Document:

Agreement of Sublease dated February 5, 2007

 Exhibit 10.17 
 AGREEMENT OF SUBLEASE 
 Agreement of Sublease (“Sublease”) dated this 5th day of
February, 2007, between SAFLINK CORPORATION, a Delaware corporation, with a notice address of 108th Avenue NE, Bellevue, Washington 98004 (“Sublandlord”) and ABRAXAS CORPORATION, a Virginia corporation, with a notice address of 6845 Elm
Street, Suite 310, McLean, Virginia 22101 (Attn: Michael S. Friedman) (“Subtenant”). 
 RECITALS 
 A. Sublandlord has leased approximately 6,083 rentable square feet (the “Demised Premises”) on the third (3rd) floor of a commercial
office building commonly known as Campus South (“Building”) with a street address of 1875 Campus Commons Drive, Reston, Virginia, pursuant to a lease dated November 10, 2003, between Sublandlord, as tenant, and VA Branches, LLC, as
landlord (“Landlord”), a copy of which lease (the “Master Lease”) has been reviewed by Subtenant and is annexed hereto as Exhibit “A”. 
 B. Subtenant desires to sublease from Sublandlord the Demised Premises and Sublandlord desires to sublease the Demised Premises to Subtenant on the terms hereinafter set forth. 
 AGREEMENT 
 NOW, THEREFORE, in
consideration of the premises and other good and valuable consideration, it is hereby mutually covenanted and agreed as follows: 
 1.
Demised Premises and Term: 
 (a) Sublandlord hereby subleases the Demised Premises to Subtenant and Subtenant hereby subleases the
Demised Premises from Sublandlord upon and subject to the terms, covenants, rentals and conditions herein set forth, for a Term (the “Term”) commencing on the later of (a) February 1, 2007 or (b) the date written consent is
obtained from the Landlord to this Sublease (the “Commencement Date”) and expiring on April 30, 2009 (the “Expiration Date”) provided, however, that if the Master Lease shall be terminated for any reason prior to the
Expiration Date, then this Sublease shall expire on the termination date of the Master Lease. If the Sublandlord is unable to deliver possession of the Demised Premises to Subtenant on the Commencement Date, for any reason, Sublandlord shall not be
subject to any liability for failure to tender possession of the Demised Premises on said date. In such event, the rent covenanted to be paid herein shall not commence and the Commencement Date shall not occur until possession of the Demised
Premises is tendered to Subtenant. No such failure to give possession on the Commencement Date shall in any other respect affect the validity of this Sublease or the obligations of Subtenant hereunder, nor shall the same be construed to extend the
Term, which shall in all events expire on the Expiration Date as set forth herein. Sublandlord shall remain in a portion of the Demised Premises consisting of two (2) cubicles and the lab area until March 31, 2007, such portion as
identified on Exhibit “B” attached hereto. 
 (b) The period commencing with the Commencement Date (on the first day of the next
calendar month in the event Commencement Date does not occur on the first day of a month) and ending on the last day of the twelfth calendar month thereafter shall constitute the first “lease year” as such term is used herein. Each
successive full twelve (12) month period during the Term shall constitute a “lease year” and any portion of the Term remaining after the last twelve (12) month period during said Term shall constitute the last “lease
year” for the purpose of this Sublease. 
 (c) Subtenant shall have the right to use the furniture, fixtures and equipment, including,
without limitation, the phone system, existing in the Demised Premises as of the Commencement Date (collectively, the “FF&E”), identified on Exhibit “C” attached hereto. Sublandlord shall use reasonable efforts to facilitate
the transfer of the account pertaining to the existing voice and data connectivity to Subtenant’s name. 

 2. Delivery of Demised Premises: 
 (a) Delivery and Acceptance. Sublandlord shall deliver, and Subtenant shall accept, the FF&E and the Demised Premises in their “as
is” condition with Subtenant accepting all defects, if any, and it is understood and agreed that Sublandlord has made no representations or warranties of any kind, express or implied, with respect to the FF&E or the Demised Premises
(without limitation Sublandlord makes no warranty as to habitability, fitness or suitability for Subtenant’s intended use). In this regard, Subtenant acknowledges having been given the opportunity to inspect the FF&E and the Demised
Premises and, if desired, to have qualified experts inspect the FF&E and the Demised Premises prior to the Sublease. 
 (b)
Permits. Subtenant shall be responsible for obtaining the occupancy permit for the Demised Premises, and any other permits or licenses necessary for its lawful occupancy of the Demised Premises. This requirement shall not relieve Subtenant of
its liability for Base Annual Rent and Additional Rent from the Commencement Date in the event all said permits have not been acquired prior thereto. 
 3. Rent: Commencing on the Commencement Date, Subtenant covenants and agrees to pay to Sublandlord, at Sublandlord’s address (set forth hereinabove) or at such other address as Sublandlord may designate by
written notice to Subtenant, as rent for the Demised Premises. 
 (a) Base Annual Rent: A Base Annual Rent of One Hundred Forty Five
Thousand Nine Hundred Ninety Two and 00/100 Dollars ($145,992.00), payable in equal monthly installments of Twelve Thousand One Hundred Sixty Six and 00/100 Dollars ($12,166.00). Subtenant shall pay the first installment of Base Annual Rent upon
execution of this Sublease. Subtenant shall pay the remaining monthly installments of Base Annual Rent in advance without prior demand, and without deduction, abatement or set-off of any kind, upon the first day of each and every calendar month
throughout the Term. 
 On the first day of the second lease year, and on the first day of each lease year thereafter during the Term, the
Base Annual Rent (then in effect) shall be increased by five percent (5%), as follows. Accordingly, the Base Annual Rent for the second lease year shall be in an amount equal One Hundred Fifty Three Thousand Two Hundred Ninety One and 60/100 Dollars
($153,291.60), payable in equal monthly installments of Twelve Thousand Seven Hundred Seventy Four and 30/100 Dollars ($12,774.20) and the Base Annual Rent for the third year shall be in an amount equal to One Hundred Sixty Thousand Nine Hundred
Fifty Six and 18/100 Dollars ($160,956.18), payable in eleven equal monthly installments of Thirteen Thousand Four Hundred Thirteen and 01/100 Dollars (13,413.01) and one monthly installment of Thirteen Thousand Four Hundred Thirteen and 07/100
Dollars ($13,413.07). 
 (b) Additional Rent: In addition to Base Annual Rent, Subtenant covenants and agrees to pay to Sublandlord,
as additional rent (“Additional Rent”), upon demand therefor by Sublandlord, the following: 
 (i) The actual cost to Sublandlord of
heating and air conditioning supplied to the Demised Premises after Standard Building Operating Hours at Subtenant’s request, pursuant to Section 10(b) of the Master Lease, which amounts shall be payable by Subtenant to Sublandlord within
ten (10) days after delivery to Subtenant of a bill therefor; and 
 (ii) Any other costs, charges, reimbursements, legal fees, or
payments (other than Base Annual Rent) required to be paid by Subtenant to Sublandlord under the terms of this Sublease. 
 For default in
payment of Additional Rent, Sublandlord shall have the same remedies as for a default in payment of Base Annual Rent. 
 (c) Late
Charge. Any amount due to Sublandlord that is not paid within three business (3) days of the date when due shall be subject to a late charge calculated in accordance with Section 4(f) of the Master Lease. 

