Document:

exv10w5

 

EXHIBIT 10.5

Cash Bonus Plan for

Executive Officers of

Qualstar Corporation

For the Fiscal Year Ending June 30, 2006

     
Executive Officers of Qualstar Corporation are entitled to
receive cash bonuses if the Company achieves stated levels of
consolidated revenue and pre-tax profits for the fiscal year
ending June 30, 2006, excluding the effects of
acquisitions, if any, made during the fiscal year. The
Company’s Board of Directors reserves the right to modify
this bonus plan from time to time, if appropriate, in the event
of extraordinary circumstances.

     
For all executive officers other than the Vice President of
Sales, the potential cash bonuses will be as follows:
(1) from 0% of base salary if consolidated revenue is less
than $25 million for the fiscal year ending June 30,
2006, to a maximum of 20% of base salary if consolidated revenue
is more than $50 million for the fiscal year ending
June 30, 2006; plus (2) an additional bonus ranging
from 0% of base salary if the Company is not profitable for the
fiscal year ending June 30, 2006, to a maximum of 20% of
base salary if consolidated pre-tax profits are more than 19% of
consolidated revenue for the fiscal year ending June 30,
2006. Bonuses will be paid during the first fiscal quarter
following completion of the fiscal year based on the actual
revenue and pre-tax profit levels achieved for that year and
provided that the executive is still employed by the Company as
of the date of payment.

     
For the Vice President of Sales, the potential cash bonuses will
be as follows: (1) from $3,000 if consolidated revenue,
excluding revenue from sales of power supplies, is
$21 million, to a maximum of $100,000 if consolidated
revenue, excluding revenue from sales of power supplies, is more
than $39 million; plus (2) an additional bonus ranging
from 0% of base salary if consolidated pre-tax profits,
including profits from sales of power supplies, are less than 5%
of consolidated revenue for the fiscal year ending June 30,
2006, to a maximum of 15% of base salary if consolidated pre-tax
profits, including profits from sales of power supplies, are
more than 19% of consolidated revenue for the fiscal year ending
June 30, 2006. His bonus will be computed quarterly based
on an estimate of full year revenues and pre-tax profits and
paid during the following quarter provided that he is still
employed by the Company as of the date of payment. After
completion of the fiscal year, his bonus will be calculated
based on the actual revenue and pre-tax profit levels achieved
for that year, and any adjustments to the estimated bonus
payments will be made at that time.Exhibit 10.1

     

    Exhibit
      10.1

     

    EXECUTION
      ORIGINAL

    

      REGISTRATION
        RIGHTS AGREEMENT

       

      This
        Registration Rights Agreement (the “Agreement”)
        is
        made and entered into as of September 21, 2005, by and between FieldCentrix,
        Inc., a California corporation (“FieldCentrix”)
        and
        Astea International, Inc., a Delaware corporation (“Astea”).

       

      W
        I T N E S S E T H:

       

      WHEREAS,
        this Agreement is made in connection with the acquisition by Astea of
        substantially all of the assets of FieldCentrix, pursuant to an Asset Purchase
        Agreement dated September 21, 2005 (the “Asset
        Purchase Agreement”),
        under
        which a wholly owned subsidiary of Astea purchased substantially all of the
        assets of Holder (the “Asset
        Purchase”);

       

      WHEREAS,
        as a result of the Asset Purchase, FieldCentrix received 421,106 shares of
        Astea’s common stock, par value $.01 per share (“Common
        Stock”);
        

       

      WHEREAS,
        as used herein the term “Registrable
        Shares”
shall
        mean the Astea Shares (as such term is defined in the Asset Purchase Agreement)
        received by FieldCentrix upon the original issuance thereof in the Asset
        Purchase and any other shares of capital stock of Astea issued in respect
        of any
        such shares of Common Stock as a result of stock splits, stock dividends,
        reclassification, exchange offer, recapitalizations, mergers, consolidations
        or
        similar events; and

       

      WHEREAS,
        as used herein the term “Holders”
shall
        mean FieldCentrix and any Permitted Transferee.

       

      NOW,
        THEREFORE, in consideration of the premises and of the mutual covenants and
        agreements set forth herein, the parties hereto, intending to be legally
        bound,
        agree as follows:

       

      1.  Registration
        Rights.
        Subject
        in each case to the obligations of Holders under Section 3:

       

      (a)  Piggyback
        Registrations.

       

