Document:

Unassociated Document

    
      	
               

            	
              EXHIBIT 10.2

            	
               

            

    

    CONSULTING AGREEMENT

     This Consulting Agreement is made as of the 15th day of May, 2008, by
and between Tom Gray (“Consultant”), and Diamond I, Inc., a Delaware corporation
(the “Company”).

    WHEREAS, the Company desires to be assured of the association and services
of Consultant above and beyond his services as a director of the Company;
and

    WHEREAS, Consultant agrees to be engaged and retained by the Company upon
the terms and conditions set forth herein; and

     NOW THEREFORE, in consideration of the mutual covenants herein
contained, it is agreed:

     1. The Company hereby engages Consultant, on a non-exclusive basis,
to render consulting services with respect to the development and implementation
of a oil and gas business strategy on behalf of the Company. Consultant hereby
accepts such engagement and agrees to render such consulting services throughout
the term of this Agreement. Consultant agrees that it shall be responsible for
all expenses incurred in his performance hereunder. It is further agreed that
Consultant shall have no authority to bind the Company to any contract or
obligation or to transact any business in the Company’s name or on behalf of the
Company, in any manner. The parties intend that Consultant shall perform his
services required hereunder as an independent contractor.

     2. The term of this Agreement shall commence upon the mutual
execution of this Agreement and shall continue until May 14, 2009.

     3. In consideration of the services to be performed by Consultant,
the Company agrees to pay to Consultant the following compensation:

    the Company shall issue 8,000,000 shares of the Company’s $.001 par value
common stock upon the mutual execution of the Agreement.

     4. The Company represents and warrants to Consultant that:

      A. The Company will cooperate fully and timely with Consultant
to enable Consultant to perform his obligations hereunder.

      B. The execution and performance of this Agreement by the
Company has been duly authorized by the Board of Directors of the
Company.

      C. The performance by the Company of this Agreement will not
violate any applicable court decree, law or regulation, nor will it violate any
provisions of the organizational documents of the Company or any contractual
obligation by which the Company may be bound.

     

     

     5.         Consultant
represents and warrants to the Company that:

     

      A. Consultant is under no disability with respect to entering
into, and performing under, this Agreement.

      B. The performance by Consultant under this Agreement will not
violate any applicable court decree, law or regulation, nor will it violate any
provisions of any contractual obligation by which Consultant may be
bound.

      C. Consultant represents and warrants that it has investigated
the Company, its financial condition, business and prospects, and has had the
opportunity to ask questions of, and to receive answers from, the Company with
respect thereto. Consultant acknowledges that it is aware that the Company
currently lacks adequate capital to pursue its full plan of business.

      D. Consultant represents and warrants to the Company that the
shares of common stock being acquired pursuant to this Agreement are being
acquired for his own account and for investment and not with a view to the
public resale or distribution of such shares and further acknowledges that the
shares being issued have not been registered under the Securities Act or any
state securities law and are “restricted securities”, as that term is defined in
Rule 144 promulgated by the SEC, and must be held indefinitely, unless they are
subsequently registered or an exemption from such registration is
available.

      E. Consultant consents to the placement of a legend restricting
future transfer on the share certificates representing the shares of common
stock to be issued hereunder, which legend shall be in the following, or
similar, form:

    “THE STOCK REPRESENTED BY THIS CERTIFICATE HAS BEEN ISSUED IN RELIANCE UPON
THE EXEMPTION FROM REGISTRATION AFFORDED BY SECTION 4(2) OF THE SECURITIES ACT
OF 1933, AS AMENDED. THE STOCK MAY NOT BE TRANSFERRED WITHOUT REGISTRATION
EXCEPT IN TRANSACTIONS EXEMPT FROM SUCH REGISTRATION.”

     6. Until such time as the same may become publicly known, the parties
agree that any information provided to either of them by the other of a
confidential nature will not be revealed or disclosed to any person or entity,
except in the performance of this Agreement, and upon completion of Consultant's
services and upon the written request of the Company, any original documentation
provided by the Company will be returned to it. Consultant, including each of
his affiliates, will not directly or indirectly buy or sell the securities of
the Company at any time when he or they are privy to non-public
information.

      Consultant agrees that he will not disseminate any printed
matter relating to the Company without prior written approval of the
Company.

