Document:

CONFIDENTIAL

 

PATENT RIGHTS PURCHASE AND ASSIGNMENT
AGREEMENT

 

This Patent
Rights Purchase and Assignment Agreement (the "Agreement") is entered into as of May 28, 2013 (the “Effective
Date”), by and between Medicsight Inc., a corporation organized under the laws of New York, United States, with principal
place of business at 500 Mamaroneck Avenue, Suite 204, Harrison, NY 10528, United States of America (“Seller”),
and Samsung Electronics Co., Ltd., a Korean corporation, with principal place of business at 129, Samsung-ro (Maetan-dong), Yeongtong-gu,
Suwon-si, Gyeonggi-do, 443-742, Republic of Korea (“Buyer”) (each of Seller and Buyer a “Party”,
collectively, “Parties”).

 

WHEREAS, Seller owns
certain patent applications, patents, and/or related foreign patents and applications;

 

WHEREAS, Buyer desires
to acquire the entire and exclusive right, title, and interest in and to the Assigned Patents and the underlying inventions described
therein, in the United States and throughout the world; and

 

WHEREAS, Seller is
willing to assign to Buyer all right, title, and interest in and to the Assigned Patents, and the underlying inventions described
therein, in the United States and throughout the world.

 

Now
therefore, in consideration of the premises and covenants herein contained, Buyer and Seller agree as follows:

 

 

		Section 1.	Assignment

 

		1.1	Seller hereby assigns, transfers and conveys to Buyer, and Buyer hereby
accepts, all right, title, and interest throughout the world in and to: (a) the issued patents and pending patent applications
identified on Schedule 1 to Exhibit A attached hereto (the "Assigned Patents"),
(b) all issued patents, rights to inventions and pending and future applications for patents under U.S. law or regulation or of
any foreign country with respect to the patentable inventions from which such Assigned Patents arise or relate, including without
limitation utility patents, utility models, design patents, invention certificates, continuations, divisionals, continuations-in-part,
reexaminations, reissues, extensions and renewals, in all countries of the world; (c) all causes of action (whether known or unknown
or whether currently pending, filed or otherwise) and other enforcement rights under or on account of, subcategories (a) and (b),
including, without limitation, all causes of action and other enforcement rights for damages, injunctive relief, and any other
remedies of any kind for past, current and future infringement; and (d) all rights to collect royalties or other payments under
or on account of the Assigned Patents and any of the foregoing subcategories (b) and (c) 
(subcategories (a), (b), (c) and (d), collectively, the “Assigned Patent Rights”), in accordance with the Assignment
attached as Exhibit A hereto (the “Assignment”).

 

		1.2	Seller shall, after payment of the consideration specified in Section 2.1 below, execute, verify,
acknowledge, have authenticated and deliver all such further documents, including instruments of transfer and assignment papers,
that Buyer may reasonably require and deliver to Buyer to implement the assignments in Section 1.1 above and/or the Assignment
as needed to vest title to the Assigned Patent Rights in Buyer. Executed, verified, acknowledged, and authenticated Assignment
shall be delivered within ten (10) days after payment of the consideration. An electronic version shall be sent within three (3)
days after payment of the consideration.

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 1 of 24

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		1.3	Within five (5) days of the Effective Date, Seller shall deliver to Buyer: (a) the complete prosecution
files for the Assigned Patents; (b) the invention disclosures and other documents describing or relating to the invention for the
Assigned Patent Rights; (c) all agreements assigning ownership of the Assigned Patent Rights from the inventors and/or prior owners
to Seller; (d) all licenses and other agreements relating to the Assigned Patent Rights; (e) any other documents relating to the
ownership, preparation, prosecution, maintenance, defense, filing, issuance, registration, assertion, use, or enforcement of the
Assigned Patent Rights; and (f) the docket for the Assigned Patents, including contact information for prosecution counsel and
information relating to deadlines, payments, and filing. To the extent any such documents are kept in electronic form, Seller shall
work with Buyer to deliver the information in a format reasonably acceptable to the Parties. Privileged documents will not be included
but can be inspected at the request of the Buyer in the offices of RGC Jenkins or by electronic access.

 

		1.4	(a)   Seller agrees to cooperate with Buyer, at Buyer's expense (provided such expenses
are reasonable and preapproved in writing by Buyer, such approval not to be unreasonably withheld or delayed) except for the delivery
under Section 1.3, which shall be at Seller’s expense, after the Effective Date to provide all other files and documents
in its possession relating to the Assigned Patent Rights, and to perform such other acts and provide such assistance as Buyer lawfully
and reasonably may request to obtain, maintain, defend, or enforce the Assigned Patent Rights, including letters patent for the
Assigned Patents or inventions disclosed therein in any and all
countries. Further, in the event Buyer subsequently assigns any of the Assigned Patent Rights to any Buyer’s assignees, Seller
agrees to cooperate with such Buyer’s assignee at the Buyer's assignee’s expense after the date of such assignment
to perform such other acts and provide such assistance as the Buyer’s assignee lawfully and reasonably may request to obtain,
maintain, defend, or enforce the Assigned Patent Rights, including letters patent for the Assigned
Patents or inventions disclosed therein in any and all countries.

 

(b)        Seller
will at Buyer's expense (provided such expenses are reasonable and preapproved in writing by Buyer, such approval not to
be unreasonably withheld or delayed), and will cause its employees, consultants,
agents, representatives, and successors to, communicate with Buyer, its successors and assigns, any facts known to it respecting
the Assigned Patent Rights, and testify in any legal proceeding, including reexamination of the Assigned Patents and an infringement
or validity lawsuit related to the Assigned Patent Rights, sign all lawful papers when called upon to do so, execute and deliver
any and all papers that may be necessary or reasonably desirable to perfect title in Buyer, its successors or assigns or to enforce
the Assigned Patent Rights, execute all divisional, continuation, continuation-in-part, and reissue applications, make all rightful
oaths and generally do everything reasonably practicable to aid Buyer, its successors and assigns, to obtain in any country proper
protection and enforcement for the Assigned Patent Rights, it being understood that any expense incident to the preparation, negotiation
and execution of such papers or providing testimony shall be borne by the Buyer, its successors and assigns. 

 

(c)        To the extent any attorney-client
privilege or the attorney work-product doctrine applies to any documents relating to the Assigned Patent Rights that are retained
after Closing of the transactions herein under Seller’s or its representatives’ normal document retention policy, Seller
will ensure that such documents are not disclosed to any third party unless (i) disclosure is ordered by a court of competent jurisdiction,
after all appropriate appeals to prevent disclosure have been exhausted, and (ii) Seller gave Buyer prompt notice upon learning
that any third party sought or intended to seek a court order requiring the disclosure of any such documents.

 

(d)        If
Seller (or its representative) is in receipt of or receives after Closing an office action or other correspondence requiring response
from the patent office regarding any of the Assigned Patent Rights, Seller at Buyer's expense (provided such expenses are
reasonable and preapproved in writing by Buyer, such approval not to be unreasonably withheld or delayed) will
transfer such office action or correspondence to Buyer no later than fifteen (15) days after Closing or after Seller becomes aware
of such office action or correspondence, and reasonably assist Buyer in timely responding to such office action or correspondence.

 

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		Section 2.	Payment and Communication

 

		2.1	As consideration for the assignment of the Assigned Patent Rights, and subject to the conditions
set forth herein below, Buyer shall deliver to Seller (in accordance with
the payment instructions below) payment in the amount equal to One Million Five Hundred Thousand United States Dollars (US$1,500,000)
(the “Purchase Price”), inclusive of any applicable withholding taxes, within thirty (30) days following Buyer’s
receipt of an original, signed invoice from Seller. Seller shall provide such invoice after full execution of this Agreement. The
following are conditions precedent to Buyer’s obligation to pay the Purchase Price: 

 

		(a)	Buyer has received the documents set forth in Section 1.3 and has completed due diligence examination
of the Assigned Patent Rights to its reasonable satisfaction;

		(b)	Buyer is satisfied that none of Assigned Patents has expired, lapsed, been abandoned, or deemed
withdrawn except those that are listed in schedule 2; and

		(c)	Buyer is satisfied that Seller’s
representations and warranties contained in Section 3 are true and correct. 

 

Immediately after Buyer’s
delivery of payment of the Purchase Price to Seller, Seller shall execute and deliver to Buyer the Assignment, which Buyer may
record, at its election, and deliver to Buyer the original ribbon copy or certificate, as applicable, issued by the relevant jurisdiction
for each issued patent within the Assigned Patents. The closing (“Closing”) shall consist of the wiring of the Purchase
Price by Buyer to Seller and the delivery of the Assignment by Seller to Buyer.