      (i)  If
        at any
        time prior to September 21, 2007, Astea shall file with the United States
        Securities and Exchange Commission (the “SEC”)
        a
        registration statement of Astea under the Securities Act of 1933, as amended
        (the “1933
        Act”)
        (collectively, a “Piggyback Registration
        Statement”),
        relating to an offering for its own account or the account of others under
        the
        1933 Act of any of its equity securities (a “Piggyback
        Registration”),
        Astea
        shall send to each Holder a written notice of such determination and, if
        within
        fifteen (15) days after the giving of such notice, one or more Holders shall
        so
        request in writing (the “Participating
        Holders”),
        Astea
        shall include in such Piggyback Registration Statement all of the Registrable
        Shares of such Participating Holders, except that if, in connection with
        any
        underwritten Piggyback Registration for the account of Astea, the managing
        underwriter(s) thereof shall impose a limitation on the number of shares
        of
        Common Stock which may be included in a Piggyback Registration Statement
        because, in such underwriter(s)’ judgment, marketing or other factors dictate
        such limitation is necessary to facilitate public distribution, then Astea
        shall
        be obligated to include in such Piggyback Registration Statement only such
        limited portion of the Registrable Shares as the underwriter(s) shall permit,
        if
        any. Any exclusion of Registrable Shares shall be made pro rata among
        Participating Holders in proportion to the number of Registrable Shares of
        the
        Participating Holders; provided, however, Astea shall not exclude any
        Registrable Shares unless Astea has first excluded all outstanding securities,
        the holders of which are not entitled to inclusion of such securities in
        such
        Piggyback Registration Statement; and provided, further, however, that, after
        giving effect to the immediately preceding proviso, any exclusion of Registrable
        Shares shall be made pro rata with holders of other securities having the
        right
        to include such securities in the Piggyback Registration Statement other
        than
        holders of securities entitled to inclusion of their securities in such
        Piggyback Registration Statement by reason of demand registration rights.
        If a
        Piggyback Registration in connection with which Holders are entitled to
        registration under this Section 1(a)(i) is an underwritten Piggyback
        Registration, then Holders shall, unless otherwise agreed by Astea, offer
        and
        sell such Registrable Shares in an underwritten offering using the same
        underwriter(s) and, subject to the provisions of this Agreement, on the same
        terms and conditions as other shares of Common Stock included in such
        underwritten offering.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (ii)  Notwithstanding
        any other provision of this Agreement, this Section 1(a) shall not apply
        to, and
        Holders’ right to participate in a Piggyback Registration shall not be triggered
        by, the filing of a Piggyback Registration Statement (A) covering shares
        of
        Common Stock issued pursuant to an employee benefit plan, (B) on Form S-4
        (or
        successor form) for the purpose of offering such securities to another business
        entity or the shareholders of such entity in connection with the acquisition
        of
        assets or shares of capital stock, respectively, of such entity, or (C) in
        connection with a resale shelf registration filed in connection with an
        acquisition, reorganization, recapitalization, merger, consolidation or similar
        transaction involving Astea.

       

      (iii)  If
        any
        Piggyback Registration was initiated by Astea to effect, in whole or in part,
        a
        primary public offering of its securities and, if at any time after giving
        written notice of its intention to so register securities and before the
        effectiveness of the Piggyback Registration Statement filed in connection
        with
        such Piggyback Registration, Astea determines for any reason either not to
        effect such Piggyback Registration or to delay such Piggyback Registration,
        Astea may, at its election, by prior written notice to each Holder: (i) in
        the
        case of a determination not to effect such Piggyback Registration, relieve
        itself of its obligation set forth above in Section 1(a)(i) to register the
        Registrable Shares in connection with such Piggyback Registration; or (ii)
        in
        the case of a determination to postpone such Piggyback Registration, delay
        the
        Piggyback Registration of the Registrable Shares for the same period as the
        Piggyback Registration of Astea’s securities is postponed.

       

      (iv)  Notwithstanding
        any other provision of this Agreement, Astea shall not be required to effect
        a
        Piggyback Registration pursuant to Section 1(a)(i), or file any post-effective
        amendment to such a Piggyback Registration: (A) if a Piggyback Registration,
        or
        any post-effective amendment to such Piggyback Registration, requires, under
        applicable statutes and rules, a special audit (other than a normal fiscal
        year-end audit) of the financial statements of Astea, unless Participating
        Holders agree to pay the fees and expenses of accountants incurred in connection
        with the special audit and which would otherwise not be incurred but for
        the
        participation of Participating Holders in such Piggyback Registration; or
        (B)
        Astea has not received from Participating Holders all information Astea has
        requested pursuant to Section 3.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (b)  Demand
        Registrations.

       

      (i)  If
        at any
        time from September 21, 2006 through September 20, 2007 (the “Demand
        Period”)
        it is
        determined by counsel for FieldCentrix after due inquiry that a Permitted
        Transferee (as defined below) may not tack the holding period which it has
        held
        Registrable Shares to the period FieldCentrix held such Registrable Shares
        for
        purposes of Rule 144(d) under the 1933 Act, one or more Permitted Transferees
        (the “Requesting
        Holders”)
        may
        require Astea to register (the “Demand
        Registration”,
        and
        collectively with a Piggyback Registration, a “Registration”)
        such
        Requesting Holders’ Registrable Shares (in such amounts as limited by Section
        1(b)(iii) below) on Form S-3 (or any similar form promulgated by the SEC)
        (the
“Demand
        Registration Statement”
and
        collectively with a Piggyback Registration Statement, the “Registration
        Statements”).
        Each
        request for a Demand Registration shall be in writing and shall specify the
        number of Registrable Shares requested to be registered and the proposed
        underwriter, if any. In the event Astea receives a request for Demand
        Registration from one or more Requesting Holders, Astea shall: (i) within
        ten
        (10) days after receipt of any such request, give written notice of such
        requested registration to all other Permitted Transferees (if any) of
        Registrable Shares; (ii) as soon as practicable, but no later than ninety
        (90)
        days thereafter, use its commercially reasonable efforts to file with the
        SEC
        the Demand Registration Statement under the 1933 Act; and (iii) include in
        such
        registration all Registrable Shares (subject to the limitations set forth
        below
        in Section 1(b)(iii)) with respect to which Astea has received written requests
        for inclusion therein from Requesting Holders and from the other Permitted
        Transferees within twenty (20) days after the mailing or delivery of Astea’s
        notice of such requested Demand Registration (such other Permitted Transferees
        and the Requesting Holders collectively referred to as the “Demand
        Participating Holders”),
        except that if the Demand Registration is an underwritten offering and the
        managing underwriter(s) thereof shall impose a limitation on the number of
        shares of Common Stock which may be included in a Demand Registration Statement
        because, in such underwriter(s)’ judgment, marketing or other factors dictate
        such limitation is necessary to facilitate public distribution, then Astea
        shall
        be obligated to include in such Demand Registration Statement only such limited
        portion of the Registrable Shares as the underwriter(s) shall permit, if
        any.
        Any exclusion of Registrable Shares shall be made pro rata among the Demand
        Participating Holders in proportion to the number of Registrable Shares of
        the
        Demand Participating Holders requested to be included in such Demand
        Registration; provided, however, Astea shall not exclude any Registrable
        Shares
        unless Astea has first excluded all outstanding securities, the holders of
        which
        are not entitled to inclusion of such securities in such Demand Registration
        Statement.