      Consultant agrees that he will comply with all applicable
securities laws, in performing on behalf of the Company hereunder.

     7. All notices hereunder shall be in writing and addressed to the
party at the address herein set forth, or at such other address as to which
notice pursuant to this section may be given, and shall be given by personal
delivery, by certified mail (return receipt requested), Express Mail or by
national or international overnight courier. Notices will be deemed given upon
the earlier of actual receipt of three (3) business days after being mailed or
delivered to such courier service.

      Notices shall be addressed to Consultant at:

      Tom Gray

      ________________________

      ________________________

      and to the Company at:

      Diamond I, Inc.

      Attention: David Loflin

      8733 Siegen Lane

      Suite 309

      Baton Rouge, Louisiana 70810

     

     

     8.         Miscellaneous.

     

      A. In the event of a dispute between the parties arising out of
this Agreement, both Consultant and the Company agree to submit such dispute to
arbitration before the American Arbitration Association (the “Association”) at
its Dallas, Texas, offices, in accordance with the then-current rules of the
Association; the award given by the arbitrators shall be binding and a judgment
can be obtained on any such award in any court of competent jurisdiction. It is
expressly agreed that the arbitrators, as part of their award, can award
attorneys fees to the prevailing party.

      B. This Agreement is not assignable in whole or in any part,
and shall be binding upon the

    parties, their heirs, representatives, successors or assigns.

      C. This Agreement may be executed in multiple counterparts
which shall be deemed an original. It shall not be necessary that each party
execute each counterpart, or that any one counterpart be executed by more than
one party, if each party executes at least one counterpart.

      D. This Agreement shall be governed by, and construed in
accordance with, the laws of the State of Delaware.

          DIAMOND I, INC.

          By: /s/ DAVID LOFLIN

           David Loflin

           President

     

    /s/ TOM GRAY

    Tom GraySTOCK
      PURCHASE AND SALE AGREEMENT

     

    This
      Stock Purchase and Sale Agreement (the “Agreement”) dated as of January 19,
      2005, by and between Fanrock Investments Limited., a corporation organized
      under
      the laws of the British Virgin Islands (“Seller”) and InfoSonics Corporation, a
      Maryland corporation (“Buyer”). For purposes of this Agreement, each of Seller
      and Buyer may be referred to individually as a “Party,” and Seller and Buyer may
      be referred to collectively as the “Parties.”

     

    WHEREAS,
      Seller owns all of the issued and outstanding shares of common stock (the
“Primasel Stock”) in Primasel S.A., a corporation organized under the laws of
      Uruguay (“Primasel”);

     

    WHEREAS,
      MultiRadio S.A., a corporation organized under the laws of Argentina
      (“MultiRadio”), is a party to a certain distribution agreement, dated January 1,
      2005, with Samsung (the “Distribution Agreement”); 

     

    WHEREAS,
      Buyer desires to purchase from Seller, and Seller desires to sell to Buyer,
      the
      Primasel Stock, subsequent to MultiRadio assigning its rights, title, and
      interest in the Distribution Agreement to Primasel, pursuant to the terms of
      this Agreement. 

     

    NOW,
      THEREFORE, in consideration of the premises and of the mutual covenants
      contained in this Agreement, and for other good and valuable consideration,
      the
      receipt and sufficiency of which are hereby acknowledged, the Parties agree
      as
      follows:

     

    1. Transfer
      of Primasel Stock.
      Upon
      the terms and conditions contained in this Agreement, at the Closing, Seller
      will sell, assign, convey, transfer, and deliver to Buyer, and Buyer will
      purchase and acquire from Seller, all of Seller’s right, title and interest in
      an to the Primasel Stock free and clear of all liens, security interests, and
      any other encumbrances or charges of any kind.