 4. Use: Subtenant shall use and occupy the Demised Premises for general office use and light
assembly of software packages, and for no other purpose unless consented to in writing by Sublandlord and Landlord. 
 5. Security
Deposit: Subtenant has deposited with Sublandlord, simultaneously with the execution of this Sublease, the sum of twenty four thousand three hundred thirty two dollars ($24,332.00) as a deposit (the “Security Deposit”) to secure the
prompt performance of Subtenant’s obligations hereunder. The Security Deposit may be commingled with Sublandlord’s general funds, if permitted by law and Sublandlord’s receipt and retention of the Security Deposit shall not create any
trust or fiduciary relationship between Sublandlord and Subtenant. Sublandlord shall have the right, but shall not be obligated, to apply all or any portion of the Security Deposit to cure any default, in which event Subtenant shall be obligated to
deposit with Sublandlord the amount necessary to restore the Security Deposit to its original amount within five (5) days after written notice from Sublandlord. To the extent not forfeited or otherwise used as provided herein, and provided the
Demised Premises are vacated in good condition, reasonable wear and tear excepted, as described in Section 15 below, the Security Deposit shall be returned, without interest, to Subtenant within thirty-five (35) business days after the
termination of this Sublease. If the Subtenant fails to take possession of the Demised Premises as required by this Sublease, the Security Deposit shall not be deemed liquidated damages and Sublandlord’s use of the Security Deposit shall not
preclude Sublandlord from recovering from Subtenant all additional damages incurred by Sublandlord. 
 6. Incorporation of Master
Lease: 
 (a) Except as herein otherwise expressly provided, all of the terms of the Master Lease are hereby incorporated into and made a
part of this Sublease as if stated at length herein, and Subtenant accepts this Sublease subject to, and hereby, during the Term of this Sublease, covenants and assumes all of the terms, covenants, conditions and agreements contained in the Master
Lease to be performed by Sublandlord thereunder and agrees that all obligations of Sublandlord as “Tenant” under the Master Lease shall be done or performed by Subtenant with respect to the Demised Premises on and after the Commencement
Date. The parties hereto agree that subject to the provisions of this Sublease, wherever the words “Demised Premises” or words of similar import appear in the Master Lease, the same shall be deemed to mean the Demised Premises and wherever
the words “Landlord” and “Tenant” appear in the Master Lease, the words shall be deemed to refer to Sublandlord and Subtenant respectively, so that, subject to the provisions of this Sublease, Sublandlord shall have the rights
and powers of the Landlord under the Master Lease, and Subtenant shall have and does hereby agree to be bound by and accepts all the rights, powers, duties and obligations of the Tenant under the Master Lease; provided, however, that notwithstanding
the foregoing, Sublandlord shall have no obligation to perform any of the obligations of Landlord under the Master Lease, including, but not limited to, the furnishing of any of the work, services, repairs or maintenance undertaken to be made by
Landlord under the Master Lease, or any other term, covenant or condition required to be performed by Landlord under the Master Lease and Subtenant agrees to look solely to Landlord for the performance of such obligations. 
 (b) Subtenant shall not, under any circumstances, seek or require Sublandlord to perform any of the obligations of Landlord under the Master Lease, nor
shall Subtenant make any claim upon Sublandlord for any damages which may arise by reason of Landlord’s default under the Master Lease unless such default is caused by Sublandlord. Any condition resulting from a default by Landlord under the
Master Lease shall not constitute as between Sublandlord and Subtenant an eviction, actual or constructive, of Subtenant and no such default shall excuse Subtenant from the performance or observance of any of its obligations to be performed or
observed under this Sublease, or entitle Subtenant to receive any reduction in or abatement of the Rent provide for in this Sublease, except to the extent Sublandlord receives an abatement in its rent under the Master Lease. Sublandlord covenants
and agrees with Subtenant that Sublandlord will pay when due all rent and other sums payable by Sublandlord pursuant to the Master Lease, provided that Subtenant pays when due all Rent and other sums payable hereunder. Subtenant covenants and agrees
that it shall do nothing which shall have the effect of creating a breach of any of the terms, covenants and conditions of the Master Lease. To the extent applicable to the Demised Premises, Subtenant shall have the benefit of each and every
covenant and agreement made by Landlord to Sublandlord under the Master Lease. In the event that Landlord shall fail or refuse to comply with any of the respective provisions of the Master Lease, Sublandlord shall have no liability on account of any
such failure or refusal, provided that the Subtenant shall have the non-exclusive right to exercise in the name of the 

 
Sublandlord all the rights to enforce compliance on the part of Landlord as are available to the Sublandlord with respect to the Demised Premises; provided,
however, that Sublandlord hereby reserves the non-exclusive right to enforce the rights of tenant under the Master Lease. Sublandlord hereby agrees to cooperate with and execute, all at Subtenant’s expense, all instruments and supply
information reasonably required by Subtenant in order to enforce such compliance. Subtenant hereby agrees to indemnify and hold Sublandlord harmless of and from any and all damages, liabilities, obligations, costs, claims, losses, demands, and
expenses, including reasonable attorneys’ fees, which may be incurred by Sublandlord in or as a result of such cooperation and execution. In amplification and not in limitation of the foregoing and without any allowance to Sublease or other
reduction or adjustment of the rent, Sublandlord shall not be responsible for furnishing electrical, elevator, heating, air conditioning, cleaning, window washing or other services, nor for any maintenance or repairs in or to the Demised Premises or
the Building of which it is a part or to any of the facilities or equipment therein. In the event of a default by Sublandlord, Landlord shall have the right to demand that Subtenant pay directly to Landlord all amounts owed under the Sublease and
shall have all the rights and remedies set forth in the Master Lease against the Subtenant for a default under the Sublease. 
 (c)
Notwithstanding the foregoing incorporation of the Master Lease, the following provisions thereof are hereby excluded from this Sublease: 1(a)7, 1(a)8, 1(a)9, 1(a)10, 1(a)12, 1(a)13, 1(a)14, 1(a)16, 1(a)17, 4(b), 4(c)(ii), Exhibit C and the
following sections of the Addendum: 2, 4, 5 and 6. 
 7. Transmittal of Notices and Demands: Sublandlord shall promptly transmit to
Landlord any notice or demand received from Subtenant and shall promptly transmit to Subtenant any notice or demand received from Landlord. Subtenant shall promptly transmit to Sublandlord any notice or demand received from Landlord or any other
party relating to the Demised Premises (other than in the ordinary course of Subtenant’s business). 
 8. Landlord’s Consent to
Certain Acts: Subtenant agrees that in any case where the provisions of the Master Lease or this Sublease require that consent or approval of Landlord or Sublandlord prior to the taking of any action, it shall be a condition precedent to the
taking of such an action that the prior written consent or approval of both Landlord and Sublandlord shall have been obtained if Landlord’s consent must be obtained under the Master Lease in such cases. Subtenant agrees that Sublandlord shall
not have any duty or responsibility with respect to obtaining the consent or approval of Landlord when the same is required under the terms of the Master Lease, other than the transmission by Sublandlord to Landlord of Subtenant’s request for
such consent or approval. 
 9. Sublandlord’s Right to Cure Subtenant’s Default: Subtenant shall not do or suffer or permit
anything to be done which would cause the Master Lease to be terminated or forfeited by virtue of any rights of termination or for forfeiture reserved or vested in Landlord or by law or in equity. If Subtenant shall default in the performance of any
of its obligations under this Sublease or under the Master Lease, Sublandlord, without being under any obligation to do so and without thereby waiving such default, may remedy such default for the account and at the expense of Subtenant. If
Sublandlord makes any expenditures or incurs any obligation for the payment of money in connection therewith, such sums paid or obligations incurred shall be deemed to be Additional Rent hereunder and shall be paid to Sublandlord by Subtenant on
demand. 
 10. Brokerage Fees: The parties hereto represent and warrant to each other that they have not dealt with any broker other
than Scheer Partners (“Broker”). Sublandlord shall pay Broker a brokerage commission pursuant to a separate agreement between Sublandlord and Broker in connection with this Sublease. Each party agrees to indemnify and defend the other, and
hold it harmless, from and against any and all claims, damages, losses, expenses and liabilities (including reasonable attorneys’ fees) incurred by the other party as a result of any breach by such party or any of its representations,
warranties or covenants in this section. The parties do not intend to confer any right, remedy or benefit upon the Broker by this sectopm or any other provision of this Sublease, and the Broker shall not be a third party beneficiary of this Sublease
or otherwise be entitled to enforce any right, obligation or remedy under this Sublease. 
 11. Assignment of Sublease: Subtenant
shall not assign, mortgage or encumber this sublease, nor sublet, nor suffer or permit the Demised Premises or any part thereof to be used by 