       

      (ii)  The
        Permitted Transferees of the Registrable Shares then outstanding shall be
        entitled to request one (1) Demand Registration during the Demand
        Period.

       

      (iii)  The
        number of Registrable Shares each Demand Participating Holder shall be entitled
        to request inclusion in the Demand Registration shall be subject to the product
        of (i) the then current volume limitations of Rule 144(e) under the 1933
        Act for
        Astea’s Common Stock and (ii) four (4). 

       

      (iv)  Each
        sale
        of Registrable Securities by a Demand Participating Holder under the Demand
        Registration Statement shall be subject to the then current volume limitations
        of Rule 144(e) under the 1933 Act for Astea’s Common Stock. Astea shall be
        permitted to direct its transfer agent to place stop transfer instructions
        upon
        the stock certificates representing the Registrable Securities reflecting
        the
        sale restrictions in the immediately preceding sentence. In furtherance of
        the
        foregoing, Astea and its transfer agent are hereby authorized to decline
        to make
        any transfer of Registrable Securities if such transfer would constitute
        a
        violation or breach of the first sentence of this paragraph.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (v)  If
        Astea
        furnishes to the Demand Participating Holders a certificate signed by the
        President of Astea that, in the good faith judgment of the Board of Directors
        of
        Astea, it is seriously detrimental to Astea and its stockholders for such
        Demand
        Registration Statement to be filed, then Astea may postpone upon one occasion
        in
        any three hundred sixty-five (365) day period for up to ninety (90) days
        the
        filing of the Demand Registration Statement.

       

      (vi)  Astea
        will use commercially reasonable efforts to maintain the effectiveness of
        the
        Demand Registration Statement until the earlier of (x) the date on which
        all of
        the Registrable Shares included in the Demand Registration Statement have
        been
        sold by the Demand Participating Holders, and (y) the date on which all the
        Registrable Shares included in the Demand Registration Statement may be
        immediately sold by the Demand Participating Holders without registration
        and
        without restriction as to the number of Registrable Shares to be sold, pursuant
        to Rule 144 or otherwise (excluding for this purpose any Registrable Shares
        held
        by affiliates of Astea).

       

      2.  Astea’s
        Obligations.
        In
        connection with Astea’s obligation to effect a Registration, it
        shall:

       

      (a)  Promptly
        prepare and file with the SEC a Registration Statement with respect to the
        shares to be included in such Registration (the “Shares”)
        and
        use its commercially reasonable efforts to cause the Registration Statement
        to
        become and remain effective as soon as reasonably practicable
        thereafter;

       

      (b)  Prepare
        and file such amendments to the Registration Statement and supplements to
        the
        prospectus contained therein as may be necessary to keep the Registration
        Statement effective as required herein;

       

      (c)  Furnish
        to Participating Holders, Demand Participating Holders and any underwriters
        of
        the Shares such reasonable number of copies of the Registration Statement
        and
        any amendments thereto, any related prospectus and supplements thereto, all
        correspondence to and from the SEC, including but not limited to SEC comment
        letters and responses thereto, and such other documents as such underwriters
        may
        reasonably request in order to facilitate the public offering of the
        Shares;

       

      (d)  Register
        or qualify the Shares under such state securities or “blue sky” laws of such
        jurisdictions as Participating Holders and Demand Participating Holders may
        reasonably (in light of a reasonable plan of distribution) request as soon
        as
        reasonably practicable, but in any event within twenty (20) days following
        the
        original filing of the Registration Statement; provided, that Astea shall
        not be
        required to take any action in any jurisdiction which would require it to
        qualify to do business in such jurisdiction or otherwise subject it to service
        of process, except with respect to the offering and sale of the
        Shares;

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (e)  Notify
        Participating Holders and Demand Participating Holders promptly after it
        shall
        receive notice thereof of the time when the Registration Statement has become
        effective or a supplement to any prospectus forming a part of the Registration
        Statement has been filed;

       

      (f)  Notify
        Participating Holders and Demand Participating Holders promptly of any request
        by the SEC or applicable state securities agency for the amending or
        supplementing of the Registration Statement or prospectus or for additional
        information;

       

      (g)  Prepare
        and promptly file with the SEC and promptly notify Participating Holders
        and
        Demand Participating Holders of the filing of such amendment or supplement
        to
        the Registration Statement or prospectus as may be necessary to correct any
        statements or omissions if, at the time when a prospectus relating to the
        Shares
        is required to be delivered under the 1933 Act, any event shall have occurred,
        the result of which any such prospectus or any other prospectus as then in
        effect would include an untrue statement of a material fact or omit to state
        any
        material fact necessary to make the statements therein, in light of the
        circumstances in which they were made, not misleading;