 

		2.2	Payments under this Agreement shall be made via wire transfer, without deduction of taxes (other
than withholding taxes) or banking fees of any kind, per wire account information provided by Seller and set forth on the confidential
Exhibit B attached hereto. 

 

		2.3	Seller shall pay all taxes (including, without limitation, sales and value added taxes and withholding
taxes) imposed on Seller by the national government, and any state, local or other political subdivision thereof, of any country
in which Seller is subject to taxation, as the result of Buyer’s furnishing consideration hereunder. With respect to withholding
taxes on the consideration hereunder, Buyer shall withhold the amount of applicable withholding taxes from the Purchase Price and
transmit it to the appropriate tax authority. Buyer shall deliver to Seller a certification or other evidence of such withholding
tax payment after it receives such certification or other evidence from the appropriate tax authority. Such withheld amount shall
be treated for all purposes of this Agreement as having been paid to Seller.

 

		2.4	Notices and other communications relevant
to this Agreement or to any of the Assigned Patent Rights shall be sent by facsimile or by registered or certified mail or by electronic
transmission (e.g., e-mail) with proof or acknowledgment of receipt, to the following address, or to such other address as may
be given by notice hereafter, and shall be effective upon sending, if sent by facsimile or electronic transmission, as proven by
a fax confirmation page or e-mail receipt or acknowledgment, or upon receipt if sent by registered or certified mail, as proven
by a post office delivery receipt: 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 3 of 24

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	For Seller:	Medicsight Inc.
	 	c/o Robert Ladd, CEO
	 	500 Mamaroneck Avenue, Suite 204
	 	Harrison, NY 10528
	 	United States of America
	 	Email: rladd@mgtci.com
	 	 
	 	 
	With a copy to:	Munich Innovation Group GmbH
	 	c/o Stefan Taing, Senior Partner
	 	von-der-Tann-Strasse 12
	 	80539 Munich
	 	Germany
	 	Fax Number: +49 89 4161 5984
	 	Email: st@munich-innovation.com
	 	 
	 	 
	For Buyer:	Samsung Electronics Co., Ltd.
	 	Attention: Vice President, IP Acquisition and Collaboration
	 	129, Samsung-ro (Maetan-dong)
	 	Yeongtong-gu, Suwon-si
	 	Gyeonggi-do, 443-742
	 	Republic of Korea
	 	Email: 
	 	Phone: 
	 	Fax: 

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 4 of 24

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		Section 3.	Representations, Warranties and Covenants

 

		3.1	Seller represents and warrants to Buyer that:

 

(a)        Seller
is a company duly formed, validly existing, and in good standing under the laws of the jurisdiction of its formation. Seller has
the full power and authority and has obtained all third party consents, approvals, and/or other authorizations required to enter
into this Agreement and to carry out its obligations hereunder, including, without limitation, the assignment of the Assigned Patent
Rights to Purchaser.

 

(b)        Except
as otherwise expressly provided in Exhibit C, Seller represents and warrants to Buyer that Seller owns all right, title,
and interest in and to the Assigned Patent Rights, including, without limitation, all right, title, and interest to sue for infringement
of the Patents. Seller has obtained and properly recorded previously executed assignments for the Assigned Patent Rights as necessary
to fully perfect its rights, interest and title therein in accordance with governing law and regulations in each respective jurisdiction.
The Assigned Patent Rights are free and clear of all liens, claims, mortgages, security interests or other encumbrances, and restrictions.
There are no existing or outstanding licenses, covenants not to sue, or promises or options to grant any license under the Assigned
Patent Rights. There are no existing contracts, options, commitments, or rights with, to, or in any person to acquire any of the
Assigned Patent Rights. There are no actions, suits, investigations, claims, or proceedings threatened, pending, or in progress
relating in any way to the Assigned Patent Rights.

 

(c)        All
maintenance fees, annuities, and the like due or payable on the Assigned Patents for which the deadline (including an initial deadline,
surcharge date or final deadline) for payment occurs on or before the date that is ten (10) calendar days after the Closing have
been timely paid. All fees and expenses relating to the Assigned Patents arising before the Closing (including attorneys’
fees) have been paid or will be paid by Seller. Seller shall continue to prosecute and maintain the Assigned Patents until the
Closing, including responding to any office actions or other correspondence requiring response from the patent office issued before
the Closing.

 

(d)        Neither
the execution and delivery of this Agreement and the Assignment, nor the assignment of the Assigned Patent Rights, will violate
or be in conflict with any provision of any applicable law binding upon or applicable to the Seller or any of the Assigned Patent
Rights; give rise to any right of termination, cancellation, increase in obligations, imposition of fees or penalties under, any
debt, note, bond, indenture, mortgage, lien, lease, license, instrument, contract, commitment or other agreement, or order, arbitration
award, judgment or decree, to which Seller is a party or by which Seller is bound or to which the Assigned Patent Rights are subject;
or result in the creation or imposition of encumbrances upon any of the Assigned Patent Rights.

 

(e)         No
consent, approval, order or authorization of, or registration, declaration or filing with, any governmental or regulatory authority
or third party is required in connection with the execution or delivery of this Agreement or Assignment or the consummation by
Seller of the transactions contemplated hereby (except for third party consents obtained as set forth in subsection (a) and disclosed
to Buyer). At no time during the conception of or reduction to practice of any of the inventions or technology underlying the Assigned
Patent Rights was any inventor, developer, or other contributor thereto operating under any grant from any governmental authority,
or performing research sponsored by any governmental authority or private source or other obligation with any third party.

 

(f)        None
of the Assigned Patent Rights has ever been found invalid or unenforceable for any reason in any administrative, arbitration, judicial
or other proceeding. Seller has not received any notice or information of any kind from any source suggesting that any of the Assigned
Patent Rights may be invalid or unenforceable.

 

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(g)        None
of the Assigned Patent Rights has been or is currently involved in any re-examination, reissue, interference proceeding, or any
similar proceeding, and Seller has not received any notice that such proceedings are pending or threatened.

 

(h)        None
of the Assigned Patent Rights is terminally disclaimed to another patent or patent application that is not an Assigned Patent Right.

 

(i)        All
listed inventors in the Assigned Patents are the only and rightful inventors of the inventions claimed in the Assigned Patents,
including as the term “inventor” is defined and interpreted under United States patent law. No third person or entity
has contributed to or participated in the conception and/or development of the inventions or Assigned Patents on behalf of Seller
or any of its predecessor-in-interest.

 

(j)        Seller
has not filed any lawsuit that claims infringement of any of the Assigned Patent Rights and has not initiated any enforcement action
or other legal proceeding with respect to any of the Assigned Patents.

 

(k)        To
Seller’s best knowledge, no product, composition or process claimed in any of the Assigned Patents or otherwise embodying
or utilizing the Assigned Patents has been found by a court or arbitration to infringe any other person’s intellectual property
rights.

 

(l)        Neither
Seller nor any of the inventors named in the Assigned Patents has engaged in any conduct, or omitted to perform any necessary act,
the result of which would invalidate any of the Assigned Patent Rights or hinder their enforcement as of the state of the law as
of the Closing.

 

(m)        If
“small entity” fees were paid by Seller to the United States Patent and Trademark Office for any Assigned Patents,
such reduced fees were then appropriate because the payor qualified to pay “small entity” fees at the time of such
payment and specifically had not licensed rights in any of the Assigned Patents to an entity that was not a “small entity.”

 

(n)        There
is no other invention and discovery that is owned or controlled by Seller and is necessary to practice the inventions and/or discoveries
described in the Assigned Patent Rights.

 

(o)        Neither
this Agreement nor the Assignment contains any untrue statement of a material fact or omits to state a material fact necessary
to make the statements herein or therein not misleading, in view of the circumstances in which they were made. Seller has provided
Buyer with or informed Buyer of all material information and challenges of which Seller has actual knowledge concerning the title,
validity, patentability, enforceability, and encumbrances of the Assigned Patent Rights.

 

Schedule 2 is excluded from the representations
and warranties above.

 

3.2        Seller agrees to defend, indemnify and hold harmless
Buyer from, against and in respect of any and all losses, suffered or incurred, directly or indirectly by Buyer by reason of, or
resulting from the breach of any representation or warranty contained in this Agreement or from Seller’s failure to perform
any covenant contained in this Agreement or in the Assignment.

 

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3.3        Buyer represents and warrants to
Seller that:

 

		(a)	Buyer is a company duly formed, validly
existing, and in good standing under the laws of the jurisdiction of its formation and that 

 

		(b)	Buyer has all requisite legal right, power,
and authority to execute, deliver, and perform this Agreement.

