten Thousand Dollars ($10,000) upon
      the
      execution of this Agreement.

    

    8.     
      PAYMENT
      OF EXPENSES. The Company hereby agrees to bear all of the expenses in connection
      with the Offering, including, but not limited to the following: filing fees,
      printing and duplicating costs, advertisements, postage and mailing expenses
      with respect to the transmission of Offering Materials, registrar and transfer
      agent fees, and expenses, fees of the Company's counsel and accountants, issue
      and transfer taxes, if any. The Company agrees to bear all the reasonable
      expenses of the Placement Agent in performing its services under this Agreement
      including but not limited to the fees and expenses of counsel.

    

    9.     
      CONDITIONS
      OF CLOSING. The Closing shall be held at the offices of the Investor or its
      counsel. The obligations of the Placement Agent hereunder shall be subject
      to
      the continuing accuracy of the representations and warranties of the Company
      herein as of the date hereof and as of the Date of Closing (the "Closing Date")
      with respect to the Company as if it had been made on and as of such Closing
      Date; the accuracy on and as of the Closing
      Date of the statements of the officers of the Company made pursuant to the
      provisions hereof; and the performance by the Company on and as of the Closing
      Date of its covenants and obligations hereunder and to the following further
      conditions:

    

    A. Upon
      the
      effectiveness of a registration statement in accordance with the Investment
      Agreement, the Placement Agent shall receive the opinions of Counsel to the
      Company and of the Investor, dated as of the date thereof, which opinion shall
      be in form and substance reasonably satisfactory to the Investor, the Company,
      their counsel and the Placement Agent.

     

    
      
         

      

      
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    B. 
      At
      or
      prior to the Closing, the Placement Agent shall have been furnished such
      documents, certificates and opinions as it may reasonably require for the
      purpose of enabling them to review or pass upon the matters referred to in
      this
      Agreement and the Offering Materials, or in order to evidence the accuracy,
      completeness or satisfaction of any of the representations, warranties or
      conditions herein contained.

    

    	C.  	
            At
              and prior to the Closing, (i) there shall have been no material adverse
              change nor development involving a prospective change in the condition
              or
              prospects or the business activities, financial or otherwise, of the
              Company from the latest dates as of which such condition is set forth
              in
              the Offering Materials; (ii) there shall have been no transaction,
              not in
              the ordinary course of business except the transactions pursuant to
              the
              Investment Agreement entered into by the Company which has not been
              disclosed in the Offering Materials or to the Placement Agent in writing;
              (iii) except as set forth in the Offering Materials, the Company shall
              not
              be in default under any provision of any instrument relating to any
              outstanding indebtedness for which a waiver or extension has not been
              otherwise received; (iv) except as set forth in the Offering Materials,
              the Company shall not have issued any securities (other than those
              to be
              issued as provided in the Offering Materials) or declared or paid any
              dividend or made any distribution of its capital stock of any class
              and
              there shall not have been any change in the indebtedness (long or short
              term) or liabilities or obligations of the Company (contingent or
              otherwise) and trade payable debt; (v) no material amount of the assets
              of
              the Company shall have been pledged or mortgaged, except as indicated
              in
              the Offering Materials; and (v) no action, suit or proceeding, at law
              or
              in equity, against the Company or affecting any of its properties or
              businesses shall be pending or threatened before or by any court or
              federal or state commission, board or other administrative agency,
              domestic or foreign, wherein an unfavorable decision, ruling or finding
              could materially adversely affect the businesses, prospects or financial
              condition or income of the Company, except as set forth in the Offering
              Materials. 

          

    

    	D.  	
            At
              Closing, the Placement Agent shall receive a certificate of the Company
              signed by an executive officer and chief financial officer, dated as
              of
              the applicable Closing, to the effect that the conditions set forth
              in
              subparagraph (C) above have been satisfied and that, as of the applicable
              closing, the representations and warranties of the Company set forth
              herein are true and correct.

          

    

    10.   
      TERMINATION.
      This Agreement shall be co-terminus with, and terminate upon the same terms
      and
      conditions as those set forth in, the Investment Agreement. The rights of the
      Investor and the obligations of the Company under the Registration Rights
      Agreement, and the rights of the Placement Agent and the obligations of the
      Company shall survive the termination of this Agreement unabridged for a period
      of twenty-four (24) months after the Closing Date.

    

    11.    MISCELLANEOUS.
      A. This Agreement may be executed in any number of counterparts, each of which
      shall be deemed to be an original, but all which shall be deemed to be one
      and
      the same instrument. B. Any notice required or permitted to be given hereunder
      shall be given in writing and shall be deemed effective when deposited in the
      United States mail, postage prepaid, or when received if personally delivered
      or
      faxed (upon confirmation of receipt received by the sending party), addressed
      as
      follows:

     

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    

                     
      If to Placement Agent, to:

     

    GunnAllen
      Financial

    5002
      W.
      Waters Avenue

    Tampa,
      Florida 33634

    Attention:
      Richard Frueh

    Facsimile:
      (813) 282-1275

    

    With
      a
      copy to:

    

      
      If to the Company, to:

     

    Nexia
      Holdings Inc.

    59
      West
      100 South, Second Floor 

    Salt
      Lake
      City, UT 84101

    Attention:
      Richard Surber

               
      Telephone: (801)
      575-8073

    

    With
      a
      copy to:

    

    Nexia
      Holdings Inc.

    59
      West
      100 South, Second Floor 

    Salt
      Lake
      City, UT 84101

    Attention:
      Michael Golightly

    Facsimile:
      (801) 575-8092

    

    If
      to the
      Investor: 

    

    Dutchess
      Private Equities Fund II, L.P.

