Document:

exhibit_10-6.htm

    
      

    

    EXHIBIT
      10.6

     

    INVESTOR
      REGISTRATION RIGHTS
      AGREEMENT

     

    THIS
      REGISTRATION RIGHTS
      AGREEMENT (this “Agreement”),
      dated as
      of December 31, 2007, by and among C-MARK INTERNATIONAL, INC.,
a
      South Carolina corporation, with its principal office located at 4130 E. Van
      Buren, Suite 325, Phoenix, AZ 85008 (the “Company”), and the
      undersigned investors (each, an “Investor” and
      collectively, the “Investors”).

     

    WHEREAS:

     

    A.           
      In connection with the Securities Purchase Agreement by and among the parties
      hereto of even date herewith (the “Securities
      Purchase
      Agreement”), the Company has agreed, upon the terms and subject to the
      conditions of the Securities Purchase Agreement, to issue and sell to the
      Investors secured convertible debentures (the “Convertible
      Debentures”) which shall be convertible into that number of shares of the
      Company’s common stock, par value US$.0001 per share (the “Common Stock”),
      pursuant to the terms of the Securities Purchase  Agreement for an
      aggregate purchase price of up to Three Million Five Hundred Thousand U.S.
      Dollars ($3,500,000).  Capitalized terms not defined herein shall
      have the meaning ascribed to them in the Securities Purchase
      Agreement.

     

    B.           
      To induce the Investors to execute and deliver the Securities Purchase
      Agreement, the Company has agreed to provide certain registration rights under
      the Securities Act of 1933, as amended, and the rules and regulations there
      under, or any similar successor statute (collectively, the “1933 Act”), and
      applicable state securities laws.

     

    NOW,
      THEREFORE, in
      consideration of the premises and the mutual covenants contained herein and
      other good and valuable consideration, the receipt and sufficiency of which
      are
      hereby acknowledged, the Company and the Investors hereby agree as
      follows:

     

    1.           
      DEFINITIONS.

     

    As
      used
      in this Agreement, the following terms shall have the following
      meanings:

     

    (a)           
      “Person” means
      a corporation, a limited liability company, an association, a partnership,
      an
      organization, a business, an individual, a governmental or political subdivision
      thereof or a governmental agency.

     

    (b)           
      “Register,”
“registered,”
      and “registration” refer
      to a registration effected by preparing and filing one or more Registration
      Statements (as defined below) in compliance with the 1933 Act and pursuant
      to
      Rule 415 under the 1933 Act or any successor rule providing for offering
      securities on a continuous or delayed basis (“Rule 415”), and the
      declaration or ordering of effectiveness of such Registration Statement(s)
      by
      the United States Securities and Exchange SEC (the “SEC”).

     

    

    
      
        
          
          

        

        
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    (c)           
      “Registrable
      Securities” means the shares of Common Stock issuable to Investors upon
      conversion of the Convertible Debentures pursuant to the Securities Purchase
      Agreement dated the date hereof.

     

    (d)           
      “Registration
      Statement” means a registration statement under the 1933 Act which covers
      the Registrable Securities.

     

    2.           
      REGISTRATION.

     

    (a)           
      Subject to the terms and conditions of this Agreement, the Company shall prepare
      and file, no later than thirty (30) days from the date hereof (the “Scheduled Filing
      Deadline”), with the SEC a registration statement on Form S-1 or SB-2
      (or, if the Company is then eligible, on Form S-3) under the 1933 Act (the
      “Initial Registration
      Statement”) for the registration for the resale by all Investors who
      purchased Convertible Debentures pursuant to the Securities Purchase Agreement
      shares of Common Stock representing at least five (5) times the number of shares
      which are anticipated to be issued upon conversion of the Convertible Debentures
      issued pursuant to the Securities Purchase Agreement and the Investor’s
      Shares.  The Company shall cause the Registration Statement to remain
      effective until all of the Registrable Securities have been
      sold.  Prior to the filing of the Registration Statement with the SEC,
      the Company shall furnish a copy of the Initial Registration Statement to the
      Investors and James G. Dodrill II, P.A. for their review and
      comment.  The Investors and James G. Dodrill II, P.A. shall furnish
      comments on the Initial Registration Statement to the Company by the later
      of:
      (a) seventy-two (72) hours of the receipt thereof from the Company and (b)
      the
      close of the third business day following receipt thereof from the
      Company.

     

    (b)           
      Effectiveness of
      the
      Initial Registration Statement.  The Company shall use its best
      its best efforts (i) to have the Initial Registration Statement declared
      effective by the SEC no later than ninety (90) days after the date hereof (the
      “Scheduled Effective
      Deadline”) and (ii) to insure that the Initial Registration Statement and
      any subsequent Registration Statement remains in effect until all of the
      Registrable Securities have been sold, subject to the terms and conditions
      of
      this Agreement.  It shall be an event of default hereunder if the
      Initial Registration Statement is not declared effective by the SEC within
      ninety (90) days after filing thereof.

     

    (c)           
      Failure to File
      or
      Obtain Effectiveness of the Registration Statement.  In the
      event the Registration Statement is not filed by the Scheduled Filing Deadline
      or is not declared effective by the SEC on or before the Scheduled Effective
      Date, or if after the Registration Statement has been declared effective by
      the
      SEC, sales cannot be made pursuant to the Registration Statement (whether
      because of a failure to keep the Registration Statement effective, failure
      to
      disclose such information as is necessary for sales to be made pursuant to
      the
      Registration Statement, failure to register sufficient shares of Common Stock
      or
      otherwise then as partial relief for the damages to any holder of Registrable
      Securities by reason of any such delay in or reduction of its ability to sell
      the underlying shares of Common Stock (which remedy shall not be exclusive
      of
      any other remedies at law or in equity), the Company will pay as liquidated
      damages (the “Liquidated Damages”)
      to the holder, at the holder’s option, either a cash amount or shares of the
      Company’s Common Stock within three (3) business days, after demand therefore,
      equal to two percent (2%) of the liquidated value of the Convertible Debentures
      outstanding as Liquidated Damages for each thirty (30) day period after the
      Scheduled Filing Deadline or the Scheduled Effective Date as the case may be
      provided that in no event will liquidated damages exceed fifteen percent
      (15%).

     

    

    
      
        
          
          

        

        
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    (d)           
      Liquidated
      Damages.  The Company and the Investor hereto acknowledge and
      agree that the sums payable under subsection 2(c) above shall constitute
      liquidated damages and not penalties and are in addition to all other rights
      of
      the Investor, including the right to call a default.  The parties
      further acknowledge that (i) the amount of loss or damages likely to be incurred
      is incapable or is difficult to precisely estimate, (ii) the amounts specified
      in such subsections bear a reasonable relationship to, and are not plainly
      or
      grossly disproportionate to, the probable loss likely to be incurred in
      connection with any failure by the Company to obtain or maintain the
      effectiveness of a Registration Statement, (iii) one of the reasons for the
      Company and the Investor reaching an agreement as to such amounts was the
      uncertainty and cost of litigation regarding the question of actual damages,
      and
      (iv) the Company and the Investor are sophisticated business parties and have
      been represented by sophisticated and able legal counsel and negotiated this
      Agreement at arm’s length.

