Document:

Exhibit 10.1

 

REVENUE
SHARING AND NOTE PURCHASE AGREEMENT

 

(SITO
MOBILE, LTD.)

 

 

Dated as of OCTOBER 3, 2014

 

    	 

    	 

    

 

TABLE
OF CONTENTS

 

	ARTICLE
    I DEFINITIONS	1
	 	1.1.	Certain
    Defined Terms.	1
	 	1.2.	Other
    Interpretative Provisions.	1
	 	 
	ARTICLE
    II CLOSING AND TERMS OF THE REVENUE STREAM AND NOTES	2
	 	2.1.	The
    Revenue Stream.	2
	 	2.2.	The
    Notes.	2
	 	2.3.	Monetization
    Revenues.	4
	 	2.4.	Purchase
    Price Allocation.	4
	 	2.5.	Taxes.	4
	 	2.6.	Manner
    and Time of Payment.	5
	 	2.7.	Patent
    License.	5
	 	 
	ARTICLE
    III CONDITIONS PRECEDENT	5
	 	3.1.	Conditions
    to Closing.	5
	 	 
	ARTICLE
    IV REPRESENTATIONS AND WARRANTIES OF THE COMPANY	7
	 	4.1.	Organization
    and Business.	7
	 	4.2.	Qualification.	7
	 	4.3.	Operations
    in Conformity with Law, etc.	7
	 	4.4.	Authorization
    and Non-Contravention.	7
	 	4.5.	Intellectual
    Property.	8
	 	4.6.	Material
    Agreements.	8
	 	4.7.	Margin
    Regulations.	8
	 	4.8.	Investment
    Company Act.	8
	 	4.9.	USA
    PATRIOT Act, FCPA and OFAC.	8
	 	4.10.	No
    Default.	9
	 	4.11.	Binding
    Effect.	9
	 	4.12.	Disclosure.	9
	 	 
	ARTICLE
    V	9
	 	 
	ARTICLE
    VI REPRESENTATIONS AND WARRANTIES OF THE PURCHASERS AND COLLATERAL AGENT 	9
	 	5.1.	Authority.	9
	 	5.2.	Binding
    Effect.	10
	 	5.3.	Investment
    Intent.	10
	 	5.4.	Experience
    of the Purchaser.	10
	 	5.5.	Access
    to Information.	10
	 	5.6	Reliance
    on Exemptions.	10
	 	 
	ARTICLE
    VII COVENANTS	10
	 	6.1.	Taxes
    and Other Charges.	11
	 	6.2.	Conduct
    of Monetization Activities.	11
	 	6.3.	Maintenance
    of Existence.	11

 

    	-i-

    	 

    

 

	 	6.4.	Compliance
    with Legal Requirements.	11
	 	6.5.	Notices;
    Reports.	11
	 	6.6.	Information
    Rights.	12
	 	6.7.	Indebtedness.	13
	 	6.8.	Liens.	13
	 	6.9.	Management
    of Patents and Patent Licenses.	14
	 	6.10.	Minimum
    Liquidity.	14
	 	6.11.	Cash
    Collateral Account.	15
	 	6.12.	Further
    Assurances.	15
	 	6.13.	Confidentiality.	16
	 	 
	ARTICLE
    VIII EVENTS OF DEFAULT 	16
	 	7.1.	Events
    of Default.	16
	 	7.2.	Remedies
    Following an Event of Default.	18
	 	7.3.	Annulment
    of Defaults.	19
	 	7.4.	Waivers.	19
	 	 
	ARTICLE
    IX COLLATERAL AGENT	20
	 	8.1.	Appointment
    of Collateral Agent.	20
	 	8.2.	Collateral.	20
	 	8.3.	Collateral
    Agent’s Resignation.	20
	 	8.4.	Concerning
    the Collateral Agent.	20
	 	 