 
others except with the prior written consent of Sublandlord and Landlord and as provided in and pursuant to the terms of Section 9 of the Master Lease.
In no event shall any assignment or subletting relieve Subtenant of its liability and responsibility to Sublandlord under this sublease or to Landlord under the Master Lease in the absence of any express written agreement with Sublandlord or
Landlord, as the case may be, to that effect. Subtenant may assign this lease to any subsidiary or affiliated company without further approval provided that such assignment includes a provision whereby the Subtenant guarantees the obligations of
such assignee with respect to this Sublease. 
 12. Eminent Domain, Loss by Casualty: In the event of any taking by eminent domain or
damage by fire or other casualty to the Demised Premises thereby rendering the Demised Premises wholly or in part untenantable, Subtenant shall acquiesce in and be bound by any action taken by or agreement entered into between Landlord and
Sublandlord with respect thereto. 
 13. Notice and Demands: All notices or demands under this Sublease shall be in writing and shall
be sent by a nationally recognized overnight courier service (e.g. Federal Express), registered or certified mail, return receipt requested, or hand delivered, to Sublandlord at its address set forth above, and to Subtenant at its address set forth
above, or such other address as either of the parties may designate by written notice. All notices hereunder shall be effective on the date of personal delivery, on the next business day after delivery by overnight courier service, or three
(3) days after mailing, as the case may be. 
 14. Alterations to Demised Premises: Subtenant covenants at all times during the
term of this Sublease not to make any alterations or additions to the Demised Premises of any nature whatsoever without the prior written consent of Sublandlord and Landlord, which may be granted or withheld in their sole discretion. In the event
Subtenant obtains Sublandlord’s and Landlord’s consent and all necessary governmental approvals and permits, Subtenant shall have the right to make such alterations at Subtenant’s sole expense and in accordance with the terms of
Section 12 of the Master Lease. All alterations and additions made by Subtenant to the Demised Premises shall remain upon the Demised Premises and be surrendered with the Demised Premises at the expiration of the Term without disturbance,
molestation or injury, unless otherwise specified by Sublandlord or Landlord. Should Sublandlord or Landlord elect that any alterations or additions made by Subtenant upon the Demised Premises be removed upon the expiration of the Term, Subtenant
agrees that Sublandlord or Landlord shall have the right to cause same to be removed at Subtenant’s sole cost and expense. Subtenant agrees to reimburse Sublandlord or Landlord for the cost of such removal and repairing any damage resulting
therefrom. 
 15. Surrender of Demised Premises: Upon the expiration or other termination of this Sublease, Subtenant covenants to
quit and surrender to Sublandlord or Landlord, as the case may be, the Demised Premises, broom clean, in good order and condition, ordinary wear and tear excepted, and at Subtenant’s expense to remove all property of Subtenant and shall fully
vacate the Demised Premises on the Expiration Date or sooner termination of this Sublease. Any property not so removed by Subtenant shall be deemed to have been abandoned by Subtenant and may be retained or disposed of at Subtenant’s expense by
Sublandlord or Landlord, as either may desire. 
 16. Hours of Operation: The normal building operating hours shall be 8:00 a.m. to
6:00 p.m. Monday through Friday, and 9:00 a.m. to 1:00 p.m. Saturday, exclusive of all legal holidays recognized by the federal government. After-hours heating and air-conditioning shall be available to Subtenant pursuant to Section 10(b) of
the Master Lease. 
 17. Access: Subtenant shall have access to the Building and the Demised Premises twenty-four (24) hours per
day, seven (7) days per week in accordance with Section 17 of the Master Lease. 
 18. Maintenance and Repair: Subtenant
shall, at all times during the Term and at its sole cost and expense, keep and maintain the Demised Premises in good order, condition and repair pursuant to the terms and conditions of Section 11 of the Master Lease. If Subtenant shall fail to
perform the required maintenance or fail to make repairs required of it pursuant to this Section 18 within a reasonable period of time following written notice from Sublandlord to do so, then Sublandlord may, at its election and without waiving
any other remedy it may otherwise have under this Sublease or at law, perform such maintenance or make such repairs and charge to Subtenant, as Additional Rent, the costs so incurred by Sublandlord for same. 

 19. Parking: Subtenant shall be entitled to the number of parking spaces as set forth in
Section 1 of the Addendum to the Master Lease. 
 20. Signage: Subtenant shall have the right to install signage, at
Sublandlord’s cost, on the Building Directory subject to Landlord’s consent in accordance with Section 13 of the Master Lease and the Addendum to the Master Lease. Notwithstanding the foregoing, Subtenant shall be responsible for all
costs associated with any future changes to Subtenant’s name on the Building directory. Subject to Landlord’s consent, Subtenant shall be permitted to display Subtenant’s name on a suite entrance sign, at Sublandlord’s expense,
on the corridor wall adjacent to the Demised Premises, as directed and approved by Landlord in Building standard color, size and style of lettering. 
 21. Indemnification and Warranty: Subtenant shall indemnify, defend and hold Sublandlord, its agents, directors, officers and employees harmless from and against any and all losses, claims, judgments, demands,
costs, expenses (including, without limitation, attorneys’ fees), damages or liabilities incurred by Sublandlord arising out of, from or in connection with (i) the use or occupancy of the Premises, or (ii) any breach or default by
Subtenant under this Sublease. Sublandlord shall indemnify, defend and hold Subtenant, its agents, directors and employees harmless from and against any and all losses, claims, judgments, demands, costs, expenses (including, without limitation,
attorneys’ fees), damages or liabilities incurred by Subtenant arising out of, from or in connection with any breach or default by Sublandlord under this Sublease or any breach or default by Sublandlord under the Master Lease, except to the
extent due to any breach of this Sublease by Subtenant. 
 22. Insurance: Subtenant agrees to carry the insurance coverage described
in Section 19(b), 19(c), 19(d) and 19(e) of the Master Lease during the Term. Subtenant shall name Sublandlord and Landlord as additional insureds under the required insurance policies. Prior to its occupancy of the Demised Premises, Subtenant
shall deliver certificates of insurance, with wet signature, or endorsement evidencing the above to Sublandlord and Landlord. 
 23.
Default by Subtenant: In the event Subtenant shall be in default of any covenant of, or shall fail to honor any obligation under, this Sublease, Sublandlord, upon giving any required notice and subject to the right, if any, of Subtenant to
cure any such default within any applicable cure period, shall have available to it against Subtenant all of the remedies available to Landlord under the Master Lease in the event of a similar default on the part of Sublandlord thereunder or at law.

