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Exhibit 10.2-
1997 Directors Stock Option Plan 

 
 

T.J.T., INC.
  1997 DIRECTORS STOCK OPTION PLAN    
  

 
  ADOPTED ON NOVEMBER 18, 1997
  and
  AMENDED ON FEBRUARY 22, 2000    
  

ARTICLE 1: ESTABLISHMENT AND PURPOSE.  

    1.1 Establishment. T.J.T., Inc., a Washington corporation (the "Company") hereby establishes the
T.J.T., Inc. 1997 Stock Option Plan (the "Plan") effective as of November 18, 1997. 

    1.2 Purpose. The purpose of the Plan is to provide a means by which each director of the Company who is not otherwise
employed on a full-time basis by the Company or of any affiliate of the Company (each such person being hereinafter referred to as a "Non-Employee Director") will be given an
opportunity to purchase stock of the Company. 

    l.2.1 The Plan is intended to strengthen the mutuality of interests between the Non-Employee Directors and
the Company's shareholders and is designed to serve these purposes by offering stock options, thereby providing a proprietary interest in pursuing the long-term growth, profitability and
financial success of the Company. 

    1.2.2 The word "Affiliate" as used in the Plan means any parent corporation or subsidiary corporation of the Company as
those terms are defined in Sections 424(e) and (f), respectively, of the Internal Revenue Code of 1986, as amended from time to time (the "Code"). 

    1.2.3 The Company, by means of the Plan, seeks to retain the services of persons now serving as
Non-Employee Directors of the Company, to secure and retain the services of persons capable of serving in such capacity, and to provide incentives for such persons to exert maximum efforts
for the success of the Company. 

ARTICLE 2: ADMINISTRATION.  

    2.1 The Plan shall be administered by the Board of Directors of the Company (the "Board") unless and until the Board
delegates administration to a committee, as provided in subparagraph 2.2. 

    2.2 The Board may delegate administration of the Plan to a committee of not fewer than two (2) members of the
Board (the "Committee"). If administration is delegated to a Committee, the Committee shall have full power and authority to administer the Plan in its sole discretion. Decisions of the Committee or
any delegate as permitted by the Plan shall be final, conclusive, and binding on all participants. The Board may abolish the Committee at any time and revest in the Board the administration of the
Plan. No member of the Committee shall be liable for any action or determination made in good faith with respect to the Plan. The costs and expenses of administering the Plan shall be borne by the
Company. 

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   ARTICLE 3: SHARES SUBJECT TO THE PLAN.  

    The shares which may be made subject to awards under the Directors Plan shall be shares of common stock, which may be either authorized and unissued shares, or
reacquired shares. The shares that may be sold pursuant to options granted under the Directors Plan shall not exceed in the aggregate two hundred thousand (200,000) shares of the Company's common
stock. If any option granted under the Directors Plan shall for any reason expire or otherwise terminate without having been exercised in full, the stock not purchased under such option shall again
become available for the Directors Plan. 

ARTICLE 4: ELIGIBILITY.  

    Options shall be granted only to Non-Employee Directors of the Company. 

ARTICLE 5: NON-DISCRETIONARY GRANTS.  

    5.1  On November 18, 1997, each person who is then a Non-Employee Director or a
Non-Employee Director nominee shall be granted an option to purchase five thousand (5,000) shares of common stock of the Company on the terms and conditions set forth herein. 

    5.2  Each person who is, after February 24, 1998, elected for the first time to be a Non-Employee
Director shall, upon the date of his initial election to be a Non-Employee Director by the Board or stockholders of the Company, be granted an option to purchase five thousand (5,000)
shares of common stock of the Company on the terms and conditions set forth herein. 

    5.3  In addition to the foregoing, the executive committee of the Board of Directors may, with approval of the Board of
Directors, grant additional options to Non-Employee Directors from time to time. 

ARTICLE 6: OPTIONS.  