	ARTICLE
    X GENERAL PROVISIONS	22
	 	9.1.	Expenses.	22
	 	9.2.	Indemnity.	23
	 	9.3.	Notices.	23
	 	9.4.	Amendments,
    Consents, Waivers, etc.	24
	 	9.5.	No
    Strict Construction.	24
	 	9.6.	Certain
    Acknowledgments.	24
	 	9.7.	Venue;
    Service of Process; Certain Waivers.	24
	 	9.8.	WAIVER
    OF JURY TRIAL.	25
	 	9.9.	Interpretation;
    Governing Law; etc.	25
	 	9.10.	Successors
    and Assigns	26
	 	9.11.	Tax
    Treatment.	27

 

APPENDICES,
SCHEDULES AND EXHIBITS

 

	Appendix
    I	Definitions
	 	 
	Exhibit A	Form of Note
    
	Exhibit B	Control Agreement
    
	Exhibit C	Form of Certificate
    (Payments to Cash Collateral Account)
	Exhibit D-1	Note Assignment
    and Acceptance Agreement
	Exhibit D-2	Revenue Stream
    Assignment and Acceptance Agreement
	Exhibit E	Patent License
    Agreement
	Exhibit F	Patent Security
    Agreement
	Exhibit G	Security
    Agreement

 

    	-ii-

    	 

    

 

REVENUE
SHARING AND NOTE PURCHASE AGREEMENT

 

This
REVENUE SHARING AND NOTE PURCHASE AGREEMENT (this “Agreement”) is dated as of October 3, 2014 by and among
SITO Mobile, Ltd., a Delaware corporation (“Parent”), Single Touch Interactive, Inc., a Nevada corporation
(“Licensee”) and Single Touch Interactive R&D IP, LLC, a Delaware limited liability company (“Owner”,
and, collectively, together with Parent and Licensee, the “Company”), and Fortress Credit Co LLC as collateral
agent (the “Collateral Agent”), each Person listed on Schedule 2.1 hereto (the “Revenue Participants”)
and each Person listed on Schedule 2.2 hereto (the “Note Purchasers” and, together with the Revenue
Participants, the “Purchasers”).

 

RECITALS

 

WHEREAS,
the Revenue Participants wish to acquire, and the Company has agreed to grant, an interest in certain of the Company’s future
revenues from its patent portfolio subject to payment of the purchase price and other conditions specified herein; and

 

WHEREAS,
the Note Purchasers have agreed to purchase from the Company, and the Company has agreed to issue and sell to the Purchasers,
up to $10,000,000 in aggregate original principal amount of the Company’s senior secured notes (the “Notes”)
in the form of Exhibit A hereto, subject to the terms of this Agreement;

 

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

 

ARTICLE
I

DEFINITIONS

 

1.1.Certain
Defined Terms. Capitalized terms used in this Agreement and not otherwise defined shall have the meanings set forth in Appendix
I.

 

1.2.Other
Interpretative Provisions. Unless otherwise specified, all references to “$”, “cash”, “dollars”
or similar references shall mean U.S. dollars, paid in cash or other immediately available funds. The definitions set forth in
this Agreement are equally applicable to both the singular and plural forms of the terms defined. The words “hereof”,
“herein”, and “hereunder” and words of like import when used in this Agreement
shall refer to this Agreement as a whole and not to any particular provision of this Agreement. All references to time of day
herein are references to New York, New York time (daylight or standard, as applicable) unless otherwise specifically provided.
Where the character or amount of any asset or liability or item of income or expense is required to be determined or any consolidation
or other accounting computation is required to be made for the purposes of this Agreement, it shall be done in accordance with
GAAP except where such principles are inconsistent with the specific provisions of this Agreement. References in this Agreement
to an Appendix, Exhibit, Schedule, Article, Section, clause or subclause refer (A) to the appropriate Appendix, Exhibit or Schedule
to, or Article, Section, clause or subclause in this Agreement or (B) to the extent such references are not present in this Agreement,
to the Document in which such reference appears. The term “including” is by way of example and not limitation. The
word “or” is not exclusive. In the computation of periods of time from a specified date to a later specified date,
the word “from” means “from and including”; the words “to” and “until” each mean
“to but excluding”; and the word “through” means “to and including.” The term “documents”
includes any and all instruments, documents, agreements, certificates, notices, reports, financial statements and other writings,
however evidenced, whether in physical or electronic form. All references to any Person shall be constructed to include such Person’s
successors and assigns (subject to any restriction on assignment set forth herein). Unless otherwise expressly provided herein,
references to any law shall include all statutory and regulatory provisions consolidating, amending, replacing, supplementing
or interpreting such law.

