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      EXHIBIT
        10.2

       

       

       

      

      LIMITED
        LIABILITY COMPANY OPERATING AGREEMENT

      

      OF

      

      STANLEY
        HILLS LLC

      A
        NEVADA LIMITED LIABILITY COMPANY

      

      Dated
        as of October 3, 2006

      

       

      

      
        
           

        

        
           

          
            

          

        

        
           

          
          

        

      

      TABLE
        OF CONTENTS

       

       

      ARTICLE I.
        DEFINITIONS AND INTERPRETATION

      1.1
        CERTAIN DEFINITIONS.

      1.2
        OTHER
        DEFINED TERMS.

      1.3
        INTERPRETATION.

       

      ARTICLE II.
        INTRODUCTORY MATTERS

      2.1
        FORMATION OF LLC.

      2.2
        NAME;
        PRINCIPAL OFFICE; AGENT.

      2.3
        PERIOD OF DURATION.

      2.4
        BUSINESS AND PURPOSE OF THE LLC.

      2.5
        TITLE
        TO ALL PROPERTIES.

       

      ARTICLE III.
        MEMBERS AND CAPITAL CONTRIBUTIONS

      3.1
        MEMBERS; NO PERSONAL LIABILITY.

      3.2
        INITIAL CAPITAL CONTRIBUTIONS.

      3.3
        ADDITIONAL CONTRIBUTIONS.

      3.4
        RIGHTS WITH RESPECT TO CAPITAL.

      3.5
        GENERAL RULES FOR ADJUSTMENT OF CAPITAL ACCOUNTS.

      3.6
        SPECIAL RULES WITH RESPECT TO CAPITAL ACCOUNTS.

      3.7
        TRANSFEREE'S CAPITAL ACCOUNT.

       

      ARTICLE IV.
        ALLOCATION OF PROFITS AND LOSSES

      4.1
        ALLOCATION OF NET PROFITS AND NET LOSSES.

      4.2
        RESIDUAL ALLOCATIONS.

      4.3
        QUALIFIED INCOME OFFSET.

      4.4
        MINIMUM GAIN CHARGEBACK.

      4.5
        MEMBER NONRECOURSE DEBT MINIMUM GAIN CHARGEBACK.

      4.6
        MEMBER NONRECOURSE DEDUCTIONS.

      4.7
        SPECIAL ALLOCATIONS.

      4.8
        FEES
        TO MEMBERS OR AFFILIATES.

      4.9
        SECTION 704(c) ALLOCATION.

       

      ARTICLE V.
        DISTRIBUTIONS

      5.1
        AVAILABLE CASH FLOW.

      5.2
        LIQUIDATING DISTRIBUTIONS.

       

      ARTICLE VI.
        RIGHTS, DUTIES, OBLIGATIONS AND COMPENSATION OF MANAGER AND
        OFFICERS

      6.1
        MANAGER.

      6.2
        LIMITATIONS ON RIGHTS AND POWERS.

      6.3
        COMPENSATION OF MANAGER.

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE VII.
        MEMBERS; MEMBERS' MEETINGS

      7.1
        PLACE
        OF MEETINGS; MANAGER TO PRESIDE.

      7.2
        ANNUAL MEETINGS OF MEMBERS.

      7.3
        SPECIAL MEETINGS.

      7.4
        NOTICE OF MEETINGS.

      7.5
        VALIDATION OF MEMBERS' MEETINGS.

      7.6
        ACTIONS WITHOUT A MEETING.

      7.7
        REQUIRED VOTE.

      7.8
        QUORUM AND EFFECT OF VOTE.

      7.9
        COMPENSATION OF MEMBERS.

       

      ARTICLE VIII.
        RESTRICTIONS ON TRANSFER OF LLC INTERESTS; ADMISSION OF NEW MEMBERS

      8.1
        TRANSFER OR ASSIGNMENT OF INTERESTS.

      8.2.
        RIGHT OF FIRST REFUSAL UPON SALE.

      8.3
        BUYOUT OPTION.

      8.4
        VOID
        TRANSFERS.

      8.5
        SUBSTITUTION OF MEMBERS.

      8.6
        ADMISSION OF NEW MEMBERS.

      8.7
        SUBSEQUENT TRANSFERS SUBJECT TO TERMS OF AGREEMENT.

      8.8
        PURCHASE TERMS VARIED BY AGREEMENT.

      8.9
        SPOUSAL CONSENT.

       

      ARTICLE IX.
        TERMINATION AND DISSOLUTION

      9.1
        DISSOLUTION.

      9.2
        DISASSOCIATION EVENT.

      9.3
        STATEMENT OF INTENT TO DISSOLVE.

      9.4
        CONDUCT OF BUSINESS.

      9.5
        DISTRIBUTION OF NET PROCEEDS.

       

      ARTICLE X.
        BOOKS, RECORDS, REPORTS AND BANK ACCOUNTS

      10.1
        MAINTENANCE OF BOOKS AND RECORDS.

      10.2
        ANNUAL ACCOUNTING.

      10.3
        INSPECTION AND AUDIT RIGHTS.

      10.4
        BANK
        ACCOUNTS; FISCAL YEAR AND ACCOUNTING METHOD.

      10.5
        TAX
        MATTERS.

      10.6
        INCOME TAX ELECTIONS.

       

      ARTICLE XI.
        INDEMNIFICATION OF THE MEMBERS, MANAGER, AND THEIR AFFILIATES

      11.1
        INDEMNIFICATION OF THE MEMBERS AND THEIR PRINCIPALS.

      11.2
        EXPENSES.

      11.3
        INDEMNIFICATION RIGHTS NON-EXCLUSIVE.

      11.4
        ERRORS AND OMISSIONS INSURANCE.

      11.5
        ASSETS OF THE LLC.

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE XII.
        ISSUANCE OF LLC CERTIFICATES

      12.1
        ISSUANCE OF LLC CERTIFICATES.

      12.2
        TRANSFER OF LLC INTERESTS.

      12.3
        LOST, STOLEN OR DESTROYED CERTIFICATES.

       

      ARTICLE XIII.
        AMENDMENTS

      13.1
        AMENDMENT, ETC. OF OPERATING AGREEMENT.

      13.2
        AMENDMENT OF ARTICLES OF ORGANIZATION.

       

      ARTICLE
        XIV. REPRESENTATIONS AND ACKNOWLEDGMENTS

      14.1
        INVESTMENT REPRESENTATIONS.

      14.2
        NO
        REPRESENTATIONS BY LLC.

       

      ARTICLE XV.
        MISCELLANEOUS PROVISIONS

      15.1
        COUNTERPARTS.

      15.2
        SURVIVAL OF RIGHTS.

      15.3
        SEVERABILITY.

      15.4
        NOTIFICATION OR NOTICES.

      15.5
        GOVERNING LAW.

      15.6
        FURTHER ACTIONS.

      15.7
        ARBITRATION OF DISPUTES.

      15.8
        THIRD PARTY BENEFICIARIES.

      15.9
        PARTITION.

      15.10
        ENTIRE AGREEMENT.

      15.11
        WAIVER.

      15.12
        ATTORNEYS' FEES.

      15.13
        CONFIDENTIALITY.

      

      EXHIBIT A Initial
        Member Names and Addresses; Initial Capital Contributions and Percentage
        Interests

       

      EXHIBIT B Form
        of
        Certificate for LLC Interest

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      STANLEY
        HILLS LLC

       

      LIMITED
        LIABILITY COMPANY OPERATING AGREEMENT

       

      This
        Limited Liability Company Operating Agreement (this “Agreement”) is made and
        entered into effective as of October 3, 2006 by and among the Persons executing
        this Agreement on the signature pages hereof, with reference to the recitals
        set
        forth below.

       

      R
        E C I T
        A L S

       

      WHEREAS,
        the Members have caused STANLEY HILLS LLC (the “LLC”) to be formed pursuant to
        the provisions of the Nevada Revised Statutes as set forth in Title 7, Chapter
        86 (the “Statute”); and

       

      WHEREAS,
        the Members do hereby adopt this Agreement as the operating agreement of
        the
        LLC.

       

      NOW,
        THEREFORE, in consideration of the covenants and the promises made herein,
        the
        parties hereto hereby agree as follows.

       

       

      ARTICLE I.

       

       

      DEFINITIONS
        AND INTERPRETATION

       

      1.1 CERTAIN
        DEFINITIONS.

       

       In
        this
        Agreement, the following terms have the meanings specified or referred to
        in
        this Section 1.1,
        which
        shall be equally applicable to both the singular and plural forms.

       

      1.1.1 “Adjusted
        Capital Account Deficit”
means,
        with respect to any Member, the deficit balance, if any, in such Member's
        Capital Account as of the end of the relevant fiscal year of the LLC, after
        giving effect to the following adjustments:

       

      (i) increase
        such Capital Account by any amounts which such Member is obligated to contribute
        to the LLC (pursuant to the terms of this Agreement or otherwise) or is deemed
        to be obligated to contribute to the LLC pursuant to Regulations
        Sections 1.704-2(g)(1) and 1.704-2(i)(5); and

       

      (ii) reduce
        such Capital Account by the amount of the items described in Regulations
        Sections 1.704-1(b)(2)(ii)(d)(4), (5) and (6).

       

      1.1.2 “Affiliate”
means,
        when used with reference to a specified Person, (i) the
        Principal of the Person, (ii) any
        Person directly or indirectly controlling, controlled by or under common
        control
        with such Person, (iii) any
        Person owning or controlling 10% or more of the outstanding voting interests
        of
        such Person and (iv) any
        relative or spouse of such Person.

       

      1.1.3 “Agreement”
means
        this Limited Liability Company Operating Agreement, as originally executed
        and
        as amended from time to time.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.1.4 “Articles
        of Organization”
means
        the articles of organization filed with the Nevada Secretary of State for
        the
        purpose of forming the LLC.

       

      1.1.5 “Available
        Cash Flow”
means,
        with respect to any fiscal year of the LLC or other period, the sum of all
        cash
        receipts of the LLC from any and all sources, less all cash disbursements
        (including loan repayments, capital improvements and replacements) and a
        reasonable allowance for Reserves, contingencies and anticipated obligations,
        as
        determined by the Manager.

       

      1.1.6 “Capital
        Contribution”
means
        any money, property or services rendered, or a promissory note or other binding
        obligation to contribute money, property or services, that a Member contributes
        to the LLC as capital in such Member’s capacity as a Member and pursuant to an
        agreement among the Members, including an agreement as to the value of such
        contribution.

       

      1.1.7 “Code”
means
        the Internal Revenue Code of 1986, as amended.

       

      1.1.8 “Depreciation”
means,
        for each fiscal year of the LLC or other period, an amount equal to the
        depreciation, amortization or other cost recovery reduction allowable with
        respect to an asset for such fiscal year or other period.

       

      1.1.9 “Disassociation
        Event”
means
        the death, retirement, resignation, expulsion, bankruptcy or dissolution
        of a
        Member, or any other event that terminates the continued membership in the
        LLC
        of a Member.

       

      1.1.10 “Economic
        Interest”
means
        a
        Person's right to share in the Net Profits, Net Losses or similar items of,
        and
        to receive distributions from, the LLC, but does not include any other rights
        of
        a Member including the right to vote or to participate in the management
        of the
        LLC or, except as provided in Section 10.3,
        any
        right to information concerning the business and affairs of the
        LLC.

       

      1.1.11 “LLC
        Interest”
or
        “Interest”
means
        an ownership interest in the LLC, which includes the Economic Interest, the
        right to vote or participate in the management of the LLC and the right to
        information concerning the business and affairs of the LLC, as provided in
        this
        Agreement and under the Statute.
        The
        Interests of the Members, and any portion thereof, constitute the personal
        property of the holders thereof.

       

      1.1.12 “LLC
        Minimum Gain”
means
        the amount determined by computing with respect to each nonrecourse liability
        of
        the LLC, the amount of gain (of whatever character), if any, that would be
        realized by the LLC if it disposed (in a taxable transaction) of the Property
        subject to such liability in full satisfaction thereof, and by then aggregating
        the amounts so computed as set forth in Regulations Section
        1.704-2(d).

       

      1.1.13 “Majority
        in Interest of the Members”
means
        with respect to any date of determination more than 50% of the interests
        of the
        Members in the current profits and capital of the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.1.14 “Manager”
means
        each Person designated or elected to manage the LLC pursuant to
        Section 6.1
        of this
        Agreement.

       

      1.1.15 “Member
        Nonrecourse Debt”
has
        the
        meaning set forth in Regulations Section 1.704-2(b)(4).

       

      1.1.16 “Member
        Nonrecourse Debt Minimum Gain”
means
        an amount, with respect to each Member Nonrecourse Debt, equal to the LLC
        Minimum Gain that would result if such Member Nonrecourse Debt were treated
        as a
        nonrecourse liability of the LLC, determined in accordance with Regulations
        Sections 1.704-2(i)(2) and (3).

       

      1.1.17 “Member
        Nonrecourse Deductions”
has
        the
        meaning set forth in Regulations Section 1.704-2(i)(2). The amount of Member
        Nonrecourse Deductions with respect to a Member Nonrecourse Debt for a fiscal
        year of the LLC equals the excess (if any) of the net increase (if any) in
        the
        amount of Member Nonrecourse Debt Minimum Gain attributable to such Member
        Nonrecourse Debt during that fiscal year over the aggregate amount of any
        distributions during that fiscal year to the Member that bears (or is deemed
        to
        bear) the economic loss for such Member Nonrecourse Debt to the extent such
        distributions are from the proceeds of such Member Nonrecourse Debt and are
        allocable to an increase in Member Nonrecourse Debt Minimum Gain attributable
        to
        such Member Nonrecourse Debt, determined in accordance with Regulations Section
        1.704-2(i)(2).

       

      1.1.18 “Member”
means
        a
        Person who is a signatory to this Agreement, as the same may be amended from
        time to time, and who has not resigned, withdrawn or been expelled as a Member
        or, if other than an individual, been dissolved.

       

      1.1.19 “Net
        Profits”
and
        “Net
        Losses”
mean,
        for each fiscal year of the LLC or other period, an amount equal to the LLC’s
        taxable income or loss for such fiscal year or period, determined in accordance
        with Code Section 703(a) (for this purpose, all items of income, gain, loss
        or
        deduction required to be stated separately pursuant to Code Section 703(a)(1)
        shall be included in taxable income or loss), with the following
        adjustments:

       

      (i) Any
        income of the LLC that is exempt from Federal income tax and not otherwise
        taken
        into account in computing Net Profits or Net Losses shall be added to such
        taxable income or loss;

       

      (ii) Any
        expenditures of the LLC described in Code Section 705(b)(2)(B) or treated
        as
        Code Section 705(b)(2)(B) expenditures pursuant to Regulations Section
        1.704-1(b)(2)(iv)(i) and not otherwise taken into account in computing Net
        Profits or Net Losses shall be subtracted from such taxable income or
        loss;

       

      (iii) Gain
        or
        loss resulting from any disposition of Property with respect to which gain
        or
        loss is recognized for Federal income tax purposes shall be computed by
        reference to the fair market value of the Property disposed of, notwithstanding
        that the adjusted tax basis of such Property differs from its fair market
        value;

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      (iv) In
        lieu
        of depreciation, amortization and other cost recovery deductions taken into
        account in computing such taxable income or loss, there shall be taken into
        account Depreciation for such fiscal year or other period, computed in
        accordance with the Section 1.1.8
        hereof,
        and

       

      (v) Notwithstanding
        any other provision of this subsection, any items of income, gain, loss or
        deduction which are specifically allocated shall not be taken into account
        in
        computing Net Profits or Net Losses.

       

      1.1.20 “Percentage
        Interests”
        of the
        Members shall be as set forth on Exhibit A hereto, as the same may be amended
        from time to time in accordance with this Agreement or supplemented by a
        register of Interests or any other books and records maintained in conformity
        with this Agreement by the LLC or its transfer agent or registrar for the
        purpose of recording the interests of the LLC’s Interest holders.

       

      1.1.21 “Person”
        means
        any individual, partnership, limited partnership, corporation, trust, estate,
        association, limited liability company or other entity, whether domestic
        or
        foreign.

       

      1.1.22 “Principal”
        means
        the individual who is in ultimate control of a Member.

       

      1.1.23 “Property”
        means
        all assets of the LLC, both tangible and intangible, or any portion
        thereof.

       

      1.1.24 “Regulations”
        means
        the Federal income tax regulations promulgated by the Treasury Department
        under
        the Code, as such regulations may be amended from time to time. 

       

      1.1.25 “Reserves”
        means
        funds set aside from Capital Contributions or gross cash revenues as reserves.
        Such Reserves shall be maintained in amounts reasonably deemed sufficient
        by the
        Manager for working capital and the payment of taxes, insurance, debt service,
        repairs, replacements, renewals or other costs or expenses incident to the
        business of the LLC.

       

      1.2 OTHER
        DEFINED TERMS. 

       

      The
        following terms have the meanings defined for such terms in the Sections
        set
        forth below:

       

      Term Section

      

      Arbitrator 15.7

      Buyout
        Event 8.3.1

      Buyout
        Notice 8.3.1

      Buyout
        Option 8.3.1

      Capital
        Account 3.4.3

      Departing
        Member 8.3.1

      Fair
        Market Value 8.3.2

      Indemnitee 11.1

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      LLC Recitals

      LLC
        Certificate 12.1

      Period
        of
        Duration 2.5

      Permitted
        Transfer 8.1

      Remaining
        Member 8.3.1

      Sale
        Notice 8.2.1

      Statute Recitals

      Transfer 8.1

      Vote 7.7

       

      1.3 INTERPRETATION. 

       

       As
        used
        in this Agreement, the word “including” means without limitation, the word “or”
is not exclusive and
        the
        words “herein,” “hereof,” “hereto” and hereunder refer to this Agreement as a
        whole. Unless the context otherwise requires, references herein: (i) to
        Articles, Sections and Exhibits mean the Articles and Sections of and the
        Exhibits attached to this Agreement, (ii) to an
        agreement, instrument or other document means such agreement, instrument
        or
        other document as amended, supplemented and modified from time to time to
        the
        extent permitted by the provisions thereof and by this Agreement and (iii)
        to a
        statute means such statute as amended from time to time and includes any
        successor legislation thereto. The Exhibits referred to herein shall be
        construed with and as an integral part of this Agreement to the same extent
        as
        if they were set forth verbatim herein. Titles to Articles and headings of
        Sections are inserted for convenience of reference only and shall not be
        deemed
        a part of or to affect meaning or interpretation of this Agreement. The language
        herein shall be in all cases construed simply according to its fair meaning
        and
        not strictly for or against any of the Members.

       

       

      ARTICLE II.

       

       

      INTRODUCTORY
        MATTERS

       

      2.1 FORMATION
        OF LLC.

       

       The
        parties have formed the LLC pursuant to the provisions of the Statute by
        filing
        the Articles of Organization with the Nevada Secretary of State.
        The
        rights and liabilities of the Members shall be determined pursuant to the
        Statute and this Agreement. To the extent that the rights or obligations
        of any
        Member are different by reason of any provision of this Agreement than they
        would be in the absence of such provision, this Agreement shall, to the extent
        permitted by the Statute, control.

       

      2.2 NAME;
        PRINCIPAL OFFICE; AGENT.

       

       The
        name
        of the LLC is “STANLEY HILLS LLC.” The
        LLC
        shall maintain its principal place of business at 1061 1⁄2 N. Spaulding Avenue,
        Los Angeles, California 90046, or at any other location mutually agreed upon
        by
        the Members.
        The name
        and address of the LLC's agent for service of process is
        GKL
        Corporate/ Search, Inc.

       

      2.3 PERIOD
        OF DURATION. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       The
        period of duration of the LLC (the “Period of Duration”) shall be through 2075,
        unless the LLC is sooner terminated or dissolved in accordance with the
        provisions of this Agreement.

       

      2.4 BUSINESS
        AND PURPOSE OF THE LLC.

       

       The
        purpose of the LLC is to engage in any lawful activities for which a limited
        liability company may be organized under the Statute, provided
        that the LLC shall not conduct any banking, insurance or trust company
        business.
        Specifically, the LLC has been formed to undertake real estate
        development.

       

      2.5 TITLE
        TO ALL PROPERTIES.

       

       Real
        and
        personal property owned or purchased by the LLC shall be held and owned,
        and
        conveyance made, in the name of the LLC. Instruments and documents providing
        for
        the acquisition, mortgage or disposition of Property of the LLC shall be
        valid
        and binding upon the LLC, except as otherwise limited by this Agreement,
        if
        executed by one or more Managers of the LLC.

       

       

      ARTICLE III.

       

      MEMBERS
        AND CAPITAL CONTRIBUTIONS

       

      3.1 MEMBERS;
        NO PERSONAL LIABILITY.

       

       The
        name,
        present mailing address and Percentage Interest of each Member is set forth
        on
        Exhibit A hereto.
        No
        Member shall have any personal liability for any obligation of the LLC, except
        as expressly provided by law.