    312
      Stuart St.

    Boston,
      MA 02116

    Tel: (617)
      960-3582

    Fax:
      (617) 960-3772

    

    or
      to
      such other address of which written notice is given to the others. 

     

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    

    
      	  
              C.	
              This
                Agreement shall be governed by and construed in all respects under
                the
                laws of the State of Delaware, without reference to its conflict
                of laws
                rules or principles. Any suit, action, proceeding or litigation arising
                out of or relating to this Agreement shall be brought and prosecuted
                in
                such federal or state court or courts located within the Commonwealth
                of
                Massachusetts as provided by law. The parties hereby irrevocably
                and
                unconditionally consent to the jurisdiction of each such court or
                courts
                located within the Commonwealth of Massachusetts and to service of
                process
                by registered or certified mail, return receipt requested, or by
                any other
                manner provided by applicable law, and hereby irrevocably and
                unconditionally waive any right to claim that any suit, action, proceeding
                or litigation so commenced has been commenced in an inconvenient
                forum.

            

    

    

    
      	  
              D.	
              This
                Agreement and the other agreements referenced herein contain the
                entire
                understanding between the parties hereto and may not be modified
                or
                amended except by a writing duly signed by the party against whom
                enforcement of the modification or amendment is
                sought.

            

    

    

    
      	  
              E.	
              If
                any provision of this Agreement shall be held to be invalid or
                unenforceable, such invalidity or unenforceability shall not affect
                any
                other provision of this Agreement. 

            

    

     

     

    [REMAINDER
      OF PAGE INTENTIONALLY LEFT BLANK] 

     

     

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

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

    

    COMPANY:

    

    By:
      /s/ Richard Surber

    Name:
      Richard Surber

    Title:
      CEO

    

    PLACEMENT
      AGENT: 

    

    By:
      /s/ Richard Frueh

    Name:
      Richard Frueh

    Title:
      Managing Director 

    

    INVESTOR:

    

    DUTCHESS
      PRIVATE EQUITIES FUND II, L.P.

    BY
      ITS
      GENERAL PARTNER DUTCHESS 

    CAPITAL
      MANAGEMENT, LLC 

    

     

    By:
      /s/ Douglas H. Leighton

    Name:
      Douglas H. Leighton

    Title:
      A
      Managing Member

     

    
 

    
      
         

      

      
        11EX-10.1

INDEPENDENT DIRECTOR COMPENSATION POLICY

On October 17, 2006, the Board of Directors (the “Board”) of DDi Corp. (the “Company”) adopted the
following compensation policy for the Company’s independent directors. This compensation policy has
been developed to compensate the independent directors of the Company for their time, commitment
and contributions to the Board.

Definition of Independent Director

Directors who are also employees of the Company are not paid any fees or remuneration, as such, for
their service on the Board or on any Board committee. For purposes of this policy, an “independent
director” is a member of the Board of Directors who is “independent” as that term is defined by the
rules of the Nasdaq’s Marketplace Rules.

Cash Compensation

Annual Retainer

Each independent director will be paid an annual retainer of $20,000 for his or her service on the
Board. Annual retainers will be paid in equal quarterly installments.

Chairman of the Board Retainer

An independent director serving as Chairman of the Board will be paid an annual retainer of $15,000
in addition to his or her annual retainer as an independent director. The Chairman of the Board
retainer will be paid in equal quarterly installments.

Committee Chairmanship Retainers

Each independent director serving as Chairman of the Compensation, Finance and Nomination and
Corporate Governance Committees of the Board will be paid an annual retainer of $5,000 in addition
to his or her annual retainer as an independent director. The independent director serving as
Chairman of the Audit Committee of the Board will be paid an annual retainer of $15,000 in addition
to his or her annual retainer as an independent director. Committee chairmanship retainers will be
paid in equal quarterly installments.

Committee Member Retainers

Each independent director serving as member (but not the Chairman) of the Audit, Compensation,
Finance and Nomination and Corporate Governance Committees of the Board will be paid an annual
retainer of $5,000 for each committee of which he or she is a member in addition to his or her
annual retainer as an independent director. Committee membership retainers will be paid in equal
quarterly installments.

Meeting Attendance Fees

Each independent director will be paid a meeting fee of $2,000 for each regular or special Board
meeting attended in person or by telephone ($1,000 for meetings attended by telephone that last
less than 2 hours). Each independent director will be paid a meeting fee of $1,000 for attending
in person or by telephone a regular or special meeting a committee of which he or she is a member.
Each independent director will be paid a meeting fee of $1,000 for attending in person or by
telephone a meeting of a committee of which he or she is not a member; provided such attendance is
at the invitation of the chairman of the committee. The Chairman of the Nomination and Corporate
Governance Committee and the Chairman of the Board shall periodically review the payment of
committee meeting fees to non-committee members to ensure that the payment of such fees is
appropriate. For purposes of this policy, a meeting is defined as a duly noticed meeting of the
Board or a committee for which minutes are kept.

Ad Hoc Committees

From time to time, the Board may establish ad hoc committees of the Board to address issues with
defined scope and authority. At the time such a committee is established the Board will determine
the compensation payable to independent directors for services rendered in connection with the
committee.

Equity Compensation

The Board will from time to time grant stock options or other equity-based awards to independent
directors.

Travel Expense Reimbursement

Each of the independent directors will be entitled to receive reimbursement for reasonable travel
expenses which they properly incur in connection with their functions and duties as a director.

Amendments, Revision and Termination

This policy may be amended, revised or terminated by the Board at any time and from time-to-time.

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