 

 

		Section 4.	Disclaimers and Limitations

 

		4.1	EXCEPT IN THE EVENT OF BREACH OF ANY OF THE PRIMARY WARRANTIES BY SELLER OR SELLER’S INTENTIONAL
MISREPRESENTATION, SELLER’S TOTAL LIABILITY UNDER THIS AGREEMENT WILL NOT EXCEED THE PURCHASE PRICE SET FORTH IN PARAGRAPH
2.1 OF THIS AGREEMENT. BUYER’S TOTAL LIABILITY UNDER THIS AGREEMENT WILL NOT EXCEED THE PURCHASE PRICE SET FORTH IN PARAGRAPH
2.1 OF THIS AGREEMENT. THE PARTIES ACKNOWLEDGE THAT THE LIMITATIONS ON POTENTIAL LIABILITIES SET FORTH IN THIS PARAGRAPH 4.1 WERE
AN ESSENTIAL ELEMENT IN SETTING CONSIDERATION UNDER THIS AGREEMENT.

 

		4.2	EXCEPT IN THE EVENT OF SELLER’S INTENTIONAL MISREPRESENTATION, NEITHER PARTY WILL HAVE ANY
OBLIGATION OR LIABILITY (WHETHER IN CONTRACT, WARRANTY, TORT (INCLUDING NEGLIGENCE) OR OTHERWISE, AND NOTWITHSTANDING ANY FAULT,
NEGLIGENCE (WHETHER ACTIVE, PASSIVE OR IMPUTED), REPRESENTATION, STRICT LIABILITY OR PRODUCT LIABILITY), FOR COVER OR FOR ANY INCIDENTAL,
INDIRECT OR CONSEQUENTIAL, MULTIPLIED, PUNITIVE, SPECIAL, OR EXEMPLARY DAMAGES OR LOSS OF REVENUE, PROFIT, SAVINGS OR BUSINESS
ARISING FROM OR OTHERWISE RELATED TO THIS AGREEMENT, EVEN IF A PARTY OR ITS REPRESENTATIVES HAVE BEEN ADVISED OF THE POSSIBILITY
OF SUCH DAMAGES. THE PARTIES ACKNOWLEDGE THAT THESE EXCLUSIONS OF POTENTIAL DAMAGES WERE AN ESSENTIAL ELEMENT IN SETTING CONSIDERATION
UNDER THIS AGREEMENT.

 

		4.3	The provisions of this Section 4 shall survive any termination
or expiration of this Agreement.

 

 

		Section 5.	Miscellaneous

 

		5.1	This Agreement shall not be binding upon the Parties until it has been signed herein below and
delivered by or on behalf of each Party. Buyer may assign this Agreement in connection with the assignment of the Assigned Patents
and/or Assigned Patent Rights. This Agreement shall be binding on, and shall inure to the benefit of, the Parties hereto and their
respective successors and assigns. No amendment or modification hereof shall be valid or binding upon the Parties unless made in
writing and signed as aforesaid.

 

		5.2	This Agreement will be interpreted, construed, and enforced in all respects in accordance with
the laws of the State of New York, without reference to its choice of law principles to the contrary. Seller will not commence
or prosecute any action, suit, proceeding or claim arising under or by reason of this Agreement other than in the state or federal
courts located in New York. Seller irrevocably consents to the jurisdiction and venue of the courts identified in the preceding
sentence in connection with any action, suit, proceeding, or claim arising under or by reason of this Agreement.

 

		5.3	The headings of sections are inserted for convenience of reference only and are not intended to
be part of or to affect the meaning or interpretation of this Agreement.

 

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		5.4	Neither Party shall disclose the terms of this Agreement to any third party, without the prior
written consent of the other Party. This obligation is subject to the following exceptions: (a) disclosure is permissible if required
by government or court order, provided that the disclosing Party first gives the other Party prior written notice in order to enable
that Party to seek a protective order (or other equivalent protection) and such permissible disclosure is limited to the terms
legally required to be disclosed; (b) disclosure is permissible if otherwise required by law or any applicable securities exchange
rules or regulations, and such permissible disclosure is limited to the terms legally required to be disclosed; (c) each Party
may disclose this Agreement or its contents to the extent reasonably necessary, on a confidential basis, to its accountants, attorneys,
and financial advisors; (d) Buyer may disclose this Agreement or its contents to any potential licensees or assignees of the Assigned
Patents and/or Assigned Patent Rights, provided that all such potential licensees or assignees agree to the same terms of confidentiality
as set forth in this Section 5.4; (e) Buyer may disclose this Agreement or its contents in order to perfect Buyer’s interest
in the Assigned Patent Rights with any governmental patent office, or to enforce Buyer’s right, title and interest in and
to the Assigned Patent Rights; and (f) the Parties may disclose information related to the tax treatment or tax structure of the
transaction to the extent required by the relevant tax authorities.

 

		5.5	This Agreement, including the exhibits and schedules attached hereto, embodies the entire understanding
of and agreement between the Parties with respect to the Assigned Patent Rights and merges and supersedes all prior agreements,
understandings, negotiations, and discussions between the Parties. Neither Party shall be bound by any condition, definition, warranty,
understanding, or representation with respect to the subject matter hereof other than as expressly provided herein.

 

		5.6	This Agreement may be executed in two or more counterparts, each of which shall be deemed an original,
but all of which together shall constitute one and the same instrument. The exchange of copies of this Agreement and of signature
pages by facsimile transmission, by electronic mail in “portable document format” (“.pdf”) form, or by
any other electronic means intended to preserve the original graphic and pictorial appearance of a document, will have the same
effect as physical delivery of the paper document bearing an original signature.

 

		5.7	Nothing contained herein, or done in pursuance of this Agreement, will constitute the Parties entering
into a joint venture, partnership, or franchise or will constitute either Party hereto being the agent for the other Party for
any purpose or in any sense whatsoever.

 

		5.8	Neither Party shall be considered the author of this Agreement for the purpose of interpreting
any provision herein.

 

		5.9	Each Party acknowledges that it has reviewed this Agreement, including Exhibit A attached
hereto, and all related agreements, with its own legal, financial and tax advisors, and has not relied on the other Party or any
of the other Party’s advisors with respect to such matters.

 

		5.10	If any section of this Agreement is found by competent authority to be invalid, illegal or unenforceable
in any respect for any reason, the validity, legality and enforceability of any such section in every other respect and the remainder
of this Agreement shall continue in effect so long as the Agreement still expresses the intent of the Parties.

 

 

 

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IN WITNESS WHEREOF,
the Parties hereto have caused this Agreement to be executed as of the Effective Date. The individuals signing for the Parties
represent and warrant that he or she has authority to sign for and enter into this Agreement on behalf of the respective Parties.

 

 

	
        SELLER:

         

        Medicsight Inc.

         

         

         

        By:________________________________

         

        Name: Robert Ladd

         

        Title: Chief Executive Officer

         

        Date:________June 4, 2013________

         
	
        BUYER:

         

         

         

         

         

        By:_______________________________

         

        Name:___Hosik Jang __________

         

        Title:_____Vice President_______

         

        Date:____May 28, 2013_____________

 

 

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Exhibit
A

 

 

Patent Assignment 

 

 

This patent assignment ("Assignment")
is entered into as of July 3, 2013 by and between Medicsight Inc., a corporation organized under the laws of New York, United States,
with principal place of business at 500 Mamaroneck Avenue, Suite 204, Harrison, NY 10528, United States of America (“Seller”),
Samsung Electronics Co., Ltd., a Korean corporation, with principal place of business at 129, Samsung-ro (Maetan-dong), Yeongtong-gu,
Suwon-si, Gyeonggi-do, 443-742, Republic of Korea (“Buyer”).

 

For good and valuable consideration, the
receipt of which is hereby acknowledged, Seller hereby irrevocably assigns to Buyer:

 

(1)        the entire right,
title, and interest, everywhere in the world, to

 

(a)        the issued patents
and pending patent applications set forth on Schedule 1, including all rights pursuant to 35 U.S.C. § 154,

 

(b)        any patent applications
and/or patents that may give priority to or claim priority of the items in (a) (including but not limited to continuations, divisions,
substitutes, reissues, reexaminations, or extensions thereof, together with all priority rights and foreign counterpart applications
under any existing or future international patent conventions, agreements, or treaties),

 

(c)         any patent
that may be granted on any patent application in (a) or (b), and

 

(d)        any other rights
in the inventions described in any of (a), (b) or (c) including rights to future patent applications and all rights of cooperation
assigned or granted by a third party;

 

(all of the foregoing in (1), collectively,
the "Assigned Patents");

 

(2)        the right to
sue third parties for infringement (including but not limited to past, present and future infringement, damages and injunctive
relief) of any of the Assigned Patents based on activities occurring prior to the execution date hereof or hereafter; and

 

 

(3)        any past, current
or future right to receive royalties based on any of the foregoing in (1) or (2); and

 

 

The terms and conditions of this Assignment
will inure to the benefit of Buyer, its successors, assigns, and other legal representatives and will be binding upon Seller, its
successors, assigns, and other legal representatives. Seller, for itself and its heirs, assigns, and legal representatives, hereby
further covenants to and with Buyer, its assigns, successors, and legal representatives to fully cooperate therewith in perfecting
this Assignment in the United States and in any and all foreign jurisdictions, said cooperation extending to the Assigned Patents,
and including the execution of additional assignments or other formal documents as may be required in connection therewith.