       

      (h)  In
        case
        any Participating Holder, Demand Participating Holder or any underwriter(s)
        are
        required to deliver a prospectus at a time when the prospectus then in
        circulation is not in compliance with the 1933 Act, Astea will prepare and
        file
        such supplements or amendments to the Registration Statement and such prospectus
        or prospectuses as may be necessary to permit compliance with the requirements
        of the 1933 Act as soon as reasonably practicable thereafter;

       

      (i)  Advise
        Participating Holders and Demand Participating Holders, promptly after it
        shall
        receive notice or obtain knowledge thereof, of the issuance of any stop order
        suspending the effectiveness of the Registration Statement or the initiation
        or
        threatening of any proceeding for that purpose and promptly use its best
        efforts
        to prevent the issuance of any stop order or to obtain its withdrawal if
        such
        stop order should be issued;

       

      (j)  Permit
        Participating Holders and Demand Participating Holders to review the
        Registration Statement, any amendments thereto, and any related prospectus(es)
        and supplements thereto a reasonable amount of time (not to exceed seven
        (7)
        days) prior to their filing with the SEC, and will not file any such document
        in
        a form to which any Participating Holder or Demand Participating Holder shall
        reasonably have objected in writing on the grounds that such document does
        not
        comply in all material respects with the requirements of the 1933 Act or
        the
        rules and regulations thereunder; and

       

      (k)  At
        the
        request of any Participating Holder or Demand Participating Holder (1) obtain
        and furnish on the effective date of the Registration Statement or, if such
        Registration includes an underwritten public offering, at the closing provided
        for in the underwriting agreement, an opinion, dated such date, of the counsel
        representing Astea for the purposes of such Registration, addressed to the
        underwriter(s), if any, and to any Participating Holder or Demand Participating
        Holder making such request, which shall contain such statements as the
        underwriter(s) may reasonably request, or, if the offering is not underwritten,
        shall state that the Registration Statement has become effective under the
        1933
        Act and that (i) to the best of such counsel’s knowledge, no stop order
        suspending the effectiveness thereof has been issued and no proceedings for
        that
        purpose have been instituted or are pending or contemplated under the 1933
        Act;

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (ii)
        the
        Registration Statement, related prospectus, and each amendment or supplement
        thereto comply as to form in all material respects with the requirements
        of the
        1933 Act and applicable rules and regulations of the SEC thereunder (except
        that
        such counsel need express no opinion as to financial statements, financial
        information, or financial schedules contained therein); and (iii) such counsel
        has no reason to believe that either the Registration Statement or the
        prospectus or any amendment or supplement thereto contains any untrue statement
        of a material fact or omits to state a material fact required to be stated
        therein or necessary to make the statements therein not misleading; and (iv)
        the
        opinion of counsel shall additionally cover such legal matters with respect
        to
        such Registration and with respect to which such opinion is being given as
        such
        requesting Participating Holder or Demand Participating Holder may reasonably
        request; and (2) obtain and furnish letters dated on such effective date,
        and
        such closing date, if any, from the independent certified public accountants
        of
        Astea, addressed to the underwriter(s), if any, and to Participating Holders
        and
        Demand Participating Holders making such request, stating that they are
        independent certified public accountants within the meaning of the 1933 Act
        and
        dealing with such matters as the underwriter(s) may request, or, if the offering
        is not underwritten, stating that in the opinion of such accountants the
        financial statements and other financial data pertaining to Astea included
        in
        the Registration Statement or the prospectus or any amendment or supplements
        thereto comply in all material respects with the applicable accounting
        requirements of the 1933 Act; such letter from the independent certified
        public
        accountants shall additionally cover such other financial matters, including
        information as to the period ending not more than five (5) business days
        prior
        to the date of such letter, with respect to the Registration Statement and
        prospectus, as the requesting Participating Holders and Demand Participating
        Holders may reasonably request.

       

      3.  Holder’
        Obligations.
        In
        connection with a Registration of the Registrable Shares, Holders shall have
        the
        following obligations:

       

      (a)  It
        shall
        be a condition precedent to the obligations of Astea to complete a Registration
        pursuant to this Agreement with respect to the Registrable Shares of a
        particular Participating Holder or Demand Participating Holder that such
        Participating Holder or Demand Participating Holder shall furnish to Astea
        such
        information regarding itself, the Registrable Shares held by it and the intended
        method of disposition of the Registrable Shares held by it as shall be
        reasonably required to effect a Registration of such Registrable Shares and
        shall execute such documents in connection with such Registration as Astea
        may
        reasonably request. At least ten (10) business days prior to the first
        anticipated filing date of a Registration Statement, Astea shall notify each
        Participating Holder or Demand Participating Holder of the information Astea
        requires from each such Participating Holder or Demand Participating Holder
        if
        such Participating Holder or Demand Participating Holder elects to have any
        of
        such Participating Holder’s or such Demand Participating Holder’s Registrable
        Shares included in such Registration Statement.