 24. Continuing Obligation of Sublandlord: Sublandlord expressly acknowledges and confirms that this Sublease of the Master Lease
and Landlord’s consent thereto, in no way releases it, or in any way mitigates or modifies its obligations under the Master Lease to provide for the timely and proper performance of all terms and conditions of the Master Lease undertaken by the
Tenant of the Leased Premises. Sublandlord shall remain fully liable under all terms, covenants, and conditions of the Master Lease to the end of the term of the Master Lease. 
 25. Attorneys’ Fees: If either party commences an action or proceeding against the other party arising out of or in connection with this
Sublease including, but not limited to, the enforcement of any provision of this Sublease or to protect or establish any right or remedy of either Sublandlord or Subtenant hereunder, the prevailing party in such an action or proceeding shall be
entitled to recover from the losing party reasonable attorneys’ fees and costs. 
 26. Termination of Master Lease: In the event
the Master Lease is terminated for any reason, then, on the date of such termination, this Sublease shall automatically terminate and be of no further force or effect. If the termination of the Master Lease (and resulting termination of this
Sublease) occurs through no fault of Sublandlord, Sublandlord shall have no liability to Subtenant for the resultant termination of this Sublease. 
 27. Time of the Essence: Time is strictly of the essence with respect to each and every term, condition, obligation and provision of this Sublease. 

 28. Interpretation of Sublease: Section headings in this Sublease are included solely for ease of
reference and shall not affect the construction of this Sublease. This Sublease shall be construed as if it had been prepared jointly by Sublandlord and Subtenant. Each exhibit referred to in this Sublease is an exhibit attached to this Sublease and
is incorporated herein by reference. As used in this Sublease, the term “business day” means any day that is not a Saturday, Sunday or day on which banking institutions in the State of Virginia are authorized or obligated by law or
executive order to be closed, and the term “day” means a calendar day, whether or not a business day. If any portion of this Sublease shall be declared to be invalid, illegal or unenforceable by any court of competent jurisdiction, such
portion shall be deemed severed from this Sublease and the remaining portions shall continue in full force and effect. 
 29. Entire
Agreement; Amendments in Writing: There are no oral agreements between the parties hereto affecting this Sublease and this Sublease supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any,
between the parties hereto with respect to the subject matter thereof, and none thereof shall be used to interpret or construe this Sublease. This Sublease, and the exhibits and schedules attached hereto, contain all of the terms, covenants,
conditions, warranties and agreements of the parties relating in any manner to the rental, use and occupancy of the Premises and shall be considered to be the only agreements between the parties hereto and their representatives and agents. None of
the terms, covenants, conditions or provisions of this Sublease can be modified, deleted or added to except in writing signed by the parties hereto. All negotiations and oral agreements acceptable to both parties have been merged into and are
included herein. There are no other representations or warranties between the parties except as set forth in this Sublease. 
 30.
Conditions Precedent to Effectiveness: This Sublease shall not be effective unless and until the date on which this Sublease is executed by Subtenant and Sublandlord and consented to in writing by the Landlord. In the event Landlord does not
execute or deliver a consent to this Sublease within 3 weeks, then either party may terminate this Sublease by delivery of written notice to the other party. Upon any such termination, Sublandlord shall promptly refund to Subtenant, without
interest, the Security Deposit and any other sums theretofore paid by Subtenant to Sublandlord (but Sublandlord shall not be obligated to reimburse the out-of-pocket costs incurred by Subtenant in connection with entering into this Sublease),
whereupon neither party shall have any further rights against or obligations to the other party. 
 31. Counterparts: This Sublease
may be executed in counterparts each of which shall be deemed an original, but all of which together shall constitute one and the same document. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 IN WITNESS WHEREOF, the parties hereto have duly executed this instrument the day and year first above
written. 
  

									
	ATTEST/WITNESS:	 	 	 	SUBLANDLORD:
			
		 		 	SAFLINK CORPORATION,
		 		 	a Delaware corporation
					
	  
	 		 	By:	 	  
	 	(SEAL)
		 		 	Title:	 	  
	 	
		 		 	Date:	 	  
	 	
			
	ATTEST/WITNESS:	 		 	SUBTENANT:
			
		 		 	ABRAXAS CORPORATION,
		 		 	a Virginia corporation
					
	  
	 		 	By:	 	  
	 	(SEAL)
		 		 	Title:	 	  
	 	
		 		 	Date:	 	  
	 	
			
	ATTEST/WITNESS:	 		 	CONSENTED TO AND APPROVED BY:
		 		 	LANDLORD:
			
	  
	 		 	a limited partnership
					
		 		 	By:	 	Guardian Realty Management, Inc.	 	
		 		 	as Agent for the Landlord	 	
					
		 		 	By:	 	  
	 	(SEAL)
		 		 		 	Anthony G. LaBarbera, President
		 		 	Date:Software Rights Agreement, dated as of February 27, 2007

 Exhibit 10.18 
 SOFTWARE RIGHTS 
 AGREEMENT 
 This SOFTWARE RIGHTS AGREEMENT (this “Agreement”) is entered into as of February 27, 2007 (the “Effective
Date”), by and between Saflink Corporation, a Delaware corporation (“Saflink”), with its principal place of business at 12413 Willows Road NE, Suite 300, Kirkland, WA 98034-8766, and IdentiPHI, LLC, a Delaware
limited liability company with its principal place of business at 13809 Research Blvd, Suite 275, Austin, TX 78750 (“IdentiPHI”). 
 The parties hereby agree as follows: 
  