     

    3.           
      RELATED
      OBLIGATIONS.

     

    (a)           
      The Company shall keep the Registration Statement effective pursuant to
      Rule 415 at all times until the date on which the Investor shall have sold
      all the Registrable Securities covered by such Registration Statement (the
      “Registration
      Period”), which Registration Statement (including any amendments or
      supplements thereto and prospectuses contained therein) shall not contain any
      untrue statement of a material fact or omit to state a material fact required
      to
      be stated therein, or necessary to make the statements therein, in light of
      the
      circumstances in which they were made, not misleading.

     

    (b)           
      The Company shall prepare and file with the SEC such amendments (including
      post-effective amendments) and supplements to a Registration Statement and
      the
      prospectus used in connection with such Registration Statement, which prospectus
      is to be filed pursuant to Rule 424 promulgated under the 1933 Act, as may
      be
      necessary to keep such Registration Statement effective at all times during
      the
      Registration Period, and, during such period, comply with the provisions of
      the
      1933 Act with respect to the disposition of all Registrable Securities of the
      Company covered by such Registration Statement until such time as all of such
      Registrable Securities shall have been disposed of in accordance with the
      intended methods of disposition by the seller or sellers thereof as set forth
      in
      such Registration Statement.  In the case of amendments and
      supplements to a Registration Statement which are required to be filed pursuant
      to this Agreement (including pursuant to this Section 3(b)) by reason of the
      Company’s filing a report on Form 10-KSB, Form 10-QSB or Form 8-K or any
      analogous report under the Securities Exchange Act of 1934, as amended (the
      “1934 Act”),
      the Company shall incorporate such report by reference into the Registration
      Statement, if applicable, or shall file such amendments or supplements with
      the
      SEC on the same day on which the 1934 Act report is filed which created the
      requirement for the Company to amend or supplement the Registration
      Statement.

     

    (c)           
      The Company shall furnish to each Investor whose Registrable Securities are
      included in any Registration Statement, without charge, (i) at least one (1)
      copy of such Registration Statement as declared effective by the SEC and any
      amendment(s) thereto, including financial statements and schedules, all
      documents incorporated therein by reference, all exhibits and each preliminary
      prospectus, (ii) ten (10) copies of the final prospectus included in such
      Registration Statement and all amendments and supplements thereto (or such
      other
      number of copies as such Investor may reasonably request in writing) and (iii)
      such other documents as such Investor may reasonably request in writing from
      time to time in order to facilitate the disposition of the Registrable
      Securities owned by such Investor.

    

    
      
        
          
          

        

        
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    (d)           
      The Company shall use its best efforts to (i) register and qualify the
      Registrable Securities covered by a Registration Statement under such other
      securities or “blue sky” laws of such jurisdictions in the United States as any
      Investor reasonably requests, (ii) prepare and file in those jurisdictions,
      such amendments (including post-effective amendments) and supplements to such
      registrations and qualifications as may be necessary to maintain the
      effectiveness thereof during the Registration Period, (iii) take such other
      actions as may be necessary to maintain such registrations and qualifications
      in
      effect at all times during the Registration Period, and (iv) take all other
      actions reasonably necessary or advisable to qualify the Registrable Securities
      for sale in such jurisdictions; provided, however, that the Company shall not
      be
      required in connection therewith or as a condition thereto to (w) make any
      change to its certificate of incorporation or by-laws, (x) qualify to do
      business in any jurisdiction where it would not otherwise be required to qualify
      but for this Section 3(d), (y) subject itself to general taxation in any such
      jurisdiction, or (z) file a general consent to service of process in any such
      jurisdiction.  The Company shall promptly notify each Investor who
      holds Registrable Securities of the receipt by the Company of any notification
      with respect to the suspension of the registration or qualification of any
      of
      the Registrable Securities for sale under the securities or “blue sky” laws of
      any jurisdiction in the United States or its receipt of actual notice of the
      initiation or threat of any proceeding for such purpose.

     

    (e)           
      As promptly as practicable after becoming aware of such event or development,
      the Company shall notify each Investor in writing of the happening of any event
      as a result of which the prospectus included in a Registration Statement, as
      then in effect, includes an untrue statement of a material fact or omission
      to
      state a material fact required to be stated therein or necessary to make the
      statements therein, in light of the circumstances under which they were made,
      not misleading (provided that in no event shall such notice contain any
      material, nonpublic information), and promptly prepare a supplement or amendment
      to such Registration Statement to correct such untrue statement or omission,
      and
      deliver ten (10) copies of such supplement or amendment to each Investor. The
      Company shall also promptly notify each Investor in writing (i) when a
      prospectus or any prospectus supplement or post-effective amendment has been
      filed, and when a Registration Statement or any post-effective amendment has
      become effective (notification of such effectiveness shall be delivered to
      each
      Investor by facsimile on the same day of such effectiveness), (ii) of any
      request by the SEC for amendments or supplements to a Registration Statement
      or
      related prospectus or related information, and (iii) of the Company’s
      reasonable determination that a post-effective amendment to a Registration
      Statement would be appropriate.

     

    (f)           
      The Company shall use its best efforts to prevent the issuance of any stop
      order
      or other suspension of effectiveness of a Registration Statement, or the
      suspension of the qualification of any of the Registrable Securities for sale
      in
      any jurisdiction within the United States of America and, if such an order
      or
      suspension is issued, to obtain the withdrawal of such order or suspension
      at
      the earliest possible moment and to notify each Investor who holds Registrable
      Securities being sold of the issuance of such order and the resolution thereof
      or its receipt of actual notice of the initiation or threat of any proceeding
      for such purpose.

     

    

    
      
        
          
          

        

        
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    (g)           
      At the reasonable written request of any Investor, the Company shall furnish
      to
      such Investor, on the date of the effectiveness of the Registration Statement
      and thereafter from time to time on such dates as an Investor may reasonably
      request (i) a letter, dated such date, from the Company’s independent certified
      public accountants in form and substance as is customarily given by independent
      certified public accountants to underwriters in an underwritten public offering,
      and (ii) an opinion, dated as of such date, of counsel representing the Company
      for purposes of such Registration Statement, in form, scope and substance as
      is
      customarily given in an underwritten public offering, addressed to the
      Investors.

     

    (h)           
      Upon written request, the Company shall make available for inspection by (i)
      any
      Investor and (ii) one (1) firm of accountants or other agents retained by
      the Investors (collectively, the “Inspectors”) all
      pertinent financial and other records, and pertinent corporate documents and
      properties of the Company (collectively, the “Records”), as shall
      be reasonably deemed necessary by each Inspector, and cause the Company’s
      officers, directors and employees to supply all information which any Inspector
      may reasonably request in writing; provided, however, that each Inspector shall
      agree, and each Investor hereby agrees, to hold in strict confidence and shall
      not make any disclosure (except to an Investor) or use  any Record or
      other information which the Company determines in good faith to be confidential,
      and of which determination the Inspectors are so notified, unless (a) the
      disclosure of such Records is necessary to avoid or correct a misstatement
      or
      omission in any Registration Statement or is otherwise required under the 1933
      Act, (b) the release of such Records is ordered pursuant to a final,
      non-appealable subpoena or order from a court or government body of competent
      jurisdiction, or (c) the information in such Records has been made generally
      available to the public other than by disclosure in violation of this or any
      other agreement of which the Inspector and the Investor has
      knowledge.  Each Investor agrees that it shall, upon learning that
      disclosure of such Records is sought in or by a court or governmental body
      of
      competent jurisdiction or through other means, give prompt notice to the Company
      and allow the Company, at its expense, to undertake appropriate action to
      prevent disclosure of, or to obtain a protective order for, the Records deemed
      confidential.