     

    2. Purchase
      Price.
      In
      consideration of the aforesaid sale, assignment, conveyance, transfer, and
      delivery of the Primasel Stock, Buyer will pay or cause to be paid to Seller,
      on
      the dates set forth below, the purchase price determined as follows (the
“Purchase Price”):

     

    2.1. Buyer
      will issue to Seller shares of the Buyer’s common stock, $0.001 par value (the
“InfoSonics Common Stock”) on the dates and in the amounts set forth below if
      Primasel meets the revenue amounts indicated below. As used in this Agreement,
      the terms “revenue” and “revenues” shall mean revenues for which payment has
      been received and will not include accrued but unpaid revenue:

     

    2.1.1. If
      at any
      time during the period beginning on the date of Closing and ending on the third
      anniversary of Closing (the “Purchase Price Term”), the total cumulative
      revenues of Primasel for the Purchase Price Term are equal to or greater than
      $5,000,000, then no later than the last day of the calendar month following
      the
      month in which this total cumulative revenues amount occurs, Buyer shall issue
      to Seller 37,500 shares of InfoSonics Common Stock.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    2.1.2. If
      at any
      time during the Purchase Price Term the total cumulative revenues of Primasel
      for the Purchase Price Term are equal to or greater than $7,500,000, then no
      later than the last day of the calendar month following the month in which
      this
      total cumulative revenue amount occurs, Buyer shall issue to Seller an
      additional 37,500 shares of InfoSonics Common Stock.

     

    2.1.3. If
      at any
      time during the Purchase Price Term the total cumulative revenues of Primasel
      for the Purchase Price Term are equal to or greater than $10,000,000, then
      no
      later than the last day of the calendar month following the month in which
      this
      total cumulative revenue amount occurs, Buyer shall issue to Seller an
      additional 22,500 shares of InfoSonics Common Stock.

     

    2.1.4. If
      at any
      time during the Purchase Price Term the total cumulative revenues of Primasel
      for the Purchase Price Term are equal to or greater than $15,000,000, then
      no
      later than the last day of the calendar month following the month in which
      this
      total cumulative revenue amount occurs, Buyer shall issue to Seller an
      additional 22,500 shares of InfoSonics Common Stock.

     

    For
      purposes of determining the value of the shares of InfoSonics Common Stock
      issued to Seller, each share of InfoSonics Common Stock issued to Seller shall
      be valued as equal to the average of the closing prices of InfoSonics Common
      Stock on the American Stock Exchange for the first five trading days of the
      calendar month in which the shares are to be issued to Seller.

     

    2.2. In
      addition to the shares of InfoSonics Common Stock set forth in Section 2.1,
      Buyer shall also pay to Seller with respect to each fiscal year or partial
      fiscal year included in the Profit Payment Term (as defined below), a portion
      of
      Primasel’s Net Profit, as “Net Profit” is defined below (the “Profit Payment”),
      determined as follows: (with “x” meaning “multiplied by”):

     

    2.2.1. If
      Primasel’s total cumulative revenues for the Profit Payment Term Portion are
      less than or equal to $5,000,000, the Profit Payment for that fiscal year shall
      be equal to the sum of:

     

    (a). seventy-five
      percent (75%) of Primasel’s Net Profit (as defined below); minus

     

    (b). all
      Profit Payments previously paid to Seller under this Section 2.2.

     

    2.2.2. If
      Primasel’s total cumulative revenues for the Profit Payment Term Portion (as
      defined below) are greater than $5,000,000 and less than or equal to
      $10,000,000, the Profit Payment for that fiscal year shall be equal to the
      sum
      of:

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    (a). [$5,000,000
      divided by (Primasel’s total cumulative revenues for the Profit Payment Term
      Portion)] x [the Net Profit] x [seventy-five percent (75%)]; plus

     

    (b). [(the
      excess of Primasel’s total cumulative revenues for the Profit Payment Term
      Portion over $5,000,000) divided by (Primasel’s total cumulative revenues for
      the Profit Payment Term Portion)] x [the Net Profit] x [sixty percent (60%)];
      minus

     

    (c). all
      Profit Payments previously paid to Seller under this Section 2.2.

     

    2.2.3. If
      Primasel’s total cumulative revenues for the Profit Payment Term Portion are
      greater than $10,000,000, the Profit Payment for that fiscal year shall be
      equal
      to the sum of:

     

    (a). [$5,000,000
      divided by (Primasel’s total cumulative revenues for the Profit Payment Term
      Portion)] x [the Net Profit] x [seventy-five percent (75%)]; plus

     

    (b). [$5,000,000
      divided by (Primasel’s total cumulative revenues for the Profit Payment Term
      Portion)] x [the Net Profit] x [sixty percent (60%)]; plus

     

    (c). [(the
      excess of Primasel’s total cumulative revenues for the Profit Payment Term
      Portion over $10,000,000) divided by (Primasel’s total cumulative revenues for
      the Profit Payment Term Portion)] x [the Net Profit] x [fifty percent (50%)];
      minus

     

    (d). all
      Profit Payments previously paid to Seller under this Section 2.2.