       

      (b)  Each
        Participating Holder or Demand Participating Holder, by such Participating
        Holder’s or such Demand Participating Holder’s acceptance of the Registrable
        Shares, agrees to cooperate with Astea as reasonably requested by Astea in
        connection with the preparation and filing of a Registration Statement
        hereunder, unless such Participating Holder or Demand Participating Holder
        has
        notified Astea in writing of such Participating Holder’s or such Demand
        Participating Holder’s election to exclude all of such Participating Holder’s or
        such Demand Participating Holder’s Registrable Shares from such Registration
        Statement.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (c)  Each
        Participating Holder or Demand Participating Holder agrees that, upon receipt
        of
        any notice from Astea of the happening of any event of the kind described
        in
        Section 2(g), such Participating Holder or Demand Participating Holder will
        immediately discontinue disposition of Registrable Shares pursuant to the
        Registration Statement covering such Registrable Shares until such Participating
        Holder’s or such Demand Participating Holder’s receipt of the copies of the
        supplemented or amended prospectus contemplated by Section 2(g) and, if so
        directed by Astea, such Participating Holder or such Demand Participating
        Holder
        shall deliver to Astea (at the expense of Astea) or destroy (and deliver
        to
        Astea a certificate of destruction) all copies in such Participating Holder’s or
        such Demand Participating Holder’s possession, of the prospectus covering such
        Registrable Shares current at the time of receipt of such notice.

       

      (d)  No
        Holder
        may participate in any underwritten Registration hereunder unless such Holder
        (i) agrees to sell such Holder’s Registrable Shares on the basis provided in any
        underwriting arrangements in usual and customary form entered into by Astea;
        (ii) completes and executes all questionnaires, powers of attorney, indemnities,
        underwriting agreements and other documents reasonably required under the
        terms
        of such underwriting arrangements; and (iii) agrees to pay its pro rata share
        of
        all underwriting discounts and commissions and any expenses in excess of
        those
        payable by Astea pursuant to Section 4 below.

       

      (e)  Each
        Holder agrees to comply with all applicable laws and regulations in connection
        with any sale, transfer or other disposition of Registrable Shares.

       

      4.  Expenses.
        Subject
        to the limitations contained herein, Astea shall pay all expenses incident
        to
        each Piggyback Registration of the Registrable Shares under Section 1(a)(i),
        including, without limitation, all registration, filing and NASD fees, all
        fees
        and expenses of complying with state securities or blue sky laws, all word
        processing, duplicating and printing expenses, messenger and delivery expenses,
        the fees and disbursements of counsel for Astea and of its independent public
        accountants, including the expenses of any special audits or “cold comfort”
letters required by or incident to such performance and compliance, premiums
        and
        other costs of policies of insurance purchased by Astea at its option against
        liabilities arising out of the public offering of such Registrable Shares,
        but
        excluding discounts, spreads and commissions and fees and expenses of selling
        brokers, dealer managers or similar securities industry professionals relating
        to the distribution of the Registrable Shares, transfer taxes, fees and
        disbursements of counsel for any Holder and other selling expenses, if any.
        Each
        Participating Holder in a particular Registration shall bear their pro rata
        share of the underwriting discounts, spreads and commissions of such
        Registration and shall bear any costs, fees and disbursements of accountants
        and
        counsel retained by them for such Registration; provided, however, that if
        any
        cost or expense is attributable solely to one particular Participating Holder
        or
        Demand Participating Holder or group of Participating Holders or Demand
        Participating Holders in a particular Registration and does not constitute
        a
        normal cost or expense of such Registration, such cost or expense shall be
        allocated to and borne by that Participating Holder(s) or Demand Participating
        Holder(s), as the case may be. The Demand Participating Holders shall pay
        all
        expenses incident to each Demand Registration of the Registrable Shares under
        Section 1(b)(i). 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      5.  Indemnification.

       

      (a)  By
        Astea.
        Subject
        to the conditions set forth below, in connection with any Registration of
        securities pursuant to Section 1 above, Astea agrees to indemnify and hold
        harmless Participating Holders, Demand Participating Holders and each person,
        if
        any, who controls Participating Holders and Demand Participating Holders
        within
        the meaning of Section 15 of the 1933 Act or Section 20 of the Securities
        Act of
        1934, as amended (“1934
        Act”),
        against any and all loss, claim, damage, and expense whatsoever arising out
        of
        or based upon (including but not limited to any and all expense whatsoever
        reasonably incurred in investigating, preparing, or defending any litigation,
        commenced or threatened, or any claim whatsoever based upon) any untrue or
        alleged untrue statement of a material fact contained in any preliminary
        prospectus (if used prior to the effective date of a Registration Statement),
        any Registration Statement or amendment thereto, any prospectus (as from
        time to
        time amended and supplemented), or any application or other document executed
        by
        Astea or based upon written information furnished by Astea filed in any
        jurisdiction in order to qualify the Shares under the securities laws thereof
        or
        the omission or alleged omission therefrom of a material fact required to
        be
        stated therein or necessary to make the statements therein not misleading,
        or
        any other violation of applicable federal or state statutory or regulatory
        requirements or limitations related to action or inaction by Astea in the
        course
        of preparing, filing, or implementing a Registration; provided, however,
        that
        Astea shall not be liable in any such case to the extent that any such loss,
        claim, damage, liability (or action or proceeding in respect thereof) or
        expense
        arises out of or is based upon an untrue statement or alleged untrue statement
        or omission or alleged omission made in any Registration Statement, any
        preliminary prospectus, final prospectus, summary prospectus, amendment or
        supplement in reliance upon and in conformity with written information furnished
        to Astea by or on behalf of any Participating Holder or Demand Participating
        Holder; and provided further, that Astea shall not be liable to any person
        in
        any such case to the extent that any such loss, claim, damage, liability
        (or
        action or proceeding in respect thereof) or expense arises out of such person’s
        failure to send or give a copy of the final prospectus, as the same may be
        then
        supplemented or amended, to the person asserting an untrue statement or omission
        at or prior to written confirmation of the sale of the Registrable Shares
        to
        such person if such statement or omission was corrected in such final prospectus
        as amended or supplemented.