     

    (i)           
      The Company shall hold in confidence and not make any disclosure of information
      concerning an Investor provided to the Company unless (i) disclosure of such
      information is necessary to comply with federal or state securities laws, (ii)
      the disclosure of such information is necessary to avoid or correct a
      misstatement or omission in any Registration Statement, (iii) the release of
      such information is ordered pursuant to a subpoena or other final,
      non-appealable order from a court or governmental body of competent
      jurisdiction, or (iv) such information has been made generally available to
      the
      public other than by disclosure in violation of this Agreement or any other
      agreement. The Company agrees that it shall, upon learning that disclosure
      of
      such information concerning an Investor is sought in or by a court or
      governmental body of competent jurisdiction or through other means, give prompt
      written notice to such Investor and allow such Investor, at the Investor’s
      expense, to undertake appropriate action to prevent disclosure of, or to obtain
      a protective order for, such information.

     

    

    
      
        
          
          

        

        
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    (j)           
      The Company shall use its best efforts either to cause all the Registrable
      Securities covered by a Registration Statement (i) to be listed on each
      securities exchange on which securities of the same class or series issued
      by
      the Company are then listed, if any, if the listing of such Registrable
      Securities is then permitted under the rules of such exchange or (ii) the
      inclusion for quotation on the National Association of Securities Dealers,
      Inc.
      OTC Bulletin Board for such Registrable Securities.  The Company shall
      pay all fees and expenses in connection with satisfying its obligation under
      this Section 3(j).

     

    (k)           
      The Company shall cooperate with the Investors who hold Registrable Securities
      being offered and, to the extent applicable, to facilitate the timely
      preparation and delivery of certificates (not bearing any restrictive legend)
      representing the Registrable Securities to be offered pursuant to a Registration
      Statement and enable such certificates to be in such denominations or amounts,
      as the case may be, as the Investors may reasonably request in writing and
      registered in such names as the Investors may request.

     

    (l)           
      The Company shall use its best efforts to cause the Registrable Securities
      covered by the applicable Registration Statement to be registered with or
      approved by such other governmental agencies or authorities as may be necessary
      to consummate the disposition of such Registrable Securities.

     

    (m)           
      The Company shall make generally available to its security holders as soon
      as
      practical, but not later than ninety (90) days after the close of the period
      covered thereby, an earnings statement (in form complying with the provisions
      of
      Rule 158 under the 1933 Act) covering a twelve (12) month period beginning
      not
      later than the first day of the Company’s fiscal quarter next following the
      effective date of the Registration Statement.

     

    (n)           
      The Company shall otherwise use its best efforts to comply with all applicable
      rules and regulations of the SEC in connection with any registration
      hereunder.

     

    (o)           
      Within two (2) business days after a Registration Statement which covers
      Registrable Securities is declared effective by the SEC, the Company shall
      deliver, and shall cause legal counsel for the Company to deliver, to the
      transfer agent for such Registrable Securities (with copies to the Investors
      whose Registrable Securities are included in such Registration Statement)
      confirmation that such Registration Statement has been declared effective by
      the
      SEC in the form attached hereto as Exhibit
      A.

     

    (p)           
      The Company shall take all other reasonable actions necessary to expedite and
      facilitate the lawful disposition by the Investors of Registrable Securities
      pursuant to a Registration Statement.

     

    (q)           
      The Company shall use a law firm recommended by the Investors for the
      preparation of the Registration Statement.

     

    

    
      
        
          
          

        

        
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      4.           
        OBLIGATIONS OF
        THE
        INVESTORS.

       

    

    Each
      Investor agrees that, upon receipt of any notice from the Company of the
      happening of any event of the kind described in Section 3(f) or the first
      sentence of 3(e), such Investor will immediately discontinue disposition of
      Registrable Securities pursuant to any Registration Statement(s) covering such
      Registrable Securities until such Investor’s receipt of the copies of the
      supplemented or amended prospectus contemplated by Section 3(e) or receipt
      of
      notice that no supplement or amendment is required.  Notwithstanding
      anything to the contrary, the Company shall cause its transfer agent to deliver
      unlegended certificates for shares of Common Stock to a transferee of an
      Investor in accordance with the terms of the Securities Purchase Agreement
      in
      connection with any sale of Registrable Securities with respect to which an
      Investor has entered into a contract for sale prior to the Investor’s receipt of
      a notice from the Company of the happening of any event of the kind described
      in
      Section 3(f) or the first sentence of 3(e) and for which the Investor has not
      yet settled.

     

    5.           
      EXPENSES OF
      REGISTRATION.

     

    All
      expenses incurred in connection with registrations, filings or qualifications
      pursuant to Sections 2 and 3, including, without limitation, all registration,
      listing and qualifications fees, printers, legal and accounting fees shall
      be
      paid by the Company.

     

    6.           
      INDEMNIFICATION.

     

    With
      respect to Registrable Securities which are included in a Registration Statement
      under this Agreement:

     

    (a)           
      To the fullest extent permitted by law, the Company will, and hereby does,
      indemnify, hold harmless and defend each Investor, the directors, officers,
      partners, employees, agents, representatives of, and each Person, if any, who
      controls any Investor within the meaning of the 1933 Act or the 1934 Act (each,
      an “Indemnified
      Person”), against any losses, claims, damages, liabilities, judgments,
      fines, penalties, charges, costs, reasonable attorneys’ fees, amounts paid in
      settlement or expenses, joint or several (collectively, “Claims”) incurred
      in
      investigating, preparing or defending any action, claim, suit, inquiry,
      proceeding, investigation or appeal taken from the foregoing by or before any
      court or governmental, administrative or other regulatory agency, body or the
      SEC, whether pending or threatened, whether or not an indemnified party is
      or
      may be a party thereto (“Indemnified
      Damages”), to which any of them may become subject insofar as such Claims
      (or actions or proceedings, whether commenced or threatened, in respect thereof)
      arise out of or are based upon: (i) any untrue statement or alleged untrue
      statement of a material fact in a Registration Statement or any post-effective
      amendment thereto or in any filing made in connection with the qualification
      of
      the offering under the securities or other “blue sky” laws of any jurisdiction
      in which Registrable Securities are offered (“Blue Sky Filing”), or
      the omission or alleged omission to state a material fact required to be stated
      therein or necessary to make the statements therein not misleading; (ii) any
      untrue statement or alleged untrue statement of a material fact contained in
      any
      final prospectus (as amended or supplemented, if the Company files any amendment
      thereof or supplement thereto with the SEC) or the omission or alleged omission
      to state therein any material fact necessary to make the statements made
      therein, in light of the circumstances under which the statements therein were
      made, not misleading; or (iii) any violation or alleged violation by the Company
      of the 1933 Act, the 1934 Act, any other law, including, without limitation,
      any
      state securities law, or any rule or regulation there under relating to the
      offer or sale of the Registrable Securities pursuant to a Registration Statement
      (the matters in the foregoing clauses (i) through (iii) being, collectively,
      “Violations”).  The
      Company shall reimburse the Investors and each such controlling person promptly
      as such expenses are incurred and are due and payable, for any legal fees or
      disbursements or other reasonable expenses incurred by them in connection with
      investigating or defending any such Claim.  Notwithstanding anything
      to the contrary contained herein, the indemnification agreement contained in
      this Section 6(a): (x) shall not apply to a Claim by an Indemnified Person
      arising out of or based upon a Violation which occurs in reliance upon and
      in
      conformity with information furnished in writing to the Company by such
      Indemnified Person expressly for use in connection with the preparation of
      the
      Registration Statement or any such amendment thereof or supplement thereto;
      (y)
      shall not be available to the extent such Claim is based on a failure of the
      Investor to deliver or to cause to be delivered the prospectus made available
      by
      the Company, if such prospectus was timely made available by the Company
      pursuant to Section 3(c); and (z) shall not apply to amounts paid in
      settlement of any Claim if such settlement is effected without the prior written
      consent of the Company, which consent shall not be unreasonably withheld. Such
      indemnity shall remain in full force and effect regardless of any investigation
      made by or on behalf of the Indemnified Person and shall survive the transfer
      of
      the Registrable Securities by the Investors pursuant to Section 9
      hereof.