     

    2.2.4 Buyer
      will use commercially reasonable efforts and reasonably available corporate
      resources to provide financing to Primasel to support the sales levels of
      Primasel. Buyer shall charge its pro-rata share of any general and
      administrative costs and expenses incurred by Buyer for which Primasel incurs
      a
      benefit from, including but no limited to, appropriate insurance and financing
      costs.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    The
      Profit Payment shall be calculated with respect to each fiscal year end of
      Primasel occurring during the Profit Payment Term and also with respect to
      the
      fiscal year end for the fiscal year in which the Profit Payment Term ends.
      The
      Profit Payment shall be paid annually, within ninety days after the end of
      the
      fiscal year for which it relates, for a period beginning on the date of Closing
      and ending upon the termination or expiration of the Agency Agreement, as
      defined in Section 3.1.2 below. This period beginning on the date of the Closing
      and ending at the “Profit Payment Term Finalization” as defined in section 2.2.5
      is referred to in this Agreement as the “Profit Payment Term”. In the event that
      the Profit Payment Term includes a portion, but not all, of a full fiscal year,
      then the Profit Payment for that fiscal year shall be prorated for the portion
      of that fiscal year included in the Profit Payment Term, except that with
      respect to the first fiscal year end occurring during the Profit Payment Term,
      the Net Profit shall be determined only for the revenues and expenses from
      that
      fiscal year that occur during the Profit Payment Term, and no such prorating
      shall occur. For purposes of this Section 2.2, “Net Profit” shall be defined to
      equal the Company’s total cumulative revenue for the Profit Payment Term Portion
      minus all the Company’s expenses for the Profit Payment Term Portion, with such
      Company expenses to include, but not be limited to: (i) any amounts payable
      for
      services to MultiRadio pursuant to the terms of the Agency Agreement, (ii)
      the
      following amount payable to Buyer: three percent (3%) multiplied by the excess
      of Company’s total cumulative revenue for the Profit Payment Term Portion over
      the total of the Company’s expenses for the Profit Payment Term Portion, with
      the expenses described in this clause (ii) not to include any amounts payable
      for services to MultiRadio pursuant to the terms of the Agency Agreement, and
      (iii) any sales and related expenses incurred by InfoSonics Corporation within
      the Territory. As used in this Agreement, the term “Profit Payment Term Portion”
shall mean that portion of the Profit Payment Term that has occurred from the
      date of Closing through the end of the fiscal year for which Net Profit is
      being
      determined.

     

    2.2.5:
      Notwithstanding anything to the contrary in this Agreement, if, for any twelve
      consecutive month period during the Profit Payment Term, Primasel's revenues
      do
      not exceed $100,000, Buyer's obligations to pay Seller a Profit Payment under
      this Section 2.2 shall terminate, and no future Profit Payment shall be due
      and
      owed to Seller. The date when Buyer’s obligation to pay Seller a Profit Payment
      ends due to this section, is defined as “Profit Payment Term
      Finalization.”

     

    3. Deliveries
      At Closing.
      The
      transactions contemplated by this Agreement shall be consummated at a closing
      (the “Closing”) to be held at the time of signing of this Agreement by all the
      Parties.

     

    3.1. At
      Closing, Seller shall deliver to Buyer the following:

     

    3.1.1. A
      stock
      certificate or certificates representing the Primasel Stock, accompanied by
      a
      stock power duly endorsed to Buyer.

     

    3.1.2. The
      Agency Agreement, in the form of Exhibit A attached hereto, signed on
      behalf of MultiRadio, Primasel, and Mr. Carlos A. Zimerman, and dated as of
      the
      date of the Closing (the “Agency Agreement”).

     

    3.1.3. The
      Mutual Non-Disclosure Agreement in the form of Exhibit B attached hereto, signed
      on behalf of Seller, MultiRadio, and Mr. Carlos A. Zimerman.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    3.1.4. The
      Assignment and Assumption Agreement, in the form of Exhibit C attached hereto,
      assigning all of MultiRadio’s right, title, and interest in the Distribution
      Agreement, to Primasel, signed on behalf of MultiRadio and Primasel (the
“Assignment and Assumption Agreement”).