	1.	Definitions. 

 “Affiliates”
means, with respect to any entity, any other entity directly or indirectly controlling or controlled by, or under common control with, such entity. For the purposes of this definition, an entity shall control another entity if the first entity:
(i) owns, beneficially or of record, more than fifty percent (50%) of the voting securities of the other entity; or (ii) has the ability to elect a majority of the directors of the other entity. 
 “Ancillary Items” shall mean those items related to the Works and being sold hereunder as listed in Exhibit A to this
Agreement. 
 “Excluded Works” means (a) those software programs developed by Saflink as of the Effective Date
that do not contain any part of the Works, and (b) MiValet, except as to that portion thereof also contained in the Works as of the Effective Date, with the understanding that IdentiPHI shall non-exclusively license same back to Saflink as set
forth hereinafter. 
 “Intellectual Property Rights” shall mean patent, copyright, trademark, trade name, service
mark, service name, trade secret, or other proprietary right arising or enforceable under any law, rule regulation of the United States or any other state, country or jurisdiction. 
 “Rights in the Works” means all Intellectual Property Rights incorporated in or utilized by the Works, excluding the Saflink
Patents. 
 “Saflink Patents” means the patents and pending patent applications owned by Saflink as of the Effective
Date, and any subsequent continuing applications thereof including divisions, extensions, reissues and reexamined patents based on the foregoing, whether domestic of foreign. 
 “The ‘806 Patents” means United States Patent No. 6,618,806 of the Saflink Patents, and any continuing applications
thereof including divisions, extensions, reissues and reexamined patents based on such patent, and any corresponding foreign patents and patent applications. 
 “Works” means those software programs described on Exhibit A to this Agreement. 
  

	2.	Rights Conveyed. 

 (a) Assignment of Works.
Saflink hereby irrevocably assigns, conveys and transfers to IdentiPHI, all right, title and interest in and to the Works, including all Rights in the Works, the foregoing exclusive of the Excluded Works. This includes the right for IdentiPHI to
develop derivative works of the Works with no reservation for, or grant back, to Saflink as regards such derivative works. The foregoing 

  

					
	Final	 	1	 	Confidential

 
notwithstanding, IdentiPHI grants back to Saflink a fully paid up, perpetual, irrevocable, worldwide nonexclusive license in and to that portion of MiValet
also contained in the Works as of the Effective Date, including the right for Saflink to develop derivative works thereof with no reservation for, or grant back, to IdentiPHI as regards such derivative works. No right or license is being granted to
IdentiPHI by Saflink in the Excluded Works. 
 (b) Saflink hereby irrevocably assigns, conveys and transfers to IdentiPHI, all right, title
and interest in and to the SAFsolution and SAFmodule marks and any registration(s) thereof owned by Saflink as of the Effective Date. Nothing herein shall be deemed to convey any right or interest in any other mark of Saflink, nor create in
IdentiPHI any right to challenge any rights or use by Saflink or its successor(s) with respect to any mark containing the term “SAF” or confusingly similar variants thereof. 
 (c) Saflink hereby grants to IdentiPHI a perpetual, fully paid-up, royalty-free, non-exclusive worldwide license under the Saflink Patents with respect
to use by or through IdentiPHI of the Works with respect to their functionality substantially in the form as of the Effective Date. Subject to section 10 of this Agreement, Saflink hereby further grants to IdentiPHI a perpetual, fully-paid up,
royalty-free, non-exclusive worldwide license under the ‘806 Patents to produce, distribute, sell, license, modify, improve, and use the Works, both in their current form and as IdentiPHI may modify, improve or make derivative works of same. No
right or license is being granted to IdentiPHI under the Saflink Patents except as expressly set forth in this part (c) of this Section 2. Subject to part (a) of this Section 2 related to MiValet, Saflink retains no right to
produce, use, license, or sell the Works, except that Saflink may retain an archival copy thereof. 
 (d) No rights in any Intellectual
Property Rights of Saflink are being conveyed to IdentiPHI except and only as expressly recited in other parts of this Section 2. 
 (e)
In consideration of the conveyances under this Section 2, IdentiPHI shall pay to Saflink the payments and deferred purchase payments set forth in Sections 4 and 5 hereof. 
 (f) Saflink and IdentiPHI agree to execute whatever additional instruments either party may reasonably request to effectuate or evidence the conveyances
intended under this Section 2 and Section 3 of this Agreement. The parties agree to perform all acts deemed necessary to permit and assist IdentiPHI, at IdentiPHI’s expense, in perfecting and enforcing its rights in the Works.
IdentiPHI acknowledges and agrees that the Works are subject to the Assumed Licenses. 
  

	3.	Assignment and Assumption of License Agreements. 

 Saflink hereby sells, conveys, transfers and assigns to IdentiPHI all of Saflink’s rights and obligations under each End User License Agreement with respect to the Works in force as of the Effective Date (the “Assumed
Licenses”). IdentiPHI hereby accepts the foregoing assignment, and hereby assumes and agrees to perform the obligations of Saflink to be performed under, and shall hold Saflink harmless against, the Assumed Licenses. Saflink shall be
entitled to retain, and shall not be obligated to compensate IdentiPHI in any way, for license and/or maintenance fees collected under the Assumed Licenses through the Effective Date; thereafter, all future license and/or maintenance fees under the
Assumed Licenses will accrue to the benefit of IdentiPHI. Saflink will promptly remit to IdentiPHI any license and/or maintenance fees paid to Saflink in respect of the Assumed Licenses after the Effective Date. 
  

					
	Final	 	2	 	Confidential

	4.	Payments. 

 In addition to deferred purchase
payments as set out in Section 5 hereof, upon execution of this Agreement, IdentiPHI shall pay to Saflink the sum of Seven Hundred Seventy Eight Thousand Dollars ($778,000), which shall, upon execution of this Agreement, be delivered by wire
transfer to a bank account designated by Saflink failing which this Agreement shall terminate and all rights and conveyances shall immediately revert to Saflink. 
  

	5.	Deferred Purchase Payments. 

 (a) For products other
than SAFmodule, in addition to the payments as set out in Section 4 hereof, for a period of three (3) years from the Effective Date, IdentiPHI agrees to pay to Saflink a deferred purchase payment on each copy of object or source code based
on or including the Works or any portion thereof, including any enhancements thereof, distributed to third parties (including, without limitation, distribution via sale, license or demonstration or evaluation, where there are more than a reasonable
number of demonstration and evaluation copies distributed), as follows: 
  

			
	 OEM Sales
	  	 Non-OEM Sales

	20% of gross margin (i.e., gross revenue less amounts paid in respect thereof to partners and resellers)	  	15% of gross margin (i.e., gross revenue less amounts paid in respect thereof to partners and resellers)

 (b) For the SAFmodule product(s), in addition to the payments as set out in Section 4 hereof,
for a period of three (3) years from the Effective Date, IdentiPHI agrees to pay to Saflink a deferred purchase payment on each copy of object or source code based on or including the SAFmodule code or any portion thereof, including any
enhancements thereof, distributed to third parties (including, without limitation, distribution via sale, license or demonstration or evaluation, where there are more than a reasonable number of demonstration and evaluation copies distributed), 30%
of gross margin (i.e., gross revenues less amounts paid in respect thereof to partners and resellers). 
 (c) For purposes hereof, gross
revenue shall include all revenue received by or on behalf of IdentiPHI with respect to any products, or product bundles, which include or are based upon, in whole or in part, the Works. 
 (d) For demonstration and evaluation copies distributed in excess of a reasonable number, it shall be assumed that IdentiPHI received gross revenue
therefor in an amount equal to the amount IdentiPHI would have received in an arms lengths transaction to sell or license same in accordance with IdentiPHI’s then-applicable pricing. 
 (e) Deferred purchase payments shall be due and payable each calendar quarter, in arrears, within fifteen (15) calendar days of the end of each such
calendar quarter. Each such deferred purchase payment shall be accompanied by a report summarizing the number of seat licenses distributed (with associated revenue), cost of sales and resulting gross margin. 
  