    

    
      
        
          
          

        

        
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    (b)           
      In connection with a Registration Statement, each Investor agrees to severally
      and not jointly indemnify, hold harmless and defend, to the same extent and
      in
      the same manner as is set forth in Section 6(a), the Company, each of its
      directors, each of its officers, employees, representatives, or agents and
      each
      Person, if any, who controls the Company within the meaning of the 1933 Act
      or
      the 1934 Act (each an “Indemnified Party”),
      against any Claim or Indemnified Damages to which any of them may become
      subject, under the 1933 Act, the 1934 Act or otherwise, insofar as such Claim
      or
      Indemnified Damages arise out of or is based upon any Violation, in each case
      to
      the extent, and only to the extent, that such Violation occurs in reliance
      upon
      and in conformity with written information furnished to the Company by such
      Investor expressly for use in connection with such Registration Statement;
      and,
      subject to Section 6(d), such Investor will reimburse any legal or other
      expenses reasonably incurred by them in connection with investigating or
      defending any such Claim; provided, however, that the indemnity agreement
      contained in this Section 6(b) and the agreement with respect to contribution
      contained in Section 7 shall not apply to amounts paid in settlement of any
      Claim if such settlement is effected without the prior written consent of such
      Investor, which consent shall not be unreasonably withheld; provided, further,
      however, that the Investor shall be liable under this Section 6(b) for only
      that
      amount of a Claim or Indemnified Damages as does not exceed the net proceeds
      to
      such Investor as a result of the sale of Registrable Securities pursuant to
      such
      Registration Statement.  Such indemnity shall remain in full force and
      effect regardless of any investigation made by or on behalf of such Indemnified
      Party and shall survive the transfer of the Registrable Securities by the
      Investors pursuant to Section 9.  Notwithstanding anything to the
      contrary contained herein, the indemnification agreement contained in this
      Section 6(b) with respect to any prospectus shall not inure to the benefit
      of
      any Indemnified Party if the untrue statement or omission of material fact
      contained in the prospectus was corrected and such new prospectus was delivered
      to each Investor prior to such Investor’s use of the prospectus to which the
      Claim relates.

     

     

    

    
      
        
          
          

        

        
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    (c)           
      Promptly after receipt by an Indemnified Person or Indemnified Party under
      this
      Section 6 of notice of the commencement of any action or proceeding (including
      any governmental action or proceeding) involving a Claim, such Indemnified
      Person or Indemnified Party shall, if a Claim in respect thereof is to be made
      against any indemnifying party under this Section 6, deliver to the indemnifying
      party a written notice of the commencement thereof, and the indemnifying party
      shall have the right to participate in, and, to the extent the indemnifying
      party so desires, jointly with any other indemnifying party similarly noticed,
      to assume control of the defense thereof with counsel mutually satisfactory
      to
      the indemnifying party and the Indemnified Person or the Indemnified Party,
      as
      the case may be; provided, however, that an Indemnified Person or Indemnified
      Party shall have the right to retain its own counsel with the fees and expenses
      of not more than one (1) counsel for such Indemnified Person or Indemnified
      Party to be paid by the indemnifying party, if, in the reasonable opinion of
      counsel retained by the indemnifying party, the representation by such counsel
      of the Indemnified Person or Indemnified Party and the indemnifying party would
      be inappropriate due to actual or potential differing interests between such
      Indemnified Person or Indemnified Party and any other party represented by
      such
      counsel in such proceeding. The Indemnified Party or Indemnified Person shall
      cooperate fully with the indemnifying party in connection with any negotiation
      or defense of any such action or claim by the indemnifying party and shall
      furnish to the indemnifying party all information reasonably available to the
      Indemnified Party or Indemnified Person which relates to such action or claim.
      The indemnifying party shall keep the Indemnified Party or Indemnified Person
      fully apprised at all times as to the status of the defense or any settlement
      negotiations with respect thereto. No indemnifying party shall be liable for
      any
      settlement of any action, claim or proceeding effected without its prior written
      consent; provided, however, that the indemnifying party shall not unreasonably
      withhold, delay or condition its consent. No indemnifying party shall, without
      the prior written consent of the Indemnified Party or Indemnified Person,
      consent to entry of any judgment or enter into any settlement or other
      compromise which does not include as an unconditional term thereof the giving
      by
      the claimant or plaintiff to such Indemnified Party or Indemnified Person of
      a
      release from all liability in respect to such claim or litigation. Following
      indemnification as provided for hereunder, the indemnifying party shall be
      subrogated to all rights of the Indemnified Party or Indemnified Person with
      respect to all third parties, firms or corporations relating to the matter
      for
      which indemnification has been made. The failure to deliver written notice
      to
      the indemnifying party within a reasonable time of the commencement of any
      such
      action shall not relieve such indemnifying party of any liability to the
      Indemnified Person or Indemnified Party under this Section 6, except to the
      extent that the indemnifying party is prejudiced in its ability to defend such
      action.

     

    (d)           
      The indemnification required by this Section 6 shall be made by periodic
      payments of the amount thereof during the course of the investigation or
      defense, as and when bills are received or Indemnified Damages are
      incurred.

     

    (e)           
      The indemnity agreements contained herein shall be in addition to (i) any
      cause of action or similar right of the Indemnified Party or Indemnified Person
      against the indemnifying party or others, and (ii) any liabilities the
      indemnifying party may be subject to pursuant to the law.

     

    

    
      
        
          
          

        

        
          9

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

     

    7.           
      CONTRIBUTION.

     

    To
      the
      extent any indemnification by an indemnifying party is prohibited or limited
      by
      law, the indemnifying party agrees to make the maximum contribution with respect
      to any amounts for which it would otherwise be liable under Section 6 to the
      fullest extent permitted by law; provided, however, that:  (i) no
      seller of Registrable Securities guilty of fraudulent misrepresentation (within
      the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution
      from any seller of Registrable Securities who was not guilty of fraudulent
      misrepresentation; and (ii) contribution by any seller of Registrable Securities
      shall be limited in amount to the net amount of proceeds received by such seller
      from the sale of such Registrable Securities.