    Each option granted under the Plan shall be in the form of a non-qualified option. Options shall be subject to the terms and conditions set forth
in Article 5 and this Article 6, and award agreements governing options shall contain such additional terms and conditions, not inconsistent with the express provisions of the Plan, as
the Board or Committee shall deem desirable. 

    6.1  The term of each option commences on the date it is granted and, unless sooner terminated as set forth herein,
expires on the date ("Expiration Date") ten (10) years from the date of grant. If the optionee's service as a Director or subsequent services as an employee of or consultant to the Company
terminates for any reason or for no reason, the option shall terminate on the earlier of the Expiration Date or the date three (3) months following the date of termination of service;  provided, however, that if such termination of services is due to the optionee's death, the option shall terminate on the earlier of the Expiration Date
or eighteen (18) months following the date of the optionee's death. In any and all circumstances, an option may be exercised following termination of the optionee's service as a Director of the
Company only as to that number of shares as to which it was exercisable on the date of termination of such service under the provisions of subparagraph 6.5. 

    6.2  The exercise price of each option shall be 100 percent of the Fair Market Value of the stock subject to such
option on the date such option is granted. "Fair Market Value" means, as of any date, the value of the common stock of the Company determined as follows: 

    6.2.1  If the common stock is listed on any established stock exchange or a national market system, including without
limitation the National Market System of the National Association of Securities Dealers, Inc. Automated Quotation ("NASDAQ") System, the Fair Market Value of a 

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share of common stock shall be the closing sales price for such stock (or the closing bid, if no sales were reported) as quoted on such system or exchange (or the exchange with the greatest volume of
trading in common stock) on the last market trading day prior to the date of determination, as reporting in the Wall Street Journal or such other source as the Board deems reliable; 

    6.2.2  If the common stock is quoted on the NASDAQ System (but not on the National Market System thereof) or is
regularly quoted by a recognized securities dealer but selling prices are not reported, the Fair Market Value of a share of common stock shall be the mean between the bid and asked price for
the common stock on the last market trading day prior to the date of determination, as reported in the Wall Street Journal or such other source as the Board deems reliable; 

    6.2.3  In the absence of an established market for the common stock, the Fair Market Value shall be determined in good
faith by the Board. 

    6.3  The optionee may elect to make payment of the exercise price under one of the following alternatives: 

    6.3.1  Payment of the exercise price per share in cash at the time of exercise; 

    6.3.2  Provided that at the time of the exercise the Company's common stock is publicly traded and quoted regularly in
the Wall Street Journal, payment by delivery of shares of common stock of the Company already owned by the optionee, held for the period required to avoid a charge to the Company's reported earnings,
and owned free and clear of any liens, claims, encumbrances or security interest, which common stock shall be valued at Fair Market Value on the date preceding the date of exercise; or 

    6.3.3  Payment by a combination of the methods of payment specified in subparagraphs 6.3.1 and 6.3.2 above. 

    Notwithstanding
the foregoing, any option may be exercised pursuant to a program developed under Regulation T as promulgated by the Federal Reserve Board which results in the
receipt of cash (or check) by the Company prior to the issuance of shares of the Company's common stock. 

    6.4  An option shall not be transferable except by will or by the laws of descent and distribution, and shall be
exercisable during the lifetime of the person to whom the option is granted only by such person or by his guardian or legal representative. The person to whom the option is granted may, by delivering
written notice to the Company, in a form satisfactory to the Company, designate a third party who, in the event of the death of the optionee, shall thereafter be entitled to exercise the option. 