	6.	[Reserved] 

  

	7.	Confidential Information. 

 “Confidential
Information” of a party shall mean (i) any financial terms and conditions of this Agreement; and (ii) any information that may be made known to the receiving party and which the disclosing party has received from others that
the disclosing party is obligated to treat as confidential or 

  

					
	Final	 	3	 	Confidential

 
proprietary, in each case, which information shall be marked as confidential. Neither party will use, disseminate or in any way disclose any Confidential
Information of the other party to any person, firm or business. Each party shall treat all Confidential Information with the same degree of care as such party accords to its own confidential information but not less than reasonable care. Except as
(i) authorized or required by any applicable law, order, rule or regulation of any court, agency or governmental authority, (ii) necessary to enforce or perform under this Agreement, or (iii) necessary to disclose to a prospective
acquirer of any rights in the Works or all or substantially all of the business or assets of that party and then only pursuant to an express, written non-disclosure agreement between the party and that potential acquirer, each party shall disclose
Confidential Information only to its employees or representatives who have a need to know such information. Each party certifies that each such employee or representative will have agreed, either as a condition of employment or in order to obtain
the Confidential Information, to be bound by terms and conditions substantially similar to those terms and conditions applicable to such party under this Agreement. Each party shall immediately give notice to the other party of any unauthorized use
or disclosure of the other party’s Confidential Information. Each party shall assist the other party in remedying any such unauthorized use or disclosure of the other party’s Confidential Information. Confidential Information shall not
include any information that (i) was in the public domain at or subsequent to the time such information was communicated to the receiving party by the disclosing party through no fault of the receiving party; (ii) was rightfully in the
receiving party’s possession free of any obligation of confidence at or subsequent to the time such information was communicated to the receiving party by the disclosing party; or (iii) is or was developed by the receiving party’s
employees, contractors or agents independently of and without reference to any Confidential Information of the disclosing party. Notwithstanding the foregoing, a disclosure of any Confidential Information by the receiving party (a) in response
to a valid order by a court or other governmental body or (b) as otherwise required by law shall not be considered to be a breach of this Agreement or a waiver of confidentiality for other purposes; provided, however, that the receiving party
shall provide prompt prior written notice thereof to the disclosing party to enable the disclosing party to seek a protective order or otherwise prevent such disclosure. All Confidential Information shall be the property of the disclosing party and
no license or other rights to Confidential Information is granted or implied hereby. Within five (5) days after any request by the disclosing party, the receiving party shall destroy or deliver to the disclosing party, at the disclosing
party’s option, all Confidential Information of the disclosing party in the possession of the receiving party. The receiving party will provide the disclosing party, upon request, a written certification of such party’s compliance with the
obligations under this Section. The code of the Works and proprietary information exclusively related thereto (expressly excluding the Saflink Patents and any information in the public domain as of the Effective Date or subsequently publicly
disclosed by IdentiPHI) shall be deemed to be Confidential Information owned by IdentiPHI and shall be protected by Saflink as provide by this Section 7. 
  

	8.	Audit Rights. 

 IdentiPHI shall keep and maintain,
for a period of the longer of four (4) years from the Effective Date or two (2) years after reporting thereon to Saflink pursuant to Section 5.e, accurate books of account and records covering all transactions relating to this
Agreement. Upon notice from Saflink, IdentiPHI shall provide Saflink, its auditors (including internal audit staff and external auditors), inspectors, regulators and other reasonably designated representatives as Saflink may from time to time
designate in writing (collectively, the “Saflink Auditors”) with access to, at reasonable times, to data and records relating to the royalty payments described in Section 4 hereof for purposes of verifying compliance with this
Agreement. IdentiPHI will provide any assistance that the Saflink Auditors may reasonably require with respect to such audits. Saflink and IdentiPHI shall meet to review each audit report promptly and to agree upon an appropriate and effective
manner in which to respond to the deficiencies identified and changes recommended by such audit report. 
  

					
	Final	 	4	 	Confidential

	9.	Warranties. 

 (a) Authority. Each party
hereto represents and warrants that it has full power and authority to make and enter into this Agreement. 
 (b) Non-Infringement.
Saflink represents and warrants that as of the Effective Date, to its knowledge (a) none of the Works infringes, or is currently asserted to infringe, the Intellectual Property Rights of any third party, and (b) there are no claims,
pending or threatened, against Saflink with respect to Saflink’s ownership and ability to transfer Rights in the Works. For purposes of this Section 9.b, knowledge of Saflink shall mean, and be limited to, the personal knowledge of Jeffrey
Dick, Steven Rishel, or Steven Oyer as of the Effective Date. Except and only as expressly stated above, Saflink makes no representation or warranty that use or distribution of the Works does not infringe the patent rights of any third party, nor
that the SAFsolution or SAFmodule marks do not infringe the trademark or similar rights of any third party. 
  

	10.	Patent Protection Rights. 

  

	 	(a)	Enforcement of the ‘806 Patents. 

  

	 	1.	Definitions: 

 a. “Focus Entity” shall mean any
entity identified in Exhibit B to this Agreement. 
 b. “Enforcement Package” shall mean a written agreement between Saflink
and IdentiPHI which sets out the terms and conditions under which Saflink may (a) seek to license a Focus Entity under any of the ‘806 Patents, and/or (b) proceed against a Focus Entity for alleged infringement of any of the ‘806
Patents. Such written agreement shall set forth, in addition to any other terms upon which Saflink and IdentiPHI might mutually agree, the following: 
 i. a Division of expenses, including but not limited to costs and attorneys fees, as between Saflink and IdentiPHI, provided that (a) if the Enforcement Package is to proceed against a Focus Entity at the request
of IdentiPHI, and Saflink does not agree to pay any of the expenses, IdentiPHI shall pay all expenses and, (b) if the Enforcement Package is to proceed against a Focus Entity at the request of Saflink, and IdentiPHI does not agree to pay any of
the expenses, Saflink shall pay all expenses; 
 ii. a Division of monetary recoveries, whether by license fees, royalties, damages, or
otherwise, as between Saflink and IdentiPHI, provided however that any recovery shall first be applied as against the expenses in respective proportions to the division thereof, and further provided that (a) if the Enforcement Package is to
proceed against a Focus Entity at the request of IdentiPHI, and Saflink does not agree to pay any of the expenses, Saflink shall be entitled to 25% of the monetary recoveries after recovery of expenses, and (b) if the Enforcement Package is to
proceed against a Focus Entity at the request of Saflink, and 

  