     

    8.           
      REPORTS UNDER THE
      1934
      ACT.

     

    With
      a
      view to making available to the Investors the benefits of Rule 144 promulgated
      under the 1933 Act or any similar rule or regulation of the SEC that may at
      any
      time permit the Investors to sell securities of the Company to the public
      without registration (“Rule 144”) the
      Company agrees to:

     

    (a)           
      make and keep public information available, as those terms are understood and
      defined in Rule 144;

     

    (b)           
      file with the SEC in a timely manner all reports and other documents required
      of
      the Company under the 1933 Act and the 1934 Act so long as the Company remains
      subject to such requirements (it being understood that nothing herein shall
      limit the Company’s obligations under Section 4(c) of the Securities Purchase
      Agreement) and the filing of such reports and other documents as are required
      by
      the applicable provisions of Rule 144; and

     

    (c)           
      furnish to each Investor so long as such Investor owns Registrable Securities,
      promptly upon written request, (i) a written statement by the Company that
      it
      has complied with the reporting requirements of Rule 144, the 1933 Act and
      the
      1934 Act, (ii) a copy of the most recent annual or quarterly report of the
      Company and such other reports and documents so filed by the Company, and (iii)
      such other information as may be reasonably requested to permit the Investors
      to
      sell such securities pursuant to Rule 144 without registration.

     

    9.           
      AMENDMENT OF
      REGISTRATION RIGHTS.

     

    Provisions
      of this Agreement may be amended and the observance thereof may be waived
      (either generally or in a particular instance and either retroactively or
      prospectively), only with the written consent of the Company and Investors
      who
      then hold at least two-thirds (2/3) of the Registrable
      Securities.  Any amendment or waiver effected in accordance with this
      Section 9 shall be binding upon each Investor and the
      Company.  No such amendment shall be effective to the extent that it
      applies to fewer than all of the holders of the Registrable
      Securities.  No consideration shall be offered or paid to any Person
      to amend or consent to a waiver or modification of any provision of any of
      this
      Agreement unless the same consideration also is offered to all of the parties
      to
      this Agreement.

     

    

    
      
        
          
          

        

        
          10

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    10.           
      MISCELLANEOUS.

     

    (a)           
      A Person is deemed to be a holder of Registrable Securities whenever such Person
      owns or is deemed to own of record such Registrable Securities. If the Company
      receives conflicting instructions, notices or elections from two (2) or more
      Persons with respect to the same Registrable Securities, the Company shall
      act
      upon the basis of instructions, notice or election received from the registered
      owner of such Registrable Securities.

     

    (b)           
      Any notices, consents, waivers or other communications required or permitted
      to
      be given under the terms of this Agreement must be in writing and will be deemed
      to have been delivered: (i) upon receipt, when delivered personally; (ii) upon
      receipt, when sent by facsimile (provided confirmation of transmission is
      mechanically or electronically generated and kept on file by the sending party);
      or (iii) one (1) business day after deposit with a nationally recognized
      overnight delivery service, in each case properly addressed to the party to
      receive the same. The addresses and facsimile numbers for such communications
      shall be:

     

    
      	
              If
                to the Company, to:

            	
              C-Mark
                International, Inc..

            
	 	
              4130
                E. Van Buren, Suite 325

            
	 	
              Phoenix,
                AZ 85008

            
	 	
              Attn:
                Mr. Charles Jones, CEO

            
	 	
              Telephone:
                (602) 443-8640

            
	 	
              Facsimile:
                (602) 443-8646

            
	 	 
	
              With
                a copy to:

            	
              The
                O’Neal Law Firm, P.C.

            
	 	
              17100
                E. Shea Blvd., Suite 400-D

            
	 	
              Fountain
                Hills, AZ  85268

            
	 	
              Attention:  William
                D. O’Neal, Esq.

            
	 	
              Telephone:
                (480) 812-5058

            
	 	
              Facsimile:
                (480) 816-9241

            
	 	 

    

    If
      to an
      Investor, to its address and facsimile number on the Schedule of Investors
      attached hereto, with copies to such Investor’s representatives as set forth on
      the Schedule of Investors or to such other address and/or facsimile number
      and/or to the attention of such other person as the recipient party has
      specified by written notice given to each other party five (5) days prior to
      the
      effectiveness of such change.  Written confirmation of receipt (A)
      given by the recipient of such notice, consent, waiver or other communication,
      (B) mechanically or electronically generated by the sender’s facsimile machine
      containing the time, date, recipient facsimile number and an image of the first
      page of such transmission or (C) provided by a courier or overnight courier
      service shall be rebuttable evidence of personal service, receipt by facsimile
      or receipt from a nationally recognized overnight delivery service in accordance
      with clause (i), (ii) or (iii) above, respectively.

     

    (c)           
      Failure of any party to exercise any right or remedy under this Agreement or
      otherwise, or delay by a party in exercising such right or remedy, shall not
      operate as a waiver thereof.

     

    

    
      
        
          
          

        

        
          11

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    (d)           
      The laws of the State of Florida shall govern all issues concerning the relative
      rights of the Company and the Investors as its stockholders. All other questions
      concerning the construction, validity, enforcement and interpretation of this
      Agreement shall be governed by the internal laws of the State of Florida without
      giving effect to any choice of law or conflict of law provision or rule (whether
      of the State of Florida or any other jurisdiction) that would cause the
      application of the laws of any jurisdiction other than the State of Florida
      Each
      party hereby irrevocably submits to the non-exclusive jurisdiction of the State
      Courts of the State of Florida sitting in Broward County, Florida and federal
      courts for the Southern District of Florida for the adjudication of any dispute
      hereunder or in connection herewith or with any transaction contemplated hereby
      or discussed herein, and hereby irrevocably waives, and agrees not to assert
      in
      any suit, action or proceeding, any claim that it is not personally subject
      to
      the jurisdiction of any such court, that such suit, action or proceeding is
      brought in an inconvenient forum or that the venue of such suit, action or
      proceeding is improper. Each party hereby irrevocably waives personal service
      of
      process and consents to process being served in any such suit, action or
      proceeding by mailing a copy thereof to such party at the address for such
      notices to it under this Agreement and agrees that such service shall constitute
      good and sufficient service of process and notice thereof. Nothing contained
      herein shall be deemed to limit in any way any right to serve process in any
      manner permitted by law. If any provision of this Agreement shall be invalid
      or
      unenforceable in any jurisdiction, such invalidity or unenforceability shall
      not
      affect the validity or enforceability of the remainder of this Agreement in
      that
      jurisdiction or the validity or enforceability of any provision of this
      Agreement in any other jurisdiction. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY
      RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION
      OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS
      AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

     

    (e)           
      This Agreement, the Irrevocable Transfer Agent Instructions, the Securities
      Purchase Agreement and related documents including the Convertible Debenture
      and
      the Escrow Agreement dated the date hereof by and among the Company, the
      Investors set forth on the Schedule of Investors attached hereto, and James
      G.
      Dodrill II, P.A. (the “Escrow Agreement”)
      and the Security Agreement dated the date hereof (the “Security Agreement”)
      constitute the entire agreement among the parties hereto with respect to the
      subject matter hereof and thereof.  There are no restrictions,
      promises, warranties or undertakings, other than those set forth or referred
      to
      herein and therein.  This Agreement, the Irrevocable Transfer Agent
      Instructions, the Securities Purchase Agreement and related documents including
      the Convertible Debenture, the Escrow Agreement and the Security Agreement
      supersede all prior agreements and understandings among the parties hereto
      with
      respect to the subject matter hereof and thereof.

     

    (f)           
      This Agreement shall inure to the benefit of and be binding upon the permitted
      successors and assigns of each of the parties hereto.

     

    (g)           
      The headings in this Agreement are for convenience of reference only and shall
      not limit or otherwise affect the meaning hereof.