    6.5  20 percent of the shares subject to the options granted pursuant to subparagraph 5.1 of this Plan shall
become exercisable immediately. The remaining 80 percent of the shares subject to such options
shall become exercisable in installments over a period of four (4) years from the date of grant at the rate of 20 percent per year in four (4) equal installments commencing on
November 18, 1997, provided that the optionee has, during the entire period prior to such vesting date, continuously served as a Non-Employee Director or as an employee of or
consultant to the Company or any Affiliate of the Company, whereupon such option shall become fully exercisable in accordance with its terms with respect to that portion of the shares represented by
that installment. Any option granted pursuant to subparagraph 5.2 of this Plan shall have 20% of the shares become immediately exercisable, with the remaining 80% of the shares becoming exercisable
over a period of four (4) years from the date of grant at the rate of 20 percent per year in four (4) equal installments commencing on the first anniversary of the date of grant
of the option, provided that the optionee has, during the entire period prior to such vesting date, continuously served as a Non-Employee Director or as an employee of or consultant to the
Company or any Affiliate of the Company, whereupon such option shall become fully 

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exercisable in accordance with its terms with respect to that portion of the shares represented by that installment. 

    6.6  The Company may require any optionee, or any person to whom an option is transferred under subparagraph 6.4, as a
condition of exercising any such option: (i) to give written assurances satisfactory to the Company as to the optionee's knowledge and experience in financial and business matters; and
(ii) to give written assurances satisfactory to the Company stating that such person is acquiring the stock subject to the option for such person's own account and not with any present
intention of selling or otherwise distributing the stock. These requirements, and any assurances given pursuant to such requirements, shall be inoperative if (i) the shares issued upon the
exercise of the option have been registered under a then-currently effective registration statement of the Company under the Securities Act of 1933, as amended (the "Securities Act"), or
(ii) as to any particular requirement, a determination is made by counsel for the Company that such requirement need not be met in the circumstances under the then applicable securities laws. 

    6.7  Notwithstanding anything to the contrary contained herein, an option may not be exercised unless the shares
issuable upon exercise of such option are then registered under the Securities Act or, if such shares are not then so registered, the Company has determined that such exercise and issuance would be
exempt from the registration requirements of the Securities Act. 

    6.8  Each award agreement regarding options granted under this Plan shall include a provision that as of a Change in
Control Date an exercisable option shall become fully and immediately vested. For purposes of this Plan, Change in Control means: 

    6.8.1  The acquisition by any person of beneficial ownership (within the meaning of Rule 13d-3 under
the Exchange Act) of 20 percent or more of the combined voting power of the then outstanding shares that can be voted ("Voting Securities"); provided,
however, that for purposes of this paragraph 6.8.1 the following acquisitions of Voting Securities shall not constitute a Change in Control: (i) any acquisition
directly from the Company, (ii) any acquisition by the Company, (iii) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any
corporation controlled by the Company, or (iv) any acquisition by any corporation pursuant to a transaction that complies with clauses (i), (ii), and (iii) of paragraph 6.8.3 of
this definition of Change of Control; or 

    6.8.2  During any period of twelve (12) consecutive calendar months, individuals who at the beginning of such
period constitute the Board (the "Incumbent Board") cease for any reason to constitute at least a majority of the Board; provided, however, that any individual who becomes a director during the period
whose election, or nomination for election, by the Company's shareholders was approved by a vote of at least a majority of the directors then constituting the Incumbent Board shall be considered as
though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened
election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or 

    6.8.3  Consummation of a reorganization, merger, or consolidation or sale or other disposition of all or substantially
all of the assets of the Company (a "Business Combination") in each case, unless, following such Business Combination, (i) all or substantially all of the individuals or entities who were the
beneficial owners of the Voting Securities outstanding immediately prior to such Business Combination beneficially own, directly or indirectly, more than 50 percent of, respectively, the then
outstanding shares of common stock and the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors, as the case may be, of the
corporation resulting from such Business Combination (including, without limitation, a corporation which as a result of such transaction owns Company or all or substantially 

37

 

all of the Company's assets either directly or through one or more subsidiaries) in substantially the same proportions as their ownership7 immediately prior to such Business Combination, of the Voting
Securities, (ii) no Person (excluding any employee benefit plan, or related trust, of the Company or such corporation resulting from such Business Combination) beneficially owns, directly or
indirectly, 20 percent or more of, respectively, the then outstanding shares of common stock of the corporation resulting from such Business Combination or the combined voting power of the then
outstanding voting securities of such corporation except to the extent that such ownership existed prior to the Business Combination and (iii) at least a majority of the members of the board of
directors of the corporation resulting from such Business Combination were members of Incumbent Board at the time of the execution of the initial agreement, or of the action of the Board, providing
for such Business Combination; or 

    6.8.4  Approval by the shareholders of the Company of any plan or proposal for the liquidation or dissolution of the
Company. 