 

Seller hereby authorizes the respective patent office or governmental
agency in each jurisdiction to issue any and all patents, certificates of invention, utility models or other governmental grants
or issuances that may be granted upon any of the Assigned Patents in the name of Buyer, as the assignee to the entire interest
therein.

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        Seller:

         

        

        Medicsight Inc.

         

         

        By:________________________________

         

        Name:__Robert Ladd

         

        Title: Chief Executive Officer

         

        Date:_July 3, 2013

	 

 

 

 

ATTESTATION OF SIGNATURE PURSUANT
TO 28 U.S.C.  § 1746

 

The undersigned witnessed
the signature of _________________ to the above Patent Assignment on behalf of __________ and makes the following statements:

 

1.        I am over the age
of 18 and competent to testify as to the facts in this Attestation if called upon to do so.

 

2.        ________________ is
personally known to me (or proved to me on the basis of satisfactory evidence) and appeared before me on _________ __, 2013 to
execute the above Patent Assignment on behalf of ______________________.

 

3.        ________________ executed
the above Patent Assignment on behalf of ______________.

 

I declare under penalty
of perjury under the laws of the United States of America that the statements made above in this Attestation are true and correct.

 

EXECUTED on ___________________
___, 2013

 

________________________________________

 

Print Name:  _____________________________

 

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SCHEDULE 1

 

PATENTS AND PATENT
APPLICATIONS

 

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	1	WO	-	13.05.2005 , WOGB2005001839	27.04.2006 , WO2005114566A3	 	NODULE BOUNDARY DETECTION
	1	US	Granted alive	17.06.2004 , US10868890	24.11.2005 , US2005259855A1	11.08.2009 , US7574031B2	NODULE BOUNDARY DETECTION
	1	JP	Granted alive	13.05.2005 , JP2007517399	27.12.2007 , JP2007537812A	24.10.2012 , JP5058791B2	NODULE BOUNDARY DETECTION
	1	WO	-	13.05.2005 , WOGB2005001837	01.12.2005 , WO2005112769A1	 	NODULE DETECTION
	2	US	Granted alive	17.06.2004 , US10868892	24.11.2005 , US2005259856A1	02.12.2008 , US7460701B2	NODULE DETECTION
	2	GB	Granted alive	20.05.2004 , GB0411284	23.11.2005 , GB2414295A	20.05.2009 , GB2414295B	NODULE DETECTION
	2	GB	Granted alive	20.05.2004 , GB0819225	28.01.2009 , GB2451367A	27.05.2009 , GB2451367B	NODULE DETECTION
	3	US	Granted alive	08.09.2004 , US10935159	29.12.2005 , US2005286750A1	13.04.2010 , US7697742B2	
         

        LESION BOUNDARY DETECTION

	3	GB	Granted alive	23.06.2004 , GB0916662	30.12.2009 , GB2461199A	28.04.2010 , GB2461199B	Lesion extent determination in a CT scan image
	3	GB	Granted alive	23.06.2004 , GB0414081	28.12.2005 , GB2415563A	25.11.2009 , GB2415563B	
         

        LESION BOUNDARY DETECTION

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 12 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	3	WO	-	13.05.2005 , WOGB2005/001841	05.01.2006 , WO2006000738A1	 	LESION BOUNDARY DETECTION
	3	JP	Granted alive	13.05.2005 , JP2007517400	07.02.2008 , JP2008503294A	24.10.2012 , JP5055115B2	LESION BOUNDARY DETECTION
	4	JP	Applied alive	24.02.2010 , JP2010039009	24.09.2010 , JP2010207572A	 	COMPUTER-AIDED DETECTION OF LESION
	4	GB	Applied alive	27.02.2009 , GB0903484	01.09.2010 , GB2468164A	 	Characterising of image geometry using derivatives
	4	US	Applied alive	26.02.2010 , US12714233	02.09.2010 , US2010220913A1	 	System and Method for Detection of Lesions in Three-Dimensional Digital Medical Image
	5	WO	-	02.07.2009 , WOGB2009/001660	07.01.2010 , WO2010001127A1	 	MEDICAL IMAGE SEGMENTATION
	5	US	Applied alive	02.07.2009 , US13002490	01.12.2011 , US2011293157A1	 	MEDICAL IMAGE SEGMENTATION
	5	EP	Applied alive	02.07.2009 , EP09772807	06.04.2011 , EP2304648A1	 	MEDICAL IMAGE SEGMENTATION
	5	GB	Applied alive	03.07.2008 , GB0812206	06.01.2010 , GB2461558A	 	Image Segmentation
	6	US	Granted alive	02.03.2011 , US13039172	08.09.2011 , US2011216951A1	
        19.02.2013,

        US 8379950B2
	Medical Image Processing
	6	JP	Applied alive	03.03.2011 , JP2011046663	15.09.2011 , JP2011177517A	 	IMAGE PROCESSING METHOD AND APPARATUS, COMPUTER READABLE MEDIUM AND COMPUTER PROGRAM

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 13 of 24

    	CONFIDENTIAL

    

 

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	6	GB	Applied alive	03.03.2010 , GB1003564	07.09.2011 , GB2478329A	 	Medical Image Processing using Bayes Law to Combine Probability Distributions.
	7	US	Granted alive	07.12.2005 , US11295435	20.04.2006 , US2006083417A1	25.12.2007 , US7313261B2	User interface for computed tomography (CT) scan analysis
	7	US	Granted alive	02.11.2004 , US10978369	16.03.2006 , US2006056673A1	12.12.2006 , US7149334B2	USER INTERFACE FOR COMPUTED TOMOGRAPHY (CT) SCAN ANALYSIS
	7	GB	Granted alive	10.09.2004 , GB0420147	15.03.2006 , GB2418094A	12.05.2010 , GB2418094B	User interface for CT scan analysis
	7	WO	-	27.07.2005 , WOGB2005/002953	16.03.2006 , WO2006027536A1	 	USER INTERFACE FOR CT SCAN ANALYSIS
	8	WO	-	28.11.2005 , WOGB2005/004547	01.06.2006 , WO2006056798A1	 	DIGITAL MEDICAL IMAGE ANALYSIS
	8	US	Granted alive	27.05.2005 , US11138956	01.06.2006 , US2006115135A1	07.11.2006 , US7133546B2	DIGITAL MEDICAL IMAGE ANALYSIS
	8	GB	Granted alive	29.11.2004 , GB0426177	31.05.2006 , GB2420641A	04.06.2008 , GB2420641B	Digital Medical Image Analysis
	1	EP	Applied withdrawn	13.05.2005 , EP07020666	06.02.2008 , EP1883047A3	 	NODULE BOUNDARY DETECTION
	1	EP	Applied withdrawn	13.05.2005 , EP05742115	31.01.2007 , EP1747532A2	 	NODULE BOUNDARY DETECTION

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 14 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	1	CN	Applied ceased	13.05.2005 , CNA2005800208155	18.07.2007 , CN101002228A	 	NODULE BOUNDARY DETECTION
	1	AU	Applied ceased	13.05.2005 , AU2005246522	01.12.2005 , AU2005246522A1	 	NODULE BOUNDARY DETECTION
	1	CA	Applied ceased	13.05.2005 , CA002567187	01.12.2005 , CA2567187A1	 	NODULE BOUNDARY DETECTION
	1	GB	Applied withdrawn	18.05.2004 , GB0411064	23.11.2005 , GB2414357A	 	NODULE BOUNDARY DETECTION
	1	KR	Applied withdrawn	18.12.2006 , KR1020067026671	27.08.2007 , KR20070085120A	 	NODULE BOUNDARY DETECTION
	2	US	Applied ceased	29.10.2008 , US12260651	14.05.2009 , US2009123049A1	 	NODULE DETECTION
	2	EP	Applied withdrawn	13.05.2005 , EP05746470	28.02.2007 , EP1755457A1	 	NODULE DETECTION
	2	CN	Applied ceased	13.05.2005 , CNA2005800208210	18.07.2007 , CN101001572A	 	NODULE DETECTION
	2	JP	Applied ceased	13.05.2005 , JP2007517398	27.12.2007 , JP2007537811A	 	NODULE DETECTION
	2	AU	Applied ceased	13.05.2005 , AU2005244641	01.12.2005 , AU2005244641A1	 	NODULE DETECTION
	2	CA	Applied withdrawn	13.05.2005 , CA002567184	01.12.2005 , CA2567184A1	 	NODULE DETECTION