     

    

    
      
        
          
          

        

        
          12

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    (h)           
      This Agreement may be executed in identical counterparts, each of which shall
      be
      deemed an original but all of which shall constitute one and the same agreement.
      This Agreement, once executed by a party, may be delivered to the other party
      hereto by facsimile transmission of a copy of this Agreement bearing the
      signature of the party so delivering this Agreement.

     

    (i)           
      Each party shall do and perform, or cause to be done and performed, all such
      further acts and things, and shall execute and deliver all such other
      agreements, certificates, instruments and documents, as the other party may
      reasonably request in order to carry out the intent and accomplish the purposes
      of this Agreement and the consummation of the transactions contemplated
      hereby.

     

    The
      language used in this Agreement will be deemed to be the language chosen by
      the
      parties to express their mutual intent and no rules of strict construction
      will
      be applied against any party.

     

    (j)           
      This Agreement is intended for the benefit of the parties hereto and their
      respective permitted successors and assigns, and is not for the benefit of,
      nor
      may any provision hereof be enforced by, any other Person.

     

    

    [REMAINDER
      OF PAGE INTENTIONALLY LEFT BLANK]

    

    

    

    

    
      
        
          
          

        

        
          13

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    

    IN
      WITNESS WHEREOF, the
      parties have caused this Investor Registration Rights Agreement to be duly
      executed as of day and year first above written.

     

    
      	 	
              COMPANY:

            
	 	
              C-MARK
                INTERNATIONAL, INC.

            
	 	 
	 	
              By: 
                  /s/   Charles W. Jones, Jr. 

            
	 	
              Name:     
                 Charles W. Jones, Jr.  

            
	 	
              Title:        
                Chief Executive Officer

            
	 	 

    

    

    
      	 	
              BUYER:

            
	 	
              TRAFALGAR
                CAPITAL SPECIALIZED

            
	 	
              INVESTMENT
                FUND, LUXEMBOURG

            
	 	
              By:           
                Trafalgar Capital Sarl

            
	 	
              Its:           
                General Partner

            
	 	 
	 	 
	 	
              By:    
                /s/   Andrew Garai     

            
	 	
              Name:        Andrew
                Garai

            
	 	
              Title:          Chairman
                of the Board

            

    

    

    

    

    
      
        
          
          

        

        
          14

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    

     

    SCHEDULE
      I

     

    SCHEDULE
      OF
      INVESTORS

     

    

    
      	
              
                Name

              

            	
              
                Signature

              

            	
              
                Address/Facsimile

                Number
                  of Buyer

              

            
	 	 	 	
              8-10
                Rue Mathias Hardt

            
	
              Trafalgar
                Capital Specialized

            	
              By:           
                Trafalgar Capital Sarl

            	 	
              BP
                3023

            
	
              Investment
                Fund,

            	
              Its:           
                General Partner

            	 	
              L-1030
                Luxembourg

            
	
              Luxembourg

            	 	 	
              Facsimile:

            
	 	 	 	
              011-44-207-405-0161

            
	 	
              By:    /s/  
                Andrew Garai

            	 	
              and

            
	 	
              Name:       Andrew
                Garai

            	 	
              001-786-323-1651

            
	 	
              Its:           
                Chairman of the Board

            	 	 

    

    

    

    

    

    

    
      
        
          
          

        

        
          15

          
            

          

        

        
          
          

          EXHIBIT
            10.6 - continued

        

      

    

    

    

    EXHIBIT
      A

     

    FORM
      OF NOTICE OF EFFECTIVENESS

    OF
      REGISTRATION
      STATEMENT

     

    

    Attention:

    

    
      	
               

            	
              Re:

            	
              C-MARK
                INTERNATIONAL, INC.

            

    

    

    Ladies
      and Gentlemen:

    

    We
      are
      counsel to C-Mark International, Inc., a South Carolina corporation (the “Company”), and have
      represented the Company in connection with that certain Securities Purchase
      Agreement (the “Securities Purchase
      Agreement”) entered into by and among the Company and the investors named
      therein (collectively, the “Investors”) pursuant
      to which the Company issued to the Investors shares of its Common Stock, par
      value US$.0001 per share (the “Common
      Stock”).  Pursuant to the Purchase Agreement, the Company also
      has entered into a Registration Rights Agreement with the Investors (the “Investor Registration
      Rights
      Agreement”) pursuant to which the Company agreed, among other things, to
      register the Registrable Securities (as defined in the Registration Rights
      Agreement) under the Securities Act of 1933, as amended (the “1933
      Act”).  In connection with the Company’s obligations under the
      Registration Rights Agreement, on ____________ ____, the Company filed a
      Registration Statement on Form ________ (File No. 333-_____________) (the
“Registration
      Statement”) with the Securities and Exchange SEC (the “SEC”)
      relating to the
      Registrable Securities which names each of the Investors as a selling
      stockholder there under.

     

    In
      connection with the foregoing, we advise you that a member of the SEC’s staff
      has advised us by telephone that the SEC has entered an order declaring the
      Registration Statement effective under the 1933 Act at [ENTER TIME OF EFFECTIVENESS]
      on [ENTER DATE OF
      EFFECTIVENESS] and we have no knowledge, after telephonic inquiry of a
      member of the SEC’s staff, that any stop order suspending its effectiveness has
      been issued or that any proceedings for that purpose are pending before, or
      threatened by, the SEC and the Registrable Securities are available for resale
      under the 1933 Act pursuant to the Registration Statement.

     

    Very
      truly yours,

    

    [INSERT
      NAME OF COMPANY COUNSEL]

    

    By:                                                                 
      

    

    cc:           
      [LIST
      NAMES OF INVESTORS]

     

     

     

     A-1exhibit_10-7.htm

    
      

    

    EXHIBIT
10.7

     

     

    
      IRREVOCABLE
TRANSFER AGENT INSTRUCTIONS

       

      

      December
28, 2007

      

      First
American Stock Transfer, Inc.

      706 E.
Bell Road, Ste 202

      Phoenix,
AZ  85022

      Attention:  Salli
Marinov

      

      RE:           
CMARK International, Inc.

      

      Dear Ms.
Marinov:

      

       

      Reference
is made to that certain Securities Purchase Agreement (the “Securities Purchase
Agreement”), dated the date hereof, by and between CMARK International,
Inc.., a South Carolina corporation (the “Company”), and the
Buyers set forth on Schedule I attached thereto (collectively the “Buyer”), pursuant to
which the Company shall sell to the Buyer up to One Million Eight Hundred
Thousand Dollars ($5,300,000) of the Company’s secured convertible debentures,
which shall be convertible into shares of the Company’s common stock, par value
$.0001 per share (the “Common
Stock”).  The shares of Common Stock to be converted thereunder
plus interest which may be converted into Common Stock and any Liquidated
Damages, which may be converted into Common Stock thereunder are referred to
herein as the “Conversion
Shares.”  This letter shall serve as our irrevocable
authorization and direction to you (provided that you are the transfer
agent of the Company at such time) to issue the Conversion Shares in shares of
the Company’s Common Stock, in the event the Buyer has elected to have the
interest of the Convertible Debenture, pursuant to Section 1.05 of the
Convertible Debenture, paid in Common Stock (the “Interest Shares”), or
the Buyer has elected to have Liquidated Damages (the “Liquidated Damages
Shares”), pursuant to Section 2 of the Investor Registration Rights
Agreement dated the date hereof paid in Common Stock. to the Buyer from time to
time upon surrender to you of a properly completed and duly executed Conversion
Notice, in the form attached hereto as Exhibit I,
delivered on behalf of the Company by The Law Office of James G. Dodrill II,
P.A. (“Dodrill”)