     

    3.1.5. If
      required pursuant to the terms of the Distribution Agreement, the written
      consent of Samsung to the assignment of MultiRadio to Primasel of the
      Distribution Agreement, in a form reasonably satisfactory to the
      Buyer.

     

    3.1.6. A
      copy of
      this Agreement, duly executed and properly authorized by Seller.

     

    3.1.7. At
      and
      after Closing, such additional and customary documents necessary to carry out
      or
      complete the transaction set forth in this Agreement that may be reasonably
      requested by Buyer.

     

    3.2. At
      Closing, Buyer shall deliver to Seller the following:

     

    3.2.1. The
      Mutual Non-Disclosure Agreement in the form of Exhibit B attached hereto, signed
      on behalf of Buyer.

     

    3.2.2. A
      copy of
      this Agreement, duly executed and properly authorized by Buyer.

     

    3.2.3. At
      and
      after Closing, Buyer shall deliver such additional and customary documents
      necessary to carry out or complete the transaction set forth in this Agreement
      that may be reasonably requested by Seller.

     

    4. Representations
      And Warranties By Seller.
      Seller
      hereby represents and warrants to Buyer that the following are true and correct
      as of the date of the execution of this Agreement and that the following shall
      be true and correct as of the Closing:

     

    4.1. Each
      of
      Seller and Primasel are duly organized, validly existing, and in good standing
      under the laws of the countries of the British Virgin Islands and Uruguay,
      respectively. Primasel is duly qualified to do business as a foreign corporation
      and is in good standing under the laws of each jurisdiction in which its
      business, as is now being conducted, shall require it to be so qualified. Seller
      has delivered to Buyer a true, complete, and correct copy of the organizational
      documents of Primasel as currently in effect.

     

    4.2. Seller
      has full corporate power and authority to execute and deliver this Agreement
      and
      to consummate the transactions contemplated by it hereby. The execution and
      delivery of this Agreement by Seller and the consummation by Seller of the
      transactions contemplated hereby have been duly and validly authorized by all
      necessary corporate action required on the part of Seller and this Agreement
      has
      been duly and validly executed and delivered by Seller. This Agreement
      constitutes the legal, valid and binding agreement of Seller, enforceable
      against Seller in accordance with its terms.

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    4.3. There
      are
      no actions, suits, investigations, or proceedings at law or in equity by or
      before any court, governmental instrumentality, commission, or other agency
      now
      pending or threatened or against or affecting Seller or the Primasel Stock
      or
      any of their respective properties or rights, before any court, arbitrator,
      or
      administrative or governmental body which may result in an adverse change in
      the
      business or conditions, financial or otherwise, of Primasel. Further, Seller
      is
      not in default with respect to any order, writ, injunction, or decree of any
      court or any governmental agency or department.

     

    4.4. No
      consent, approval, authorization, permit or license from any federal, state,
      or
      local regulatory authority is required in connection with Seller’s obligations
      with respect to the transactions contemplated herein. Seller is not a party
      to
      or otherwise subject to any contract or agreement which restricts or otherwise
      affects Seller’s right or ability to undertake the transactions contemplated
      hereby or the performance of any of its respective terms. Seller’s execution of
      this Agreement will not violate any provision of law or any agreement previously
      entered into, other than those for which Seller shall obtain all required
      consents or waivers prior to Closing.

     

    4.5. No
      tax
      liability, including without limitation, income tax liability, of any nature,
      is
      now past due or has been asserted against Primasel or the Primasel Stock by
      any
      taxing authority.

     

    4.6. Neither
      this Agreement nor any other document, certificate, or statement furnished
      to
      Buyer by Seller or any partner, employee, or affiliate of Seller or, to the
      best
      knowledge of Seller, by any third party in connection with the transactions
      contemplated hereby, contains any untrue statement of material fact or omits
      to
      state a material fact necessary in order to make the statements contained herein
      and therein not misleading.

     

    4.7. The
      Primasel Stock constitutes all of the issued and outstanding shares of capital
      stock of Primasel and is owned beneficially and of record by Seller, free and
      clear of all liens, claims, security interests, and any other encumbrances
      or
      charges of any kind. The Primasel Stock constitutes all of the equity interests
      in Primasel, and there are no outstanding securities (including, but not limited
      to options, rights, contracts, or other agreements) that are convertible into
      or
      exchangeable for the capital stock of Primasel.