					
	Final	 	5	 	Confidential

 
IdentiPHI does not agree to pay any of the expenses, IdentiPHI shall be entitled to 25% of the monetary recoveries after recovery of expenses; 
 iii. and in the event the written agreement includes proceeding against a Focus Entity for alleged infringement of any of the ‘806 Patent Rights,
the authority of Saflink to grant a license thereunder as part of settlement. 
 c. “Division” may, except as otherwise provided
herein, be in any ratio to which the parties agree from 0/100 to 100/0 or anywhere in between. 
 d. “Control Period” shall mean the
three year period extending between the Effective Date of this Agreement and the third anniversary thereof. 
 e. “Negotiation Period
“ shall mean a period of thirty (30) days after Notice of Intent is received, or such longer period as the parties may mutually agree at the time. 
 f. “Notice of Intent” shall mean a written notice given by one party to the other of the desire to enter into an Enforcement Agreement as to a Focus Entity. 
 g. “Proceed against” may include but shall not be limited to litigation. 
 h. “Opinion of counsel” shall mean a written opinion of a registered patent attorney who has at least fifteen years experience in the practice
of patent law and is a partner at a law firm including at least 15 registered patent attorneys regularly engaged in the practice of patent law. 
 2. During the Control Period, Saflink shall not grant a license to or proceed against a Focus Entity in respect of any of the ‘806 patents without first entering into an Enforcement Package with IdentiPHI. If Saflink desires to license
and/or proceed against a Focus Entity under any of the ‘806 Patents during the Control Period, Saflink shall give a Notice of Intent to IdentiPHI setting forth the Focus Entity and the ‘806 Patents to be involved. 
 3. During the Control Period, IdentiPHI shall have the right to seek an Enforcement Package by which Saflink seeks to license and/or proceeds against a
Focus Entity for alleged infringement of any of the ‘806 Patents by giving a Notice of Intent to Saflink setting forth the Focus Entity, the ‘806 Patents to be involved, and information which establishes a reasonable likelihood that the
Focus Entity should take a license and/or is infringing (such information to include, by way of example and not limitation, an identification of any product which allegedly infringes, advertising literature therefor, documentation establishing how
the product functions or is to be used, and, an opinion of counsel upon which Saflink may rely setting forth a reasoned analysis of the involved patent(s) and product(s) to support the conclusion that the Focus Entity is infringing and a conclusion
that a Complaint may be signed and filed in the United States Federal District Courts in conformity with Rule 11 of the Federal Rules of Civil Procedure alleging the infringement noted). IdentiPHI shall not 

  

					
	Final	 	6	 	Confidential

 
have the right to grant licenses under the ‘806 Patent (except and only as expressly permitted by part (c) of Section 2 of this Agreement) nor
to proceed against any entity under any of the ‘806 Patents. Nor shall Saflink be required to proceed against any entity under any of the ‘806 Patents, except pursuant to an Enforcement Package. Nothing in this Agreement shall obligate
Saflink to enter into an Enforcement Package to proceed against a Focus Entity under any of the ‘806 Patents at the instance of IdentiPHI unless (i) the aforesaid opinion of counsel is provided by IdentiPHI with the Notice of Intent and
(ii) either Saflink agrees to proceed or if it does not, Saflink shall obtain an opinion of counsel as to whether Saflink may rely thereon and (a) if the opinion is affirmative, Saflink shall proceed and (b) if the opinion is not
affirmative, Saflink shall advise IdentiPHI of the deficiencies and give IdentiPHI an opportunity to obtain an updated opinion to remedy same and Saflink shall either agree to proceed based thereon or obtain thereon a further opinion of counsel as
to whether the updated opinion may be relied upon and shall proceed if that opinion is affirmative. 
 4. Upon receipt of the Notice of
Intent, the parties shall negotiate, for a period not longer than the Negotiation Period, in a good faith attempt to come to mutual agreement on the terms of an Enforcement Package. Subject to Section 3, if the parties cannot mutually agree on
the terms of an Enforcement Package within the Negotiation Period, either party has the right to submit the matter to arbitration in accordance with the following: 
 a. The party wishing to establish an Enforcement Package (“the Requesting Party”) shall, not more than fifteen (15) days after the Negotiation Period, give notice to the other party (“the
Non-Requesting Party”) in writing of the intent to arbitrate (“Arbitration Notice”) and shall include in such Arbitration Notice: 
 i. an identification of each term or condition of a potential Enforcement Package which, in the requesting Party’s view, is in dispute or any other matter which in the Requesting Party’s view is an obstacle to the parties entering
into an Enforcement Agreement (“Requesting Party Disputed Items”); 
 ii. for each Requesting Party Disputed Item, a final proposed
term or condition or position, and a brief explanation in support thereof; and 
 iii. the identity of an arbitrator. 
 b. The Non-Requesting Party shall provide a written response (“Arbitration Response”) to the Requesting Party within fifteen (15) days
after receipt of the Arbitration Notice and shall include in such Arbitration Response: 
 i. as to each Requesting Party Disputed Item, a
final proposed term or condition or position and brief explanation in support thereof and a brief counter to the brief explanation provided by the Requesting Party; 
  

					
	Final	 	7	 	Confidential

 ii. an identification of any other term or condition of a potential Enforcement Package which, in the
Non-Requesting Party’s view, is in dispute or any other matter which in the Non-Requesting Party’s views is an obstacle to the parties entering into an Enforcement Agreement (“Non-Requesting Party Disputed Items”); 
 iii. for each Non-Requesting Party Disputed Item, a final proposed term or condition or position, and a brief explanation in support thereof; and

 iv. the identity of an arbitrator. 
 c. The Requesting Party shall provide a written reply (“Arbitration Reply”) to the Non-Requesting Party within ten (10) days after receipt of the Arbitration Response and shall include in such Arbitration Reply only:

 i. as to each Non-Requesting Party Disputed Item, a final proposed term or condition or position and brief explanation in support thereof
and a brief counter to the brief explanation provided by the Requesting Party. 
 d. Each party shall contact their identified arbitrator and
engage same to work with the other to select a third arbitrator who shall decide the arbitration, by selecting from the competing Disputed Items of the parties based solely on the Arbitration Notice, Arbitration Response, and Arbitration Reply,
provided however, that the third arbitrator shall have no authority to determine whether a Focus Entity is or might likely be infringing, which determination is reserved to the procedure set out in Section 10.a.3 above. The third arbitrator is
to be selected within ten (10) days after the deadline for providing the Arbitration Reply, and the third arbitrator shall promptly be provided by the Requesting Party copies of the Arbitration Notice and Arbitration Reply (if any) and by the
Non-Requesting Party a copy of the Arbitration Response. The decision of the Arbitrator shall be made within fifteen (15) days of receipt of the foregoing, and shall finally resolve all Disputed Items so that the parties may conclude an
Enforcement Package. 
 e. Each party shall pay the costs and fees, if any, of its arbitrator, and the parties shall split the costs and fees
of the third arbitrator, unless the third arbitrator rules otherwise in the decision as in the third arbitrator’s discretion equity so requires. 
 (b) Third Party Infringements. After the Control Period, if IdentiPHI wishes to have Saflink assert any of the ‘806 patents against a third party, IdentiPHI may approach Saflink to discuss same and a
possible Enforcement Package related thereto, but Saflink shall not be obligated to enter into any such Enforcement Package. 
 (c) Third
Party Rights. In the event that either party becomes aware of any claim that the practice of a Saflink Patent by or through IdentiPHI infringes upon the Intellectual Property Rights of any 

  

					
	Final	 	8	 	Confidential

 
third party, it shall notify the other party in writing of such claim, giving such facts as are known. Nothing in this part (c) of this Section 10
shall be deemed to make either party a warrantor, or create any other obligation, to the other in respect of the Patent Rights. 
  