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 15 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	2	KR	Applied withdrawn	19.12.2006 , KR1020067026790	24.08.2007 , KR20070083388A	 	NODULE DETECTION
	3	CN	Applied withdrawn	13.05.2005 , CNA200580021312X	08.08.2007 , CN101014977A	 	
         

        LESION BOUNDARY DETECTION

	3	AU	Applied ceased	13.05.2005 , AU2005256785	05.01.2006 , AU2005256785A1	 	
         

        LESION BOUNDARY DETECTION

	3	CA	Applied ceased	13.05.2005 , CA002571720	05.01.2006 , CA2571720A1	 	LESION BOUNDARY DETECTION
	3	KR	Applied withdrawn	23.01.2007 , KR1020077001635	24.08.2007 , KR20070083467A	 	LESION BOUNDARY DETECTION
	3	EP	Applied withdrawn	13.05.2005 , EP05804912	11.04.2007 , EP1771822A1	 	LESION BOUNDARY DETECTION
	4	EP	Applied withdrawn	19.02.2010 , EP10154156	01.09.2010 , EP2224401A1	 	COMPUTER-AIDED DETECTION OF LESION
	5	JP	Applied withdrawn	02.07.2009 , JP2011515602	13.10.2011 , JP2011526508A	 	MEDICAL IMAGE SEGMENTATION
	6	EP	Applied withdrawn	11.02.2011 , EP11154237	12.10.2011 , EP2372645A3	EP	Medical image processing
	7	EP	Applied withdrawn	24.03.2005 , EP05251836	15.03.2006 , EP1635295A1	 	User interface for CT scan analysis
	7	CN	Applied withdrawn	27.07.2005 , CNA2005800302392	30.01.2008 , CN101116109A	 	User interface for computed tomography (CT) scan analysis

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 16 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	7	JP	Applied ceased	27.07.2005 , JP2007530755	24.04.2008 , JP2008512161A	 	User interface for CT scan analysis
	7	AU	Applied ceased	27.07.2005 , AU2005281551	16.03.2006 , AU2005281551A1	 	User interface for CT scan analysis
	7	CA	Applied ceased	27.07.2005 , CA002579858	16.03.2006 , CA2579858A1	 	USER INTERFACE FOR CT SCAN ANALYSIS
	7	KR	Applied withdrawn	10.04.2007 , KR1020077008158	24.08.2007 , KR20070083645A	 	USER INTERFACE FOR CT SCAN ANALYSIS
	8	US	Applied withdrawn	13.06.2006 , US11451632	28.12.2006 , US2006291708A1	 	Digital medical image analysis
	8	EP	Applied withdrawn	31.03.2005 , EP05252010	31.05.2006 , EP1662415A1	 	Digital medical image analysis
	8	CN	Applied withdrawn	28.11.2005 , CNA2005800409934	05.12.2007 , CN101084501A	 	Digital medical image analysis
	8	JP	Applied ceased	28.11.2005 , JP2007542119	26.06.2008 , JP2008521468A	 	Digital medical image analysis
	9	EP	Expired	2007.03.07	2007.09.12	EP1833021A1	Digital medical image processing
	9	GB	Expired	2006.03.09	2007.09.12	GB2435976A	Digital medical image processing for CAD detection of abnormalities
	9	JP	Expired	2007.03.08	2007.11.08	JP2007289665A	DIGITAL MEDICAL IMAGE PROCESSING

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 17 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	9	US	Abandoned	2007.03.09	2007.09.13	US2007211929A1	Digital medical image processing
	10	GB	Expired	2004.07.15	2006.01.18	GB2416223A	Quantification of coronary artery calcification
	10	US	Abandoned	2004.10.22	2006.01.19	US2006013460A1	Quantification of coronary artery calcification
	10	WO	Expired	2004.10.22	2006.01.26	WO2006008431A1	Quantification of coronary artery calcification

 

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 18 of 24

    	CONFIDENTIAL

    

SCHEDULE 2

 

EXPIRED PATENTS
AND PATENT APPLICATIONS

 

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	1	EP	Applied withdrawn	13.05.2005 , EP07020666	06.02.2008 , EP1883047A3	 	NODULE BOUNDARY DETECTION
	1	EP	Applied withdrawn	13.05.2005 , EP05742115	31.01.2007 , EP1747532A2	 	NODULE BOUNDARY DETECTION
	1	CN	Applied ceased	13.05.2005 , CNA2005800208155	18.07.2007 , CN101002228A	 	NODULE BOUNDARY DETECTION
	1	AU	Applied ceased	13.05.2005 , AU2005246522	01.12.2005 , AU2005246522A1	 	NODULE BOUNDARY DETECTION
	1	CA	Applied ceased	13.05.2005 , CA002567187	01.12.2005 , CA2567187A1	 	NODULE BOUNDARY DETECTION
	1	GB	Applied withdrawn	18.05.2004 , GB0411064	23.11.2005 , GB2414357A	 	NODULE BOUNDARY DETECTION
	1	KR	Applied withdrawn	18.12.2006 , KR1020067026671	27.08.2007 , KR20070085120A	 	NODULE BOUNDARY DETECTION
	2	US	Applied ceased	29.10.2008 , US12260651	14.05.2009 , US2009123049A1	 	NODULE DETECTION
	2	EP	Applied withdrawn	13.05.2005 , EP05746470	28.02.2007 , EP1755457A1	 	NODULE DETECTION
	2	CN	Applied ceased	13.05.2005 , CNA2005800208210	18.07.2007 , CN101001572A	 	NODULE DETECTION

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 19 of 24

    	CONFIDENTIAL

    

 

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	2	JP	Applied ceased	13.05.2005 , JP2007517398	27.12.2007 , JP2007537811A	 	NODULE DETECTION
	2	AU	Applied ceased	13.05.2005 , AU2005244641	01.12.2005 , AU2005244641A1	 	NODULE DETECTION
	2	CA	Applied withdrawn	13.05.2005 , CA002567184	01.12.2005 , CA2567184A1	 	NODULE DETECTION
	2	KR	Applied withdrawn	19.12.2006 , KR1020067026790	24.08.2007 , KR20070083388A	 	NODULE DETECTION
	3	CN	Applied withdrawn	13.05.2005 , CNA200580021312X	08.08.2007 , CN101014977A	 	
         

        LESION BOUNDARY DETECTION

	3	AU	Applied ceased	13.05.2005 , AU2005256785	05.01.2006 , AU2005256785A1	 	
         

        LESION BOUNDARY DETECTION

	3	CA	Applied ceased	13.05.2005 , CA002571720	05.01.2006 , CA2571720A1	 	LESION BOUNDARY DETECTION
	3	KR	Applied withdrawn	23.01.2007 , KR1020077001635	24.08.2007 , KR20070083467A	 	LESION BOUNDARY DETECTION
	3	EP	Applied withdrawn	13.05.2005 , EP05804912	11.04.2007 , EP1771822A1	 	LESION BOUNDARY DETECTION
	4	EP	Applied withdrawn	19.02.2010 , EP10154156	01.09.2010 , EP2224401A1	 	COMPUTER-AIDED DETECTION OF LESION
	5	JP	Applied withdrawn	02.07.2009 , JP2011515602	13.10.2011 , JP2011526508A	 	MEDICAL IMAGE SEGMENTATION