 

    	 

    	 

    

 

ARTICLE
II

CLOSING
AND TERMS OF THE REVENUE STREAM AND NOTES

 

2.1.The
Revenue Stream.

 

2.1.1.Purchase
of the Revenue Stream. On the Closing Date, subject to the satisfaction of the conditions set forth in Section 3.1,
and against the payment of an aggregate purchase price of $500,000 allocated as set forth on Schedule 2.1, the Company
hereby grants, and the Revenue Participants hereby acquire the Revenue Stream. The rights of the Revenue Participants to the Revenue
Stream shall be secured pursuant to the Collateral Documents, junior in priority to the rights of the Note Purchasers.

 

2.1.2.Payments
to Revenue Participants. Following the prior payment in full of the Notes, the Company shall pay to the Revenue Participants
their proportionate share, in accordance with Schedule 2.1, of the Revenue Stream; provided, that the Company shall
instruct any payors to deposit Monetization Revenues, directly into the Cash Collateral Account. Except to the extent that the
Collateral Agent is enjoined or stayed from distributing any such Monetization Revenues, such direct deposit in the Cash Collateral
Account by payors shall constitute timely payment by the Company. Payments by the Company to the Revenue Participants shall be
made monthly on the last Business Day of each month with respect to any Monetization Revenues received through such date. For
the avoidance of doubt, prior to the payment in full of the Notes, all Monetization Proceeds shall be applied by the Company or
the Collateral Agent, as the case may be, to the payment of principal, interest and any applicable premiums or fees on the Notes
or payments owed pursuant to Sections 9.1(ii)-(iv) or 9.2, and shall not be shared with any Revenue Participants
as a payment in respect of the Revenue Stream.

 

2.2.The
Notes.

 

2.2.1.Purchase
and Sale of the Notes. On the Closing Date, subject to satisfaction of the conditions set forth in Section 3.1, the
Company agrees to issue and sell, and each Note Purchaser agrees to purchase, for the purchase price set forth on Schedule
2.2 and in accordance with the percentages set forth on Schedule 2.2, Notes in an aggregate original principal amount
of $10,000,000.

 

    	-2-

    	 

    

 

2.2.2.Interest
on the Notes. The unpaid principal amount of the Notes (including any PIK Interest) shall bear interest at a rate equal to
LIBOR plus 9% per annum; provided that upon and during the continuance of an Event of Default under Section 7.1.1,
the interest rate shall increase by an additional 2% per annum. Interest on the Notes shall be paid on the last Business Day of
each calendar month (the “Interest Payment Date”), starting with the calendar month ending October 31, 2014.
Such interest shall be paid in cash except that 2.00% per annum of the interest due on each Interest Payment Date shall be paid-in-kind,
by increasing the principal amount of the Notes by the amount of such interest, effective as of the applicable Interest Payment
Date (“PIK Interest”). PIK Interest shall be treated as principal of the Note for all purposes of interest
accrual or calculation of any premium.

 

2.2.3.Fees.

 

2.2.3.1.At
the Closing Date, the Company shall pay to the Purchasers a structuring fee equal to $150,000 (the “Structuring Fee”),
which amount shall be netted out of the funding at the Closing Date.1

 

2.2.3.2.Upon
the earlier of the date on which the Notes are paid in full, or become due (whether at the Maturity Date or upon acceleration),
the Company shall pay to the Note Purchasers a termination fee equal to $350,000.

 

2.2.4.Payment
of the Notes.

 

2.2.4.1.Payment
at Maturity. The principal of the Notes and all unpaid interest thereon or other amounts owing hereunder shall be paid in
full in cash on March 31, 2018 (the “Maturity Date”).

 

2.2.4.2.Optional
Prepayments. The Company may prepay the Notes from time to time in whole or in part, without penalty
or premium, except that any optional prepayments of the Notes prior to the first anniversary of the Closing Date shall be accompanied
by a prepayment premium equal to 5.00% of the principal amount prepaid. Any such prepayment shall include accrued and unpaid interest
on the amount prepaid.