       

      3.2 INITIAL
        CAPITAL CONTRIBUTIONS.

       

       Upon
        execution of this Agreement, each Member shall contribute to the LLC cash
        in the
        amount set forth beside such Member’s name under the heading “Member’s Capital
        Contribution” on Exhibit A hereto.

       

      3.3 ADDITIONAL
        CONTRIBUTIONS. 

       

       Except
        as
        may be otherwise expressly set forth herein, no Member shall be required
        to make
        any additional Capital Contributions or loan or caused to be loaned to the
        LLC
        any money or other assets. 

       

      3.4 RIGHTS
        WITH RESPECT TO CAPITAL. 

       

      3.4.1 LLC
        Capital.
        Except
        as otherwise provided in this Agreement, no Member shall have the right to
        withdraw or receive any return of its Capital Contribution, and no Capital
        Contribution may be returned in a form of property other than cash.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      3.4.2 No
        Interest on Capital Contributions.
        Except
        as expressly provided in this Agreement, no Capital Contribution of any Member
        shall bear any interest or otherwise entitle the contributing Member to any
        compensation for the use of contributed capital.

       

      3.4.3 Establishment
        of Capital Accounts.
        A
        separate capital account (each, a “Capital Account”) shall be maintained for
        each Member. For book purposes, each Member's Capital Account will be separated
        into a contribution account and an income (loss)
        account
        and will be maintained according to generally accepted accounting principles
        consistently applied. Sections 3.5
        and
3.6
        below
        describe the appropriate accounting treatment for tax purposes of the Capital
        Accounts.

       

      3.5 GENERAL
        RULES FOR ADJUSTMENT OF CAPITAL ACCOUNTS. 

       

      3.5.1 Increases.
        The
        Capital Account of a Member shall be increased by:

       

      (i) Such
        Member's cash contributions;

       

      (ii) The
        agreed fair market value of property contributed by such Member (net of
        liabilities secured by such contributed property that the LLC is deemed to
        assume or take subject to under Code Section 752); and

       

      (iii) All
        items
        of LLC income and gain (including income and gain exempt from tax) allocated
        to
        such Member pursuant to Article IV or other provisions of this
        Agreement.

       

      3.5.2 Decreases.
        The
        Capital Account of a Member shall be decreased by:

       

      (i) The
        amount of cash distributed to such Member;

       

      (ii) The
        agreed fair market value of all actual and deemed distributions of property
        made
        to such Member pursuant to this Agreement (net of liabilities secured by
        such
        distributed property that the Member is deemed to assume or take subject
        to
        under Code Section 752); and

       

      (iii) All
        items
        of LLC deduction and loss allocated to such Member pursuant to Article IV
        or other provisions of this Agreement.

       

      3.6 SPECIAL
        RULES WITH RESPECT TO CAPITAL ACCOUNTS. 

       

      3.6.1 Time
        of Adjustment for Capital Contributions.
        For
        purposes of computing the balance in a Member's Capital Account, no credit
        shall
        be given for any Capital Contribution which such Member is to make until
        such
        contribution is actually made. 

       

      3.6.2 Intent
        to Comply with Treasury Regulations.
        The
        provisions of Section 3.5
        and this
        Section 3.6
        and the
        other provisions of this Agreement relating to the maintenance of Capital
        Accounts are intended to comply with Regulations Section 1.704-1(b), and
        shall
        be interpreted and applied in a manner consistent therewith. To the extent
        such

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      provisions
        are inconsistent with such Regulations Section or are incomplete with respect
        thereto, the Capital Accounts shall be maintained in such manner as is required
        to comply with such Regulations Section.

       

      3.7 TRANSFEREE'S
        CAPITAL ACCOUNT.

       

       In
        the
        event a Member or the holder of an Economic Interest transfers an Interest
        in
        accordance with the terms of this Agreement, the transferee shall succeed
        to the
        Capital Account of the transferor to the extent it relates to the transferred
        Interest.

       

       

      ARTICLE IV.

       

       

      ALLOCATION
        OF PROFITS AND LOSSES

       

      4.1 ALLOCATION
        OF NET PROFITS AND NET LOSSES. 

       

       Except
        as
        otherwise provided in this Article IV, Net Profits and Net Losses in each
        fiscal
        year of the LLC shall be allocated among the Members as follows:

       

      4.1.1 Net
        Profits.
        After
        giving effect to any special or other overriding allocations set forth in
        this
        Article IV, Net Profits shall be allocated among the Members as
        follows:

      (i) first,
        in
        proportion to and up to the amounts of Net Losses allocated for previous
        fiscal
        years of the LLC pursuant to Section 4.1.2(ii) and not previously affected
        by
        allocations pursuant to this Section 4.1.1(i); 

       

      (ii) second,
        in proportion to and up to the amounts of Net Losses allocated for previous
        fiscal years of the LLC pursuant to Section 4.1.2(i) and not previously affected
        by allocations pursuant to this Section 4.1.1(ii); and

       

      (iii) thereafter,
        to the Members in accordance with their respective Percentage
        Interests.

       

      4.1.2 Allocation
        of Net Losses.
        After
        giving effect to any special or other overriding allocations set forth in
        this
        Article IV, Net Losses shall be allocated among the Members as
        follows:

       

      (i) first,
        in
        proportion and to the extent of the Members’ positive adjusted Capital Accounts;
        and 

       

      (ii) thereafter,
        to the Members in accordance with their respective Percentage
        Interests.

       

      4.2 RESIDUAL
        ALLOCATIONS. 

       

       Except
        as
        otherwise provided in this Agreement, all items of LLC income, gain, loss,
        deduction and any other allocations not otherwise provided for shall be divided
        among the

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Members
        in the same proportions as they share Net Profits or Net Losses, as the case
        may
        be, for the applicable fiscal year of the LLC.

       

      4.3 QUALIFIED
        INCOME OFFSET.

       

       If
        any
        Member unexpectedly receives any adjustments, allocation or distributions
        described in clauses (4), (5) or (6) of Regulations Section
        1.704-1(b)(2)(ii)(d), items of LLC income
        shall be specially allocated to such Member in an amount and manner sufficient
        to eliminate the Adjusted Capital Account Deficit created by such adjustments,
        allocations or distributions as quickly as possible. This
        Section 4.3
        is
        intended to constitute a “qualified income offset” within the meaning of
        Regulations Section  1.704-1(b)(2)(ii)(d)(3).

       

      4.4 MINIMUM
        GAIN CHARGEBACK.

       

       If
        there
        is a net decrease in LLC Minimum Gain during a fiscal year, each Member will
        be
        allocated, before any other allocation under this Article IV, items of
        income and gain for such fiscal year (and, if necessary, subsequent years)
        in
        proportion to and to the extent of an amount equal to such Member's share
        of the
        net decrease in LLC Minimum Gain determined in accordance with Regulations
        Section 1.704-2(g)(2). This Section 4.4
        is
        intended to comply with, and shall be interpreted consistently with, the
        “minimum gain chargeback” provisions of Regulations Section
        1.704-2(f).

       

      4.5 MEMBER
        NONRECOURSE DEBT MINIMUM GAIN CHARGEBACK. 

       

       Notwithstanding
        any other provision of this Article IV, but except
        Section 4.4,
        if
        there is a net decrease in Member Nonrecourse Debt Minimum Gain attributable
        to
        a Member Nonrecourse Debt during any fiscal year of the LLC, each Member
        who has
        a share of the Member Nonrecourse Debt Minimum Gain attributable to such
        Member
        Nonrecourse Debt, determined in accordance with Treasury Regulations Section
        1.704-2(i)(5), shall be specially allocated items of LLC income and gain
        for
        such year (and, if necessary, subsequent years) in an amount equal such Member's
        share of the net decrease in Member Nonrecourse Debt Minimum Gain attributable
        to such Member Nonrecourse Debt, determined in accordance with Regulations
        Section 1.704-2(i)(4). Allocations pursuant to the previous sentence shall
        be
        made in proportion to the respective amounts required to be allocated to
        each
        Member pursuant thereto. The items to be so allocated shall be determined
        in
        accordance with Regulations Section 1.704-2(i)(4). This
        Section 4.5
        is
        intended to comply with a minimum gain chargeback requirement of that Section
        of
        the Regulations and shall be interpreted consistently therewith.

       

      4.6 MEMBER
        NONRECOURSE DEDUCTIONS.

       

       Any
        Member Nonrecourse Deductions for any fiscal year of the LLC or other period
        shall be specially allocated to the Member who bears (or is deemed to bear)
        the
        economic risk of loss with respect to the Member Nonrecourse Debt to which
        such
        Member Nonrecourse Deductions are attributable in accordance with Regulations
        Section 1.704-2(i)(2).

       

      4.7 SPECIAL
        ALLOCATIONS.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Any
        special allocations of items of Net Profits pursuant to
        Sections 4.4,
        4.5
        and 4.6
        shall be taken into account in computing subsequent allocations of Net Profits
        pursuant to Section 4.1,
        so that the net amount of any items so allocated and the gain, loss and any
        other item allocated to each Member pursuant to
        Section 4.1
        shall, to the extent possible, be equal to the net amount that would have
        been
        allocated to each such Member pursuant to the provisions of this Article
        IV if
        such special allocations had not occurred.

       

      4.8 FEES
        TO MEMBERS OR AFFILIATES.

       

       Notwithstanding
        the provisions of Section 4.1,
        in the
        event that any fees, interest or other amounts paid to any Member or any
        Affiliate thereof pursuant to this Agreement or any other agreement between
        the
        LLC and any Member or Affiliate thereof providing for the payment of such
        amount, and deducted by the LLC in reliance on Section 707(a) and/or 707(c)
        of
        the Code, are disallowed as deductions to the LLC on its federal income tax
        return and are treated as LLC distributions, then:

       

      (i) the
        Net
        Profits or Net Losses, as the case may be, for the fiscal year of the LLC
        in
        which such fees, interest, or other amounts were paid shall be increased
        or
        decreased, as the case may be, by the amount of such fees, interest or other
        amounts that are treated as LLC distributions; and

       

      (ii) there
        shall be allocated to the Member to which (or to whose Affiliate) such fees,
        interest or other amounts were paid, prior to the allocations pursuant to
        Section 4.1,
        an
        amount of gross income for such fiscal year equal to the amount of such fees,
        interest or other amounts that are treated as LLC distributions.

       

      4.9 SECTION
        704(c) ALLOCATION. 

       

       Any
        item
        of income, gain, loss and deduction with respect to any property (other than
        cash) that has been contributed by a Member to the capital of the LLC and
        which
        is required or permitted to be allocated to such Member for income tax purposes
        under Section 704(c) of the Code so as to take into account the variation
        between the tax basis of such property and its fair market value at the time
        of
        its contribution shall be allocated to such Member solely for income tax
        purposes in the manner so required or permitted.

       

       

      ARTICLE V.

       

       

      DISTRIBUTIONS

       

      5.1 AVAILABLE
        CASH FLOW.

       

       Subject
        to applicable law, the Manager from time to time may elect to distribute
        Available Cash Flow of the LLC to the Members in proportion to their Percentage
        Interests as of the time of such distribution. For purposes of allocations
        of
        Net Profits pursuant to Section 4.1.1,
        Available Cash Flow attributable to a specific fiscal year of the LLC shall
        be
        deemed distributed as of the end of such fiscal year.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      5.1.1 LIQUIDATING
        DISTRIBUTIONS.

       

       If
        the
        LLC is liquidated, the assets of the LLC shall be distributed to the Members
        in
        accordance with the balances in their respective Capital Accounts, after
        giving
        effect to all Capital Contributions, distributions and allocations for all
        periods. Distributions to the Members pursuant to this Section 5.2
        shall be
        made in accordance with Section 1.704-1(b)(2)(ii)(b)(2) of the
        Regulations.

       

       

      ARTICLE VI.

       

       

      RIGHTS,
        DUTIES, OBLIGATIONS AND 

       

       

      COMPENSATION
        OF MANAGER AND OFFICERS

       

      6.1 MANAGER.

       

       The
        LLC
        shall be managed by Yossi Attia. A Manager need not be a Member or an
        individual.

       

      6.1.1 Duties
        of the Manager.
        The
        Manager shall function collectively as the general manager and chief executive
        officer of the LLC and have, subject to the control of the Members, general
        supervision, direction and control of the business of the LLC. The Manager
        shall
        have such rights, duties and powers as are specified in this Agreement, or
        conferred upon the Manager by a Vote of the Members. 

       

      6.1.2 Execution
        of Documents.
        To the
        extent practicable, the Manager shall operate the business and affairs of
        the
        LLC in consultation with one another, but notwithstanding the provisions
        of this
        Section 6.1,
        and
        except as set forth in Section 6.2
        hereof,
        any Manager acting alone may execute any contract, deed, lease, agreement
        or
        other instrument on behalf of the LLC, and the execution thereof by a Manager
        shall be conclusive evidence in favor of every Person relying thereon or
        claiming thereunder that such contract, deed, lease, agreement or other
        instrument, when executed and delivered by such Manager, was duly authorized
        by
        the Members and/or the Manager, as appropriate; provided, however, that any
        action by the Manager with respect to the matters set forth in
        Section 6.2
        hereof
        shall be authorized by a majority of the Manager in the manner set forth
        in this
        Section 6.1.

       

      6.1.3 Election.
        Each
        Manager shall hold office until such Manager’s successor has been elected by a
        Vote of the Members and has qualified, unless such Manager earlier resigns
        or is
        removed or otherwise disqualified to serve. In voting for Manager, each Member
        shall have a number of votes equal to such Member’s Percentage Interest in the
        LLC. The candidate for a Manager position who receives the most Member votes
        cast with respect to such position shall succeed thereto.

       

      6.1.4 Subordinate
        Officers.
        The
        Members may appoint a secretary, a chief financial officer and such other
        officers as the business of the LLC may require, each of whom shall hold
        office
        for such period, have such authority and perform such duties as are provided
        in
        this Agreement, or as the Members may determine.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      6.1.5 Removal
        and Resignation.
        Any
        Manager or other officer of the LLC may be removed, with or without cause,
        by a
        Vote of the Members. Any Manager or other officer of the LLC may resign at
        any
        time without prejudice to any rights of the LLC under any contract to which
        the
        Manager or other officer of the LLC is a party, by giving written notice
        to the
        Members or to the Manager, as applicable. Any such resignation shall take
        effect
        at the date of the receipt of such notice or at any later time specified
        therein
        and, unless otherwise specified therein, the acceptance of such resignation
        shall not be necessary to make it effective.

       

      6.1.6 Vacancies.
        A
        vacancy among the Manager or in any office because of death, resignation,
        removal, disqualification or any other cause shall be filled by a Vote of
        the
        Members through the appointment of a successor Manager or officer who shall
        hold
        office for the unexpired term.

       

      6.1.7 Meetings.
        Any
        meetings of the Manager shall be held at the principal office of the LLC,
        unless
        some other place is designated in the notice of the meeting. Any Manager
        may
        participate in a meeting through use of a conference telephone or similar
        communication equipment so long as all Manager participating in such a meeting
        can hear one another. Accurate minutes of any meeting of the Manager shall
        be
        maintained by the officer designated by the Manager for that
        purpose.

       

      6.1.8 Regular
        Meetings.
        Meetings
        of Manager shall not be required. Regular meetings of the Manager may be
        held
        immediately following the adjournment of any annual meeting of the Members
        at
        which the Manager are elected. No notice need be given of such regular
        meetings.

       

      6.1.9 Special
        Meetings.
        Special
        meetings of the Manager for any purpose may be called at any time by any
        Manager. At least 48 hours notice of the time and place of a special meeting
        of
        the Manager shall be delivered personally to the Manager or personally
        communicated to them by an officer of the LLC by telephone, telegraph or
        facsimile. If the notice is sent to a Manager by letter, it shall be addressed
        to such Manager at his, her or its last known business address as it is shown
        in
        the records of the LLC. In case such notice is mailed, it shall be deposited
        in
        the United States mail, first-class postage, prepaid, in the place in which
        the
        principal office of the LLC is located at least four days prior to the time
        of
        the holding of the meeting. Such mailing, telegraphing, telephoning or delivery
        as above provided shall be considered due, legal and personal notice to such
        Manager.

       

      6.1.10 Meetings
        Without Notice. 
        Notice
        of a meeting need not be given to any Manager who signs a waiver of notice,
        a
        consent to holding the meeting or an approval of the minutes thereof, whether
        before or after the meeting, or who attends the meeting without protesting,
        prior thereto or at its commencement, the lack of notice to such Manager.
        All
        such waivers, consents and approvals shall be filed with the LLC’s records or
        made a part of the minutes of the meeting.

       

      6.1.11 Written
        Consent in Lieu of Meetings.
        Any
        action required or permitted to be taken by the Manager may be taken without
        a
        meeting and will have the same force and effect as if taken by a vote of
        the
        Manager at a meeting properly called and noticed, if authorized

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      by
        a
        writing signed individually or collectively by all, but not less than all,
        of
        the Manager. Any such consent shall be filed with the records of the
        LLC.

       

      6.1.12 Quorum.
        A
        majority of the total number of incumbent Manager shall be necessary to
        constitute a quorum for the transaction of business at any meeting of the
        Manager, and except as
        otherwise provided in this Agreement or by the Statute, the action of a majority
        of the Manager present at any meeting at which there is a quorum, when duly
        assembled, is valid. A meeting at which a quorum is initially present may
        continue to transact business, notwithstanding the withdrawal of Manager,
        if any
        action taken is approved by a majority of the required quorum for such
        meeting.

       

      6.2 LIMITATIONS
        ON RIGHTS AND POWERS. 

       

       Except
        by
        a Vote of the Members which is evidenced in writing, neither the Manager
        nor any
        officers of the LLC shall have the authority to:

       

      (i) Enter
        into or commit to any agreement, contract, commitment or obligation on behalf
        of
        the LLC obligating any Member or Principal to fund additional capital, to
        make
        or guarantee a loan or to increase its personal liability either to the LLC
        or
        to third parties;

       

      (ii) Permit
        the LLC's funds to be commingled with the funds of any other
        Person;

       

      (iii) Do
        any
        act in contravention of this Agreement;

       

      (iv) Do
        any
        act which would make it impossible to carry on the business of the
        LLC;

       

      (v) Confess
        a
        judgment against the LLC;
        or

       

      (vi) Sell,
        exchange or otherwise dispose of all or substantially all of the assets of
        the
        LLC, whether in a single transaction or in a series of related transactions,
        or
        merge the LLC with or into any other limited liability company, limited
        partnership, corporation or other entity.

       

      6.3 COMPENSATION
        OF MANAGER. 

       

       The
        LLC
        shall pay to the Manager such salary and other benefits as shall be approved
        from time to time by a Vote of the Members. The LLC shall reimburse the Manager
        for any expense paid by a Manager that properly is to be borne by the
        LLC.

       

       

      ARTICLE VII.

       

       

      MEMBERS;
        MEMBERS' MEETINGS

       

      7.1 PLACE
        OF MEETINGS;
        MANAGER TO PRESIDE.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Meetings
        of the Members shall be held at the principal office of the LLC or at such
        other
        location as may be reasonably designated by the Manager.
        The Manager shall preside at all meetings of the Members.

       

      7.2 ANNUAL
        MEETINGS OF MEMBERS. 

       

       Annual
        meetings of the Members shall not be required. An annual meeting of the Members
        may be held at such date, time and place within or without the State of NEVADA
        as the Manager may determine from time to time. At any annual meeting, the
        Members may elect the Manager and transact such other business as may be
        properly brought before the meeting.
        Notwithstanding the foregoing, the Manager shall not be under any obligation
        to
        convene an annual meeting of the Members unless requested to do so in writing
        by
        a Majority in Interest of the Members.

       

      7.3 SPECIAL
        MEETINGS.

       

       Special
        meetings of the Members may be called at any time by any Manager or by one
        or
        more Members holding in the aggregate more than 10% of the Percentage Interests.
        Upon receipt of a written request, which request may be mailed or delivered
        personally to the Manager, from any Person entitled to call a special meeting
        of
        Members, the Manager shall cause notice to be given to the Members that a
        meeting will be held at a time requested by the Person or Persons calling
        the
        meeting, which time for the meeting shall be not less than 10 nor more than
        sixty 60 days after the receipt of such request. If such notice is not given
        within 20 days after delivery of such request to the Manager, the Persons
        calling the meeting may give notice thereof in the manner provided by this
        Agreement.

       

      7.4 NOTICE
        OF MEETINGS. 

       

      Except
        as
        provided in Section 7.3
        with
        respect to special meetings, notice of meetings shall be given by the Manager
        to
        the Members in writing not less than 10 nor more than 60 days before the
        date of
        the meeting. Notices for regular and special meetings shall be given personally,
        by mail or by
        facsimile, and shall be sent to each Member's last known business address
        appearing on the books of the LLC. Such notice shall be deemed given at the
        time
        it is delivered personally, deposited in the mail or sent by facsimile. Notice
        of any meeting of Members shall specify the place, the day and the hour of
        the
        meeting, and (i) in case of a special meeting, the general nature of the
        business to be transacted, or (ii) in the case of an annual meeting, those
        matters which the Manager, at the date of mailing, intend to present for
        action
        by the Members. 