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 20 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	6	EP	Applied withdrawn	11.02.2011 , EP11154237	12.10.2011 , EP2372645A3	EP	Medical image processing
	7	EP	Applied withdrawn	24.03.2005 , EP05251836	15.03.2006 , EP1635295A1	 	User interface for CT scan analysis
	7	CN	Applied withdrawn	27.07.2005 , CNA2005800302392	30.01.2008 , CN101116109A	 	User interface for computed tomography (CT) scan analysis
	7	JP	Applied ceased	27.07.2005 , JP2007530755	24.04.2008 , JP2008512161A	 	User interface for CT scan analysis
	7	AU	Applied ceased	27.07.2005 , AU2005281551	16.03.2006 , AU2005281551A1	 	User interface for CT scan analysis
	7	CA	Applied ceased	27.07.2005 , CA002579858	16.03.2006 , CA2579858A1	 	USER INTERFACE FOR CT SCAN ANALYSIS
	7	KR	Applied withdrawn	10.04.2007 , KR1020077008158	24.08.2007 , KR20070083645A	 	USER INTERFACE FOR CT SCAN ANALYSIS
	8	US	Applied withdrawn	13.06.2006 , US11451632	28.12.2006 , US2006291708A1	 	Digital medical image analysis
	8	EP	Applied withdrawn	31.03.2005 , EP05252010	31.05.2006 , EP1662415A1	 	Digital medical image analysis
	8	CN	Applied withdrawn	28.11.2005 , CNA2005800409934	05.12.2007 , CN101084501A	 	Digital medical image analysis
	8	JP	Applied ceased	28.11.2005 , JP2007542119	26.06.2008 , JP2008521468A	 	Digital medical image analysis

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 21 of 24

    	CONFIDENTIAL

    

 

	Family	Jurisdiction	Legal Status	Filing Date & Application Number	Publication Date & Publication Number	Granted Date & Granted Number	Title
	9	EP	Expired	2007.03.07	2007.09.12	EP1833021A1	Digital medical image processing
	9	GB	Expired	2006.03.09	2007.09.12	GB2435976A	Digital medical image processing for CAD detection of abnormalities
	9	JP	Expired	2007.03.08	2007.11.08	JP2007289665A	DIGITAL MEDICAL IMAGE PROCESSING
	9	US	Abandoned	2007.03.09	2007.09.13	US2007211929A1	Digital medical image processing
	10	GB	Expired	2004.07.15	2006.01.18	GB2416223A	Quantification of coronary artery calcification
	10	US	Abandoned	2004.10.22	2006.01.19	US2006013460A1	Quantification of coronary artery calcification
	10	WO	Expired	2004.10.22	2006.01.26	WO2006008431A1	Quantification of coronary artery calcification

 

 

 

 

 

 

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 22 of 24

    	CONFIDENTIAL

    

EXHIBIT
B 

 

 

CONFIDENTIAL – Wire Information

 

 

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 23 of 24

    	CONFIDENTIAL

    

EXHIBIT
C

 

Exceptions to Seller’s Representations
and Warranties in Section 3.1(b) 

 

 

None.

 

 

 

 

 

 

    	Patent Rights Purchase and Assignment Agreement Medicsight Inc - Buyer	Page 24 of 24CONTRIBUTION AGREEMENT

 

THIS CONTRIBUTION AGREEMENT
(this “Agreement”) is entered into as of November 12, 2012 (the “Effective Date”), by and
among FlexEnergy, Inc., a Delaware corporation (“FlexEnergy”), FlexEnergy Energy Systems, Inc., a Delaware corporation
(“FEES”; FEES and FlexEnergy individually and collectively referred to as “Flex”), and Flex
Power Generation, Inc. (“FPG”).

 

WHEREAS, FlexEnergy
currently owns all of the issued and outstanding equity securities in FEES and FPG;

 

WHEREAS, in addition
to the microturbine business acquired from Ingersoll-Rand and owned, operated and further developed primarily through FEES (the
“Microturbine Business”), FlexEnergy has owned and operated a business (initially acquired in 2008 by FlexEnergy
from FlexEnergy, Inc., a California corporation (“FIC”), and continued after the acquisition of the Microturbine
Business) to develop and commercialize the use of flameless combustion or oxidation reactions (the “Oxidizer Business”);
and

 

WHEREAS, FlexEnergy
desires to contribute to FPG certain specific assets related to the Oxidizer Business (as compared to the Microturbine Business)
and other assets solely or primarily used as of the Effective Date in, or intended as of the Effective Date solely or primarily
for use in, the Oxidizer Business (as compared to the Microturbine Business), and FPG desires to receive and assume such assets;
and

 

WHEREAS, FlexEnergy,
FEES and FPG intend to separately enter into a transition agreement relating to the commercial terms of the provision (i) by FlexEnergy
and/or FEES to FPG of certain products and services primarily relating to the Microturbine Business, and (ii) by FPG to FlexEnergy
and/or FEES of certain services by FPG personnel (a “Transition Agreement”); and

 

NOW, THEREFORE,
in consideration of the foregoing, the mutual covenants and agreements herein contained and other good and valuable consideration,
the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:

 

1.           Contribution.

 

1.1          Contributed
Assets. Effective as of the Effective Date, Flex hereby transfers, contributes, conveys, grants and assigns to FPG and FPG
hereby accepts and assumes all of Flex’s right, title and interest in and to the assets set forth on Schedule 1 (the
“Fixed Assets”), the agreements set forth on Schedule 2 (the “Agreements”), and the
Intellectual Property, including that Intellectual Property set forth on Schedule 3 (collectively, the Intellectual Property,
the Fixed Assets, and Agreements are referred to herein as the “Contributed Assets”).

 

    	 

    	 

    

 

1.1.1       Definition
of Intellectual Property.

 

(a)          “Intellectual
Property” shall mean all intellectual property rights that Flex owns or in which Flex has an interest solely or primarily
used as of the Effective Date in, or intended as of the Effective Date solely or primarily for use in, the Oxidizer Business (as
compared to the Microturbine Business), which the parties agree includes the following: (A) (i) Patents (but not Trademarks)
set forth on Schedule 3, but not any other Patents, (ii)  trade secrets, confidential business and technical information
and any other confidential information and proprietary information (including research and development, prototypes, models, production
and other designs, formulae, technology and other processes and techniques, schematics, technical data, business methods, customer
lists and supplier lists, and any other information meeting the definition of a trade secret under the Uniform Trade Secrets Act
or similar laws in any jurisdiction) (“Trade Secrets”) solely or primarily used as of the Effective Date in,
or intended as of the Effective Date solely or primarily for use in, the Oxidizer Business (as compared to the Microturbine Business),
(iii) other proprietary technology, intellectual property, industrial or similar proprietary rights, whether arising under common
law, state law, federal law or laws of foreign countries or jurisdictions therein solely or primarily used as of the Effective
Date in, or intended as of the Effective Date solely or primarily for use in, the Oxidizer Business (as compared to the Microturbine
Business); (B) rights to apply for or register any of the rights described in subsections (A)(i-iii) above; (C) licenses and
other arrangements to use the intellectual property that are owned by others but that Flex is using under a license or other arrangement
with the owner(s) of such intellectual property as of the Effective Date and which intellectual property is solely or primarily
used as of the Effective Date in, or intended as of the Effective Date solely or primarily for use in, the Oxidizer Business (as
compared to the Microturbine Business); (D) know-how, software and other information, whether the same is owned by Flex, either
alone or with others, or is owned by others but that Flex is using as of the Effective Date under a license or other arrangement
with the owner(s) of the intellectual property rights solely or primarily used as of the Effective Date in, or intended as
of the Effective Date solely or primarily for use in, the Oxidizer Business (as compared to the Microturbine Business); and (E)
claims against third parties arising solely from such Intellectual Property, whether past, present, or future, choate or inchoate,
known or unknown, or contingent or non-contingent.

 

(b)          “Intellectual
Property” also includes, but is not limited to, the Patents and patent applications expressly identified on Schedule 3
to this Agreement, including any United States or foreign utility or design patent to issue therefrom, together with any extensions,
reexaminations and reissues of such patents, patents of addition, divisions, continuations, continuations-in-part, and any subsequent
filings in any country or jurisdiction claiming priority therefrom.

 

(c)          “Intellectual
Property” also includes the intellectual property rights (of the nature described in Section 1.1.1(a)(A)-(E) above) that
Flex may otherwise own or have an interest in any oxidizer systems, including associated interfaces, modules, processes and controls,
and any enhancements, improvements and derivations thereof, hereafter developed, invented, or otherwise derived by FlexEnergy or
FEES, or any of their directors, officers, employees or agents on behalf of FlexEnergy or FEES, to the extent developed, invented
or otherwise derived in connection with performing engineering or other services for FPG (i) pursuant to a Transition Agreement,
service agreement or other substitute or successor written agreement, and (ii) for which FlexEnergy or FEES, as applicable, is
monetarily compensated for such services pursuant to such agreement (provided that FPG has paid in full all amounts owed to FlexEnergy
and FEES under such agreements).

 

    	2

    	 

    

 

1.1.2      “Patent”
or “Patents” shall mean any United States or foreign utility or design patents, together with any extensions,
reexaminations and reissues of such patents, patents of addition, patent applications, divisions, continuations, continuations-in-part,
and any subsequent filings in any country or jurisdiction claiming priority therefrom, owned by, or subject to assignment to, Flex.