       

      (b)  By
        Holders.
        Each
        Participating Holder and Demand Participating Holder in any Registration
        pursuant to Section 1 above severally and individually agrees to indemnify
        and
        hold harmless Astea and its officers, directors and agents and each other
        person, if any, who controls Astea within the meaning of Section 15 of the
        1933
        Act or Section 20 of the 1934 Act against any and all such losses, liabilities,
        claims, damages, and expenses of a type which are indemnified against by
        Astea
        under Section 5(a) hereof and which arise from such Participating Holder’s or
        such Demand Participating Holder’s statements or omissions, if any, made (or in
        settlements of any litigation effected with the written consent of such
        Participating Holder or such Demand Participating Holder, alleged to have
        been
        made) in any preliminary prospectus, any Registration Statement, or prospectus
        or any amendment or supplement thereof or any application or other document
        in
        reliance upon, and in conformity with, written information furnished in respect
        of such Participating Holder or such Demand Participating Holder by or on
        behalf
        of such Participating Holder or such Demand Participating Holder expressly
        for
        use in any preliminary prospectus, any Registration Statement, or prospectus
        or
        any amendment or supplement thereof or in any such application or other
        document; provided however, that no Participating Holder or Demand Participating
        Holder shall be liable under this Section 5(b) for an amount in excess of
        the
        net proceeds received by such Participating Holder or Demand Participating
        Holder with respect to the Shares offered or sold pursuant to any Registration
        hereunder.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (c)  Conduct
        of Indemnification Proceedings.
        In case
        any proceeding (including any governmental investigation) shall be instituted
        involving any person in respect of which indemnity may be sought pursuant
        to
        Sections 5(a) or 5(b) hereof, such person (the “Indemnified
        Party”)
        shall
        promptly notify the person from whom such indemnity may be sought (the
“Indemnifying
        Party”)
        in
        writing and the Indemnifying Party, upon the request of the Indemnified Party,
        shall retain counsel reasonably satisfactory to such Indemnified Party to
        represent such Indemnified Party and any others the Indemnifying Party may
        designate in such proceeding and shall pay the reasonable fees and disbursements
        of such counsel related to such proceeding. In any such proceeding, any
        Indemnified Party shall have the right to retain its own counsel, but the
        fees
        and expenses of such counsel shall be at the expense of such Indemnified
        Party
        unless (i) the Indemnifying Party and the Indemnified Party shall have mutually
        agreed to the retention of such counsel or (ii) the named parties as to any
        such
        proceeding (including any impleaded parties) include both the Indemnified
        Party
        and the Indemnifying Party and representation of both parties by the same
        counsel would be inappropriate due to actual or potential differing interests
        between them. It is understood that the Indemnifying Party shall not, in
        connection with any proceeding or related proceedings in the same jurisdiction,
        be liable for the reasonable fees and expenses of more than one separate
        firm of
        attorneys (in addition to any local counsel) at any time for all such
        Indemnified Parties, and that all such fees and expenses shall be reimbursed
        as
        they are incurred. In the case of any such separate firm for the Indemnified
        Parties, such firm shall be designated in writing by the Indemnified Parties.
        The Indemnifying Party shall not be liable for any settlement of any proceeding
        effected without its written consent, but if settled with such consent, or
        if
        there be a final judgment for the plaintiff, the Indemnifying Party shall
        indemnify and hold harmless such Indemnified Parties from and against any
        loss
        or liability (to the extent stated above) by reason of such settlement or
        judgment.

       

      (d)  Contribution.

       

      (i)  If
        the
        indemnification provided for in Sections 5(a) or 5(b) hereof is unavailable
        or
        insufficient to hold harmless an Indemnified Party, to the extent provided
        therein, then each Indemnifying Party shall contribute to the amount paid
        or
        payable by such Indemnified Party as a result of the losses, claims, damages,
        or
        liabilities referred to in Sections 5(a) or 5(b) hereof, (i) in such proportion
        as is appropriate to reflect the relative benefits received by Astea or
        Participating Holders and Demand Participating Holders from the offering
        of the
        Shares, or (ii) if the allocation provided by clause (i) above is not permitted
        by applicable law, then in such proportion as is appropriate to reflect not
        only
        the relative benefits referred to in clause (i) above but also the relative
        fault of Astea and Participating Holders and Demand Participating Holders
        in
        connection with the statements or omissions that resulted in such losses,
        claims, damages, or liabilities, as well as any other relevant equitable
        considerations. The relative fault shall be determined by reference to, among
        other things, whether the untrue or alleged untrue statement of a material
        fact
        or the omission or alleged omission to state a material fact relates to
        information supplied by Astea or Participating Holders and Demand Participating
        Holders and the parties’ relative intent, knowledge, access to information, and
        opportunity to correct or prevent such untrue statement or omission. Astea
        and
        Participating Holders and Demand Participating Holders agree that it would
        not
        be just and equitable if contributions pursuant to this Section 5(d)(i) were
        to
        be determined by pro rata allocation or by any other method of allocation
        which
        does not take account of the equitable considerations referred to in the
        first
        sentence of this Section 5(d)(i). The amount paid by an Indemnified Party
        as a
        result of the losses, claims, damages, or liabilities referred to in the
        first
        sentence of this Section 5(d)(i) shall be deemed to include any reasonable
        legal
        or other expenses reasonably incurred by such Indemnified Party in connection
        with investigating or defending against any action or claim which is the
        subject
        of this Section 5(d)(i). No person guilty of fraudulent misrepresentation
        (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to
        contribution from any person who is not guilty of such fraudulent
        misrepresentation.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (ii)  The
        obligations of Astea and Participating Holders and Demand Participating Holders
        under this Section 5(d) shall be in addition to any liability which Astea
        and
        Participating Holders and Demand Participating Holders may otherwise have
        and
        shall extend upon the same terms and conditions to each director of Astea
        or a
        Participating Holder or Demand Participating Holder (including any person
        who,
        with his consent, is named in a Registration Statement as a person to become
        a
        director of Astea), to each officer of Astea who has signed a Registration
        Statement, and to each person, if any, who controls Astea or a Participating
        Holder or Demand Participating Holder within the meaning of the 1933 Act
        or the
        1934 Act.