       

      7.5 VALIDATION
        OF MEMBERS' MEETINGS.

       

       Business
        transacted at a meeting of Members which was not called or noticed pursuant
        to
        the provisions of Section 7.3
        or
7.4
        shall be
        valid as though transacted at a meeting duly held after regular call and
        notice,
        if Members holding in the aggregate more than 50% of the Percentage Interests
        are present, and if, either before or after the meeting, each of the Members
        entitled to vote but not present (whether in person or by proxy, as that
        term is
        used in the Statute)

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      at
        the
        meeting signs a written waiver of notice, a consent to the holding of such
        meeting or an approval of the minutes thereof. All such waivers, consents
        or
        approvals shall be filed with the records of the LLC. Attendance at a meeting
        shall constitute a waiver of notice, unless an objection is made at the
        beginning of the meeting that it was not duly called or convened.

       

      7.6 ACTIONS
        WITHOUT A MEETING. 

       

       Any
        action which may be taken at any annual or special meeting of Members may
        be
        taken without a meeting and without prior notice if a consent in writing,
        setting forth the action so taken, shall be signed by Members holding in
        the
        aggregate the number of votes equal to or greater than the number
        of
        votes required to approve such action at a meeting of the Members. Notwithstanding
        the foregoing, unless the consents of all of the Members have been given
        in
        writing, notice of any approval of (i) an amendment to this Agreement or
        the Articles of Organization, (ii) a dissolution of the LLC pursuant to
        clause (ii) of Section 9.1
        hereof
        or (iii) a merger of the LLC as provided in Section 17551 of the
        Statute shall be given at least 10 days
        before the consummation of any such action to each Member whose consent was
        not
        so obtained. Any Member giving a written consent may revoke the consent by
        a
        writing received by the LLC prior to the time that written consents of Members
        required to authorize the proposed action have been filed with the LLC. Any
        such
        revocation shall be effective upon its receipt by the LLC.

       

      7.7 REQUIRED
        VOTE. 

       

       Unless
        otherwise expressly set forth in this Agreement or required by the terms
        of the
        Statute, Code or applicable Regulations thereunder, the affirmative vote
        of at
        least a Majority in Interest of the Members (a “Vote”), wherein each Member
        casts a number of votes equal to the Member's Percentage Interest in the
        LLC,
        shall
        constitute the approval of the Members.

       

      7.8 QUORUM
        AND EFFECT OF VOTE. 

       

       A
        Majority in Interest of the Members shall constitute a quorum at all meetings
        of
        the Members for the transaction of business, and a Vote of the Members shall
        be
        required to approve any action, unless a greater vote is required or a lesser
        vote is provided for by this
        Agreement or by the Statute. Each Member shall have a number of votes equal
        to
        the Percentage Interest held by such Member, provided that if, pursuant to
        the
        Statute or the terms of this Agreement, a Member
        is
        not entitled to vote on a specific matter, then such Member's number of votes
        and Percentage Interest shall not be considered for purposes of determining
        whether a quorum is present, or whether approval by Vote of the Members has
        been
        obtained in respect of such specific matter.

       

      7.9 COMPENSATION
        OF MEMBERS. 

       

      Except
        as
        expressly permitted by this Agreement or any other duly authorized and approved
        written agreement, the LLC shall pay no compensation to any Member or any
        Principal of any Member for their services to the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE 1.

       

      RESTRICTIONS
        ON TRANSFER OF LLC

       

      INTERESTS;
        ADMISSION OF NEW MEMBERS

       

      7.10 TRANSFER
        OR ASSIGNMENT OF INTERESTS. 

       

       No
        transfer, sale, hypothecation, pledge, encumbrance, assignment or other
        disposition (each of the foregoing, a “Transfer”) of a Member’s Interest, or any
        part thereof, will be valid without the consent of a Majority in Interest
        of the
        Members. Any Transfer of an Interest, including an involuntary Transfer,
        which
        does not satisfy the requirements of this Section 8.1
        shall be
        subject to the provisions of Section 8.3
        hereof;
        provided, however, that any Transfer by a Member to a trust or other entity
        wholly owned by or established for the benefit of such Member, or to a parent,
        spouse, sibling or descendant of such Member or to a trust established
        exclusively for the benefit of one or more of such Persons (any such Transfer,
        a
“Permitted Transfer”), shall not require consent pursuant to this
        Section 8.1.

       

      7.11. RIGHT
        OF FIRST REFUSAL UPON SALE.

       

      Other
        than with respect to Permitted Transfers, in the event that any Member receives
        a bona fide offer for the purchase and sale of all or any portion of such
        Member’s Interest, the Member shall first offer to sell such Interest or portion
        thereof to the other Members and to the LLC in accordance with the provisions
        of
        this Section 8.2.

       

      7.11.1 Notice
        of Offer to Sell. Promptly
        following the receipt of an offer to purchase all or any portion of his,
        her or
        its Interest, a Member shall deliver a written notice (the “Sale Notice”) to the
        LLC and the other Members stating (i) such Member’s bona fide intention to sell
        his, her or its Interest, (ii) the name and address of the proposed transferee,
        (iii) the Interest or portion thereof to be sold and (iv) the purchase price
        and
        terms of payment upon which the Member proposes to sell such
        Interest.

       

      7.11.2 Right
        of First Refusal.
        Within
        90 days after receipt of the Sale Notice, the LLC and the Members electing
        to
        purchase the Interest subject to the Sale Notice shall have the first right
        to
        purchase or obtain such Interest upon the price and terms of payment designated
        in the Sale Notice. If the Sale Notice provides for the payment of non-cash
        consideration, the LLC and the purchasing Members each may elect to pay the
        consideration in cash equal to the good faith estimate of the present fair
        market value of the non-cash consideration offered, as determined by the
        Manager
        or, in the absence of an agreement among the Manager as to such value, by
        a
        nationally recognized firm of appraisers jointly selected by the
        Manager.

       

      7.11.3 Election
        to Exercise Right of First Refusal. Within
        30
        days after receipt of the Sale Notice, each non-selling Member shall notify
        the
        Manager in writing of his, her or its desire to purchase a portion of the
        Interest subject to the Sale Notice. The failure of any Member to so notify
        the
        Manager within the applicable period shall constitute an election on the
        part of
        that Member not to purchase any portion of the Interest subject to the Sale
        Notice. Each Member so electing to purchase shall be entitled to purchase
        a
        portion of such Interest in the same proportion that the Percentage Interest
        of
        such Member bears to the aggregate of the Percentage

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Interest
        of all of the Members electing to so purchase the Interest subject to the
        Sale
        Notice. In the event any Member elects to purchase none or less than all
        of his,
        her or its pro rata share of such Interest, then the other Members can elect
        to
        purchase more than their pro rata share. If such Members fail to purchase
        the
        entire Interest subject to the Sale Notice, the LLC may purchase any remaining
        share of such Interest.

       

      7.11.4 Lapse
        of Right of First Refusal. If
        the
        LLC or the other Members elect not to purchase or obtain all of the Interest
        subject to the Sale Notice, then the selling Member may sell the Interest
        described in the Sale Notice to the proposed transferee, provided such sale
        (i)
        is completed within 30 days after the expiration of the LLC’s and the other
        Members' right to purchase such Interest, (ii) is made on terms no less
        favorable to the selling Member than as designated in the Sale Notice and
        (iii)
        the requirements of Section 8.1
        have
        been met. If such Interest is not so sold, the selling Member must give notice
        in accordance with this Section 8.2.
        prior to
        any subsequent sale of such Member’s Interest.

       

      7.12 BUYOUT
        OPTION.

       

      7.12.1 Buyout
        Notice.
        Any
        Member (a “Remaining Member”) or its designated Affiliate shall have the right
        (the “Buyout Option”) to purchase all, but not less than all, of the LLC
        Interest of any other Member (a “Departing Member”) in the event the Departing
        Member Transfers any portion of such Member’s LLC Interest other than as
        permitted pursuant to Section 8.1
        hereof
        (a “Buyout Event”). Within 30 days of receipt of notice of a Buyout Event, the
        Remaining Member shall give written notice (the “Buyout Notice”) to the
        Departing Member of the Remaining Member’s desire to purchase the Departing
        Member’s LLC Interest. In the event that there is more than one Remaining Member
        at the time a Buyout Event occurs, the Remaining Members shall be entitled
        to
        exercise the Buyout Option pro rata in accordance with their respective
        Percentage Interests. 

       

      7.12.2 Purchase
        Price of the Departing Member’s LLC Interest.
        The
        purchase price of the Departing Member’s LLC Interest shall be the Fair Market
        Value thereof. For purposes hereof, the “Fair Market Value” of such Interest
        shall be such value as is mutually agreed upon among the Members (which term
        shall include, for purposes of this Section 8.3.2,
        the
        Departing Member’s legal representatives); provided, however, that in the event
        that such Persons are unable to agree upon a Fair Market Value within 30
        days of
        the date of the Buyout Notice, the Fair Market Value shall be determined
        by an
        independent appraiser affiliated with a nationally recognized firm of
        accountants, appraisers or investment bankers and selected by the Manager
        in the
        exercise of their reasonable discretion. The appraiser shall render a written
        report setting forth its determination of Fair Market Value as promptly as
        possible, and the Transfer incident to the exercise of the Buyout Option
        shall
        be made within 15 days after such determination has been made. In making
        such
        determination, the appraiser shall value the LLC as a going concern and shall
        take into consideration (i) the transferability and liquidity of the Departing
        Member’s Interest, (ii) the fact that additional capital may be required, from
        time to time, in connection with the business of the LLC and (iii) the economic
        risk and liability associated with the ownership of such Interest. Absent
        manifest error, the appraiser’s determination of Fair Market Value shall be
        final and binding on all parties. The fees and expenses of any appraiser
        shall
        be paid by the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      7.12.3 Exercise
        Terms.
        The
        Buyout Notice shall specify the date on which the Transfer pursuant to an
        exercise of the Buyout Option shall be consummated, which date shall be no
        earlier than 30 days nor later than 90 days from the date of the Buyout Notice,
        unless otherwise agreed by the Remaining Member and the Departing Member.
        Except
        as may be otherwise agreed by the Remaining Member and the Departing Member,
        the
        Remaining Member shall pay at least 20% of the purchase price for the Departing
        Member’s LLC Interest in cash, with the balance of the purchase price payable
        pursuant to a promissory note bearing interest at 110% of the then current
        applicable federal rate for mid-term obligations (as determined pursuant
        to
        Section 7872 of the Code). Such note shall be payable in equal installments
        of principal and interest over a period not to exceed five years. Any such
        promissory note may be prepaid at any time without premium or penalty. The
        Departing Member’s LLC Interest shall be transferred free and clear of all liens
        and encumbrances and, except as otherwise provided, the Departing Member
        shall
        be released at the closing from any guarantees, obligations, liabilities
        or
        similar undertakings to third parties given by such Member on behalf of the
        LLC.

       

      7.12.4 Further
        Cooperation.
        On the
        closing of the purchase and sale of the Departing Member’s LLC Interest pursuant
        to an exercise of the Buyout Option, each Member shall execute, acknowledge
        and
        deliver to each other Member such instruments, and take such actions, as
        each
        Member may reasonably request in order to effect the purchase and sale of
        the
        LLC Interest pursuant to the terms and conditions of this
        Section 8.3.

       

      7.12.5 LLC
        Option.
        In the
        event the Remaining Member elects not to exercise any of its rights under
        this
        Section 8.3,
        the
        LLC, at its election, may assume such rights.

       

      7.13 VOID
        TRANSFERS. 

       

       If
        the
        Manager determine in their sole discretion that any Transfer would cause
        the
        termination of the LLC under the Code, then such Transfer shall be null and
        void.

       

      7.14 SUBSTITUTION
        OF MEMBERS.

       

      A
        transferee of an Interest shall become a substitute Member, provided that
        (i) the Transfer was valid under Section 8.1
        hereof
        and not voided by the Manager pursuant to Section 8.4
        hereof,
        (ii) the transferee has become a party to this Agreement and (iii) the
        transferee pays any reasonable expenses in connection with his, her or its
        admission as a Member. A transferee who becomes a substituted Member has,
        to the
        extent transferred, all of the rights, powers and duties of a Member under
        this
        Agreement and the Statute.

       

      7.15 ADMISSION
        OF NEW MEMBERS.

       

       A
        new
        Member may be admitted into the LLC only upon the consent of a Majority in
        Interest of the Members. The
        amount of Capital Contribution, if any, which must be made by a new Member
        shall
        be determined by the Vote of all existing Members.
        A new
        Member shall not be deemed admitted into the LLC until the Capital Contribution
        required of such Person shall have been made and such Person has become a
        party
        to this Agreement and made any and all

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      investment
        representations deemed necessary or advisable by the Manager in their sole
        discretion.

       

      7.16 SUBSEQUENT
        TRANSFERS SUBJECT TO TERMS OF AGREEMENT.

       

      After
        the
        consummation of any Transfer of any part of an LLC Interest, the Interest
        or
        portion thereof so transferred shall continue to be subject to the terms
        and
        provisions of this Agreement and any further Transfers shall be required
        to
        comply with all the terms and provisions hereof.

       

      7.17 PURCHASE
        TERMS VARIED BY AGREEMENT.

       

       Provided
        that the restrictions set forth in this Agreement have been satisfied, nothing
        contained herein is intended to prohibit Members from agreeing upon other
        terms
        and conditions for the purchase by the LLC or any other Member of the Interest
        (or any portion thereof) of any Member desiring to retire, withdraw or
        resign.

       

      7.18 SPOUSAL
        CONSENT.

       

      Each
        Member who is married as of the date hereof or who subsequently becomes married
        shall obtain his or her spouse’s signature to a spousal consent in the form
        attached hereto as Exhibit C.

       

       

      ARTICLE VIII.

       

       

      TERMINATION
        AND DISSOLUTION

       

      8.1 DISSOLUTION. 

       

      The
        LLC
        shall be dissolved upon the occurrence of any of the following
        events:

       

      (i) When
        the
        Period of Duration of the LLC expires;

       

      (ii) The
        written approval by a Majority in Interest of the Members to dissolve the
        LLC; 

       

      (iii) The
        sale
        of all or substantially all of the assets of the LLC and the distribution
        to the
        Members of the proceeds thereof;
        or

       

      (iv) Except
        as
        otherwise set forth in this Agreement, any other event causing a dissolution
        of
        the LLC under the Statute.

       

      8.2 DISASSOCIATION
        EVENT.

       

       The
        occurrence of a Disassociation Event shall not constitute a dissolution or
        termination of the LLC.

       

      8.3 STATEMENT
        OF INTENT TO DISSOLVE. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       As
        soon as possible after the occurrence of any of the events specified in
        Section 9.1
        above, the LLC shall execute a Statement of Intent to Dissolve in such form
        as
        prescribed by the NEVADA Secretary of State.

       

      8.4 CONDUCT
        OF BUSINESS.

       

       Upon
        the
        occurrence of any event specified in Section 9.1,
        the LLC
        shall continue solely for the purpose of winding up its affairs in an orderly
        manner, liquidating its assets and satisfying the claims of its creditors.
        The
        Manager who have not wrongfully dissolved the LLC or, if none, the Members,
        shall be responsible for overseeing the winding up and liquidation of the
        LLC,
        shall take full account of the assets and liabilities of the LLC, shall cause
        its assets to be either sold or distributed, and shall cause the proceeds
        therefrom, to the extent sufficient therefor, to be applied and distributed
        as
        provided in this Section 9.4.
        The
        Persons winding up the affairs of the LLC shall give written notice of the
        commencement of winding up by mail to all known creditors and claimants whose
        addresses appear on the records of the LLC. The Manager or Manager
        winding up the affairs of the LLC shall be entitled to reasonable compensation
        for such services.

       

      8.5 DISTRIBUTION
        OF NET PROCEEDS. 

       

       The
        Members shall continue to divide Net Profits and Net Losses and Available
        Cash
        Flow during the winding-up period in the same manner and the same priorities
        as
        provided for in Articles IV and V hereof. The proceeds from the liquidation
        of Property shall be applied in the following order:

       

      (i) To
        creditors other than Members in the order of priority provided by
        law;
        then

       

      (ii) To
        creditors who are Members in order of priority, except amounts owed to Members
        on account of their Capital Contributions;
        then

       

      (iii) To
        the
        Members as provided in Section 5.2
        hereof.

       

      Where
        the
        distribution pursuant to this Section 9.5
        consists
        both of cash (or cash equivalents) and non-cash assets, the cash (or cash
        equivalents) shall first be distributed, in a descending order, to fully
        satisfy
        each category starting with the most preferred category set forth above.
        In the
        case of non-cash assets, the distribution values are to be based on the fair
        market value thereof as determined in good faith by the liquidator, and the
        shortest maturity portion of such non-cash assets (e.g., notes or other
        indebtedness) shall, to the extent such non-cash assets are readily divisible,
        be distributed, in a descending order, to fully satisfy each category above,
        starting with the most preferred category.

       

       

      ARTICLE IX.

       

       

      BOOKS,
        RECORDS, REPORTS AND BANK ACCOUNTS

       

      9.1 MAINTENANCE
        OF BOOKS AND RECORDS.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       The
        Manager shall cause the books and records of the LLC to be maintained in
        accordance with generally accepted accounting principles, and shall give
        reports
        to the Members in accordance with prudent business practices and the Statute.
        There shall be kept at the principal office of the LLC, as well as at the
        office
        of record of the LLC specified in Section 2.3,
        if different, the following LLC documents:

       

      (i) A
        current
        list in alphabetical order of the full name and last known business or residence
        address of each Member and holder of an Economic Interest in the LLC, together
        with the Capital Contributions, Percentage Interest and share in Net Profits
        and
        Net Losses of each Member and holder of an Economic Interest;

       

      (ii) A
        current
        list of the full name and business or residence address of each
        Manager;

       

      (iii) A
        copy of
        the Articles of Organization and any amendments thereto, together with any
        powers of attorney pursuant to which the Articles of Organization and any
        amendments thereto were executed;

       

      (iv) Copies
        of
        the LLC's federal, state and local income tax or information returns and
        reports, if any, for the six most recent fiscal years of the LLC;

       

      (v) A
        copy of
        this Agreement and any amendments thereto, together with any powers of attorney
        pursuant to which this Agreement and any amendments thereto were
        executed;

       

      (vi) Copies
        of
        the financial statements of the LLC, if any, for the six most recent fiscal
        years of the LLC;

       

      (vii) The
        LLC's
        books and records as they relate to the internal affairs of the LLC for at
        least
        the current and past four fiscal years of the LLC; 

       

      (viii) Originals
        or copies of all minutes, actions by written consent, consents to action
        and
        waivers of notice to Members and Member Votes, actions and consents;
        and

       

      (ix) Any
        other
        information required to be maintained by the LLC pursuant to the
        Statute.

       

      9.2 ANNUAL
        ACCOUNTING.

       

       Within
        120 days after the close of each fiscal year of the LLC, the LLC shall
        (i) cause to be prepared and submitted to each Member a balance sheet and
        income statement for the preceding fiscal year (or portion thereof) in
        conformity with generally accepted accounting principles and (ii) provide
        to the Members all information necessary for them to complete federal and
        state
        tax returns.

       

      9.3 INSPECTION
        AND AUDIT RIGHTS. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Each
        Member and each holder of an Economic Interest in the LLC who is not a Member
        has the right upon reasonable request, for purposes reasonably related to
        the
        interest of that Person, to inspect and copy during normal business hours
        any of
        the LLC books and records required to be maintained in accordance with
        Section 10.1. Such right may be exercised by the Person or by that Person's
        agent or attorney. The determination of the Manager as to adjustments to
        the
        financial reports, books, records and returns of the LLC, in the absence
        of
        fraud or gross negligence,
        shall be final and binding upon the LLC and all of the
        Members.
        In addition, upon the request of a Member or a holder of an Economic Interest,
        for purposes reasonably related to the interest of that Person, the Manager
        shall promptly deliver to the Member or holder of an Economic Interest, at
        the
        expense of the LLC, a copy of this Agreement and a copy of the information
        listed in paragraphs (i), (ii) and (iv) of Section 10.1
        of this Agreement.

       

      9.4 BANK
        ACCOUNTS; FISCAL YEAR AND ACCOUNTING METHOD.

       

       The
        bank
        accounts of the LLC shall be maintained in such banking institutions as the
        Manager shall determine. The
        fiscal year and accounting method of the LLC shall be as determined by the
        Manager in their reasonable discretion and in accordance with, to the extent
        applicable, the Code.