    6.9  For purposes of this Plan, Change in Control Date means the first date following the grant date on which a change
of control has occurred. 

ARTICLE 7: COVENANTS OF THE COMPANY.  

    7.1  During the terms of the options granted under the Plan, the Company shall keep available at all times the number of
shares of stock required to satisfy such options. 

    7.2  The Company shall seek to obtain from each regulatory commission or agency having jurisdiction over the Plan such
authority as may be required to issue and sell shares of stock upon exercise of the options granted under the Plan; provided, however, that this
undertaking shall not require the Company to register under the Securities Act either the Plan, any option granted under the Plan' or any stock issued or issuable pursuant to any such option. If,
after reasonable efforts, the Company is unable to obtain from any such regulatory commission or agency the authority which counsel for the Company deems necessary for the lawful issuance and sale of
stock under the Plan, the Company shall be relieved from any liability for failure to issue and sell stock upon exercise of such options. 

ARTICLE 8: USE OF PROCEEDS FROM STOCK.  

    Proceeds from the sale of stock pursuant to options granted under the Plan shall constitute general funds of the Company. 

ARTICLE 9: MISCELLANEOUS.  

    9.1  Neither an optionee nor any person to whom an option is transferred under subparagraph 6.4 shall be deemed to be
the holder of, or to have any rights of a holder with respect to, any shares subject to such options unless and until such person has satisfied all requirements for exercise of the option pursuant to
its terms. 

    9.2  Throughout the term of any option granted pursuant to the Plan, the Company shall make available to the holder of
such option, not later than one hundred twenty (120) days after the close of each of the Company's fiscal years during the option term, upon request, such financial and other information
regarding the Company as comprises the annual report to the stockholders of the Company provided for in the Bylaws of the Company and such other information regarding the Company as the holder of such
option may reasonably request. 

    9.3  Nothing in the Plan or in any instrument executed pursuant thereto shall confer upon any Non-Employee
Director any right to continue in the service of the Company or any Affiliate or shall 

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affect any right of the Company, its Board or stockholders or any Affiliate to terminate the service of any Non-Employee Director with or without cause. 

    9.4  No Non-Employee Director, individually or as a member of a group, and no beneficiary or other person
claiming under or through him, shall have any right, title or interest in or to any option reserved for the purposes of the Plan except as to such shares of common stock, if any, as shall have been
reserved for him pursuant to an option granted to him. 

    9.5  In connection with each option made pursuant to the Plan, it shall be a condition precedent to the Company's
obligation to issue or transfer shares to a Non-Employee Director, or to evidence the removal of any restrictions on transfer, that such Non-Employee Director make arrangements
satisfactory to the Company to insure that the amount of any federal or other withholding tax required to be withheld with respect to such sale or transfer, or such removal or lapse, is made available
to the Company for timely payment of such tax. 

ARTICLE 10: ADJUSTMENTS UPON CHANGES IN STOCK.  

    10.1  If any change is made in the stock subject to the Plan, or subject to any option granted under the Plan (through
merger, consolidation, reorganization, recapitalization, stock dividend, dividend in property other than cash, stock split, liquidating dividend, combination of shares, exchange of shares, change in
corporate structure or otherwise), the Plan and outstanding options will be appropriately adjusted in the class(es) and maximum number of shares subject to the Plan and the class(es) and number of
shares and price per share of stock subject to outstanding options. 