       

      (e)  Indemnification
        Payment.
        The
        indemnification required by this Section 5 shall be made by periodic payments
        of
        the amount thereof during the course of the investigation or defense, as
        and
        when bills are received or expense, loss, damage or liability is
        incurred.

       

      6.  Rules
        144 and 144A.
        Astea
        agrees to file the reports required to be filed by it under the 1933 Act
        and the
        1934 Act and the rules and regulations adopted by the SEC thereunder, and
        will
        use its reasonable efforts to take such further action as any Holder may
        reasonably deem to be necessary, all to the extent required from time to
        time to
        enable such Holder to sell Registrable Shares without registration under
        the
        1933 Act within the limitation of the exemptions provided by (i) Rule 144
        and
        Rule 144A under the 1933 Act, as such Rules may be amended from time to time
        or
        (ii) any similar rule or regulation hereafter adopted by the SEC. Upon the
        request of any Holder, Astea (i) will deliver to such Holder a written statement
        as to whether it has complied with such information and requirements and
        (ii)
        will remove restrictive legends on certificates and stop-order on its transfer
        books if, in the reasonable judgment of Astea’s counsel or in the opinion of
        counsel for the Holder, such legend is no longer necessitated under the 1933
        Act.

       

      7.  Amendments
        and Waivers.
        This
        Agreement may be amended and each party may take any action herein prohibited,
        or omit to perform any act herein required to be performed by it, either
        prospectively or retroactively, only with the written consent of Astea and
        the
        Holders owning a majority of the Registrable Shares.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      8.  Notices.
        All
        notices that are required or permitted hereunder shall be in writing and
        shall
        be sufficient if personally delivered or sent by mail, facsimile message
        or by a
        nationally recognized overnight delivery courier. Any notices shall be deemed
        given upon the earlier of the date when received at, or the third day after
        the
        date when sent by registered or certified mail or the day after the date
        when
        sent by facsimile or overnight delivery courier to, the address or fax number
        set forth below, unless such address or fax number is changed by notice to
        the
        other party hereto:

       

      If
        to
        Astea:

       

      Astea
        International Inc.

      240
        Gibraltar Road

      Horsham,
        Pennsylvania 19044

      Attn:
        John Tobin, Vice President and General Counsel 

      Fax
        No.:
        (215) 682-2515

       

      and
        with
        a required copy to:

       

      Pepper
        Hamilton LLP

      3000
        Two
        Logan Square

      18th
        and Arch
        Streets

      Philadelphia,
        PA 19103

      Attn:
        Barry M. Abelson, Esq.

      Fax
        No.:
        (215) 981-4750

       

      If
        to any
        Holder:

       

      c/o
        FieldCentrix, Inc.

      8
        Hughes

      Irvine,
        California 92619

      Attn:
        President

      Fax
        No.:
        (949) 784-4844

       

      and
        with
        a required copy to:

       

      Stradling
        Yocca Carlson & Rauth

      660
        Newport Center Drive, Suite 1600

      Newport
        Beach, CA 92660-6441

      Attn:
        K.C. Schaaf, Esq.

      Fax
        No:
        (949) 725-4100

       

      9.  Assignment.
        This
        Agreement shall be binding upon and inure to the benefit of and be enforceable
        by the parties hereto and their respective successors. The registration rights
        set forth herein may be assigned, in whole or in part, to any transferee
        of
        Registrable Shares, which transferee, upon registration on Astea’s or its
        transfer agent's books and records as a holder of record of Registrable Shares,
        shall be considered thereafter to be a Holder and shall be bound by all
        obligations and limitations of this Agreement, provided, however that assignment
        will only be available if (i) such transfer may otherwise be effected in
        accordance with applicable securities laws; (ii) such transferee executes
        and
        delivers to Astea a counterpart to this Agreement, the form of which is attached
        hereto as Exhibit
        A;
        and
        (iii) such transferee received Registrable Shares from FieldCentrix in
        connection with the dissolution and liquidation of FieldCentrix (a "Permitted
        Transferee").
        Promptly after an assignment to a Permitted Transferee, the Company shall
        file
        any required prospectus supplement reflecting such transfer and naming the
        Permitted Transferee as a selling stockholder therein, if applicable, enabling
        the Permitted Transferee to sell all of the Registrable Shares required by
        it.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      10.  Other
        Indemnification.
        In
        addition to any other indemnification contained herein, Astea agrees to
        indemnify Holders, and Holders, severally and not jointly, agree to indemnify
        Astea, against any actual loss, damage, or expense (including but not limited
        to
        reasonable attorneys’ fees) (“Other
        Damages”),
        incurred or sustained by Holders as a result of any breach of this Agreement
        by
        Astea, on the one hand, and by Astea as a result of any breach of this Agreement
        by one or more Holders, on the other hand. The party seeking indemnification
        hereunder agrees to give prompt notification to the party from whom
        indemnification is sought of any claims for Other Damages or potential claims
        for Other Damages; provided, however, that failure of the indemnified party
        to
        give such notification shall not relieve the indemnifying party of its indemnity
        obligations hereunder unless such failure in fact materially prejudiced the
        defense of any such claim.