       

      9.5 TAX
        MATTERS.

       

       One
        of
        the Manager who is also a Member, or in the event no Manager is a Member,
        a
        Member or an officer of a corporate Member, shall be designated as “Tax Matters
        Partner” (as defined in Code section 6231), to represent the LLC (at the LLC's
        expense) in connection with all examinations of the LLC's affairs by tax
        authorities, including resulting judicial and administrative proceedings,
        and to
        expend LLC funds for professional services and costs associated therewith.
        In
        its capacity as Tax Matters Partner, the designated Person shall oversee
        the LLC
        tax affairs in the overall best interests of the LLC. Tiran
        Ibgui is hereby designated as the initial Tax Matters Partner, and shall
        serve
        in such capacity until such time as the Members designate another Tax Matters
        Partner.

       

      9.6 INCOME
        TAX ELECTIONS.

       

       The
        Tax
        Matters Partner designated pursuant to Section 10.5
        shall
        have the authority on behalf of the LLC to make all elections permitted under
        the Code and all other tax-related statutes and regulations, including elections
        of methods of depreciation and elections under
        Section
        754 of the Code. The decision to make or not to make an election shall be
        at the
        Tax Matters Partner’s sole and absolute discretion.
        The
        Members hereby acknowledge that they are aware of the income tax consequences
        of
        the allocations made by this Agreement and hereby agree to be bound by the
        provisions of this Agreement in reporting their shares of the LLC income
        and
        loss for income tax purposes.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE 1.

       

      INDEMNIFICATION
        OF MEMBERS, 

       

      MANAGER
        AND THEIR AFFILIATES

       

      9.7 INDEMNIFICATION
        OF MEMBERS AND THEIR PRINCIPALS. 

       

       The
        LLC
        shall indemnify and hold harmless the Members, the Manager, their Affiliates
        and
        their respective officers, directors, employees, agents and Principals
        (individually, an “Indemnitee”) from and against any and all losses, claims,
        demands, costs, damages, liabilities, joint and several, expenses of any
        nature
        (including reasonable attorneys' fees and disbursements),
        judgments, fines, settlements and other amounts arising from any and all
        claims,
        demands, actions, suits or proceedings, whether civil, criminal, administrative
        or investigative, in which the Indemnitee was involved or may be involved,
        or
        threatened to be involved, as a party or otherwise, arising out of or incidental
        to the business of the LLC, regardless of whether the Indemnitee continues
        to be
        a Member, an Affiliate, or an officer, director, employee, agent or Principal
        of
        the Member at the time any such liability or expense is paid or incurred,
        to the
        fullest extent permitted by the Statute and all other applicable
        laws.

       

      9.8 EXPENSES.

       

       Expenses
        incurred by an Indemnitee in defending any claim, demand, action, suit or
        proceeding subject to Section 11.1 shall, from time to time, be advanced by
        the LLC prior to the final disposition of such claim, demand, action, suit
        or
        proceeding upon receipt by the LLC of an undertaking by or on behalf of the
        Indemnitee to repay such amount if it shall be determined that such Person
        is
        not entitled to be indemnified as authorized in Section 11.1.

       

      9.9 INDEMNIFICATION
        RIGHTS NON-EXCLUSIVE.

       

       The
        indemnification provided by Section 11.1
        shall be
        in addition to any other rights to which those indemnified may be entitled
        under
        any agreement or vote of the Members, as a matter of law or equity or otherwise,
        both as to action in the Indemnitee’s capacity as a Member, as an Affiliate or
        as an officer, director, employee, agent or Principal of a Member and as
        to any
        action in another capacity, and shall continue as to an Indemnitee who has
        ceased to serve in such capacity and shall inure to the benefit of the heirs,
        successors, assigns, representatives and administrators of the
        Indemnitee.

       

      9.10 ERRORS
        AND OMISSIONS INSURANCE.

       

       The
        LLC
        may purchase and maintain insurance, at the LLC's expense, on behalf of the
        Members and such other Persons as the Members shall determine, against any
        liability that may be asserted against, or any expense that may be incurred
        by,
        such Person in connection with the activities of the LLC and/or the Members'
        acts or omissions as the Members of the LLC regardless of whether the LLC
        would
        have the
        power to indemnify such Person against such liability under the provisions
        of
        this Agreement or under applicable law.

       

      9.11 ASSETS
        OF THE LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Any
        indemnification under Section 11.1
        shall be satisfied solely out of the assets of the LLC. No Member shall be
        subject to personal liability or required
        to fund or to cause to be funded any obligation by reason of these
        indemnification provisions.

       

       

      ARTICLE X.

       

       

      ISSUANCE
        OF LLC CERTIFICATES

       

      10.1 ISSUANCE
        OF LLC CERTIFICATES.

       

       Upon
        or
        at any time after the execution of this Agreement and the payment of the
        Capital
        Contributions by the Members, the Manager may elect to cause the LLC to issue
        one or more LLC Certificates in the form of Exhibit B hereto (each, an “LLC
        Certificate”) in the name of each Member certifying that the Person named
        therein is the record holder of the LLC Interests set forth therein. For
        purposes of this Agreement, the term “record holder” shall mean the person whose
        name appears on Exhibit A as the Member owning the LLC Interest at
        issue.

       

      10.2 TRANSFER
        OF LLC INTERESTS.

       

       An
        LLC
        Interest which is transferred in accordance with the terms of this Agreement
        shall be transferable on the books of the LLC by the record holder thereof
        in
        person or by such record holder's duly authorized attorney, but, except as
        provided in Section 12.3
        hereof
        with respect to lost, stolen or destroyed certificates, in the event an LLC
        Certificate has been issued, no transfer of an LLC Interest shall be entered
        until the previously issued LLC Certificate representing such LLC Interest
        shall
        have been surrendered to the LLC and canceled and a replacement LLC Certificate
        issued to the assignee of such LLC Interest in accordance with such procedures
        as the Manager may establish. In the event of a Transfer of less than all
        of a
        Member’s LLC Interests and if LLC Certificates have been issued, the Manager
        shall issue to the transferring Member a new LLC Certificate representing
        the
        LLC Interests not being transferred. Except as otherwise required by law,
        the
        LLC shall be entitled to treat the record holder of an LLC Certificate on
        its
        books as the owner thereof for all purposes regardless of any notice or
        knowledge to the contrary.

       

      10.3 LOST,
        STOLEN OR DESTROYED CERTIFICATES.

       

       The
        LLC
        shall issue a new LLC Certificate in place of any LLC Certificate previously
        issued if the record holder of the LLC Certificate:

       

      (i) makes
        proof by affidavit, in form and substance satisfactory to the Manager, that
        a
        previously issued LLC Certificate has been lost, destroyed or
        stolen;

       

      (ii) requests
        the issuance of a new LLC Certificate before the LLC has notice that the
        LLC
        Certificate has been acquired by a purchaser for value in good faith and
        without
        notice of an adverse claim;

       

      (iii) indemnifies
        the LLC against any claim that may be made on account of the alleged loss,
        destruction or theft of the LLC Certificate; and

       

      (iv) satisfies
        any other reasonable requirements imposed by the Manager.

       

      If
        a
        Member fails to notify the LLC within a reasonable time after it has notice
        of
        the loss, destruction or theft of an LLC Certificate, and a transfer of the
        LLC
        Interest represented by the LLC Certificate is registered before receiving
        such
        notification, the LLC shall have no liability with respect to any claim against
        the LLC for such transfer or for a new LLC Certificate.

       

       

      ARTICLE XI.

       

       

      AMENDMENTS

       

      11.1 AMENDMENT,
        ETC. OF OPERATING AGREEMENT.

       

       This
        Agreement may be adopted, altered, amended or repealed and a new operating
        agreement may be adopted by a Majority in Interest of the Members; provided,
        however, that no provision of this Agreement which requires the vote of a
        greater percentage than a Majority in Interest of the Members may be amended
        without the affirmative vote of such greater percentage.

       

      11.2 AMENDMENT
        OF ARTICLES OF ORGANIZATION. 

       

       Notwithstanding
        any provision to the contrary in the Articles of Organization or this Agreement,
        in no event shall the Articles of Organization be amended without the
        affirmative vote of a Majority in Interest of the Members.

       

       

      ARTICLE
        XII.

       

       

      REPRESENTATIONS
        AND ACKNOWLEDGMENTS

       

      12.1 INVESTMENT
        REPRESENTATIONS. 

       

       
        Each
        Member hereby represents and warrants to the Manager, the other Members and
        the
        LLC that such Member is acquiring his, her or its Interest hereunder for
        such
        Member’s own account, for investment only, not for the benefit of any other
        Person and not for resale to any other Person or for future distribution,
        and
        that he, she or it relied solely on the advice of such Member’s personal tax,
        investment or other advisors in making such Member’s investment
        decision.

       

      12.2 NO
        REPRESENTATIONS BY LLC.

       

       Each
        Member acknowledges that the Manager have not made and hereby make no
        representations or warranties other than those set forth in this Agreement,
        and
        that neither any Manager, agent or employee of the LLC or of any Manager
        or any
        other Person has at any time expressly or implicitly represented, guaranteed
        or
        warranted to such Member that he, she or it may freely transfer such Person’s
        Interests, that a percentage of profit and/or amount or type of consideration
        will be realized as a result of an investment in the Interest, that past
        performance or experience on the part of the Manager or their Affiliates
        or any
        other Person in any way indicates the predictable results of the ownership
        of
        any Interests or of the overall LLC business, that any cash distributions
        from
        LLC operations or otherwise will be made to the Members by any specific date
        or
        will be made at all, or that any specific tax benefits will accrue as a result
        of an investment in the LLC.

       

       

       

       

      

       

       

      ARTICLE XIII.

       

       

      MISCELLANEOUS
        PROVISIONS

       

      13.1 COUNTERPARTS.

       

       This
        Agreement may be executed in several counterparts, and all counterparts so
        executed shall constitute one Agreement, binding on all of the parties hereto,
        notwithstanding that all of the parties are not signatory to the original
        or the
        same counterpart.

       

      13.2 SURVIVAL
        OF RIGHTS.

       

       This
        Agreement shall be binding upon, and, as to permitted or accepted successors,
        transferees and assigns, inure to the benefit of the Members and the LLC
        and
        their respective heirs, legatees, legal representatives, successors, transferees
        and assigns,
        in all cases whether by the laws of descent and distribution, merger, reverse
        merger, consolidation, sale of assets, other sale, operation of law or
        otherwise.

       

      13.3 SEVERABILITY. 

       

       In
        the
        event any Section, or any sentence within any Section, is declared by a court
        of
        competent jurisdiction to be void or unenforceable, such sentence or Section
        shall be deemed severed from the remainder of this Agreement and the balance
        of
        this Agreement shall remain in full force and effect.

       

      13.4 NOTIFICATION
        OR NOTICES.

       

       Except
        as
        otherwise provided in Articles VI and VII with respect to notices given for
        purposes of meetings of Manager and meetings of Members, any notice or other
        communication required or permitted hereunder shall be in writing and shall
        be
        deemed to have been given if personally delivered, transmitted by facsimile
        (with mechanical confirmation of transmission), or deposited in the United
        States mail, registered or certified, postage prepaid, addressed to the parties'
        addresses set forth on Exhibit A hereto, unless the same shall have been
        changed
        by notice in accordance herewith. Notices given in the manner provided for
        in
        this Section 15.4
        shall be
        deemed effective on the third day following deposit in the mail or on the
        day of
        transmission or delivery if given by facsimile or by hand.

       

      13.5 GOVERNING
        LAW.

       

       This
        Agreement shall be governed and construed in accordance with the internal
        laws
        of the State of Nevada.

       

      13.6 FURTHER
        ACTIONS.

       

       Each
        of
        the Members agrees to execute, acknowledge and deliver such additional
        documents, and take such further actions, as may reasonably be required from
        time to time to carry out each of the provisions and the intent of this
        Agreement, and every agreement or document relating hereto or entered into
        in
        connection herewith.

       

      13.7 ARBITRATION
        OF DISPUTES. 

       

      Any
        controversy or claim arising out of or relating to this Agreement or the
        breach
        thereof shall be submitted to binding, non-appealable arbitration administered
        by the American Arbitration Association in accordance with its Commercial
        Arbitration Rules. Such controversy or claim shall be heard by a single
        arbitrator (the “Arbitrator”). The award shall be made within six months of
        selection of the Arbitrator. Judgment on the award may be entered in any
        court
        having jurisdiction and the parties hereby consent to the jurisdiction of
        the
        Superior Court for Los Angeles County, California, and of the United States
        District Court for the Central District of California, for injunctive relief,
        specific performance or other relief in aid of any proceedings hereunder,
        but
        not otherwise. The arbitration shall be held in Los Angeles, California or
        as
        otherwise mutually agreed by the parties hereto. The Arbitrator shall determine
        issues of arbitrability but may not limit, expand or otherwise modify the
        terms
        of this Agreement nor have any authority to award punitive or other damages
        in
        excess of compensatory damages and each party irrevocably waives any claim
        thereto. The Arbitrator shall
        permit, to the extent reasonably necessary, one document production request,
        and
        one follow-up request, and one deposition of the principals involved in a
        controversy or claim submitted to arbitration hereunder. The parties, their
        representatives, other participants and the Arbitrator shall hold the existence,
        content and result of the arbitration in confidence except as disclosure
        is
        required by law or as is reasonably necessary to defend claims or procedural
        rights of the party making the disclosure.

       

      13.8 THIRD
        PARTY BENEFICIARIES. 

       

       There
        are
        no third party beneficiaries of this Agreement except (i) Affiliates and
        Principals of the Members and (ii) any other Persons as may be entitled to
        the
        benefits of Article XI hereof.

       

      13.9 PARTITION.

       

       The
        Members agree that the Property that the LLC may own or have an interest
        in is
        not suitable for partition. Each of the Members hereby irrevocably waives
        any
        and all rights that it may have to maintain any action for partition of any
        Property the LLC may at any time have an interest in.

       

      13.10 ENTIRE
        AGREEMENT.

       

       This
        Agreement and the Articles of Organization constitute the entire agreement
        of
        the Members with respect to, and supersedes all prior written and oral
        agreements, understandings and negotiations with respect to, the subject
        matter
        hereof.

       

      13.11 WAIVER.

       

       No
        failure by any party to insist upon the strict performance of any covenant,
        duty, agreement or condition of this Agreement or to exercise any right or
        remedy consequent upon a breach thereof shall constitute a waiver of any
        such
        breach or any other covenant, duty, agreement or condition.

       

      13.12 ATTORNEYS'
        FEES. 

       

       In
        the
        event of any litigation, arbitration or other dispute arising as a result
        of or
        by reason of this Agreement, the prevailing party in any such litigation,
        arbitration or other dispute shall be entitled to, in addition to any other
        damages assessed, its reasonable attorneys' fees, and all other costs and
        expenses incurred in connection with settling or resolving such dispute.
        The
        attorneys' fees which the prevailing party is entitled to recover shall include
        fees for prosecuting or defending any appeal and shall be awarded for any
        supplemental proceedings until the final judgment is satisfied in full. In
        addition to the foregoing award of attorneys' fees to the prevailing party,
        the
        prevailing party in any lawsuit or arbitration procedure on this Agreement
        shall
        be entitled to its reasonable attorneys' fees incurred in any
        post
        judgment proceedings to collect or enforce the judgment. This attorneys'
        fees
        provision is separate and several and shall survive the merger of this Agreement
        into any judgment.

       

      13.13 CONFIDENTIALITY.

       

       Each
        Member for itself and on behalf of its Affiliates agrees to keep the provisions
        of this Agreement and all schedules, exhibits and appendices hereto in
        confidence, except pursuant to the requirements of applicable law, and shall
        not
        publish or otherwise disclose the same at any time without the prior written
        consent of all the Members.

       

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

       

      Euroweb
        RE Corp.

       

      

      

      By:        

      Yossi
        Attia, President

      

      

              

      D’Vora
        Attia

      

      

      

      
        
          
            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      EXHIBIT
        A

       

      INITIAL
        MEMBER NAMES AND ADDRESSES; INITIAL

       

      CAPITAL
        CONTRIBUTIONS AND PERCENTAGE INTERESTS

       

      (As
        of October 3, 2006)

       

      

      
        	
                Member's
                  name

              	
                Member's
                  address

              	
                Member's
                  capital

                contribution

              	
                Member's
                  percentage

                interest

              
	
                 

                EUROWEB
                  RE CORP.

                 

              	 	
                 

                $667.00

                 

              	
                 

                66.67%

                 

              
	
                 

                D’VORA
                  ATTIA

                 

              	 	
                 

                $333.00

                 

              	
                 

                33.33%

                 

              
	 	 	 	 
	 	
                 

                TOTALS:
                  

                 

              	
                 

                $1,000.00

                 

              	
                 

                100%

                 

              

      

      

      

      
        
          
             

            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      EXHIBIT
        B

       

      (FACE
        OF CERTIFICATE)

       

      THE
        LLC
        INTERESTS REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED OR QUALIFIED
        UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER THE SECURITIES LAWS
        OF
        ANY STATE. SUCH LLC INTERESTS MAY NOT BE SOLD OR TRANSFERRED UNLESS SUBSEQUENTLY
        REGISTERED OR QUALIFIED OR UNLESS AN EXEMPTION FROM REGISTRATION OR
        QUALIFICATION IS AVAILABLE. THE AGREEMENT (AS DEFINED BELOW) PROVIDES FOR
        FURTHER RESTRICTIONS ON TRANSFER OF THE LLC INTERESTS REPRESENTED
        HEREBY.

       

      CERTIFICATE
        FOR LLC INTEREST

      IN

      STANLEY
        HILLS LLC

      

      

      Certificate
        No. ______________     ________
        Percentage Interest

      

      The
        undersigned, as
        a
        Manager of STANLEY HILLS LLC, a NEVADA limited liability company (the “LLC”),
        hereby certifies that ___________________________ is the holder of an LLC
        Interest representing a _______ percent (__%) Percentage Interest, as those
        terms are defined in the Operating Agreement of the LLC, dated as of
        ________________, as amended and restated from time to time (the “Agreement”)
        (copies of which are on file at the principal office of the LLC).

       

      This
        Certificate is not negotiable or transferable except by operation of law,
        or as
        otherwise provided in the Agreement, and any such transfer will be valid
        only
        upon delivery of this Certificate, together with a duly executed assignment
        in
        the form set forth on the reverse hereof (or otherwise acceptable to the
        Manager
        and sufficient to convey an interest in an LLC pursuant to the (NEVADA)
        Beverly-Killea Limited Liability Company Act, as it may be amended and in
        effect
        from time to time, or any successor statute thereto) to the Manager of the
        LLC.

       

      

      

      

      Dated:
             . STANLEY
        HILLS LLC

      

      

      

      By:        

      Its:
        Manager

      

      
        
          
             

            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      (REVERSE
        OF CERTIFICATE)

       

      ASSIGNMENT
        OF LLC INTEREST

      IN

      STANLEY
        HILLS LLC

       

      FOR
        VALUE
        RECEIVED, the undersigned (“Assignor”) hereby assigns, conveys, sells and
        transfers unto

       

       

      (“Assignee”)

       

      (Please
        insert Social Security    (Please
        print or typewrite name and 

      or
        other
        identifying number of Assignee)  address
        of Assignee)

      

      all
        rights and interest of Assignor in ______ percent of the LLC Interest evidenced
        hereby and directs that all future distributions and allocations with respect
        to
        such specified assigned LLC Interest be paid or allocated by the LLC to such
        Assignee. The Assignor hereby irrevocably constitutes and appoints each Manager
        as Assignor's attorney-in-fact with full power of substitution in the premises
        to transfer the same on the books of the LLC.

      

      Dated:
                     

      Signature
        of Assignor

      

      Note: The
        signature to any assignment must correspond with the name as written upon
        the
        face of this Certificate, in every particular, without alteration or enlargement
        or any change whatever. If the assignment is executed by an attorney, executor,
        administrator, trustee or guardian, the person executing the assignment must
        give such person's full title in such capacity, and proper evidence of authority
        to act in such capacity, if not on file with the LLC or its transfer agent,
        must
        be forwarded with this Certificate.

       

      The
        undersigned, a Manager of the LLC, hereby consents to this Assignment pursuant
        to Section 8.1
        of the
        Agreement.