       

       

      Specifically,
upon receipt by the Company or Dodrill of a copy of a Conversion Notice,
Dodrill, on behalf of the Company, shall as soon as practicable, but in no event
later than one (1) Trading Day (as defined below) after receipt of such
Conversion Notice, send, via facsimile, a Conversion Notice, which shall
constitute an irrevocable instruction to you to process such Conversion Notice
in accordance with the terms of these instructions.  Upon your receipt
of a copy of the executed Conversion Notice, you shall use your best efforts to,
within three (3) Trading Days following the date of receipt of the Conversion
Notice, (A) issue and surrender to a common carrier for overnight delivery to
the address as specified in the Conversion Notice, a certificate, registered in
the name of the Buyer or its designee, for the number of shares of Common Stock
to which the Buyer shall be entitled as set forth in the Conversion Notice or
(B) provided
you are participating in The Depository Trust Company (“DTC”) Fast Automated
Securities Transfer Program, upon the request of the Buyer, credit such
aggregate number of shares of Common Stock to which the Buyer shall be entitled
to the Buyer’s or its designee’s balance account with DTC through its Deposit
Withdrawal At Custodian (“DWAC”) system
provided the Buyer causes its bank or broker to initiate the DWAC
transaction.  (“Trading Day” shall mean any day on which
the Nasdaq Market is open for customary trading.)

       

      
        
          
          

        

        
          1

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

       

       

      The
Company hereby confirms to you and the Buyer that certificates representing the
Conversion Shares, the Interest Shares, and/or the Liquidated Damages Shares
shall not bear any legend restricting transfer of the Conversion Shares thereby
and should not be subject to any stop-transfer restrictions and shall otherwise
be freely transferable on the books and records of the Company provided that the
Company counsel delivers (i) the Notice of Effectiveness set forth in Exhibit II attached
hereto and (ii) an opinion of counsel in the form set forth in Exhibit III attached
hereto, and that if the Conversion Shares, the Interest Shares, and/or the
Liquidated Damages Shares are not registered for sale under the Securities Act
of 1933, as amended, then the certificates for the Conversion Shares shall bear
the following legend:

       

      
      

      
        	
                 “THE SECURITIES REPRESENTED BY
      THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
      1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.  THE
      SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE OFFERED FOR
      SALE, SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE
      REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF
      1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS, OR AN OPINION OF
      COUNSEL, IN A FORM REASONABLY ACCEPTABLE TO THE COMPANY, THAT REGISTRATION
      IS NOT REQUIRED UNDER SAID ACT OR APPLICABLE STATE SECURITIES LAWS OR
      UNLESS SOLD PURSUANT TO RULE 144 UNDER SAID
  ACT.”

              

      

       

      The
Company hereby confirms and First American Stock Transfer acknowledges that in
the event Counsel to the Company does not issue an opinion of counsel as
required to issue the Conversion Shares free of legend the Company authorizes
and [transfer agent] will accept an opinion of Counsel from The Law Office of
James G. Dodrill II, P.A.

       

      The
Company hereby confirms to you and the Buyer that no instructions other than as
contemplated herein will be given to you by the Company with respect to the
Conversion Shares.  The Company hereby agrees that it shall not
replace you as the Company’s transfer agent without the prior written consent of
the Buyer.

       

      Upon any
decision by you to resign as transfer agent hereunder, you agree to give 30 days
written notice during which time the Company will provide to you written notice
that a suitable replacement has agreed to serve as transfer agent and to be
bound by the terms and conditions of these Irrevocable Transfer Agent
Instructions.

       

      The
Company and First American Stock Transfer hereby acknowledge and confirm that
complying with the terms of this Agreement does not and shall not prohibit First
American Stock Transfer from satisfying any and all fiduciary responsibilities
and duties it may owe to the Company.

       

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

       

       

      The
Company and First American Stock Transfer acknowledge that the Buyer is relying
on the representations and covenants made by the Company and First American
Stock Transfer hereunder.

       

       

      Each
party hereto specifically acknowledges and agrees that in the event of a breach
or threatened breach by a party hereto of any provision hereof, the Buyer will
be irreparably damaged and that damages at law would be an inadequate remedy if
these Irrevocable Transfer Agent Instructions were not specifically
enforced.  Therefore, in the event of a breach or threatened breach by
a party hereto, including, without limitation, the attempted termination of the
agency relationship created by this instrument, the Buyer shall be entitled, in
addition to all other rights or remedies, to an injunction restraining such
breach, without being required to show any actual damage or to post any bond or
other security, and/or to a decree for specific performance of the provisions of
these Irrevocable Transfer Agent Instructions.

      

      *     *     *     *     *

      

      IN WITNESS WHEREOF, the
parties have caused this letter agreement regarding Irrevocable Transfer Agent
Instructions to be duly executed and delivered as of the date first written
above.

       

      
        	 	
                COMPANY:

              
	 	 
	 	
                CMARK
      INTERNATIONAL, INC.

              
	 	 
	 	
                By:   /s/  
      Eric Bromenshenkel

              
	 	
                Name:     
      Eric Bromenshenkel

              
	 	
                Title:       
      CFO / Secretary

              
	 	 
	 	 
	 	 
	 	
                The
      Law Office of James G. Dodrill II, P.A.

              
	 	
                By:  /s/   James Dodrill,
      Esq., President

              
	 	 

      

      

      First
American Stock Transfer

      

      By:                             
                                   
       

      

      Name:                                                                   

      

      Title:                     
                                               

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      

       

      SCHEDULE
I

       

      SCHEDULE
OF BUYERS

       

      
        	
                
                  Name

                

              	
                
                  Signature

                

              	
                
                  Address/Facsimile

                  Number
      of Buyer

                

              
	 	 	 	 
	 	 	 	
                8-10
      Rue Mathias Hardt

              	 
	
                Trafalgar
      Capital Specialized

              	
                By:           
      Trafalgar Capital Sarl

              	 	
                BP
      3023

              	 
	
                Investment
      Fund,

              	
                Its:           
      General Partner

              	 	
                L-1030
      Luxembourg

              	 
	
                Luxembourg

              	 	 	
                Facsimile:

              	 
	 	 	 	
                011-44-207-405-0161

              	 
	 	
                By:  
      /s/    Andrew Garai

              	 	
                and

              	 
	 	
                Name:       Andrew
      Garai

              	 	
                001-786-323-1651

              	 
	 	
                Its:           
      Chairman of the Board

              	 	 	 

      

      

      

      

      

      
        
          
            SCHEDULE
I-1

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      

       

      EXHIBIT
I

       

      TO IRREVOCABLE TRANSFER
AGENT INSTRUCTIONS

       

      FORM OF CONVERSION
NOTICE

       

       

      Reference
is made to the Securities Purchase Agreement (the “Securities Purchase
Agreement”) between C-Mark International, Inc., (the “Company”), and and
the Buyers listed on Schedule I attached thereto. dated February __,
2007  In accordance with and pursuant to the Securities Purchase
Agreement, the undersigned hereby elects to convert convertible debentures into
shares of common stock, par value $.0001 per share (the “Common Stock”), of
the Company for the amount indicated below as of the date specified
below.