     

    4.8. Primasel
      is not subject to any liability or obligation (whether absolute, contingent
      or
      otherwise) of any kind, whether direct or indirect, other than those set forth
      on Exhibit C attached hereto. Primasel does not own any debt, preferred, common
      or other equity securities of any kind nor any equity or other interests in
      any
      other business, legal entity or arrangement.

     

    4.9. Primasel
      is in compliance with all applicable laws, rules, and regulations with respect
      to its business or operations.

     

    4.10. There
      are
      no other restrictions on Seller’s right or ability to sell the Primasel Stock to
      Buyer.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    4.11. Seller
      has made available, or has caused MultiRadio to make available, to Buyer a
      correct and complete copy of the Distribution Agreement. The Distribution
      Agreement constitutes a legal, valid, and binding obligation of the respective
      MultiRadio and the other party thereto, and is in full force an effect. There
      is
      no default or event which, with notice or lapse of time or both, would
      constitute a default under the Distribution Agreement on the part of MultiRadio
      or, to Seller’s best knowledge, on the part of the other party thereto.

     

    4.12. Seller’s
      right, title, and interest in the Distribution Agreement is transferable and
      assignable to Primasel without the consent of any other party thereto, or,
      if
      consent of any other party to the Distribution Agreement is required, Seller
      has, or will obtain prior to Closing, the written consent of such party, in
      a
      form reasonably satisfactory to Buyer.

     

    4.13. Other
      than pursuant to the terms of the Distribution Agreement, MultiRadio currently
      does not distribute any Samsung cellular handsets or accessories. Other than
      pursuant to the terms of the Agency Agreement (or, for the period between the
      date hereof and the date of the Assignment and Assumption Agreement, pursuant
      to
      the terms of the Distribution Agreement), MultiRadio does not plan to distribute
      any Samsung cellular handsets or accessories unless subcontracted by Primasel
      to
      perform such services.

     

    The
      foregoing representations and warranties are true and accurate as of the date
      hereof, shall be true and accurate as of the Closing, and shall survive the
      Closing. Seller further agrees to notify Buyer immediately in writing if any
      of
      the foregoing representations or warranties herein are breached or are no longer
      accurate at any time prior to and including Closing.

     

    5. Representations
      And Warranties By Buyer.
      Buyer
      hereby represents and warrants to Seller that the following are true and correct
      as of the date of the execution of this Agreement and that the following shall
      be true and correct as of the Closing:

     

    5.1. Buyer
      is
      duly organized, validly existing, and in good standing under the laws of the
      State of Maryland and has the power and authority to carry on its business,
      and
      to enter into this Agreement and the transactions contemplated
      hereby.

     

    5.2. Buyer
      has
      full corporate power and authority to execute and deliver this Agreement and
      to
      consummate the transactions contemplated by it hereby. The execution and
      delivery of this Agreement by Buyer and the consummation by Buyer of the
      transactions contemplated hereby have been duly and validly authorized by all
      necessary corporate action required on the part of Buyer and this Agreement
      has
      been duly and validly executed and delivered by Buyer. This Agreement
      constitutes the legal, valid and binding agreement of Buyer, enforceable against
      Buyer in accordance with its terms.

     

    5.3. No
      consent, approval, authorization, permit or license from any federal, state,
      or
      local regulatory authority is required in connection with Buyer’s obligations
      with respect to the transactions contemplated herein. Buyer is not a party
      to or
      otherwise subject to any contract or agreement which restricts or otherwise
      affects Buyer’s right or ability to undertake the transactions contemplated
      hereby or the performance of any of its respective terms. Buyer’s execution of
      this Agreement will not violate any provision of law or any agreement previously
      entered into, other than those for which Buyer shall obtain all required
      consents or waivers prior to Closing.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    5.4. Neither
      this Agreement nor any other document, certificate, or statement furnished
      to
      Seller by Buyer or any partner, employee, or affiliate of Buyer or, to the
      best
      knowledge of Buyer, by any third party in connection with the transactions
      contemplated hereby, contains any untrue statement of material fact or omits
      to
      state a material fact necessary in order to make the statements contained herein
      and therein not misleading.