       

       

      Dated:         ,
        LLC

      

      By: 

      Its:  Manager

       

      THE
        LLC
        INTERESTS EVIDENCED HEREBY ARE SUBJECT TO ALL TERMS AND CONDITIONS OF THE
        AGREEMENT AND UNLESS AND UNTIL ADMITTED TO THE LLC AS A MEMBER, NO ASSIGNEE
        SHALL BE ENTITLED TO ANY OF THE RIGHTS, POWERS OR PRIVILEGES OF THE ASSIGNOR,
        EXCEPT THAT ASSIGNEE SHALL BE ENTITLED TO THE DISTRIBUTIONS PAID AND ALLOCATIONS
        MADE WITH RESPECT TO SUCH INTERESTS AS DIRECTED BY THE ASSIGNOR
        ABOVE.Unassociated Document

    
      EXHIBIT
        10.3

       

       

       

      

      LIMITED
        LIABILITY COMPANY OPERATING AGREEMENT

      

      OF

      

      LORRAINE
        PROPERTIES, LLC

      A
        NEVADA LIMITED LIABILITY COMPANY

      

      Dated
        as of October 3, 2006

      

       

      

        
          
             

          

          
             

            
              

            

          

          
             

            
            

          

        

TABLE
        OF CONTENTS

       

       

      ARTICLE I.
        DEFINITIONS AND INTERPRETATION

      1.1
        CERTAIN DEFINITIONS.

      1.2
        OTHER
        DEFINED TERMS.

      1.3
        INTERPRETATION.

       

      ARTICLE II.
        INTRODUCTORY MATTERS

      2.1
        FORMATION OF LLC.

      2.2
        NAME;
        PRINCIPAL OFFICE; AGENT.

      2.3
        PERIOD OF DURATION.

      2.4
        BUSINESS AND PURPOSE OF THE LLC.

      2.5
        TITLE
        TO ALL PROPERTIES.

       

      ARTICLE III.
        MEMBERS AND CAPITAL CONTRIBUTIONS

      3.1
        MEMBERS; NO PERSONAL LIABILITY.

      3.2
        INITIAL CAPITAL CONTRIBUTIONS.

      3.3
        ADDITIONAL CONTRIBUTIONS.

      3.4
        RIGHTS WITH RESPECT TO CAPITAL.

      3.5
        GENERAL RULES FOR ADJUSTMENT OF CAPITAL ACCOUNTS.

      3.6
        SPECIAL RULES WITH RESPECT TO CAPITAL ACCOUNTS.

      3.7
        TRANSFEREE'S CAPITAL ACCOUNT.

       

      ARTICLE IV.
        ALLOCATION OF PROFITS AND LOSSES

      4.1
        ALLOCATION OF NET PROFITS AND NET LOSSES.

      4.2
        RESIDUAL ALLOCATIONS.

      4.3
        QUALIFIED INCOME OFFSET.

      4.4
        MINIMUM GAIN CHARGEBACK.

      4.5
        MEMBER NONRECOURSE DEBT MINIMUM GAIN CHARGEBACK.

      4.6
        MEMBER NONRECOURSE DEDUCTIONS.

      4.7
        SPECIAL ALLOCATIONS.

      4.8
        FEES
        TO MEMBERS OR AFFILIATES.

      4.9
        SECTION 704(c) ALLOCATION.

       

      ARTICLE V.
        DISTRIBUTIONS

      5.1
        AVAILABLE CASH FLOW.

      5.2
        LIQUIDATING DISTRIBUTIONS.

       

      ARTICLE VI.
        RIGHTS, DUTIES, OBLIGATIONS AND COMPENSATION OF MANAGER AND
        OFFICERS

      6.1
        MANAGER.

      6.2
        LIMITATIONS ON RIGHTS AND POWERS.

      6.3
        COMPENSATION OF MANAGER.

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE VII.
        MEMBERS; MEMBERS' MEETINGS

      7.1
        PLACE
        OF MEETINGS; MANAGER TO PRESIDE.

      7.2
        ANNUAL MEETINGS OF MEMBERS.

      7.3
        SPECIAL MEETINGS.

      7.4
        NOTICE OF MEETINGS.

      7.5
        VALIDATION OF MEMBERS' MEETINGS.

      7.6
        ACTIONS WITHOUT A MEETING.

      7.7
        REQUIRED VOTE.

      7.8
        QUORUM AND EFFECT OF VOTE.

      7.9
        COMPENSATION OF MEMBERS.

       

      ARTICLE VIII.
        RESTRICTIONS ON TRANSFER OF LLC INTERESTS; ADMISSION OF NEW MEMBERS

      8.1
        TRANSFER OR ASSIGNMENT OF INTERESTS.

      8.2.
        RIGHT OF FIRST REFUSAL UPON SALE.

      8.3
        BUYOUT OPTION.

      8.4
        VOID
        TRANSFERS.

      8.5
        SUBSTITUTION OF MEMBERS.

      8.6
        ADMISSION OF NEW MEMBERS.

      8.7
        SUBSEQUENT TRANSFERS SUBJECT TO TERMS OF AGREEMENT.

      8.8
        PURCHASE TERMS VARIED BY AGREEMENT.

      8.9
        SPOUSAL CONSENT.

       

      ARTICLE IX.
        TERMINATION AND DISSOLUTION

      9.1
        DISSOLUTION.

      9.2
        DISASSOCIATION EVENT.

      9.3
        STATEMENT OF INTENT TO DISSOLVE.

      9.4
        CONDUCT OF BUSINESS.

      9.5
        DISTRIBUTION OF NET PROCEEDS.

       

      ARTICLE X.
        BOOKS, RECORDS, REPORTS AND BANK ACCOUNTS

      10.1
        MAINTENANCE OF BOOKS AND RECORDS.

      10.2
        ANNUAL ACCOUNTING.

      10.3
        INSPECTION AND AUDIT RIGHTS.

      10.4
        BANK
        ACCOUNTS; FISCAL YEAR AND ACCOUNTING METHOD.

      10.5
        TAX
        MATTERS.

      10.6
        INCOME TAX ELECTIONS.

       

      ARTICLE XI.
        INDEMNIFICATION OF THE MEMBERS, MANAGER, AND THEIR AFFILIATES

      11.1
        INDEMNIFICATION OF THE MEMBERS AND THEIR PRINCIPALS.

      11.2
        EXPENSES.

      11.3
        INDEMNIFICATION RIGHTS NON-EXCLUSIVE.

      11.4
        ERRORS AND OMISSIONS INSURANCE.

      11.5
        ASSETS OF THE LLC.

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE XII.
        ISSUANCE OF LLC CERTIFICATES

      12.1
        ISSUANCE OF LLC CERTIFICATES.

      12.2
        TRANSFER OF LLC INTERESTS.

      12.3
        LOST, STOLEN OR DESTROYED CERTIFICATES.

       

      ARTICLE XIII.
        AMENDMENTS

      13.1
        AMENDMENT, ETC. OF OPERATING AGREEMENT.

      13.2
        AMENDMENT OF ARTICLES OF ORGANIZATION.

       

      ARTICLE
        XIV. REPRESENTATIONS AND ACKNOWLEDGMENTS

      14.1
        INVESTMENT REPRESENTATIONS.

      14.2
        NO
        REPRESENTATIONS BY LLC.

       

      ARTICLE XV.
        MISCELLANEOUS PROVISIONS

      15.1
        COUNTERPARTS.

      15.2
        SURVIVAL OF RIGHTS.

      15.3
        SEVERABILITY.

      15.4
        NOTIFICATION OR NOTICES.

      15.5
        GOVERNING LAW.

      15.6
        FURTHER ACTIONS.

      15.7
        ARBITRATION OF DISPUTES.

      15.8
        THIRD PARTY BENEFICIARIES.

      15.9
        PARTITION.

      15.10
        ENTIRE AGREEMENT.

      15.11
        WAIVER.

      15.12
        ATTORNEYS' FEES.

      15.13
        CONFIDENTIALITY.

      

      EXHIBIT A Initial
        Member Names and Addresses; Initial Capital Contributions and Percentage
        Interests

       

      EXHIBIT B Form
        of
        Certificate for LLC Interest

       

      

       

      

      

      
        
          
            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      LORRAINE
        PROPERTIES, LLC

       

      LIMITED
        LIABILITY COMPANY OPERATING AGREEMENT

       

      This
        Limited Liability Company Operating Agreement (this “Agreement”) is made and
        entered into effective as of October 3, 2006 by and among the Persons executing
        this Agreement on the signature pages hereof, with reference to the recitals
        set
        forth below.

       

      R
        E C I T
        A L S

       

      WHEREAS,
        the Member(s) have caused LORRAINE PROPERTIES, LLC (the “LLC”) to be formed
        pursuant to the provisions of the Nevada Revised Statutes as set forth in
        Title
        7, Chapter 86 (the “Statute”); and

       

      WHEREAS,
        the Member(s) do hereby adopt this Agreement as the operating agreement of
        the
        LLC.

       

      NOW,
        THEREFORE, in consideration of the covenants and the promises made herein,
        the
        parties hereto hereby agree as follows.

       

       

      ARTICLE I.

       

       

      DEFINITIONS
        AND INTERPRETATION

       

      1.1 CERTAIN
        DEFINITIONS.

       

       In
        this
        Agreement, the following terms have the meanings specified or referred to
        in
        this Section 1.1,
        which
        shall be equally applicable to both the singular and plural forms.

       

      1.1.1 “Adjusted
        Capital Account Deficit”
means,
        with respect to any Member, the deficit balance, if any, in such Member's
        Capital Account as of the end of the relevant fiscal year of the LLC, after
        giving effect to the following adjustments:

       

      (i) increase
        such Capital Account by any amounts which such Member is obligated to contribute
        to the LLC (pursuant to the terms of this Agreement or otherwise) or is deemed
        to be obligated to contribute to the LLC pursuant to Regulations
        Sections 1.704-2(g)(1) and 1.704-2(i)(5); and

       

      (ii) reduce
        such Capital Account by the amount of the items described in Regulations
        Sections 1.704-1(b)(2)(ii)(d)(4), (5) and (6).

       

      1.1.2 “Affiliate”
means,
        when used with reference to a specified Person, (i) the
        Principal of the Person, (ii) any
        Person directly or indirectly controlling, controlled by or under common
        control
        with such Person, (iii) any
        Person owning or controlling 10% or more of the outstanding voting interests
        of
        such Person and (iv) any
        relative or spouse of such Person.

       

      1.1.3 “Agreement”
means
        this Limited Liability Company Operating Agreement, as originally executed
        and
        as amended from time to time.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.1.4 “Articles
        of Organization”
means
        the articles of organization filed with the Nevada Secretary of State for
        the
        purpose of forming the LLC.

       

      1.1.5 “Available
        Cash Flow”
means,
        with respect to any fiscal year of the LLC or other period, the sum of all
        cash
        receipts of the LLC from any and all sources, less all cash disbursements
        (including loan repayments, capital improvements and replacements) and a
        reasonable allowance for Reserves, contingencies and anticipated obligations,
        as
        determined by the Manager.

       

      1.1.6 “Capital
        Contribution”
means
        any money, property or services rendered, or a promissory note or other binding
        obligation to contribute money, property or services, that a Member contributes
        to the LLC as capital in such Member’s capacity as a Member and pursuant to an
        agreement among the Members, including an agreement as to the value of such
        contribution.

       

      1.1.7 “Code”
means
        the Internal Revenue Code of 1986, as amended.

       

      1.1.8 “Depreciation”
means,
        for each fiscal year of the LLC or other period, an amount equal to the
        depreciation, amortization or other cost recovery reduction allowable with
        respect to an asset for such fiscal year or other period.

       

      1.1.9 “Disassociation
        Event”
means
        the death, retirement, resignation, expulsion, bankruptcy or dissolution
        of a
        Member, or any other event that terminates the continued membership in the
        LLC
        of a Member.

       

      1.1.10 “Economic
        Interest”
means
        a
        Person's right to share in the Net Profits, Net Losses or similar items of,
        and
        to receive distributions from, the LLC, but does not include any other rights
        of
        a Member including the right to vote or to participate in the management
        of the
        LLC or, except as provided in Section 10.3,
        any
        right to information concerning the business and affairs of the
        LLC.

       

      1.1.11 “LLC
        Interest”
or
        “Interest”
means
        an ownership interest in the LLC, which includes the Economic Interest, the
        right to vote or participate in the management of the LLC and the right to
        information concerning the business and affairs of the LLC, as provided in
        this
        Agreement and under the Statute.
        The
        Interests of the Members, and any portion thereof, constitute the personal
        property of the holders thereof.

       

      1.1.12 “LLC
        Minimum Gain”
means
        the amount determined by computing with respect to each nonrecourse liability
        of
        the LLC, the amount of gain (of whatever character), if any, that would be
        realized by the LLC if it disposed (in a taxable transaction) of the Property
        subject to such liability in full satisfaction thereof, and by then aggregating
        the amounts so computed as set forth in Regulations Section
        1.704-2(d).

       

      1.1.13 “Majority
        in Interest of the Members”
means
        with respect to any date of determination more than 50% of the interests
        of the
        Members in the current profits and capital of the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.1.14 “Manager”
means
        each Person designated or elected to manage the LLC pursuant to
        Section 6.1
        of this
        Agreement.

       

      1.1.15 “Member
        Nonrecourse Debt”
has
        the
        meaning set forth in Regulations Section 1.704-2(b)(4).

       

      1.1.16 “Member
        Nonrecourse Debt Minimum Gain”
means
        an amount, with respect to each Member Nonrecourse Debt, equal to the LLC
        Minimum Gain that would result if such Member Nonrecourse Debt were treated
        as a
        nonrecourse liability of the LLC, determined in accordance with Regulations
        Sections 1.704-2(i)(2) and (3).

       

      1.1.17 “Member
        Nonrecourse Deductions”
has
        the
        meaning set forth in Regulations Section 1.704-2(i)(2). The amount of Member
        Nonrecourse Deductions with respect to a Member Nonrecourse Debt for a fiscal
        year of the LLC equals the excess (if any) of the net increase (if any) in
        the
        amount of Member Nonrecourse Debt Minimum Gain attributable to such Member
        Nonrecourse Debt during that fiscal year over the aggregate amount of any
        distributions during that fiscal year to the Member that bears (or is deemed
        to
        bear) the economic loss for such Member Nonrecourse Debt to the extent such
        distributions are from the proceeds of such Member Nonrecourse Debt and are
        allocable to an increase in Member Nonrecourse Debt Minimum Gain attributable
        to
        such Member Nonrecourse Debt, determined in accordance with Regulations Section
        1.704-2(i)(2).

       

      1.1.18 “Member”
means
        a
        Person who is a signatory to this Agreement, as the same may be amended from
        time to time, and who has not resigned, withdrawn or been expelled as a Member
        or, if other than an individual, been dissolved.

       

      1.1.19 “Net
        Profits”
and
        “Net
        Losses”
mean,
        for each fiscal year of the LLC or other period, an amount equal to the LLC’s
        taxable income or loss for such fiscal year or period, determined in accordance
        with Code Section 703(a) (for this purpose, all items of income, gain, loss
        or
        deduction required to be stated separately pursuant to Code Section 703(a)(1)
        shall be included in taxable income or loss), with the following
        adjustments:

       

      (i) Any
        income of the LLC that is exempt from Federal income tax and not otherwise
        taken
        into account in computing Net Profits or Net Losses shall be added to such
        taxable income or loss;

       

      (ii) Any
        expenditures of the LLC described in Code Section 705(b)(2)(B) or treated
        as
        Code Section 705(b)(2)(B) expenditures pursuant to Regulations Section
        1.704-1(b)(2)(iv)(i) and not otherwise taken into account in computing Net
        Profits or Net Losses shall be subtracted from such taxable income or
        loss;

       

      (iii) Gain
        or
        loss resulting from any disposition of Property with respect to which gain
        or
        loss is recognized for Federal income tax purposes shall be computed by
        reference to the fair market value of the Property disposed of, notwithstanding
        that the adjusted tax basis of such Property differs from its fair market
        value;

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      (iv) In
        lieu
        of depreciation, amortization and other cost recovery deductions taken into
        account in computing such taxable income or loss, there shall be taken into
        account Depreciation for such fiscal year or other period, computed in
        accordance with the Section 1.1.8
        hereof,
        and

       

      (v) Notwithstanding
        any other provision of this subsection, any items of income, gain, loss or
        deduction which are specifically allocated shall not be taken into account
        in
        computing Net Profits or Net Losses.

       

      1.1.20 “Percentage
        Interests”
        of the
        Members shall be as set forth on Exhibit A hereto, as the same may be amended
        from time to time in accordance with this Agreement or supplemented by a
        register of Interests or any other books and records maintained in conformity
        with this Agreement by the LLC or its transfer agent or registrar for the
        purpose of recording the interests of the LLC’s Interest holders.

       

      1.1.21 “Person”
        means
        any individual, partnership, limited partnership, corporation, trust, estate,
        association, limited liability company or other entity, whether domestic
        or
        foreign.

       

      1.1.22 “Principal”
        means
        the individual who is in ultimate control of a Member.

       

      1.1.23 “Property”
        means
        all assets of the LLC, both tangible and intangible, or any portion
        thereof.

       

      1.1.24 “Regulations”
        means
        the Federal income tax regulations promulgated by the Treasury Department
        under
        the Code, as such regulations may be amended from time to time. 

       

      1.1.25 “Reserves”
        means
        funds set aside from Capital Contributions or gross cash revenues as reserves.
        Such Reserves shall be maintained in amounts reasonably deemed sufficient
        by the
        Manager for working capital and the payment of taxes, insurance, debt service,
        repairs, replacements, renewals or other costs or expenses incident to the
        business of the LLC.

       

      1.2 OTHER
        DEFINED TERMS. 

       

      The
        following terms have the meanings defined for such terms in the Sections
        set
        forth below:

       

      Term Section

      

      Arbitrator 15.7

      Buyout
        Event 8.3.1

      Buyout
        Notice 8.3.1

      Buyout
        Option 8.3.1

      Capital
        Account 3.4.3

      Departing
        Member 8.3.1

      Fair
        Market Value 8.3.2

      Indemnitee 11.1

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      LLC Recitals

      LLC
        Certificate 12.1

      Period
        of
        Duration 2.5

      Permitted
        Transfer 8.1

      Remaining
        Member 8.3.1

      Sale
        Notice 8.2.1

      Statute Recitals

      Transfer 8.1

      Vote 7.7

       

      1.3 INTERPRETATION. 

       

       As
        used
        in this Agreement, the word “including” means without limitation, the word “or”
is not exclusive and
        the
        words “herein,” “hereof,” “hereto” and hereunder refer to this Agreement as a
        whole. Unless the context otherwise requires, references herein: (i) to
        Articles, Sections and Exhibits mean the Articles and Sections of and the
        Exhibits attached to this Agreement, (ii) to an
        agreement, instrument or other document means such agreement, instrument
        or
        other document as amended, supplemented and modified from time to time to
        the
        extent permitted by the provisions thereof and by this Agreement and (iii)
        to a
        statute means such statute as amended from time to time and includes any
        successor legislation thereto. The Exhibits referred to herein shall be
        construed with and as an integral part of this Agreement to the same extent
        as
        if they were set forth verbatim herein. Titles to Articles and headings of
        Sections are inserted for convenience of reference only and shall not be
        deemed
        a part of or to affect meaning or interpretation of this Agreement. The language
        herein shall be in all cases construed simply according to its fair meaning
        and
        not strictly for or against any of the Members.

       

       

      ARTICLE II.

       

       

      INTRODUCTORY
        MATTERS

       

      2.1 FORMATION
        OF LLC.

       

       The
        parties have formed the LLC pursuant to the provisions of the Statute by
        filing
        the Articles of Organization with the Nevada Secretary of State.
        The
        rights and liabilities of the Members shall be determined pursuant to the
        Statute and this Agreement. To the extent that the rights or obligations
        of any
        Member are different by reason of any provision of this Agreement than they
        would be in the absence of such provision, this Agreement shall, to the extent
        permitted by the Statute, control.

       

      2.2 NAME;
        PRINCIPAL OFFICE; AGENT.

       

       The
        name
        of the LLC is “LORRAINE PROPERTIES, LLC.” The
        LLC
        shall maintain its principal place of business at 1061 1⁄2 N. Spaulding Avenue,
        Los Angeles, California 90046, or at any other location mutually agreed upon
        by
        the Members.
        The name
        of the LLC's agent for service of process is
        Karis
        Corporation.

       

      2.3 PERIOD
        OF DURATION. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       The
        period of duration of the LLC (the “Period of Duration”) shall be through 2075,
        unless the LLC is sooner terminated or dissolved in accordance with the
        provisions of this Agreement.

       

      2.4 BUSINESS
        AND PURPOSE OF THE LLC.

       

       The
        purpose of the LLC is to engage in any lawful activities for which a limited
        liability company may be organized under the Statute, provided
        that the LLC shall not conduct any banking, insurance or trust company
        business.
        Specifically, the LLC has been formed to undertake real estate
        development.

       

      2.5 TITLE
        TO ALL PROPERTIES.

       

       Real
        and
        personal property owned or purchased by the LLC shall be held and owned,
        and
        conveyance made, in the name of the LLC. Instruments and documents providing
        for
        the acquisition, mortgage or disposition of Property of the LLC shall be
        valid
        and binding upon the LLC, except as otherwise limited by this Agreement,
        if
        executed by one or more Managers of the LLC.

       

       

      ARTICLE III.

       

       

      MEMBERS
        AND CAPITAL CONTRIBUTIONS

       

      3.1 MEMBERS;
        NO PERSONAL LIABILITY.

       

       The
        name,
        present mailing address and Percentage Interest of each Member is set forth
        on
        Exhibit A hereto.
        No
        Member shall have any personal liability for any obligation of the LLC, except
        as expressly provided by law.