       

      11.  Irreparable
        Harm.
        Astea
        acknowledges that Holders will suffer irreparable and substantial injury
        in the
        event Astea violates or breaches its obligations under this Agreement and
        that
        any damages which would be suffered by Holders would be severe and difficult
        to
        ascertain. Holders acknowledge that Astea will suffer irreparable and
        substantial injury in the event any Holder violates or breaches any of its
        obligations under this Agreement and that any damages which would be suffered
        by
        Astea would be severe and difficult to ascertain. All parties hereby waive
        the
        claim or defense that an adequate remedy at law for such breach exists or
        that
        irreparable injury shall not occur. Therefore, it is hereby agreed that upon
        any
        breach or threatened breach of any of the covenants or agreements contained
        herein, the aggrieved party shall be entitled, in addition to any other remedies
        available, to an order for specific performance or a temporary restraining
        order
        or preliminary or permanent injunction, as the case may be, to compel compliance
        with or restrain the violation, breach or threatened breach of any of the
        terms
        of such covenants or agreements. The foregoing remedies for breach of this
        Agreement are cumulative and not exclusive of any other remedies the parties
        may
        have at law or in equity in the event of breach.

       

      12.  No
        Defense.
        The
        covenants set forth herein are of the essence of this Agreement. They shall
        be
        construed as independent of any other provisions of this Agreement. The
        existence of any claim or cause of action of any Holder against Astea or
        Astea
        against any Holder whether predicated on this Agreement or not, shall not
        constitute a defense to the enforcement by a party of the covenants and
        agreements contained herein.

       

      13.  Parties
        Benefited.
        Nothing
        in this Agreement, express or implied, is intended, except as set forth herein,
        to confer upon any third party any rights, remedies, obligations or
        liabilities.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      14.  Descriptive
        Headings.
        The
        descriptive headings of the several sections and paragraphs of this Agreement
        are inserted for reference only and shall not limit or otherwise affect the
        meaning hereof.

       

      15.  Future
        Changes in Registration Statements.
        In the
        event that the Registration requirements under the 1933 Act are amended or
        eliminated, this Agreement shall be deemed amended to the extent necessary
        to
        reflect such changes and the intent of the parties hereto with respect to
        the
        benefits and obligations of the parties, and in such connection, Astea shall
        use
        reasonable efforts to provide Holders equivalent benefits to those provided
        under this Agreement.

       

      16.  Governing
        Law.
        The
        validity of this Agreement and all matters relating to its interpretation
        and
        performance shall be interpreted in accordance with the laws of the State
        of
        Delaware applicable to contracts made and fully performed therein, but without
        regard to principles of conflicts of law.

       

      17.  Counterparts.
        This
        Agreement may be executed in two or more counterparts and by facsimile, each
        of
        which shall be binding as of the date first written above, and all of which
        shall constitute one and the same instrument. Each such copy shall be deemed
        an
        original, and it shall not be necessary in making proof of this Agreement
        to
        produce or account for more than one such counterpart.

       

      18.  Entire
        Agreement.
        This
        Agreement embodies the entire agreement and understanding of the parties
        hereto
        in respect of the subject matter contained herein. There are no restrictions,
        promises, representations, warranties, covenants or undertakings other than
        those expressly set forth or referred to herein. This Agreement supersedes
        all
        prior agreements and understandings between the parties. The parties make
        no
        representations or warranties to each other, except as contained in this
        Agreement, and any and all prior representations, warranties, assurances
        and
        promises made by any party or its representatives, whether verbally or in
        writing, are deemed to have been merged into this Agreement, it being intended
        that no such prior representations, warranties, assurances and promises shall
        survive the execution and delivery of this Agreement.

       

      [signature
        page follows]

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

       

      IN
        WITNESS WHEREOF, the parties have caused this Registration Rights Agreement
        to
        be executed and delivered as of the date first above written. 

       

      

       

      
        	 	
                FIELDCENTRIX,
                  INC.

              
	 	 	 
	 	
                By:
                  

              	/s/
                Scott Hiraoka
	 	 	
                Name:
                  Scott Hiraoka

              
	 	 	
                Title:
                  President

              
	 	 
	 	
                ASTEA
                  INTERNATIONAL INC.

              
	 	 	 
	 	
                By:
                  

              	/s/
                John Tobin
	 	 	
                Name:
                  John Tobin

              
	 	 	
                Title:
                  Vice President & General
                  Counsel

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00091-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00091-of-00352.parquet"}]]