    10.2  In the event of: (1) a merger or consolidation in which the Company is not the surviving corporation;
(2) a reverse merger in which the Company is the surviving corporation but the shares of the Company's common stock outstanding immediately preceding the merger are converted by virtue of the
merger into other property, whether in the form of securities, cash or otherwise; or (3) any other capital reorganization in which more than 50 percent of the shares of the Company
entitled to vote are exchanged, any surviving corporation, other than the Company, shall assume any options outstanding under the Plan or shall substitute similar options for those outstanding under
the Plan or, if the Company is the surviving corporation, such options shall continue in full force and effect. 

ARTICLE 11: AMENDMENT OF THE PLAN.  

    11.1  The Board at any time, and from time-to-time, may amend the Plan,  provided, however, that the Board shall not amend the plan more than once every six (6)
 months, with respect to the provisions of the Plan which
relate to the amount, price and timing of grants, other than to comport with changes in the Code, the Employee Retirement Income Security Act, or the rules thereunder. Except as provided in
paragraph 10 relating to adjustments upon changes in stock, no amendment shall be effective unless approved by the stockholders of the Company within twelve (12) months before or after
the adoption of the amendment, where the amendment will: 

    11.1.1  Increase the number of shares which may be issued under the Plan. 

    11.1.2  Modify the requirement as to eligibility for participation in the Plan (to the extent such modification requires
stockholder approval in order for the Plan to comply with the requirements of Rule 16b-3); or 

    11.1.3  Modify the Plan in any other way if such modification requires stockholder approval in order for the Plan to
comply with the requirements of Rule 16b-3. 

    11.2  Rights and obligations under any option granted before any amendment of the Plan shall not be altered or impaired
by such amendment unless (i) the Company requests the consent of the person to whom the option was granted and (ii) such person consents in writing. 

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ARTICLE 12: TERMINATION OR SUSPENSION OF THE PLAN.  

    12.1  The Board may suspend or terminate the Directors Plan at any time. Unless sooner terminated, the Directors Plan
shall terminate on February 22, 2010, or 10 years from the date the option is granted, whichever is later. No options may be granted under the Directors Plan while the Directors Plan is
suspended or after it is terminated. 

    12.2  Rights and obligations under any option granted while the Plan is in effect shall not be altered or impaired by
suspension or termination of the Plan, except with the consent of the person to whom the option was granted. 

    12.3  The Plan shall terminate upon the occurrence of any of the events described in Section 10.2 above. 

ARTICLE 13: EFFECTIVE DATE OF PLAN; CONDITION OF EXERCISE.  

    13.1  The Plan shall become effective upon adoption by the Board of Directors, subject to the condition subsequent that
the Plan is approved by the stockholders of the Company. 

    13.2  No option granted under the Plan shall be exercised or exercisable unless and until the condition of subparagraph
13.1 above has been met. 

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T.J.T., INC. 1997 DIRECTORS STOCK OPTION PLAN

ADOPTED ON NOVEMBER 18, 1997 and AMENDED ON FEBRUARY 22, 2000Prepared by MERRILL CORPORATION www.edgaradvantage.com

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Exhibit 10.3—Indemnity
Agreement 

 
 

INDEMNITY AGREEMENT    
  

    This Indemnity Agreement is made and entered into, effective as of November 24, 1999 by and between T.J.T., INC., a Washington Corporation (the
"Company"), and JOE LIGHT ("Indemnitee"). 

    WHEREAS,
Indemnitee is currently serving as a director of the Company, and the Company wishes Indemnitee to continue in such capacity; 

    WHEREAS,
the Articles of Incorporation of the Company, as amended (the "Articles"), and the Bylaws of the Company (the "Bylaws"), each provide that the Company shall indemnify, in the
manner and to the fullest extent permitted by the Washington Business Corporation Act ("WBCA"), certain persons, including directors of the Company, against specified expenses and losses arising out
of certain threatened, pending or completed actions, suits or proceedings; 

    WHEREAS,
Indemnitee has indicated that he or she may not be willing to continue to serve as a director of the Company in the absence of indemnification in addition to that provided in
the Articles and Bylaws of the Company; 

    WHEREAS,
the Company, in order to induce Indemnitee to continue to serve as a director, has agreed to provide Indemnitee with the benefits contemplated by this Indemnity Agreement
and, as a result of the provision of such benefits, Indemnitee has agreed to continue to serve in such capacity; and 

    WHEREAS,
the Articles and Bylaws of the Company each expressly recognize that the indemnification provisions of the Articles and Bylaws shall not be deemed exclusive of, and shall not
affect, any other rights to which a person seeking indemnification may be entitled under any agreement, and this Indemnity Agreement is being entered into pursuant to the Articles and Bylaws of the
Company as permitted by the WBCA. 