       

      3.2 INITIAL
        CAPITAL CONTRIBUTIONS.

       

       Upon
        execution of this Agreement, each Member shall contribute to the LLC cash
        in the
        amount set forth beside such Member’s name under the heading “Member’s Capital
        Contribution” on Exhibit A hereto.

       

      3.3 ADDITIONAL
        CONTRIBUTIONS. 

       

       Except
        as
        may be otherwise expressly set forth herein, no Member shall be required
        to make
        any additional Capital Contributions or loan or caused to be loaned to the
        LLC
        any money or other assets. 

       

      3.4 RIGHTS
        WITH RESPECT TO CAPITAL. 

       

      3.4.1 LLC
        Capital.
        Except
        as otherwise provided in this Agreement, no Member shall have the right to
        withdraw or receive any return of its Capital Contribution, and no Capital
        Contribution may be returned in a form of property other than cash.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      3.4.2 No
        Interest on Capital Contributions.
        Except
        as expressly provided in this Agreement, no Capital Contribution of any Member
        shall bear any interest or otherwise entitle the contributing Member to any
        compensation for the use of contributed capital.

       

      3.4.3 Establishment
        of Capital Accounts.
        A
        separate capital account (each, a “Capital Account”) shall be maintained for
        each Member. For book purposes, each Member's Capital Account will be separated
        into a contribution account and an income (loss)
        account
        and will be maintained according to generally accepted accounting principles
        consistently applied. Sections 3.5
        and
3.6
        below
        describe the appropriate accounting treatment for tax purposes of the Capital
        Accounts.

       

      3.5 GENERAL
        RULES FOR ADJUSTMENT OF CAPITAL ACCOUNTS. 

       

      3.5.1 Increases.
        The
        Capital Account of a Member shall be increased by:

       

      (i) Such
        Member's cash contributions;

       

      (ii) The
        agreed fair market value of property contributed by such Member (net of
        liabilities secured by such contributed property that the LLC is deemed to
        assume or take subject to under Code Section 752); and

       

      (iii) All
        items
        of LLC income and gain (including income and gain exempt from tax) allocated
        to
        such Member pursuant to Article IV or other provisions of this
        Agreement.

       

      3.5.2 Decreases.
        The
        Capital Account of a Member shall be decreased by:

       

      (i) The
        amount of cash distributed to such Member;

       

      (ii) The
        agreed fair market value of all actual and deemed distributions of property
        made
        to such Member pursuant to this Agreement (net of liabilities secured by
        such
        distributed property that the Member is deemed to assume or take subject
        to
        under Code Section 752); and

       

      (iii) All
        items
        of LLC deduction and loss allocated to such Member pursuant to Article IV
        or other provisions of this Agreement.

       

      3.6 SPECIAL
        RULES WITH RESPECT TO CAPITAL ACCOUNTS. 

       

      3.6.1 Time
        of Adjustment for Capital Contributions.
        For
        purposes of computing the balance in a Member's Capital Account, no credit
        shall
        be given for any Capital Contribution which such Member is to make until
        such
        contribution is actually made. 

       

      3.6.2 Intent
        to Comply with Treasury Regulations.
        The
        provisions of Section 3.5
        and this
        Section 3.6
        and the
        other provisions of this Agreement relating to the maintenance of Capital
        Accounts are intended to comply with Regulations Section 1.704-1(b), and
        shall
        be interpreted and applied in a manner consistent therewith. To the extent
        such

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      provisions
        are inconsistent with such Regulations Section or are incomplete with respect
        thereto, the Capital Accounts shall be maintained in such manner as is required
        to comply with such Regulations Section.

       

      3.7 TRANSFEREE'S
        CAPITAL ACCOUNT.

       

       In
        the
        event a Member or the holder of an Economic Interest transfers an Interest
        in
        accordance with the terms of this Agreement, the transferee shall succeed
        to the
        Capital Account of the transferor to the extent it relates to the transferred
        Interest.

       

       

      ARTICLE IV.

       

       

      ALLOCATION
        OF PROFITS AND LOSSES

       

      4.1 ALLOCATION
        OF NET PROFITS AND NET LOSSES. 

       

       Except
        as
        otherwise provided in this Article IV, Net Profits and Net Losses in each
        fiscal
        year of the LLC shall be allocated among the Members as follows:

       

      4.1.1 Net
        Profits.
        After
        giving effect to any special or other overriding allocations set forth in
        this
        Article IV, Net Profits shall be allocated among the Members as
        follows:

      (i) first,
        in
        proportion to and up to the amounts of Net Losses allocated for previous
        fiscal
        years of the LLC pursuant to Section 4.1.2(ii) and not previously affected
        by
        allocations pursuant to this Section 4.1.1(i); 

       

      (ii) second,
        in proportion to and up to the amounts of Net Losses allocated for previous
        fiscal years of the LLC pursuant to Section 4.1.2(i) and not previously affected
        by allocations pursuant to this Section 4.1.1(ii); and

       

      (iii) thereafter,
        to the Members in accordance with their respective Percentage
        Interests.

       

      4.1.2 Allocation
        of Net Losses.
        After
        giving effect to any special or other overriding allocations set forth in
        this
        Article IV, Net Losses shall be allocated among the Members as
        follows:

       

      (i) first,
        in
        proportion and to the extent of the Members’ positive adjusted Capital Accounts;
        and 

       

      (ii) thereafter,
        to the Members in accordance with their respective Percentage
        Interests.

       

      4.2 RESIDUAL
        ALLOCATIONS. 

       

       Except
        as
        otherwise provided in this Agreement, all items of LLC income, gain, loss,
        deduction and any other allocations not otherwise provided for shall be divided
        among the

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Members
        in the same proportions as they share Net Profits or Net Losses, as the case
        may
        be, for the applicable fiscal year of the LLC.

       

      4.3 QUALIFIED
        INCOME OFFSET.

       

       If
        any
        Member unexpectedly receives any adjustments, allocation or distributions
        described in clauses (4), (5) or (6) of Regulations Section
        1.704-1(b)(2)(ii)(d), items of LLC income
        shall be specially allocated to such Member in an amount and manner sufficient
        to eliminate the Adjusted Capital Account Deficit created by such adjustments,
        allocations or distributions as quickly as possible. This
        Section 4.3
        is
        intended to constitute a “qualified income offset” within the meaning of
        Regulations Section  1.704-1(b)(2)(ii)(d)(3).

       

      4.4 MINIMUM
        GAIN CHARGEBACK.

       

       If
        there
        is a net decrease in LLC Minimum Gain during a fiscal year, each Member will
        be
        allocated, before any other allocation under this Article IV, items of
        income and gain for such fiscal year (and, if necessary, subsequent years)
        in
        proportion to and to the extent of an amount equal to such Member's share
        of the
        net decrease in LLC Minimum Gain determined in accordance with Regulations
        Section 1.704-2(g)(2). This Section 4.4
        is
        intended to comply with, and shall be interpreted consistently with, the
        “minimum gain chargeback” provisions of Regulations Section
        1.704-2(f).

       

      4.5 MEMBER
        NONRECOURSE DEBT MINIMUM GAIN CHARGEBACK. 

       

       Notwithstanding
        any other provision of this Article IV, but except
        Section 4.4,
        if
        there is a net decrease in Member Nonrecourse Debt Minimum Gain attributable
        to
        a Member Nonrecourse Debt during any fiscal year of the LLC, each Member
        who has
        a share of the Member Nonrecourse Debt Minimum Gain attributable to such
        Member
        Nonrecourse Debt, determined in accordance with Treasury Regulations Section
        1.704-2(i)(5), shall be specially allocated items of LLC income and gain
        for
        such year (and, if necessary, subsequent years) in an amount equal such Member's
        share of the net decrease in Member Nonrecourse Debt Minimum Gain attributable
        to such Member Nonrecourse Debt, determined in accordance with Regulations
        Section 1.704-2(i)(4). Allocations pursuant to the previous sentence shall
        be
        made in proportion to the respective amounts required to be allocated to
        each
        Member pursuant thereto. The items to be so allocated shall be determined
        in
        accordance with Regulations Section 1.704-2(i)(4). This
        Section 4.5
        is
        intended to comply with a minimum gain chargeback requirement of that Section
        of
        the Regulations and shall be interpreted consistently therewith.

       

      4.6 MEMBER
        NONRECOURSE DEDUCTIONS.

       

       Any
        Member Nonrecourse Deductions for any fiscal year of the LLC or other period
        shall be specially allocated to the Member who bears (or is deemed to bear)
        the
        economic risk of loss with respect to the Member Nonrecourse Debt to which
        such
        Member Nonrecourse Deductions are attributable in accordance with Regulations
        Section 1.704-2(i)(2).

       

      4.7 SPECIAL
        ALLOCATIONS.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Any
        special allocations of items of Net Profits pursuant to
        Sections 4.4,
        4.5
        and 4.6
        shall be taken into account in computing subsequent allocations of Net Profits
        pursuant to Section 4.1,
        so that the net amount of any items so allocated and the gain, loss and any
        other item allocated to each Member pursuant to
        Section 4.1
        shall, to the extent possible, be equal to the net amount that would have
        been
        allocated to each such Member pursuant to the provisions of this Article
        IV if
        such special allocations had not occurred.

       

      4.8 FEES
        TO MEMBERS OR AFFILIATES.

       

       Notwithstanding
        the provisions of Section 4.1,
        in the
        event that any fees, interest or other amounts paid to any Member or any
        Affiliate thereof pursuant to this Agreement or any other agreement between
        the
        LLC and any Member or Affiliate thereof providing for the payment of such
        amount, and deducted by the LLC in reliance on Section 707(a) and/or 707(c)
        of
        the Code, are disallowed as deductions to the LLC on its federal income tax
        return and are treated as LLC distributions, then:

       

      (i) the
        Net
        Profits or Net Losses, as the case may be, for the fiscal year of the LLC
        in
        which such fees, interest, or other amounts were paid shall be increased
        or
        decreased, as the case may be, by the amount of such fees, interest or other
        amounts that are treated as LLC distributions; and

       

      (ii) there
        shall be allocated to the Member to which (or to whose Affiliate) such fees,
        interest or other amounts were paid, prior to the allocations pursuant to
        Section 4.1,
        an
        amount of gross income for such fiscal year equal to the amount of such fees,
        interest or other amounts that are treated as LLC distributions.

       

      4.9 SECTION
        704(c) ALLOCATION. 

       

       Any
        item
        of income, gain, loss and deduction with respect to any property (other than
        cash) that has been contributed by a Member to the capital of the LLC and
        which
        is required or permitted to be allocated to such Member for income tax purposes
        under Section 704(c) of the Code so as to take into account the variation
        between the tax basis of such property and its fair market value at the time
        of
        its contribution shall be allocated to such Member solely for income tax
        purposes in the manner so required or permitted.

       

       

      ARTICLE V.

       

       

      DISTRIBUTIONS

       

      5.1 AVAILABLE
        CASH FLOW.

       

       Subject
        to applicable law, the Manager from time to time may elect to distribute
        Available Cash Flow of the LLC to the Members in proportion to their Percentage
        Interests as of the time of such distribution. For purposes of allocations
        of
        Net Profits pursuant to Section 4.1.1,
        Available Cash Flow attributable to a specific fiscal year of the LLC shall
        be
        deemed distributed as of the end of such fiscal year.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      5.1.1 LIQUIDATING
        DISTRIBUTIONS.

       

       If
        the
        LLC is liquidated, the assets of the LLC shall be distributed to the Members
        in
        accordance with the balances in their respective Capital Accounts, after
        giving
        effect to all Capital Contributions, distributions and allocations for all
        periods. Distributions to the Members pursuant to this Section 5.2
        shall be
        made in accordance with Section 1.704-1(b)(2)(ii)(b)(2) of the
        Regulations.

       

       

      ARTICLE VI.

       

       

      RIGHTS,
        DUTIES, OBLIGATIONS AND 

       

       

      COMPENSATION
        OF MANAGER AND OFFICERS

       

      6.1 MANAGER.

       

       The
        LLC
        shall be managed by Yossi Attia. A Manager need not be a Member or an
        individual.

       

      6.1.1 Duties
        of the Manager.
        The
        Manager shall function collectively as the general manager and chief executive
        officer of the LLC and have, subject to the control of the Members, general
        supervision, direction and control of the business of the LLC. The Manager
        shall
        have such rights, duties and powers as are specified in this Agreement, or
        conferred upon the Manager by a Vote of the Members. 

       

      6.1.2 Execution
        of Documents.
        To the
        extent practicable, the Manager shall operate the business and affairs of
        the
        LLC in consultation with one another, but notwithstanding the provisions
        of this
        Section 6.1,
        and
        except as set forth in Section 6.2
        hereof,
        any Manager acting alone may execute any contract, deed, lease, agreement
        or
        other instrument on behalf of the LLC, and the execution thereof by a Manager
        shall be conclusive evidence in favor of every Person relying thereon or
        claiming thereunder that such contract, deed, lease, agreement or other
        instrument, when executed and delivered by such Manager, was duly authorized
        by
        the Members and/or the Manager, as appropriate; provided, however, that any
        action by the Manager with respect to the matters set forth in
        Section 6.2
        hereof
        shall be authorized by a majority of the Manager in the manner set forth
        in this
        Section 6.1.

       

      6.1.3 Election.
        Each
        Manager shall hold office until such Manager’s successor has been elected by a
        Vote of the Members and has qualified, unless such Manager earlier resigns
        or is
        removed or otherwise disqualified to serve. In voting for Manager, each Member
        shall have a number of votes equal to such Member’s Percentage Interest in the
        LLC. The candidate for a Manager position who receives the most Member votes
        cast with respect to such position shall succeed thereto.

       

      6.1.4 Subordinate
        Officers.
        The
        Members may appoint a secretary, a chief financial officer and such other
        officers as the business of the LLC may require, each of whom shall hold
        office
        for such period, have such authority and perform such duties as are provided
        in
        this Agreement, or as the Members may determine.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      6.1.5 Removal
        and Resignation.
        Any
        Manager or other officer of the LLC may be removed, with or without cause,
        by a
        Vote of the Members. Any Manager or other officer of the LLC may resign at
        any
        time without prejudice to any rights of the LLC under any contract to which
        the
        Manager or other officer of the LLC is a party, by giving written notice
        to the
        Members or to the Manager, as applicable. Any such resignation shall take
        effect
        at the date of the receipt of such notice or at any later time specified
        therein
        and, unless otherwise specified therein, the acceptance of such resignation
        shall not be necessary to make it effective.

       

      6.1.6 Vacancies.
        A
        vacancy among the Manager or in any office because of death, resignation,
        removal, disqualification or any other cause shall be filled by a Vote of
        the
        Members through the appointment of a successor Manager or officer who shall
        hold
        office for the unexpired term.

       

      6.1.7 Meetings.
        Any
        meetings of the Manager shall be held at the principal office of the LLC,
        unless
        some other place is designated in the notice of the meeting. Any Manager
        may
        participate in a meeting through use of a conference telephone or similar
        communication equipment so long as all Manager participating in such a meeting
        can hear one another. Accurate minutes of any meeting of the Manager shall
        be
        maintained by the officer designated by the Manager for that
        purpose.

       

      6.1.8 Regular
        Meetings.
        Meetings
        of Manager shall not be required. Regular meetings of the Manager may be
        held
        immediately following the adjournment of any annual meeting of the Members
        at
        which the Manager are elected. No notice need be given of such regular
        meetings.

       

      6.1.9 Special
        Meetings.
        Special
        meetings of the Manager for any purpose may be called at any time by any
        Manager. At least 48 hours notice of the time and place of a special meeting
        of
        the Manager shall be delivered personally to the Manager or personally
        communicated to them by an officer of the LLC by telephone, telegraph or
        facsimile. If the notice is sent to a Manager by letter, it shall be addressed
        to such Manager at his, her or its last known business address as it is shown
        in
        the records of the LLC. In case such notice is mailed, it shall be deposited
        in
        the United States mail, first-class postage, prepaid, in the place in which
        the
        principal office of the LLC is located at least four days prior to the time
        of
        the holding of the meeting. Such mailing, telegraphing, telephoning or delivery
        as above provided shall be considered due, legal and personal notice to such
        Manager.

       

      6.1.10 Meetings
        Without Notice. 
        Notice
        of a meeting need not be given to any Manager who signs a waiver of notice,
        a
        consent to holding the meeting or an approval of the minutes thereof, whether
        before or after the meeting, or who attends the meeting without protesting,
        prior thereto or at its commencement, the lack of notice to such Manager.
        All
        such waivers, consents and approvals shall be filed with the LLC’s records or
        made a part of the minutes of the meeting.

       

      6.1.11 Written
        Consent in Lieu of Meetings.
        Any
        action required or permitted to be taken by the Manager may be taken without
        a
        meeting and will have the same force and effect as if taken by a vote of
        the
        Manager at a meeting properly called and noticed, if authorized

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      by
        a
        writing signed individually or collectively by all, but not less than all,
        of
        the Manager. Any such consent shall be filed with the records of the
        LLC.

       

      6.1.12 Quorum.
        A
        majority of the total number of incumbent Manager shall be necessary to
        constitute a quorum for the transaction of business at any meeting of the
        Manager, and except as
        otherwise provided in this Agreement or by the Statute, the action of a majority
        of the Manager present at any meeting at which there is a quorum, when duly
        assembled, is valid. A meeting at which a quorum is initially present may
        continue to transact business, notwithstanding the withdrawal of Manager,
        if any
        action taken is approved by a majority of the required quorum for such
        meeting.

       

      6.2 LIMITATIONS
        ON RIGHTS AND POWERS. 

       

       Except
        by
        a Vote of the Members which is evidenced in writing, neither the Manager
        nor any
        officers of the LLC shall have the authority to:

       

      (i) Enter
        into or commit to any agreement, contract, commitment or obligation on behalf
        of
        the LLC obligating any Member or Principal to fund additional capital, to
        make
        or guarantee a loan or to increase its personal liability either to the LLC
        or
        to third parties;

       

      (ii) Permit
        the LLC's funds to be commingled with the funds of any other
        Person;

       

      (iii) Do
        any
        act in contravention of this Agreement;

       

      (iv) Do
        any
        act which would make it impossible to carry on the business of the
        LLC;

       

      (v) Confess
        a
        judgment against the LLC;
        or

       

      (vi) Sell,
        exchange or otherwise dispose of all or substantially all of the assets of
        the
        LLC, whether in a single transaction or in a series of related transactions,
        or
        merge the LLC with or into any other limited liability company, limited
        partnership, corporation or other entity.

       

      6.3 COMPENSATION
        OF MANAGER. 

       

       The
        LLC
        shall pay to the Manager such salary and other benefits as shall be approved
        from time to time by a Vote of the Members. The LLC shall reimburse the Manager
        for any expense paid by a Manager that properly is to be borne by the
        LLC.

       

       

      ARTICLE VII.

       

       

      MEMBERS;
        MEMBERS' MEETINGS

       

      7.1 PLACE
        OF MEETINGS;
        MANAGER TO PRESIDE.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Meetings
        of the Members shall be held at the principal office of the LLC or at such
        other
        location as may be reasonably designated by the Manager.
        The Manager shall preside at all meetings of the Members.

       

      7.2 ANNUAL
        MEETINGS OF MEMBERS. 

       

       Annual
        meetings of the Members shall not be required. An annual meeting of the Members
        may be held at such date, time and place within or without the State of NEVADA
        as the Manager may determine from time to time. At any annual meeting, the
        Members may elect the Manager and transact such other business as may be
        properly brought before the meeting.
        Notwithstanding the foregoing, the Manager shall not be under any obligation
        to
        convene an annual meeting of the Members unless requested to do so in writing
        by
        a Majority in Interest of the Members.

       

      7.3 SPECIAL
        MEETINGS.

       

       Special
        meetings of the Members may be called at any time by any Manager or by one
        or
        more Members holding in the aggregate more than 10% of the Percentage Interests.
        Upon receipt of a written request, which request may be mailed or delivered
        personally to the Manager, from any Person entitled to call a special meeting
        of
        Members, the Manager shall cause notice to be given to the Members that a
        meeting will be held at a time requested by the Person or Persons calling
        the
        meeting, which time for the meeting shall be not less than 10 nor more than
        sixty 60 days after the receipt of such request. If such notice is not given
        within 20 days after delivery of such request to the Manager, the Persons
        calling the meeting may give notice thereof in the manner provided by this
        Agreement.

       

      7.4 NOTICE
        OF MEETINGS. 

       

      Except
        as
        provided in Section 7.3
        with
        respect to special meetings, notice of meetings shall be given by the Manager
        to
        the Members in writing not less than 10 nor more than 60 days before the
        date of
        the meeting. Notices for regular and special meetings shall be given personally,
        by mail or by
        facsimile, and shall be sent to each Member's last known business address
        appearing on the books of the LLC. Such notice shall be deemed given at the
        time
        it is delivered personally, deposited in the mail or sent by facsimile. Notice
        of any meeting of Members shall specify the place, the day and the hour of
        the
        meeting, and (i) in case of a special meeting, the general nature of the
        business to be transacted, or (ii) in the case of an annual meeting, those
        matters which the Manager, at the date of mailing, intend to present for
        action
        by the Members. 