       

      
        	
                Conversion
      Date:

              	 
	 	 
	
                Amount
      to be converted:

              	
                $                                                      
      

              
	 	 
	
                Conversion
      Price:

              	
                $                                                      
      

              
	 	 
	
                Shares
      of Common Stock Issuable:

              	 
	 	 
	
                Amount
      of Debenture unconverted:

              	
                $                                                      
      

              
	 	 
	
                Amount
      of Interest Converted:

              	
                $                                                      
      

              
	 	 
	
                Conversion
      Price of Interest:

              	
                $                                                      
      

              
	 	 
	
                Shares
      of Common Stock Issuable:

              	 
	 	 
	
                Amount
      of Liquidated Damages:

              	
                $                                                      
      

              
	 	 
	
                Conversion
      Price of Liquidated Damages:

              	
                $                                                      
      

              
	 	 
	
                Shares
      of Common Stock Issuable:

              	 
	 	 
	
                Total
      Number of shares of Common Stock to be issued:

              	 
	 	 

      

      

      
        
          
            EXHIBIT
I-1

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      Please
issue the shares of Common Stock in the following name and to the following
address:

      

      
        	
                Issue
      to:

              	 
	 	 
	
                Authorized
      Signature:

              	 
	 	 
	
                Name:

              	 
	 	 
	
                Title:

              	 
	 	 
	
                Phone
      #:

              	 
	 	 
	
                Broker
      DTC Participant Code:

              	 
	 	 
	
                Account
      Number*:

              	 
	 	 

      

      

      

      *
Note that receiving broker must initiate transaction on DWAC
System.

      

      

      

      
        
          
            EXHIBIT
I-2

          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      

       

      EXHIBIT
II

       

      TO IRREVOCABLE TRANSFER
AGENT INSTRUCTIONS

       

      FORM OF NOTICE OF
EFFECTIVENESS

      OF REGISTRATION
STATEMENT

       

      

      _________,
2007

      

      ________

      

      

      Attention:

      

      RE:           
CMARK INTERNATIONAL, INC.

      

      Ladies
and Gentlemen:

      

      We are
counsel to CMARK International, Inc., a South Carolina
corporation (the “Company”), and have
represented the Company in connection with that certain Securities Purchase
Agreement, dated as of February __, 2007 (the “Securities Purchase
Agreement”), entered into by and among the Company and the Buyers set
forth on Schedule I attached thereto (collectively the “Buyer”) pursuant to
which the Company has agreed to sell to the Buyer up to One Million Eight
Hundred Thousand Dollars ($5,300,000) of secured convertible debentures, which
shall be convertible into shares (the “Conversion Shares”)
of the Company’s common stock, par value $.0001 per share (the “Common Stock”), in
accordance with the terms of the Securities Purchase
Agreement.  Pursuant to the Securities Purchase Agreement, the Company
also has entered into a Registration Rights Agreement, dated as of February
_28_, 2007, with the Buyer (the “Investor Registration Rights
Agreement”) pursuant to which the Company agreed, among other things, to
register the Conversion Shares under the Securities Act of 1933, as amended (the
“1933
Act”).  In connection with the Company’s obligations under the
Securities Purchase Agreement and the Registration Rights Agreement, on February
28, 2007, the Company filed a Registration Statement (File No. ___-_________)
(the “Registration
Statement”) with the Securities and Exchange Commission (the “SEC”) relating to the
sale of the Conversion Shares.

       

      In
connection with the foregoing, we advise you that a member of the SEC’s staff
has advised us by telephone that the SEC has entered an order declaring the
Registration Statement effective under the 1933 Act at ____ P.M. on __________,
2007 and we have no knowledge, after telephonic inquiry of a member of the SEC’s
staff, that any stop order suspending its effectiveness has been issued or that
any proceedings for that purpose are pending before, or threatened by, the SEC
and the Conversion Shares are available for sale under the 1933 Act pursuant to
the Registration Statement.

       

      
        
          
            EXHIBIT
II-1

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

       

      The Buyer
has confirmed it shall comply with all securities laws and regulations
applicable to it including applicable prospectus delivery requirements upon sale
of the Conversion Shares.

       

      

      Very
truly yours,

      

       The
O’Neal Law Firm, P.C.

      

      

      

      By:                                                                

      

      

      

      
        
          
            EXHIBIT
II-2

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      

       

      EXHIBIT
III

       

      TO IRREVOCABLE TRANSFER
AGENT INSTRUCTIONS

       

      FORM OF
OPINION

       

      

      ________________ 2007

      

      VIA FACSIMILE AND REGULAR
MAIL

      

      ________

      

      

      Attention:

      

      RE:           
C-MARK INTERNATIONAL, INC.

      

      Ladies
and Gentlemen:

      

       

      We have
acted as special counsel to C-Mark International, Inc. (the “Company”), in
connection with the registration of ___________shares (the “Shares”) of its
common stock with the Securities and Exchange Commission (the “SEC”).  We have not acted as your
counsel.  This opinion is given at the request and with the consent of
the Company.

       

       

      In
rendering this opinion we have relied on the accuracy of the Company’s
Registration Statement on Form SB-2, as amended (the “Registration
Statement”), filed by the Company with the SEC on _________ ___,
2007.  The Company filed the Registration Statement on behalf of
certain selling stockholders (the “Selling
Stockholders”).  This opinion relates solely to the Selling
Shareholders listed on Exhibit “A” hereto
and number of Shares set forth opposite such Selling Stockholders’
names.  The SEC declared the Registration Statement effective on
__________ ___, 2007.

       

       

      We
understand that the Selling Stockholders acquired the Shares in a private
offering exempt from registration under the Securities Act of 1933, as
amended.  Information regarding the Shares to be sold by the Selling
Shareholders is contained under the heading “Selling Stockholders” in the
Registration Statement, which information is incorporated herein by
reference.  This opinion does not relate to the issuance of the Shares
to the Selling Stockholders.  The opinions set forth herein relate
solely to the sale or transfer by the Selling Stockholders pursuant to the
Registration Statement under the Federal laws of the United States of
America.  We do not express any opinion concerning any law of any
state or other jurisdiction.

       

       

      In
rendering this opinion we have relied upon the accuracy of the foregoing
statements.

       

      
        
          
            EXHIBIT
III-1

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

       

      Based on
the foregoing, it is our opinion that the Shares have been registered with the
Securities and Exchange Commission under the Securities Act of 1933, as amended,
and that [Transfer Agent] may remove the restrictive legends contained on the
Shares. This opinion relates solely to the number of
Shares set forth opposite the Selling Stockholders listed on Exhibit “A”
hereto.

       

       

      This
opinion is furnished to you specifically in connection with the issuance of the
Shares, and solely for your information and benefit.  This letter may
not be relied upon by you in any other connection, and it may not be relied upon
by any other person or entity for any purpose without our prior written
consent.  This opinion may not be assigned, quoted or used without our
prior written consent.  The opinions set forth herein are rendered as
of the date hereof and we will not supplement this opinion with respect to
changes in the law or factual matters subsequent to the date
hereof.

       

      Very
truly yours,

      

      

      

      The
O’Neal Law Firm, P.C.

      

      

      
        
          
            EXHIBIT
III-2

          

          
          

        

        
          
          

          
            

          

        

        
          
          

          EXHIBIT
10.7 - continued

        

      

      

       

      EXHIBIT
“A”

       

      (LIST OF SELLING
STOCKHOLDERS)

       

      

      
        	
                
                  Name:

                

              	
                
                  No.
      of Shares:

                

              
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 

      

      
 

       

       EXHIBIT
A-1

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