    

    The
      foregoing representations and warranties are true and accurate as of the date
      hereof, shall be true and accurate as of the Closing, and shall survive the
      Closing. Buyer further agrees to notify Seller immediately in writing if any
      of
      the representations or warranties herein are breached or are no longer accurate
      at any time prior to and including the Closing.

     

    6. Default.
      If
      Seller fails to comply with this Agreement for any reason, Buyer may either
      enforce specific performance, terminate this Agreement or seek such other relief
      as may be provided by law. If Buyer fails to comply with this Agreement for
      any
      reason, Seller may terminate this Agreement or seek such other relief as may
      be
      provided by law. In any action to enforce this Agreement or for other relief
      provided by law, the prevailing Party shall be entitled to such attorneys’ fees
      and expenses as may be allowed by the court, arbitrator or other judicial
      body.

     

    7. Commission.
      Seller
      agrees and represents that no sales fees or sales commissions will be due or
      payable to anyone by Seller with respect to the transaction contemplated by
      this
      Agreement. Buyer agrees and represents that no sales fees or sales commissions
      will be due or payable to anyone by Buyer with respect to the transaction
      contemplated by this Agreement.

     

    8. Indemnity
      Agreements.
      Buyer
      hereby agrees to indemnify and hold harmless Seller and Seller’s members,
      employees and agents against any loss, injury, damage, claim, lien, cost or
      expense, including reasonable attorneys’ fees, arising because of (i) a breach
      by Buyer of this Agreement or of any representations or warranties included
      in
      this Agreement, (ii) a claim by any broker that it represented Buyer or is
      otherwise entitled to compensation in connection with this Agreement or with
      the
      sale of the Primasel Stock, or (iii) any other matter related to Primasel or
      the
      Primasel Stock which occurs after the Closing. Seller hereby agrees to indemnify
      and hold harmless Buyer and its officers, directors, employees and agents
      against any loss, damage, claim, lien, cost or expense, including reasonable
      attorneys’ fees, arising out of (i) a breach by Seller of this Agreement or of
      any representations or warranties included in this Agreement, (ii) a claim
      by
      any broker that it represented Seller or is otherwise entitled to compensation
      in connection with this Agreement or with the sale of the Primasel Stock, or
      (iii) any other matter related to Primasel or the Primasel Stock which occurs
      prior to the Closing, including, but not limited to, any liability of Primasel
      that Buyer has not expressly agreed to assume in writing, whether or not such
      liability is set forth on Exhibit D hereto.

     

    9. Additional
      Documents; Further Assurances.
      In
      addition to the documents and other items specifically required to be furnished
      hereunder, the Parties hereby agree that each will promptly furnish to the
      other
      such further documents, certificates and other instruments and take such other
      action as may reasonably be requested in order to effectuate the purposes of
      this Agreement.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    10. InfoSonics
      Common Stock Restricted.
      Seller
      acknowledges that any shares of InfoSonics Common Stock acquired by it under
      this Agreement shall not be registered under the Securities Act of 1933, as
      amended, and that they may not be sold, offered for sale, pledged or
      hypothecated in the absence of an effective registration statement as to the
      securities under the Securities Act of 1933, as amended, or an opinion of
      counsel satisfactory to the Buyer that such registration is not required. All
      certificates representing any of the shares of InfoSonics Common Stock acquired
      by Seller under this Agreement shall have endorsed thereon the following
      legends:

     

    10.1. “THESE
      SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933. THEY
      MAY
      NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTECATED IN THE ABSENCE OF AN
      EFFECTIVE REGISTRATION STATEMENT AS TO THE SECURITIES UNDER SAID ACT OR AN
      OPINION OF COUNSEL SATISFACTORY TO THE CORPORATION THAT SUCH REGISTRATION IS
      NOT
      REQUIRED.”

     

    10.2. Any
      legend required to be placed thereon by applicable securities laws of any state
      of the United States of America.