       

      7.5 VALIDATION
        OF MEMBERS' MEETINGS.

       

       Business
        transacted at a meeting of Members which was not called or noticed pursuant
        to
        the provisions of Section 7.3
        or
7.4
        shall be
        valid as though transacted at a meeting duly held after regular call and
        notice,
        if Members holding in the aggregate more than 50% of the Percentage Interests
        are present, and if, either before or after the meeting, each of the Members
        entitled to vote but not present (whether in person or by proxy, as that
        term is
        used in the Statute)

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      at
        the
        meeting signs a written waiver of notice, a consent to the holding of such
        meeting or an approval of the minutes thereof. All such waivers, consents
        or
        approvals shall be filed with the records of the LLC. Attendance at a meeting
        shall constitute a waiver of notice, unless an objection is made at the
        beginning of the meeting that it was not duly called or convened.

       

      7.6 ACTIONS
        WITHOUT A MEETING. 

       

       Any
        action which may be taken at any annual or special meeting of Members may
        be
        taken without a meeting and without prior notice if a consent in writing,
        setting forth the action so taken, shall be signed by Members holding in
        the
        aggregate the number of votes equal to or greater than the number
        of
        votes required to approve such action at a meeting of the Members. Notwithstanding
        the foregoing, unless the consents of all of the Members have been given
        in
        writing, notice of any approval of (i) an amendment to this Agreement or
        the Articles of Organization, (ii) a dissolution of the LLC pursuant to
        clause (ii) of Section 9.1
        hereof
        or (iii) a merger of the LLC as provided in Section 17551 of the
        Statute shall be given at least 10 days
        before the consummation of any such action to each Member whose consent was
        not
        so obtained. Any Member giving a written consent may revoke the consent by
        a
        writing received by the LLC prior to the time that written consents of Members
        required to authorize the proposed action have been filed with the LLC. Any
        such
        revocation shall be effective upon its receipt by the LLC.

       

      7.7 REQUIRED
        VOTE. 

       

       Unless
        otherwise expressly set forth in this Agreement or required by the terms
        of the
        Statute, Code or applicable Regulations thereunder, the affirmative vote
        of at
        least a Majority in Interest of the Members (a “Vote”), wherein each Member
        casts a number of votes equal to the Member's Percentage Interest in the
        LLC,
        shall
        constitute the approval of the Members.

       

      7.8 QUORUM
        AND EFFECT OF VOTE. 

       

       A
        Majority in Interest of the Members shall constitute a quorum at all meetings
        of
        the Members for the transaction of business, and a Vote of the Members shall
        be
        required to approve any action, unless a greater vote is required or a lesser
        vote is provided for by this
        Agreement or by the Statute. Each Member shall have a number of votes equal
        to
        the Percentage Interest held by such Member, provided that if, pursuant to
        the
        Statute or the terms of this Agreement, a Member
        is
        not entitled to vote on a specific matter, then such Member's number of votes
        and Percentage Interest shall not be considered for purposes of determining
        whether a quorum is present, or whether approval by Vote of the Members has
        been
        obtained in respect of such specific matter.

       

      7.9 COMPENSATION
        OF MEMBERS. 

       

      Except
        as
        expressly permitted by this Agreement or any other duly authorized and approved
        written agreement, the LLC shall pay no compensation to any Member or any
        Principal of any Member for their services to the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE 1.

       

      RESTRICTIONS
        ON TRANSFER OF LLC

       

      INTERESTS;
        ADMISSION OF NEW MEMBERS

       

      7.10 TRANSFER
        OR ASSIGNMENT OF INTERESTS. 

       

       No
        transfer, sale, hypothecation, pledge, encumbrance, assignment or other
        disposition (each of the foregoing, a “Transfer”) of a Member’s Interest, or any
        part thereof, will be valid without the consent of a Majority in Interest
        of the
        Members. Any Transfer of an Interest, including an involuntary Transfer,
        which
        does not satisfy the requirements of this Section 8.1
        shall be
        subject to the provisions of Section 8.3
        hereof;
        provided, however, that any Transfer by a Member to a trust or other entity
        wholly owned by or established for the benefit of such Member, or to a parent,
        spouse, sibling or descendant of such Member or to a trust established
        exclusively for the benefit of one or more of such Persons (any such Transfer,
        a
“Permitted Transfer”), shall not require consent pursuant to this
        Section 8.1.

       

      7.11. RIGHT
        OF FIRST REFUSAL UPON SALE.

       

      Other
        than with respect to Permitted Transfers, in the event that any Member receives
        a bona fide offer for the purchase and sale of all or any portion of such
        Member’s Interest, the Member shall first offer to sell such Interest or portion
        thereof to the other Members and to the LLC in accordance with the provisions
        of
        this Section 8.2.

       

      7.11.1 Notice
        of Offer to Sell. Promptly
        following the receipt of an offer to purchase all or any portion of his,
        her or
        its Interest, a Member shall deliver a written notice (the “Sale Notice”) to the
        LLC and the other Members stating (i) such Member’s bona fide intention to sell
        his, her or its Interest, (ii) the name and address of the proposed transferee,
        (iii) the Interest or portion thereof to be sold and (iv) the purchase price
        and
        terms of payment upon which the Member proposes to sell such
        Interest.

       

      7.11.2 Right
        of First Refusal.
        Within
        90 days after receipt of the Sale Notice, the LLC and the Members electing
        to
        purchase the Interest subject to the Sale Notice shall have the first right
        to
        purchase or obtain such Interest upon the price and terms of payment designated
        in the Sale Notice. If the Sale Notice provides for the payment of non-cash
        consideration, the LLC and the purchasing Members each may elect to pay the
        consideration in cash equal to the good faith estimate of the present fair
        market value of the non-cash consideration offered, as determined by the
        Manager
        or, in the absence of an agreement among the Manager as to such value, by
        a
        nationally recognized firm of appraisers jointly selected by the
        Manager.

       

      7.11.3 Election
        to Exercise Right of First Refusal. Within
        30
        days after receipt of the Sale Notice, each non-selling Member shall notify
        the
        Manager in writing of his, her or its desire to purchase a portion of the
        Interest subject to the Sale Notice. The failure of any Member to so notify
        the
        Manager within the applicable period shall constitute an election on the
        part of
        that Member not to purchase any portion of the Interest subject to the Sale
        Notice. Each Member so electing to purchase shall be entitled to purchase
        a
        portion of such Interest in the same proportion that the Percentage Interest
        of
        such Member bears to the aggregate of the Percentage

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Interest
        of all of the Members electing to so purchase the Interest subject to the
        Sale
        Notice. In the event any Member elects to purchase none or less than all
        of his,
        her or its pro rata share of such Interest, then the other Members can elect
        to
        purchase more than their pro rata share. If such Members fail to purchase
        the
        entire Interest subject to the Sale Notice, the LLC may purchase any remaining
        share of such Interest.

       

      7.11.4 Lapse
        of Right of First Refusal. If
        the
        LLC or the other Members elect not to purchase or obtain all of the Interest
        subject to the Sale Notice, then the selling Member may sell the Interest
        described in the Sale Notice to the proposed transferee, provided such sale
        (i)
        is completed within 30 days after the expiration of the LLC’s and the other
        Members' right to purchase such Interest, (ii) is made on terms no less
        favorable to the selling Member than as designated in the Sale Notice and
        (iii)
        the requirements of Section 8.1
        have
        been met. If such Interest is not so sold, the selling Member must give notice
        in accordance with this Section 8.2.
        prior to
        any subsequent sale of such Member’s Interest.

       

      7.12 BUYOUT
        OPTION.

       

      7.12.1 Buyout
        Notice.
        Any
        Member (a “Remaining Member”) or its designated Affiliate shall have the right
        (the “Buyout Option”) to purchase all, but not less than all, of the LLC
        Interest of any other Member (a “Departing Member”) in the event the Departing
        Member Transfers any portion of such Member’s LLC Interest other than as
        permitted pursuant to Section 8.1
        hereof
        (a “Buyout Event”). Within 30 days of receipt of notice of a Buyout Event, the
        Remaining Member shall give written notice (the “Buyout Notice”) to the
        Departing Member of the Remaining Member’s desire to purchase the Departing
        Member’s LLC Interest. In the event that there is more than one Remaining Member
        at the time a Buyout Event occurs, the Remaining Members shall be entitled
        to
        exercise the Buyout Option pro rata in accordance with their respective
        Percentage Interests. 

       

      7.12.2 Purchase
        Price of the Departing Member’s LLC Interest.
        The
        purchase price of the Departing Member’s LLC Interest shall be the Fair Market
        Value thereof. For purposes hereof, the “Fair Market Value” of such Interest
        shall be such value as is mutually agreed upon among the Members (which term
        shall include, for purposes of this Section 8.3.2,
        the
        Departing Member’s legal representatives); provided, however, that in the event
        that such Persons are unable to agree upon a Fair Market Value within 30
        days of
        the date of the Buyout Notice, the Fair Market Value shall be determined
        by an
        independent appraiser affiliated with a nationally recognized firm of
        accountants, appraisers or investment bankers and selected by the Manager
        in the
        exercise of their reasonable discretion. The appraiser shall render a written
        report setting forth its determination of Fair Market Value as promptly as
        possible, and the Transfer incident to the exercise of the Buyout Option
        shall
        be made within 15 days after such determination has been made. In making
        such
        determination, the appraiser shall value the LLC as a going concern and shall
        take into consideration (i) the transferability and liquidity of the Departing
        Member’s Interest, (ii) the fact that additional capital may be required, from
        time to time, in connection with the business of the LLC and (iii) the economic
        risk and liability associated with the ownership of such Interest. Absent
        manifest error, the appraiser’s determination of Fair Market Value shall be
        final and binding on all parties. The fees and expenses of any appraiser
        shall
        be paid by the LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      7.12.3 Exercise
        Terms.
        The
        Buyout Notice shall specify the date on which the Transfer pursuant to an
        exercise of the Buyout Option shall be consummated, which date shall be no
        earlier than 30 days nor later than 90 days from the date of the Buyout Notice,
        unless otherwise agreed by the Remaining Member and the Departing Member.
        Except
        as may be otherwise agreed by the Remaining Member and the Departing Member,
        the
        Remaining Member shall pay at least 20% of the purchase price for the Departing
        Member’s LLC Interest in cash, with the balance of the purchase price payable
        pursuant to a promissory note bearing interest at 110% of the then current
        applicable federal rate for mid-term obligations (as determined pursuant
        to
        Section 7872 of the Code). Such note shall be payable in equal installments
        of principal and interest over a period not to exceed five years. Any such
        promissory note may be prepaid at any time without premium or penalty. The
        Departing Member’s LLC Interest shall be transferred free and clear of all liens
        and encumbrances and, except as otherwise provided, the Departing Member
        shall
        be released at the closing from any guarantees, obligations, liabilities
        or
        similar undertakings to third parties given by such Member on behalf of the
        LLC.

       

      7.12.4 Further
        Cooperation.
        On the
        closing of the purchase and sale of the Departing Member’s LLC Interest pursuant
        to an exercise of the Buyout Option, each Member shall execute, acknowledge
        and
        deliver to each other Member such instruments, and take such actions, as
        each
        Member may reasonably request in order to effect the purchase and sale of
        the
        LLC Interest pursuant to the terms and conditions of this
        Section 8.3.

       

      7.12.5 LLC
        Option.
        In the
        event the Remaining Member elects not to exercise any of its rights under
        this
        Section 8.3,
        the
        LLC, at its election, may assume such rights.

       

      7.13 VOID
        TRANSFERS. 

       

       If
        the
        Manager determine in their sole discretion that any Transfer would cause
        the
        termination of the LLC under the Code, then such Transfer shall be null and
        void.

       

      7.14 SUBSTITUTION
        OF MEMBERS.

       

      A
        transferee of an Interest shall become a substitute Member, provided that
        (i) the Transfer was valid under Section 8.1
        hereof
        and not voided by the Manager pursuant to Section 8.4
        hereof,
        (ii) the transferee has become a party to this Agreement and (iii) the
        transferee pays any reasonable expenses in connection with his, her or its
        admission as a Member. A transferee who becomes a substituted Member has,
        to the
        extent transferred, all of the rights, powers and duties of a Member under
        this
        Agreement and the Statute.

       

      7.15 ADMISSION
        OF NEW MEMBERS.

       

       A
        new
        Member may be admitted into the LLC only upon the consent of a Majority in
        Interest of the Members. The
        amount of Capital Contribution, if any, which must be made by a new Member
        shall
        be determined by the Vote of all existing Members.
        A new
        Member shall not be deemed admitted into the LLC until the Capital Contribution
        required of such Person shall have been made and such Person has become a
        party
        to this Agreement and made any and all

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      investment
        representations deemed necessary or advisable by the Manager in their sole
        discretion.

       

      7.16 SUBSEQUENT
        TRANSFERS SUBJECT TO TERMS OF AGREEMENT.

       

      After
        the
        consummation of any Transfer of any part of an LLC Interest, the Interest
        or
        portion thereof so transferred shall continue to be subject to the terms
        and
        provisions of this Agreement and any further Transfers shall be required
        to
        comply with all the terms and provisions hereof.

       

      7.17 PURCHASE
        TERMS VARIED BY AGREEMENT.

       

       Provided
        that the restrictions set forth in this Agreement have been satisfied, nothing
        contained herein is intended to prohibit Members from agreeing upon other
        terms
        and conditions for the purchase by the LLC or any other Member of the Interest
        (or any portion thereof) of any Member desiring to retire, withdraw or
        resign.

       

      7.18 SPOUSAL
        CONSENT.

       

      Each
        Member who is married as of the date hereof or who subsequently becomes married
        shall obtain his or her spouse’s signature to a spousal consent in the form
        attached hereto as Exhibit C.

       

       

      ARTICLE VIII.

       

       

      TERMINATION
        AND DISSOLUTION

       

      8.1 DISSOLUTION. 

       

      The
        LLC
        shall be dissolved upon the occurrence of any of the following
        events:

       

      (i) When
        the
        Period of Duration of the LLC expires;

       

      (ii) The
        written approval by a Majority in Interest of the Members to dissolve the
        LLC; 

       

      (iii) The
        sale
        of all or substantially all of the assets of the LLC and the distribution
        to the
        Members of the proceeds thereof;
        or

       

      (iv) Except
        as
        otherwise set forth in this Agreement, any other event causing a dissolution
        of
        the LLC under the Statute.

       

      8.2 DISASSOCIATION
        EVENT.

       

       The
        occurrence of a Disassociation Event shall not constitute a dissolution or
        termination of the LLC.

       

      8.3 STATEMENT
        OF INTENT TO DISSOLVE. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       As
        soon as possible after the occurrence of any of the events specified in
        Section 9.1
        above, the LLC shall execute a Statement of Intent to Dissolve in such form
        as
        prescribed by the NEVADA Secretary of State.

       

      8.4 CONDUCT
        OF BUSINESS.

       

       Upon
        the
        occurrence of any event specified in Section 9.1,
        the LLC
        shall continue solely for the purpose of winding up its affairs in an orderly
        manner, liquidating its assets and satisfying the claims of its creditors.
        The
        Manager who have not wrongfully dissolved the LLC or, if none, the Members,
        shall be responsible for overseeing the winding up and liquidation of the
        LLC,
        shall take full account of the assets and liabilities of the LLC, shall cause
        its assets to be either sold or distributed, and shall cause the proceeds
        therefrom, to the extent sufficient therefor, to be applied and distributed
        as
        provided in this Section 9.4.
        The
        Persons winding up the affairs of the LLC shall give written notice of the
        commencement of winding up by mail to all known creditors and claimants whose
        addresses appear on the records of the LLC. The Manager or Manager
        winding up the affairs of the LLC shall be entitled to reasonable compensation
        for such services.

       

      8.5 DISTRIBUTION
        OF NET PROCEEDS. 

       

       The
        Members shall continue to divide Net Profits and Net Losses and Available
        Cash
        Flow during the winding-up period in the same manner and the same priorities
        as
        provided for in Articles IV and V hereof. The proceeds from the liquidation
        of Property shall be applied in the following order:

       

      (i) To
        creditors other than Members in the order of priority provided by
        law;
        then

       

      (ii) To
        creditors who are Members in order of priority, except amounts owed to Members
        on account of their Capital Contributions;
        then

       

      (iii) To
        the
        Members as provided in Section 5.2
        hereof.

       

      Where
        the
        distribution pursuant to this Section 9.5
        consists
        both of cash (or cash equivalents) and non-cash assets, the cash (or cash
        equivalents) shall first be distributed, in a descending order, to fully
        satisfy
        each category starting with the most preferred category set forth above.
        In the
        case of non-cash assets, the distribution values are to be based on the fair
        market value thereof as determined in good faith by the liquidator, and the
        shortest maturity portion of such non-cash assets (e.g., notes or other
        indebtedness) shall, to the extent such non-cash assets are readily divisible,
        be distributed, in a descending order, to fully satisfy each category above,
        starting with the most preferred category.

       

       

      ARTICLE IX.

       

       

      BOOKS,
        RECORDS, REPORTS AND BANK ACCOUNTS

       

      9.1 MAINTENANCE
        OF BOOKS AND RECORDS.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       The
        Manager shall cause the books and records of the LLC to be maintained in
        accordance with generally accepted accounting principles, and shall give
        reports
        to the Members in accordance with prudent business practices and the Statute.
        There shall be kept at the principal office of the LLC, as well as at the
        office
        of record of the LLC specified in Section 2.3,
        if different, the following LLC documents:

       

      (i) A
        current
        list in alphabetical order of the full name and last known business or residence
        address of each Member and holder of an Economic Interest in the LLC, together
        with the Capital Contributions, Percentage Interest and share in Net Profits
        and
        Net Losses of each Member and holder of an Economic Interest;

       

      (ii) A
        current
        list of the full name and business or residence address of each
        Manager;

       

      (iii) A
        copy of
        the Articles of Organization and any amendments thereto, together with any
        powers of attorney pursuant to which the Articles of Organization and any
        amendments thereto were executed;

       

      (iv) Copies
        of
        the LLC's federal, state and local income tax or information returns and
        reports, if any, for the six most recent fiscal years of the LLC;

       

      (v) A
        copy of
        this Agreement and any amendments thereto, together with any powers of attorney
        pursuant to which this Agreement and any amendments thereto were
        executed;

       

      (vi) Copies
        of
        the financial statements of the LLC, if any, for the six most recent fiscal
        years of the LLC;

       

      (vii) The
        LLC's
        books and records as they relate to the internal affairs of the LLC for at
        least
        the current and past four fiscal years of the LLC; 

       

      (viii) Originals
        or copies of all minutes, actions by written consent, consents to action
        and
        waivers of notice to Members and Member Votes, actions and consents;
        and

       

      (ix) Any
        other
        information required to be maintained by the LLC pursuant to the
        Statute.

       

      9.2 ANNUAL
        ACCOUNTING.

       

       Within
        120 days after the close of each fiscal year of the LLC, the LLC shall
        (i) cause to be prepared and submitted to each Member a balance sheet and
        income statement for the preceding fiscal year (or portion thereof) in
        conformity with generally accepted accounting principles and (ii) provide
        to the Members all information necessary for them to complete federal and
        state
        tax returns.

       

      9.3 INSPECTION
        AND AUDIT RIGHTS. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Each
        Member and each holder of an Economic Interest in the LLC who is not a Member
        has the right upon reasonable request, for purposes reasonably related to
        the
        interest of that Person, to inspect and copy during normal business hours
        any of
        the LLC books and records required to be maintained in accordance with
        Section 10.1. Such right may be exercised by the Person or by that Person's
        agent or attorney. The determination of the Manager as to adjustments to
        the
        financial reports, books, records and returns of the LLC, in the absence
        of
        fraud or gross negligence,
        shall be final and binding upon the LLC and all of the
        Members.
        In addition, upon the request of a Member or a holder of an Economic Interest,
        for purposes reasonably related to the interest of that Person, the Manager
        shall promptly deliver to the Member or holder of an Economic Interest, at
        the
        expense of the LLC, a copy of this Agreement and a copy of the information
        listed in paragraphs (i), (ii) and (iv) of Section 10.1
        of this Agreement.

       

      9.4 BANK
        ACCOUNTS; FISCAL YEAR AND ACCOUNTING METHOD.

       

       The
        bank
        accounts of the LLC shall be maintained in such banking institutions as the
        Manager shall determine. The
        fiscal year and accounting method of the LLC shall be as determined by the
        Manager in their reasonable discretion and in accordance with, to the extent
        applicable, the Code.