    NOW,
THEREFORE, in consideration of the promises, conditions and representations set forth herein, including Indemnitee's continued service as a director of the Company, the Company
and Indemnitee hereby agree as follows: 

    Section 1.
Definitions. The following terms, as used herein, shall have the following meanings: 

    (a) "Covered
Claim" shall mean any claim against Indemnitee based upon or arising out of any past, present or future act, omission, neglect or breach of duty,
including, without limitation, any actual or alleged error, omission, misstatement or misleading statement, that Indemnitee may commit or suffer while serving in his or her capacity as a director of
the Company, provided that such claim: 

    (i)  is
not solely based upon and does not arise solely out of acts or omissions of Indemnitee finally adjudged to be intentional misconduct or a knowing violation of
law; 

    (ii) is
not solely based upon and does not arise solely out of conduct of the Indemnitee finally adjudged to be in violation of RCW 23B.08.310; or 

    (iii) is
not based solely upon and does not arise solely out of any transaction with respect to which it was finally adjudged that Indemnitee personally received a
benefit in money, property or services to which he or she was not legally entitled. 

    (b) "Determination"
shall mean a determination, based upon the facts known at the time, made by: 

    (i)  the
Board of Directors of the Company, by the majority vote of a quorum consisting of directors who are not at the time parties to the action, suit or proceeding
in question; 

    (ii) if
such a quorum is not obtainable, by a majority vote of a committee duly designated by the Board of Directors, in which designation directors who are parties may 

participate, consisting solely of two or more directors not at the time parties to the action, suit or proceeding in question; 

    (iii) by
special legal counsel: (A) selected by the Board of Directors or its committee in the manner prescribed in (i) or (ii) of this subsection;
or (B) if a quorum of the Board of Directors cannot be obtained under (i) of this subsection and a committee cannot be designated under (ii) of this subsection, selected by a
majority vote of the full Board of Directors, in which selection directors who are parties may participate; 

    (iv) by
the shareholders, but shares owned by or voted under the control of directors who are at the time parties to the action, suit or proceeding in question may not
be voted on the determination; or 

    (v) by
a court of competent jurisdiction in a final, nonappealable adjudication. 

    (c) "Payment"
shall mean any and all amounts that Indemnitee is or becomes legally obligated to pay in connection with a Covered Claim, including, without limitation,
damages, judgments, amounts paid in settlement, reasonable costs of investigation, reasonable fees of attorneys, costs of investigative, judicial or administrative proceedings or appeals, and costs of
attachment or similar bonds. 

    Section 2.
Indemnification. The Company shall indemnify and hold harmless Indemnitee against and from any and all Payments to
the extent that: 

    (a) the
Company shall not have advanced expenses to Indemnitee pursuant to the provisions of the Company's Articles of Incorporation or otherwise and no determination
shall have been made pursuant to such Article or the WBCA that the Indemnitee is not entitled to indemnification; 

    (b) Indemnitee
shall not already have received payment on account of such Payments pursuant to one or more valid and collectible insurance policies; and 

    (c) such
indemnification by the Company is not unlawful. 