 

1.2          Trademark
License. FlexEnergy hereby grants to FPG a worldwide, royalty-free, fully-paid up right and license to use the trademarks and
service marks identified on Schedule 3 (the “Licensed Trademarks”), provided that (a) such license shall
terminate upon the written request of FPG or a failure by FPG to promptly (in any event not to exceed five (5) business days following
notice thereof) reimburse FlexEnergy for any registration maintenance costs and other out-of-pocket costs of ownership with respect
to the Licensed Trademarks, (b) the permitted scope of use of the Licensed Trademark shall be for use in the Oxidizer Business
but not for any use that causes confusion with the Microturbine Business (as reasonably determined by FlexEnergy), and (c) such
license shall not be assigned or sublicensed by FPG without the prior written consent of FlexEnergy in its absolute discretion.

 

1.3          Liabilities.

 

1.3.1      Assumed
Liabilities. Effective as of the Effective Date, FPG hereby assumes, and agrees to pay, perform and discharge all liabilities
and obligations arising out of, relating to or otherwise in respect of the Contributed Assets and the Oxidizer Business (in its
present form or as previously conducted), specifically including, without limitation, (a) the liabilities and obligations identified
on Schedule 4, (b) all liabilities and obligations of Flex acquired from FIC, regardless of whether or not the corresponding
assets are no longer currently used by the Oxidizer Business, and (c) all liabilities and obligations of Flex arising out of, relating
to or otherwise in respect of activities of FIC, regardless of whether or not such FIC activities have been continued by the Oxidizer
Business (collectively, the “Assumed Liabilities”); provided that, for clarity, specific liabilities and obligations
for which FPG already has reimbursement obligations pursuant to Section 1.3.2 below shall not be further included as Assumed Liabilities
subject to this Section 1.3.1. As between Flex and FPG, the Retained Liabilities shall remain the sole responsibility of, and shall
be retained, paid, performed and discharged solely by, Flex. “Retained Liabilities” shall mean every liability
and obligation of Flex other than the Assumed Liabilities. FlexEnergy or FEES may pay or discharge any Assumed Liability if it
provides (i) evidence to FPG that such Assumed Liability is subject to a notice of default, demand or claim and or is otherwise
due and owing (ii) three business days advance written notice to FPG of its intention to pay or discharge such Assumed Liability
prior to such payment or discharge, in which chase FPG shall reimburse FlexEnergy or FEES, as applicable, for the full cost of
such payment or performance within five business days after receipt of evidence by FPG of Flex’s payment of such Assumed
Liability.

 

1.3.2      Reimbursement
Obligations. Effective as of the Effective Date, FPG hereby agrees to reimburse Flex for the portion of those liabilities and
obligations identified on Schedule 5 as being the responsibility of FPG, provided that the amount of FPG reimbursement obligations
under this Section 1.3.2 shall not exceed $635,702.56 (collectively, the “Reimbursement Obligations”), pursuant
to the following terms. Flex must provide three business days advance written notice to FPG of its intention to pay a liability
that is subject to a Reimbursement Obligation prior to such payment. Upon receipt of evidence of Flex’s payment of the corresponding
liability or obligation, FPG shall promptly (in any event not to exceed five business days following notice thereof) pay to Flex
the proportionate Reimbursement Obligation amount corresponding to such liability or obligation paid.

 

    	3

    	 

    

 

1.3.3      Termination.
For purposes of clarity, upon the reimbursement to Flex of $653,702.56 for Reimbursement Obligations (either through direct payment
by FPG or drawing upon the Letter of Credit (as defined in the Credit Support Agreement, which is described in Section 1.3.4 below),
FPG’s obligation to pay Reimbursement Obligations under Section 1.3.2 shall terminate.

 

1.3.4      Security.
As support for FPG’s obligations under this Section 1.3, FPG, Flex and SAIL Venture Partners II, L.P. are simultaneously
entering into to a Credit Support Agreement.

 

1.4          Third
Party Consents; Non-Assignment of Certain Assets. Notwithstanding the foregoing, in the event that the legal interest in any
of the Contributed Assets to be transferred, assigned or conveyed pursuant to this Agreement, or any claim, right, benefit or obligation
arising thereunder or resulting therefrom, cannot be transferred, assigned or conveyed hereunder as of the Effective Date because
any waiting or notice period has not expired or any consents or approvals required for such transfer have not been obtained or
waived, then FlexEnergy or FEES, as applicable, shall hold such legal interest in the Contributed Assets for the benefit and risk
of FPG until such time as such waiting or notice period expires or the requisite consent or approval for transfer is obtained,
at which time the parties will effect the legal transfer. Pending completion of such transfer, each of Flex and FPG shall cooperate
with each other in any lawful and reasonable arrangements designed to provide the benefits and obligations of ownership thereof
to FPG, and FPG shall make appropriate arrangements so that FPG promptly bears the full economic costs thereof to the same extent
such costs would have been borne by FPG upon an actual transfer, contribution, conveyance, grant or assignment to FPG on the Effective
Date (and further to the extent Flex bears any economic costs for such Contributed Asset after the Effective Date). Each party
shall, at its own expense, use commercially reasonable efforts to cooperate in obtaining such consents and/or approvals as may
be necessary to complete such transfers as soon as practicable.

 

1.5          License
of Control-Related IP. FPG hereby grants to Flex a worldwide, perpetual, irrevocable, royalty-free, fully-paid up right and
license to non-exclusively use (a) controls-related Intellectual Property to the extent that such controls-related Intellectual
Property was used in the Microturbine Business as of the Effective Date, and (b) controls-related Intellectual Property hereafter
developed, invented, or otherwise derived by FlexEnergy, FEES, or any of their directors, officers, employees or agents, as dual-use
technology for use in both the Microturbine Business and the Oxidizer Business and contributed, transferred, assigned or conveyed
to FPG pursuant to Section 1.1.1(c) above, provided that the permitted scope of use of the Intellectual Property licenses pursuant
to this Section 1.5 shall be for use in the Microturbine Business only.

 

    	4

    	 

    

 

2.           Representations
and Warranties of Flex. Each of FlexEnergy and FEES, jointly and severally, hereby represents and warrants to FPG that, as
of the Effective Date:

 

2.1          Binding
Obligation. Flex has full power and authority to enter into this Agreement. This Agreement has been duly authorized, executed
and delivered by Flex (and assuming the due authorization and delivery hereof and thereof by the other parties hereto) constitutes
the legal, valid and binding obligation of Flex enforceable against Flex in accordance with its terms, subject to applicable bankruptcy,
insolvency, reorganization, moratorium or other similar laws now or hereafter in effect affecting the enforcement of creditors’
rights in general and except as such enforceability may be limited by general principles of equity (whether considered in a proceeding
at law or in equity).

 

2.2          Authorization;
No Contravention. The execution, delivery and performance by Flex of this Agreement and the consummation by Flex of the transactions
contemplated thereby (i) have been duly authorized, if necessary, by all necessary action of Flex and no further action is required
of Flex in connection therewith, and (ii) do not and will not conflict with, contravene or constitute a default or breach under
(A) any provision of any law, regulation or governmental requirement applicable to Flex or (B) any of Flex’s organizational
documents.

 

2.3          Litigation.
There is no Proceeding (defined below) pending or currently threatened against Flex that questions the validity of this Agreement
or the right of Flex to enter into it, or to consummate the transactions contemplated by this Agreement. “Proceeding”
shall mean an action, claim, suit, investigation or proceeding (including, without limitation, an investigation), whether commenced
or overtly threatened.

 

3.           Representations
and Warranties of FPG. FPG hereby represents and warrants to Flex that, as of the Effective Date:

 

3.1          Binding
Obligation. FPG has full power and authority to enter into this Agreement. This Agreement has been duly authorized, executed
and delivered by FPG (and assuming the due authorization and delivery hereof and thereof by the other parties hereto) constitutes
the legal, valid and binding obligation of FPG enforceable against FPG in accordance with its terms, subject to applicable bankruptcy,
insolvency, reorganization, moratorium or other similar laws now or hereafter in effect affecting the enforcement of creditors’
rights in general and except as such enforceability may be limited by general principles of equity (whether considered in a proceeding
at law or in equity).

 

3.2          Authorization;
No Contravention. The execution, delivery and performance by FPG of this Agreement and the consummation by FPG of the transactions
contemplated thereby (i) have been duly authorized, if necessary, by all necessary action of FPG and no further action is required
of FPG in connection therewith, and (ii) do not and will not conflict with, contravene or constitute a default or breach under
any (A) provision of any law, regulation or governmental requirement applicable to FPG, or (B) FPG’s organizational documents.