     

    11. Notices.
      All
      notices, requests, demands, directions and other communications (“Notices”)
      concerning this Agreement shall be in writing and shall be mailed or delivered
      personally or sent by telecopier or facsimile to the applicable Party at the
      address of such Party set forth below in this Section 10. When mailed, each
      such
      Notice shall be sent by first class by first class, certified mail, return
      receipt requested, enclosed in a postage prepaid wrapper, and shall be effective
      on the fifth business day after it has been deposited in the mail. When
      delivered personally, each such Notice shall be effective when delivered to
      the
      address for the respective Party set forth in this Section 10, provided that
      it
      is delivered on a business day and further provided that it is delivered prior
      to 5:00 p.m., local time of the Party to whom the notice is being delivered,
      on
      that business day; otherwise, each such Notice shall be effective on the first
      business day occurring after the Notice is delivered. When sent by telecopier
      or
      facsimile, each such Notice shall be effective on the day on which it is sent
      provided that it is sent on a business day and further provided that it is
      sent
      prior to 5:00 p.m., local time of the Party to whom the Notice is being sent,
      on
      that business day; otherwise, each such Notice shall be effective on the first
      business day occurring after the Notice is sent. Each such Notice shall be
      addressed to the Party to be notified as shown below:

     

    To
      Buyer:

     

    Joseph
      Ram

    InfoSonics
      Corporation

    5880
      Pacific Center Boulevard

    San
      Diego, California 92121

    Fax:
      858-373-1505

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    To
      Seller:

    

    Fanrock
      Investments Limited

    c/o
      Carlos Zimerman

    Cordoba
      4860

    Buenos
      Aires, Argentina

    Fax:
      +54
      11 4 779-5510

    

    Either
      Party may change its respective address for purposes of this Section 10 by
      giving the other Party Notice of the new address in the manner set forth
      above.

     

    12. Entire
      Agreement.
      This
      Agreement, together with the exhibits attached hereto, which are incorporated
      by
      reference, is the entire agreement between the parties with respect to the
      subject matter hereof, and no alteration, modification or interpretation hereof
      shall be binding unless in writing and signed by both parties.

     

    13. Severability.
      If any
      provision of this Agreement or application to any party or circumstances shall
      be determined by any court of competent jurisdiction to be invalid and
      unenforceable to any extent, the remainder of this Agreement or the application
      of such provision to such person or circumstances, other than those as to which
      it is so determined invalid or unenforceable, shall not be affected thereby,
      and
      each provision hereof shall be valid and shall be enforced to the fullest extent
      permitted by law.

     

    14. Captions.
      The
      captions in this Agreement are inserted only as a matter of convenience and
      for
      reference and in no way define, limit or describe the scope of this Agreement
      or
      the scope or content of any of its provisions.

     

    15. Governing
      Law:
      This
      Agreement is to be governed by and construed in accordance with the laws of
      the
      State of California, without reference to its choice of law and rules. Any
      litigation or action with respect to the enforcement of this Agreement shall
      be
      in the Circuit Court, in and for San Diego County, California.

     

    16. Counterparts;
      Facsimile Signatures.
      This
      Agreement may be executed and delivered in any number of counterparts, each
      of
      which so executed and delivered shall be deemed to be an original and all of
      which shall constitute one and the same instrument. Facsimile signatures shall
      be as binding as original signatures.

     

    17. Parties
      In Interest; Survival; Assignment.
      This
      Agreement shall be binding upon and inure to the benefit of and be enforceable
      by the respective successors and assigns of Seller and Buyer. All
      representations, covenants, and agreements in this Agreement or any statement,
      certificate, or other document delivered in connection with this Agreement
      or
      pursuant hereto shall survive the Closing except as specifically limited herein.
      This Agreement may not be assigned by either Party without the prior written
      consent of the other Party hereto, except that Buyer may assign this Agreement
      to a wholly-owned subsidiary of the Buyer.

     

    [Remainder
      of Page Intentionally Left Blank]

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their
      duly authorized officers or representatives on the dates set forth below to
      be
      effective as of the date set forth on the first page of this
      Agreement.

     

    
      	
              SELLER:

            
	 	 
	
              Fanrock
                Investments Limited

            
	 	 
	
              By:

            	
              /s/
                Carlos Zimerman

            
	
              Name:

            	
              Carlos
                Zimerman

            
	
              Title:

            	 
	 	 
	
              PURCHASER:

            	 
	 	 
	
              InfoSonics
                Corporation

            
	 	 
	
              By:

            	
              /s/
                Joseph Ram

            
	
              Name:

            	
              Joseph
                Ram

            
	
              Title:

            	
              Chief
                Executive Officer

            

    

    

    
      
         

      

      
        11

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