Notwithstanding
anything contained in this Agreement to the contrary, except for proceedings to enforce rights to indemnification or advancement of expenses pursuant to Section 4 hereof, the
Company shall have no obligation to indemnify Indemnitee in connection with a proceeding (or part thereof) initiated by Indemnitee unless such proceeding (or part thereof) was authorized or consented
to by the Board of Directors of the Company. Further, the Company shall have no obligation to indemnify Indemnitee under this Indemnity Agreement for any amounts paid in a settlement of any action,
suit or proceeding effected without the Company's prior written consent, which consent shall not be unreasonably withheld. The Company shall not settle any claim in any manner that would impose any
obligation on Indemnitee without Indemnitee's prior written consent. Indemnitee shall not unreasonably withhold his consent to any proposed settlement. 

    Section 3.
Indemnification Procedure; Advancements of Costs and Expenses.

    (a) Promptly
after receipt by Indemnitee of notice of the commencement or threat of any action, suit or proceeding, Indemnitee shall, if indemnification with respect
thereto may be sought from the Company under this Indemnity Agreement, notify the Company thereof in writing. 

    (b) If,
at the time of receipt of such notice the Company has directors' and officers' liability insurance in effect, the Company shall give prompt notice of the
commencement of such action, suit or proceeding to the insurers in accordance with the procedures set forth in the respective policies in favor of Indemnitee. The Company shall thereafter take all
necessary or desirable action to cause such insurers to pay, on behalf of Indemnitee, all Payments payable as a result of such action, suit or proceeding in accordance with the terms of such policies. 

    (c) All
costs and expenses, including reasonable fees of attorneys, incurred by Indemnitee in defending or investigating such action, suit or proceeding shall be paid
by the Company in advance 

of the final disposition of such action, suit or proceeding; provided, however, that no such costs or expenses shall be paid by the Company if, with
respect to such action, suit or proceeding, a Determination is made that: 

    (i)  Indemnitee
did not act in good faith and in a manner Indemnitee reasonably believed (A) in the case of conduct in Indemnitee's official capacity with the
Company, to be in best interests of the Company and (B) in all other cases, not opposed to the best interests of the Company; or 

    (ii) in
the case of any criminal action or proceeding, Indemnitee had reasonable cause to believe his or her conduct was unlawful. 

Indemnitee
hereby undertakes and agrees that he or she will repay the Company for any costs or expenses advanced by or on behalf of the Company pursuant to this Section 3(c) if it shall
ultimately be determined by a court of competent jurisdiction in a final, nonappealable adjudication that Indemnitee is not entitled to indemnification under this Indemnity Agreement. 

    (d) If
the Company shall advance the costs and expenses of any such action, suit or proceeding pursuant to Section 3(c) of this Indemnity Agreement, it shall be
entitled to assume the defense of such action, suit or proceeding, if appropriate, with counsel reasonably satisfactory to Indemnitee, upon delivery to
Indemnitee of written notice of its election so to do. After delivery of such notice, the Company shall not be liable to Indemnitee under this Indemnity Agreement for any costs or expenses
subsequently incurred by Indemnitee in connection with such defense other than reasonable cost and expenses of investigation; provided, however, that: 

    (i)  Indemnitee
shall have the right to employ separate counsel in any such action, suit or proceeding provided that the fees and expenses of such counsel incurred
after delivery of notice by the Company of its assumption of such defense shall be at Indemnitee's own expense; and 

    (ii) the
fees and expenses of counsel employed by Indemnitee shall be at the expense of the Company if (A) the employment of counsel by Indemnitee has previously
been authorized by the Company, (B) Indemnitee shall have reasonably concluded that there may be a conflict of interest between the Company and Indemnitee in the conduct of any such defense
(provided that the Company shall not be required to pay for more than one counsel to represent two or more Indemnitees where such Indemnitees have reasonably concluded that there is no conflict of
interest among them in the conduct of such defense), or (C) the Company shall not, in fact, have employed counsel to assume the defense of such action, suit or proceeding. 

    (e) All
payments on account of the Company's advancement obligations under Section 3(c) of this Indemnity Agreement shall be made within twenty (20) days
of Indemnitee's written request therefor. All other payments on account of the Company's obligations under this Indemnity Agreement shall be made within sixty (60) days of Indemnitee's written
request therefor, unless a Determination is made that the claims giving rise to Indemnitee's request are not payable under this Indemnity Agreement. Each request for payment hereunder shall be
accompanied by evidence reasonably satisfactory to the Company of Indemnitee's incurrence of the costs and expenses for which such payment is sought. 