 

3.3          Litigation.
There is no Proceeding pending or currently threatened against FPG that questions the validity of this Agreement or the right of
FPG to enter into it, or to consummate the transactions contemplated by this Agreement.

 

    	5

    	 

    

 

4.           Disclaimer
of Warranties. FPG ACKNOWLEDGES THAT, EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES SPECIFICALLY SET FORTH IN THIS AGREEMENT,
THE CONTRIBUTED ASSETS ARE BEING CONVEYED “AS IS, WHERE IS” AND “WITH ALL FAULTS,” AND FLEX HAS NOT MADE,
AND FPG HEREBY EXPRESSLY DISCLAIMS AND NEGATES, ANY OTHER REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, OF ANY KIND OR NATURE
WHATSOEVER, RELATING TO THE CONTRIBUTED ASSETS (INCLUDING ANY IMPLIED OR EXPRESSED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A
PARTICULAR PURPOSE).

 

5.           Indemnification.

 

5.1          Flex,
jointly and severally, shall indemnify, defend and hold FPG and its directors, officers, shareholders, partners, employees and
agents (each, a “FPG Indemnified Party”) harmless from any and all losses, liabilities, obligations, claims,
contingencies, damages, costs and expenses, including all judgments, amounts paid in settlements (with the approval of Flex, which
shall not be unreasonably withheld), court costs and reasonable attorneys’ fees and costs of investigation that any such
FPG Indemnified Party suffers or incurs to the extent arising or resulting from (a) any misrepresentation, breach or inaccuracy
of any of the representations, warranties, covenants or agreements made by Flex in this Agreement; or (b) any Retained Liability.

 

5.2          FPG
shall indemnify, defend and hold FlexEnergy, FEES and their respective directors, officers, shareholders, partners, employees and
agents (each, a “Flex Indemnified Party”) harmless from any and all losses, liabilities, obligations, claims,
contingencies, damages, costs and expenses, including all judgments, amounts paid in settlements (with the approval of FPG, which
shall not be unreasonably withheld), court costs and reasonable attorneys’ fees and costs of investigation that any such
Flex Indemnified Party suffers or incurs to the extent arising or resulting from (a) any misrepresentation, breach or inaccuracy
of any of the representations, warranties, covenants or agreements made by FPG in this Agreement; or (b) any Assumed Liability.

 

6.           Covenants

 

6.1          FlexEnergy,
FEES and FPG each agrees to use commercially reasonable efforts to work together in good faith to prepare and enter into a Transition
Agreement within a reasonable time following the execution of this Agreement.

 

6.2          Flex
agrees to supply to FPG and its affiliates for a period of three years from the Effective Date the following at the Best Price
(defined below): (a) MT250 EX turbines, (b) MT333 EX turbines, and (c) other turbines as may reasonably be supplied by Flex. Such
supply shall be on commercially reasonable terms generally available to other customers with similar credit ratings/risks ordering
similar units in similar quantities. “Best Price” means, with respect to the applicable proposed sale of products
to FPG, the lowest price at which such products (or similar products) were sold in the preceding six-month period in similar quantities
to customers with similar credit ratings/risks, provided that FPG shall be charged generally applicable rates for any special engineering
or product specialization required for such sales of products except to the extent Flex specifically otherwise agrees in writing.

 

    	6

    	 

    

 

7.           Miscellaneous

 

7.1          Further
Assurances.  The parties shall each use commercially reasonable efforts to take, or cause to be taken, all actions and
to do, or cause to be done, all things reasonably necessary, proper or advisable under applicable laws and regulations, and to
cooperate with each other as is reasonably required for such purpose, to make effective the transactions contemplated by this Agreement
and the other documents contemplated hereby. To that end, each party agrees that it shall execute and deliver, or cause to be executed
and delivered from time to time, such instruments, documents, agreements, consents and assurances (such as bills of sale, assumption
agreements, patent assignments, trademark licenses and other intellectual property instruments), and that it shall take such other
actions as may be reasonably required to more effectively (i) convey, transfer to and vest in FPG, and to put FPG in possession
of, the Contributed Assets, and (ii) assign the Assumed Liabilities to FPG. In the event of any conflict of conflict or inconsistency
between the terms of this Agreement and the terms of any such instruments, documents, agreements, consents and assurances (other
than an agreement clearly titled as an “Amendment to Contribution Agreement”), the terms of this Agreement shall prevail.

 

7.2          Successors
and Assigns. The rights under this Agreement may not be assigned by any party hereto. The terms and conditions of this Agreement
inure to the benefit of and are binding upon the respective successors and permitted assignees of the parties. Nothing in this
Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors
and permitted assignees any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly
provided herein.

 

7.3          Governing
Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, regardless of
the laws that might otherwise govern under applicable principles of conflicts of law.

 

7.4          Counterparts;
Facsimile. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument. This Agreement may also be executed and delivered by facsimile or
electronically delivered signature and in two or more counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

 

7.5          Titles
and Subtitles. The titles and subtitles used in this Agreement are for convenience only and are not to be considered in construing
or interpreting this Agreement.

 

7.6          Notices.
All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed effectively
given upon the earlier of actual receipt or: (i) personal delivery to the party to be notified; (ii) when sent, if sent by electronic
mail or facsimile during the recipient’s normal business hours, and if not sent during normal business hours, then on the
recipient’s next business day (only if written notification of receipt is received by sender); (iii) five (5) days after
having been sent by registered or certified mail, return receipt requested, postage prepaid; or (iv) one (1) business day after
the business day of deposit with a nationally recognized overnight courier, freight prepaid, specifying next-day delivery, with
written verification of receipt.

 

    	7

    	 

    

 

7.7          Amendments
and Waivers. Any term of this Agreement may be amended and the observance of any term of this Agreement may be waived (either
generally or in a particular instance, and either retroactively or prospectively) only with the written consent of all the parties
hereto.

 

7.8          Severability.
In case any one or more of the provisions contained in this Agreement is for any reason held to be invalid, illegal or unenforceable
in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision of this Agreement, and such
invalid, illegal, or unenforceable provision shall be reformed and construed so that it will be valid, legal, and enforceable to
the maximum extent permitted by law.

 

7.9          Entire
Agreement. This Agreement (including any Schedule and Exhibits hereto), together with the other Transaction Agreement, constitutes
the full and entire understanding and agreement among the parties with respect to the subject matter hereof, and any other written
or oral agreement relating to the subject matter hereof existing between the parties is expressly canceled.

 

7.10        Dispute
Resolution. The parties (a) hereby irrevocably and unconditionally submit to the jurisdiction of the federal and state courts
located within the geographic boundaries of the United States District Court for the Central District of California for the purpose
of any suit, action or other proceeding arising out of or based upon this Agreement, (b) agree not to commence any suit, action
or other proceeding arising out of or based upon this Agreement except in the federal and state courts located within the geographic
boundaries of the United States District Court for the Central District of California, and (c) hereby waive, and agree not
to assert, by way of motion, as a defense, or otherwise, in any such suit, action or proceeding, any claim that it is not subject
personally to the jurisdiction of the above-named courts, that its property is exempt or immune from attachment or execution, that
the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper
or that this Agreement or the subject matter hereof may not be enforced in or by such court. Each party will bear its own costs
in respect of any disputes arising under this Agreement, except as set forth in Section 5 of this Agreement.

 

[Signature Page Follows]

 

    	8

    	 

    

 

IN WITNESS WHEREOF, the
parties hereto have executed and delivered this Agreement as of the day and year first above written.

 

	 	FLEXENERGY, INC.,
	 	a Delaware corporation
	 	 	 
	 	By:	 
	 	Name:	James M. Mitchell
	 	Title:	President/CEO
	 	 	 
	 	FLEXENERGY ENERGY SYSTEMS, INC.,
	 	a Delaware corporation
	 	 	 
	 	By:	 
	 	Name:	James M. Mitchell
	 	Title:	CEO
	 	 	 
	 	FLEX POWER GENERATION, INC.,
	 	a Delaware corporation
	 	 	 
	 	By:	 
	 	Name:	Boris Maslov
	 	Title:	President

 

[Signature Page to Contribution Agreement]

 

    	9

    	 

    

 

SCHEDULE 1

 

Assets

 

    	10

    	 

    

 

SCHEDULE 2

 

Agreements

 

    	11

    	 

    

 

SCHEDULE 3

 

Intellectual Property

 

    	12

    	 

    

 

SCHEDULE 4

 

Certain Assumed Liabilities

 

    	13

    	 

    

 

SCHEDULE 5

 

Reimbursement Obligations

 

    	14

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