       

      9.5 TAX
        MATTERS.

       

       One
        of
        the Manager who is also a Member, or in the event no Manager is a Member,
        a
        Member or an officer of a corporate Member, shall be designated as “Tax Matters
        Partner” (as defined in Code section 6231), to represent the LLC (at the LLC's
        expense) in connection with all examinations of the LLC's affairs by tax
        authorities, including resulting judicial and administrative proceedings,
        and to
        expend LLC funds for professional services and costs associated therewith.
        In
        its capacity as Tax Matters Partner, the designated Person shall oversee
        the LLC
        tax affairs in the overall best interests of the LLC. Tiran
        Ibgui is hereby designated as the initial Tax Matters Partner, and shall
        serve
        in such capacity until such time as the Members designate another Tax Matters
        Partner.

       

      9.6 INCOME
        TAX ELECTIONS.

       

       The
        Tax
        Matters Partner designated pursuant to Section 10.5
        shall
        have the authority on behalf of the LLC to make all elections permitted under
        the Code and all other tax-related statutes and regulations, including elections
        of methods of depreciation and elections under
        Section
        754 of the Code. The decision to make or not to make an election shall be
        at the
        Tax Matters Partner’s sole and absolute discretion.
        The
        Members hereby acknowledge that they are aware of the income tax consequences
        of
        the allocations made by this Agreement and hereby agree to be bound by the
        provisions of this Agreement in reporting their shares of the LLC income
        and
        loss for income tax purposes.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      ARTICLE 1.

       

      INDEMNIFICATION
        OF MEMBERS, 

       

      MANAGER
        AND THEIR AFFILIATES

       

      9.7 INDEMNIFICATION
        OF MEMBERS AND THEIR PRINCIPALS. 

       

       The
        LLC
        shall indemnify and hold harmless the Members, the Manager, their Affiliates
        and
        their respective officers, directors, employees, agents and Principals
        (individually, an “Indemnitee”) from and against any and all losses, claims,
        demands, costs, damages, liabilities, joint and several, expenses of any
        nature
        (including reasonable attorneys' fees and disbursements),
        judgments, fines, settlements and other amounts arising from any and all
        claims,
        demands, actions, suits or proceedings, whether civil, criminal, administrative
        or investigative, in which the Indemnitee was involved or may be involved,
        or
        threatened to be involved, as a party or otherwise, arising out of or incidental
        to the business of the LLC, regardless of whether the Indemnitee continues
        to be
        a Member, an Affiliate, or an officer, director, employee, agent or Principal
        of
        the Member at the time any such liability or expense is paid or incurred,
        to the
        fullest extent permitted by the Statute and all other applicable
        laws.

       

      9.8 EXPENSES.

       

       Expenses
        incurred by an Indemnitee in defending any claim, demand, action, suit or
        proceeding subject to Section 11.1 shall, from time to time, be advanced by
        the LLC prior to the final disposition of such claim, demand, action, suit
        or
        proceeding upon receipt by the LLC of an undertaking by or on behalf of the
        Indemnitee to repay such amount if it shall be determined that such Person
        is
        not entitled to be indemnified as authorized in Section 11.1.

       

      9.9 INDEMNIFICATION
        RIGHTS NON-EXCLUSIVE.

       

       The
        indemnification provided by Section 11.1
        shall be
        in addition to any other rights to which those indemnified may be entitled
        under
        any agreement or vote of the Members, as a matter of law or equity or otherwise,
        both as to action in the Indemnitee’s capacity as a Member, as an Affiliate or
        as an officer, director, employee, agent or Principal of a Member and as
        to any
        action in another capacity, and shall continue as to an Indemnitee who has
        ceased to serve in such capacity and shall inure to the benefit of the heirs,
        successors, assigns, representatives and administrators of the
        Indemnitee.

       

      9.10 ERRORS
        AND OMISSIONS INSURANCE.

       

       The
        LLC
        may purchase and maintain insurance, at the LLC's expense, on behalf of the
        Members and such other Persons as the Members shall determine, against any
        liability that may be asserted against, or any expense that may be incurred
        by,
        such Person in connection with the activities of the LLC and/or the Members'
        acts or omissions as the Members of the LLC regardless of whether the LLC
        would
        have the
        power to indemnify such Person against such liability under the provisions
        of
        this Agreement or under applicable law.

       

      9.11 ASSETS
        OF THE LLC.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       Any
        indemnification under Section 11.1
        shall be satisfied solely out of the assets of the LLC. No Member shall be
        subject to personal liability or required
        to fund or to cause to be funded any obligation by reason of these
        indemnification provisions.

       

       

      ARTICLE X.

       

       

      ISSUANCE
        OF LLC CERTIFICATES

       

      10.1 ISSUANCE
        OF LLC CERTIFICATES.

       

       Upon
        or
        at any time after the execution of this Agreement and the payment of the
        Capital
        Contributions by the Members, the Manager may elect to cause the LLC to issue
        one or more LLC Certificates in the form of Exhibit B hereto (each, an “LLC
        Certificate”) in the name of each Member certifying that the Person named
        therein is the record holder of the LLC Interests set forth therein. For
        purposes of this Agreement, the term “record holder” shall mean the person whose
        name appears on Exhibit A as the Member owning the LLC Interest at
        issue.

       

      10.2 TRANSFER
        OF LLC INTERESTS.

       

       An
        LLC
        Interest which is transferred in accordance with the terms of this Agreement
        shall be transferable on the books of the LLC by the record holder thereof
        in
        person or by such record holder's duly authorized attorney, but, except as
        provided in Section 12.3
        hereof
        with respect to lost, stolen or destroyed certificates, in the event an LLC
        Certificate has been issued, no transfer of an LLC Interest shall be entered
        until the previously issued LLC Certificate representing such LLC Interest
        shall
        have been surrendered to the LLC and canceled and a replacement LLC Certificate
        issued to the assignee of such LLC Interest in accordance with such procedures
        as the Manager may establish. In the event of a Transfer of less than all
        of a
        Member’s LLC Interests and if LLC Certificates have been issued, the Manager
        shall issue to the transferring Member a new LLC Certificate representing
        the
        LLC Interests not being transferred. Except as otherwise required by law,
        the
        LLC shall be entitled to treat the record holder of an LLC Certificate on
        its
        books as the owner thereof for all purposes regardless of any notice or
        knowledge to the contrary.

       

      10.3 LOST,
        STOLEN OR DESTROYED CERTIFICATES.

       

       The
        LLC
        shall issue a new LLC Certificate in place of any LLC Certificate previously
        issued if the record holder of the LLC Certificate:

       

      (i) makes
        proof by affidavit, in form and substance satisfactory to the Manager, that
        a
        previously issued LLC Certificate has been lost, destroyed or
        stolen;

       

      (ii) requests
        the issuance of a new LLC Certificate before the LLC has notice that the
        LLC
        Certificate has been acquired by a purchaser for value in good faith and
        without
        notice of an adverse claim;

       

      (iii) indemnifies
        the LLC against any claim that may be made on account of the alleged loss,
        destruction or theft of the LLC Certificate; and

       

      (iv) satisfies
        any other reasonable requirements imposed by the Manager.

       

      If
        a
        Member fails to notify the LLC within a reasonable time after it has notice
        of
        the loss, destruction or theft of an LLC Certificate, and a transfer of the
        LLC
        Interest represented by the LLC Certificate is registered before receiving
        such
        notification, the LLC shall have no liability with respect to any claim against
        the LLC for such transfer or for a new LLC Certificate.

       

       

      ARTICLE XI.

       

       

      AMENDMENTS

       

      11.1 AMENDMENT,
        ETC. OF OPERATING AGREEMENT.

       

       This
        Agreement may be adopted, altered, amended or repealed and a new operating
        agreement may be adopted by a Majority in Interest of the Members; provided,
        however, that no provision of this Agreement which requires the vote of a
        greater percentage than a Majority in Interest of the Members may be amended
        without the affirmative vote of such greater percentage.

       

      11.2 AMENDMENT
        OF ARTICLES OF ORGANIZATION. 

       

       Notwithstanding
        any provision to the contrary in the Articles of Organization or this Agreement,
        in no event shall the Articles of Organization be amended without the
        affirmative vote of a Majority in Interest of the Members.

       

       

      ARTICLE
        XII.

       

       

      REPRESENTATIONS
        AND ACKNOWLEDGMENTS

       

      12.1 INVESTMENT
        REPRESENTATIONS. 

       

       
        Each
        Member hereby represents and warrants to the Manager, the other Members and
        the
        LLC that such Member is acquiring his, her or its Interest hereunder for
        such
        Member’s own account, for investment only, not for the benefit of any other
        Person and not for resale to any other Person or for future distribution,
        and
        that he, she or it relied solely on the advice of such Member’s personal tax,
        investment or other advisors in making such Member’s investment
        decision.

       

      12.2 NO
        REPRESENTATIONS BY LLC.

       

       Each
        Member acknowledges that the Manager have not made and hereby make no
        representations or warranties other than those set forth in this Agreement,
        and
        that neither any Manager, agent or employee of the LLC or of any Manager
        or any
        other Person has at any time expressly or implicitly represented, guaranteed
        or
        warranted to such Member that he, she or it may freely transfer such Person’s
        Interests, that a percentage of profit and/or amount or type of consideration
        will be realized as a result of an investment in the Interest, that past
        performance or experience on the part of the Manager or their Affiliates
        or any
        other Person in any way indicates the predictable results of the ownership
        of
        any Interests or of the overall LLC business, that any cash distributions
        from
        LLC operations or otherwise will be made to the Members by any specific date
        or
        will be made at all, or that any specific tax benefits will accrue as a result
        of an investment in the LLC.

       

       

       

       

      

       

       

      ARTICLE XIII.

       

       

      MISCELLANEOUS
        PROVISIONS

       

      13.1 COUNTERPARTS.

       

       This
        Agreement may be executed in several counterparts, and all counterparts so
        executed shall constitute one Agreement, binding on all of the parties hereto,
        notwithstanding that all of the parties are not signatory to the original
        or the
        same counterpart.

       

      13.2 SURVIVAL
        OF RIGHTS.

       

       This
        Agreement shall be binding upon, and, as to permitted or accepted successors,
        transferees and assigns, inure to the benefit of the Members and the LLC
        and
        their respective heirs, legatees, legal representatives, successors, transferees
        and assigns,
        in all cases whether by the laws of descent and distribution, merger, reverse
        merger, consolidation, sale of assets, other sale, operation of law or
        otherwise.

       

      13.3 SEVERABILITY. 

       

       In
        the
        event any Section, or any sentence within any Section, is declared by a court
        of
        competent jurisdiction to be void or unenforceable, such sentence or Section
        shall be deemed severed from the remainder of this Agreement and the balance
        of
        this Agreement shall remain in full force and effect.

       

      13.4 NOTIFICATION
        OR NOTICES.

       

       Except
        as
        otherwise provided in Articles VI and VII with respect to notices given for
        purposes of meetings of Manager and meetings of Members, any notice or other
        communication required or permitted hereunder shall be in writing and shall
        be
        deemed to have been given if personally delivered, transmitted by facsimile
        (with mechanical confirmation of transmission), or deposited in the United
        States mail, registered or certified, postage prepaid, addressed to the parties'
        addresses set forth on Exhibit A hereto, unless the same shall have been
        changed
        by notice in accordance herewith. Notices given in the manner provided for
        in
        this Section 15.4
        shall be
        deemed effective on the third day following deposit in the mail or on the
        day of
        transmission or delivery if given by facsimile or by hand.

       

      13.5 GOVERNING
        LAW.

       

       This
        Agreement shall be governed and construed in accordance with the internal
        laws
        of the State of Nevada.

       

      13.6 FURTHER
        ACTIONS.

       

       Each
        of
        the Members agrees to execute, acknowledge and deliver such additional
        documents, and take such further actions, as may reasonably be required from
        time to time to carry out each of the provisions and the intent of this
        Agreement, and every agreement or document relating hereto or entered into
        in
        connection herewith.

       

      13.7 ARBITRATION
        OF DISPUTES. 

       

      Any
        controversy or claim arising out of or relating to this Agreement or the
        breach
        thereof shall be submitted to binding, non-appealable arbitration administered
        by the American Arbitration Association in accordance with its Commercial
        Arbitration Rules. Such controversy or claim shall be heard by a single
        arbitrator (the “Arbitrator”). The award shall be made within six months of
        selection of the Arbitrator. Judgment on the award may be entered in any
        court
        having jurisdiction and the parties hereby consent to the jurisdiction of
        the
        Superior Court for Los Angeles County, California, and of the United States
        District Court for the Central District of California, for injunctive relief,
        specific performance or other relief in aid of any proceedings hereunder,
        but
        not otherwise. The arbitration shall be held in Los Angeles, California or
        as
        otherwise mutually agreed by the parties hereto. The Arbitrator shall determine
        issues of arbitrability but may not limit, expand or otherwise modify the
        terms
        of this Agreement nor have any authority to award punitive or other damages
        in
        excess of compensatory damages and each party irrevocably waives any claim
        thereto. The Arbitrator shall
        permit, to the extent reasonably necessary, one document production request,
        and
        one follow-up request, and one deposition of the principals involved in a
        controversy or claim submitted to arbitration hereunder. The parties, their
        representatives, other participants and the Arbitrator shall hold the existence,
        content and result of the arbitration in confidence except as disclosure
        is
        required by law or as is reasonably necessary to defend claims or procedural
        rights of the party making the disclosure.

       

      13.8 THIRD
        PARTY BENEFICIARIES. 

       

       There
        are
        no third party beneficiaries of this Agreement except (i) Affiliates and
        Principals of the Members and (ii) any other Persons as may be entitled to
        the
        benefits of Article XI hereof.

       

      13.9 PARTITION.

       

       The
        Members agree that the Property that the LLC may own or have an interest
        in is
        not suitable for partition. Each of the Members hereby irrevocably waives
        any
        and all rights that it may have to maintain any action for partition of any
        Property the LLC may at any time have an interest in.

       

      13.10 ENTIRE
        AGREEMENT.

       

       This
        Agreement and the Articles of Organization constitute the entire agreement
        of
        the Members with respect to, and supersedes all prior written and oral
        agreements, understandings and negotiations with respect to, the subject
        matter
        hereof.

       

      13.11 WAIVER.

       

       No
        failure by any party to insist upon the strict performance of any covenant,
        duty, agreement or condition of this Agreement or to exercise any right or
        remedy consequent upon a breach thereof shall constitute a waiver of any
        such
        breach or any other covenant, duty, agreement or condition.

       

      13.12 ATTORNEYS'
        FEES. 

       

       In
        the
        event of any litigation, arbitration or other dispute arising as a result
        of or
        by reason of this Agreement, the prevailing party in any such litigation,
        arbitration or other dispute shall be entitled to, in addition to any other
        damages assessed, its reasonable attorneys' fees, and all other costs and
        expenses incurred in connection with settling or resolving such dispute.
        The
        attorneys' fees which the prevailing party is entitled to recover shall include
        fees for prosecuting or defending any appeal and shall be awarded for any
        supplemental proceedings until the final judgment is satisfied in full. In
        addition to the foregoing award of attorneys' fees to the prevailing party,
        the
        prevailing party in any lawsuit or arbitration procedure on this Agreement
        shall
        be entitled to its reasonable attorneys' fees incurred in any
        post
        judgment proceedings to collect or enforce the judgment. This attorneys'
        fees
        provision is separate and several and shall survive the merger of this Agreement
        into any judgment.

       

      13.13 CONFIDENTIALITY.

       

       Each
        Member for itself and on behalf of its Affiliates agrees to keep the provisions
        of this Agreement and all schedules, exhibits and appendices hereto in
        confidence, except pursuant to the requirements of applicable law, and shall
        not
        publish or otherwise disclose the same at any time without the prior written
        consent of all the Members.

       

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

       

      Euroweb
        RE Corp.

       

      

      

      By:        

      Yossi
        Attia, President

      

      

      

      

      

      
        
          
            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      EXHIBIT
        A

       

      INITIAL
        MEMBER NAMES AND ADDRESSES; INITIAL

       

      CAPITAL
        CONTRIBUTIONS AND PERCENTAGE INTERESTS

       

      (As
        of October 3, 2006)

       

      

      
        	
                Member's
                  name

              	
                Member's
                  address

              	
                Member's
                  capital

                contribution

              	
                Member's
                  percentage

                interest

              
	
                 

                EUROWEB
                  RE CORP.

                 

              	 	
                 

                $1,000.00

                 

              	
                 

                100%

                 

              
	 	 	 	 
	 	
                 

                TOTALS:
                  

                 

              	
                 

                $1,000.00

                 

              	
                 

                100%

                 

              

      

      

      

      
        
          
             

            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      EXHIBIT
        B

       

      (FACE
        OF CERTIFICATE)

       

      THE
        LLC
        INTERESTS REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED OR QUALIFIED
        UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR UNDER THE SECURITIES LAWS
        OF
        ANY STATE. SUCH LLC INTERESTS MAY NOT BE SOLD OR TRANSFERRED UNLESS SUBSEQUENTLY
        REGISTERED OR QUALIFIED OR UNLESS AN EXEMPTION FROM REGISTRATION OR
        QUALIFICATION IS AVAILABLE. THE AGREEMENT (AS DEFINED BELOW) PROVIDES FOR
        FURTHER RESTRICTIONS ON TRANSFER OF THE LLC INTERESTS REPRESENTED
        HEREBY.

       

      CERTIFICATE
        FOR LLC INTEREST

      IN

      LORRAINE
        PROPERTIES, LLC

      

      

      Certificate
        No. ______________     ________
        Percentage Interest

      

      The
        undersigned, as
        a
        Manager of LORRAINE PROPERTIES, LLC, a NEVADA limited liability company (the
        “LLC”), hereby certifies that ___________________________ is the holder of an
        LLC Interest representing a _______ percent (__%) Percentage Interest, as
        those
        terms are defined in the Operating Agreement of the LLC, dated as of
        ________________, as amended and restated from time to time (the “Agreement”)
        (copies of which are on file at the principal office of the LLC).

       

      This
        Certificate is not negotiable or transferable except by operation of law,
        or as
        otherwise provided in the Agreement, and any such transfer will be valid
        only
        upon delivery of this Certificate, together with a duly executed assignment
        in
        the form set forth on the reverse hereof (or otherwise acceptable to the
        Manager
        and sufficient to convey an interest in an LLC pursuant to the (NEVADA)
        Beverly-Killea Limited Liability Company Act, as it may be amended and in
        effect
        from time to time, or any successor statute thereto) to the Manager of the
        LLC.

       

      

      

      

      Dated:
             . LORRAINE
        PROPERTIES, LLC

      

      

      

      By:        

      Its:
        Manager

      

      
        
          
             

            

          

           

        

        
           

          
            

          

        

        
           

          
          

        

      

      (REVERSE
        OF CERTIFICATE)

       

      ASSIGNMENT
        OF LLC INTEREST

      IN

      LORRAINE
        PROPERTIES, LLC

       

      FOR
        VALUE
        RECEIVED, the undersigned (“Assignor”) hereby assigns, conveys, sells and
        transfers unto

       

       

      (“Assignee”)

       

      (Please
        insert Social Security    (Please
        print or typewrite name and 

      or
        other
        identifying number of Assignee)  address
        of Assignee)

      

      all
        rights and interest of Assignor in ______ percent of the LLC Interest evidenced
        hereby and directs that all future distributions and allocations with respect
        to
        such specified assigned LLC Interest be paid or allocated by the LLC to such
        Assignee. The Assignor hereby irrevocably constitutes and appoints each Manager
        as Assignor's attorney-in-fact with full power of substitution in the premises
        to transfer the same on the books of the LLC.

      

      Dated:
                     

      Signature
        of Assignor

      

      Note: The
        signature to any assignment must correspond with the name as written upon
        the
        face of this Certificate, in every particular, without alteration or enlargement
        or any change whatever. If the assignment is executed by an attorney, executor,
        administrator, trustee or guardian, the person executing the assignment must
        give such person's full title in such capacity, and proper evidence of authority
        to act in such capacity, if not on file with the LLC or its transfer agent,
        must
        be forwarded with this Certificate.

       

      The
        undersigned, a Manager of the LLC, hereby consents to this Assignment pursuant
        to Section 8.1
        of the
        Agreement.

       

       

      Dated:         ,
        LLC

      

      By: 

      Its:  Manager

       

      THE
        LLC
        INTERESTS EVIDENCED HEREBY ARE SUBJECT TO ALL TERMS AND CONDITIONS OF THE
        AGREEMENT AND UNLESS AND UNTIL ADMITTED TO THE LLC AS A MEMBER, NO ASSIGNEE
        SHALL BE ENTITLED TO ANY OF THE RIGHTS, POWERS OR PRIVILEGES OF THE ASSIGNOR,
        EXCEPT THAT ASSIGNEE SHALL BE ENTITLED TO THE DISTRIBUTIONS PAID AND ALLOCATIONS
        MADE WITH RESPECT TO SUCH INTERESTS AS DIRECTED BY THE ASSIGNOR
        ABOVE.

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