    Section 4.
Enforcement of Indemnification; Burden of Proof. If a claim for indemnification or advancement of costs and expenses
under this Indemnity Agreement is not paid in full by or on behalf of the Company within the time period specified in Section 3(e) of this Indemnity Agreement, Indemnitee may at any time
thereafter bring suit against the Company to recover the unpaid amount of such claim. In any such action, the Company shall have the burden of proving that indemnification is not required under this
Indemnity Agreement. 

    Section 5.
Employee Benefit Plans. The term "other enterprises," as used in this Indemnity Agreement, shall include employee
benefit plans. All references in this Indemnity Agreement to 

"serving ... at the Company's request" shall include any service by Indemnitee as a director, officer, employee and/or agent of the Company which imposes duties on, or involves services
by, Indemnitee with respect to an employee benefit plan, its participants or beneficiaries. If Indemnitee acts in good faith and in a manner he or she reasonably believes to be in the interests of the
participants and beneficiaries of an employee benefit plan, then, for purposes of Section 3(c)(i) hereof, Indemnitee shall
be deemed to have acted in a manner he or she "reasonably believed to be in the best interests of the Company." 

    Section 6.
Rights Not Exclusive. The rights to indemnification and advancement of costs and expenses provided hereunder shall
not be deemed exclusive of any other rights to which Indemnitee may be entitled under any charter document, bylaw, agreement, vote of stockholders or disinterested directors or otherwise. 

    Section 7.  Subrogation. In the event of payment under this Indemnity Agreement by or on behalf of the Company, the Company shall
be subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall execute all papers that may be required and shall do all things that may be necessary to secure
such rights, including, without limitation, the execution of such documents as may be necessary to enable the Company effectively to bring suit to enforce such rights. 

    Section 8.
Choice of Law. This Indemnity Agreement shall be governed by and construed and enforced in accordance with the laws
of the State of Washington. 

    Section 9.  Attorneys' Fees. If any action, suit or proceeding is commenced in connection with or related to this Indemnity
Agreement, the prevailing party shall be entitled to have its costs expenses, including, without limitation, reasonable fees of attorneys and reasonable expenses of investigation, paid by the losing
party. 

    Section 10.
Severability. In the event that any provision of this Indemnity Agreement is determined by a court to require the
Company to do or to fail to do an action that is in violation of any applicable law, such provision shall be limited or modified in its application to the minimum extent necessary to avoid a violation
of law, and, as so limited or modified, such provision and the balance of this Indemnity Agreement shall be enforceable in accordance with their terms. 

    Section 11.
Successors and Assigns. This Indemnity Agreement shall be binding upon all successors and assigns of the Company,
including any transferee of all or substantially all of its assets and any successor by merger or otherwise by operation of law, and shall be binding upon and inure to the benefit of the heirs,
executors and administrators of Indemnitee. 

    Section 12.
Descriptive Headings. The descriptive headings in this Indemnity Agreement are included for the convenience of the
parties only and shall not affect the construction of this Indemnity Agreement. 

    Section 13.  Counterparts. This Indemnity Agreement may be executed in two counterparts, both of which taken together shall
constitute one document. 

    Section 14.
Amendment. No amendment, modification, termination or cancellation of this Indemnity Agreement shall be effective
unless made in writing and signed by each of the parties hereto. 

    IN WITNESS WHEREOF, the Company and Indemnitee have executed this Indemnity Agreement as of the day and year first above written. 

	 	 	T.J.T., INC.
	

 	
 	

/s/ TERRENCE J. SHELDON   
 Terrence Sheldon, President & CEO
	

 	
 	

INDEMNITEE
	

 	
 	

/s/ JOE LIGHT   
 Joe Light

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INDEMNITY AGREEMENT

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