	11.	Non-Assertion. 

 IdentiPHI hereby irrevocably
covenants and agrees on behalf of itself and its successors and assigns not to Assert against Saflink any claim that (a) any use of any mark or term containing or limited to SAF, or any confusingly similar variant thereof, other than
SAFsolution or SAFmodule (or stylized variations thereof), infringes or otherwise violates any rights of IdentiPHI or any of its Affiliates, including as conveyed by this Agreement, or (b) any products or services developed or distributed by
Saflink prior to the Effective Date including or based on the Works and any products or services developed or distributed by Saflink including or based on the Excluded Works, infringes or misappropriates any Intellectual Property Rights of
IdentiPHI, any of its Affiliates or any third party. “Assert” means to (i) threaten, file, initiate, maintain or pursue an action, claim, lawsuit, arbitration, inquiry or investigation (an
“Action”) before any legal, judicial, arbitration, administrative, executive or other type of body or tribunal that has or claims to have authority to adjudicate such action in whole or part, (ii) maintain a financial
interest in any Action; or (iii) prompt, cooperate with or impose an obligation on a third party to threaten, file, initiate, maintain or prosecute an Action. 
  

	12.	Disclaimer of Warranties and Limitation of Liability. 

 (a) Disclaimer of Warranties. EXCEPT AS EXPRESSLY PROVIDED IN SECTION 9, SAFLINK MAKES NO, AND HEREBY DISCLAIMS, ALL REPRESENTATIONS AND WARRANTIES WITH RESPECT TO THE WORKS, RIGHTS IN THE WORKS, AND THE SAFLINK PATENTS, INCLUDING,
WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE AND NON-INFRINGEMENT OF THE RIGHTS OF THIRD PARTIES. 
 (b) Limitation of Liability. NEITHER PARTY SHALL BE LIABLE TO THE OTHER PARTY OR ANY THIRD PARTIES IN ANY EVENT, FOR ANY CONSEQUENTIAL, SPECIAL, EXEMPLARY, INCIDENTAL OR PUNITIVE DAMAGES, WHETHER DIRECTLY OR
INDIRECTLY INCURRED, OR FOR ANY OTHER LOSSES INCURRED OUT OF OR IN CONNECTION WITH THIS AGREEMENT, INCLUDING WITHOUT LIMITATION LOSS OF PROFITS, LOSS OF REVENUES, BUSINESS INTERRUPTION OR OTHER PECUNIARY LOSS, EVEN IF THE OTHER PARTY HAS BEEN
ADVISED OF THE POSSIBILITY OF SUCH DAMAGES OR LOSS. IN ANY EVENT, SAFLINK’S MAXIMUM LIABILITY UNDER THIS AGREEMENT, SHALL BE LIMITED TO THE AMOUNT PAID BY IDENTIPHI UNDER THIS AGREEMENT. 
  

	13.	Bankruptcy. 

 This Agreement is intended to
constitute a present and executed sale of the Works and a fully-paid non-exclusive license(s) under the Saflink Patents. However, to the extent that all or any part of this Agreement may be found to be executory within the meaning of the United
States Bankruptcy Code (“the Bankruptcy Code”), then, to that extent, this Agreement is intended to be a license of “intellectual property” within the meaning of the Bankruptcy Code, including but not limited to
Section 365(n) of the Bankruptcy Code. To the extent that IdentiPHI is found to be a licensee of such rights under this Agreement, IdentiPHI shall retain and may fully exercise all of its rights and elections under the Bankruptcy Code. Upon the
event of the commencement of bankruptcy proceedings by or against Saflink under the Bankruptcy Code, IdentiPHI shall be entitled to retain all of its rights under this Agreement. 
  

					
	Final	 	9	 	Confidential

	14.	General. 

 (a) Entire Agreement. This
Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof, and supersedes all prior or simultaneous representations, negotiations, and agreements, whether written or oral, and all industry customs or
trade practices. Neither party has executed this Agreement by reason of or in reliance on any representations which are not fully stated in this Agreement. 
 (b) Amendments. This Agreement shall not be amended or otherwise modified except by a written agreement dated subsequent to the date of this Agreement and signed on behalf of Saflink and IdentiPHI by their
respective duly authorized representatives. 
 (c) Governing Law. This Agreement shall be governed by and construed in accordance with
the laws of the State of Washington. The parties consent to the exclusive jurisdiction and venue in the federal courts sitting in King County, Washington unless no federal subject matter jurisdiction exists, in which case each party consents to the
exclusive jurisdiction and venue in the Superior Court of King County, Washington. In any action to enforce any right or remedy under this Agreement, or to interpret any provision of this Agreement, the prevailing party shall be entitled to recover
its reasonable attorneys’ fees, costs and other expenses. 
 (d) Assignment. Either party may assign its rights and obligations,
in whole or in part and in any manner, under this Agreement in its discretion. This Agreement shall inure to the benefit of and be binding upon each party and its successors and assigns. 
 (e) Notices. All notices in connection with this Agreement shall be deemed given as of the day they are sent by electronic transmission, sent by
facsimile or deposited with a commercial courier for delivery to other party at the following addresses: 
  

			
	 Saflink:
	  	 Saflink Corporation
 12413 Willows Road NE, Suite
300
 Kirkland, WA 98034-8766
 Attention: Jeff Dick,
CFO

		
		  	With a copy to:
		
		  	 Kurt L. Grossman, Esq.
 Wood, Herron & Evans,
L.L.P.
 2700 Carew Tower
 Cincinnati, OH
45202-2917

		
	 IdentiPHI:
	  	 IdentiPHI LLC
 13809 Research Blvd., Suite
275
 Austin, TX 78750
 Attention: Peter Gilbert,
CEO

 or to such other address and/or telex and facsimile number as the party to receive the notice or request so
designates by written notice to the other. 
  

					
	Final	 	10	 	Confidential

 (f) No Waiver. No waiver of any breach of any provision of this Agreement shall constitute a
waiver of any prior, concurrent or subsequent breach of the same or any other provisions hereof, and no waiver shall be effective unless made in writing and signed by an authorized representative of the waiving party. No failure by either party to
exercise a right under this Agreement or under law shall operate as a waiver thereof. No waiver of any breach of this Agreement shall constitute a waiver of any other breach. 
 (g) Savings Clause. If any provision of this Agreement shall be held by a court of competent jurisdiction to be illegal, invalid or unenforceable,
the remaining provisions shall remain in full force and effect. 
 IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.

  

									
	SAFLINK CORPORATION	 		 	IDENTIPHI, LLC
					
	By	 	  	 		 	By	 	  
		 		 		 		 	
	  	 		 	  
	Name (Print)	 		 	Name (Print)
	  	 		 	  
	Title	 		 	Title
	  	 		 	  
	Date	 		 	Date

  

					
	Final	 	11	 	Confidential

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