 

2.2.4.3.Amortization.
Commencing on the last Business Day of October, 2015, the Company shall make monthly amortization payments on the Notes each in
a principal amount equal to Three Hundred Thirty Three Thousand, Three Hundred and Thirty Four Dollars ($333,334) until the Notes
are paid in full.

 

2.2.4.4.Mandatory
Prepayments. Upon receipt of any Monetization Revenues, the Company or the Collateral Agent, as the case may be, shall apply
85% of such Monetization Revenues to the payment of accrued and unpaid interest on, and then to repay outstanding principal (at
par) of, and any fees with respect to, the Notes until all amounts due with respect to the Notes have been paid in full. Payments
by the Company on the Notes shall be made monthly on the last Business Day of each month with respect to Monetization Revenues
received in through such date.

 

 

1 Structuring
fee to be 1.5% of the original principal amount; termination fee to be 3.5% of the original principal
amount. 

 

    	-3-

    	 

    

 

2.2.4.5.Application
of Payments. Payments on the Notes shall be applied in the following order, first to any then outstanding expenses or other
amounts owing pursuant to Article 9; second, to accrued and unpaid interest (excluding PIK Interest); third to principal; fourth
to any prepayment premium on the principal so repaid; and finally, after all principal of the Notes and any prepayment premium,
has been paid in full, to the termination fee. Prepayments of the Notes (whether mandatory or optional) shall reduce amortization
payments, pro rata.

 

2.3.Monetization
Revenues. All Monetization Revenues received by the Company or deposited in the Cash Collateral Account shall be applied so
that 85% of Monetization Revenues are applied to the Notes until paid in full; provided, that 100% of Monetization Revenues shall
be applied to pay any past due amounts on the Notes, including in the event of acceleration of the Notes. Following payment in
full of the Notes, the Applicable Percentage of the Monetization Revenues shall be paid to the Revenue Participants for application
to the Revenue Stream until fully satisfied.

 

2.4.Purchase
Price Allocation. The Company and the Purchasers agree that, for purposes of Sections 305 and 1271 through 1275 of the Code
or any other jurisdiction, the aggregate purchase price of the Notes shall be $8,350,000, and the aggregate purchase price of
the Revenue Stream shall be $500,000, and that such purchase prices shall be used by the Company and each Purchaser for all financial
and income tax reporting purposes.2

 

2.5.Taxes.
Any and all payments by the Company with respect to any Notes or the Revenue Stream shall be made free and clear of and without
deduction for any and all present or future taxes, levies, imposts, deductions, charges or withholdings in any such case imposed
by the United States or any political subdivision thereof, excluding taxes imposed or based on the recipient Purchaser’s
overall net income, and franchise or capital taxes imposed on it in lieu of net income taxes (all such non-excluded taxes, levies,
imposts, deductions, charges, withholdings and liabilities in respect of payments hereunder being hereinafter referred to as “Taxes”).
If the Company shall be required by law to deduct any Taxes from or in respect of any sum payable hereunder or under any Notes
to any Purchaser, (i) the sum payable shall be increased as may be reasonably necessary so that after making all required deductions
for taxes (including deductions for taxes applicable to additional sums payable under this Section 2.5) such Purchaser
receives an amount equal to the sum it would have received had no such deductions been made, (ii) the Company shall make such
deductions and (iii) the Company shall remit the full amount deducted to the relevant taxation authority or other authority in
accordance with applicable law. Within 30 days after the date of any payment of such Taxes, the Company shall furnish to the Purchasers
the original or certified copy of a receipt evidencing payment thereof.

 

 

2 We
contemplate that a purchase price of $500,000 be allocated to the Revenue Stream, and that the balance of the
$10,000,000 funding after netting out the structuring fee and $1mm OID will be allocated to the Notes. As such, the net
purchase price of the Notes will total $8,350,000.

 

    	-4-

    	 

    

 

2.6.Manner
and Time of Payment. All payments to the Note Purchasers or the Revenue Participants (or the Cash Collateral Account, as the
case may be) shall be made by wire transfer or other same day funds, without set off, not later than 2:00 p.m. on the day such
payment is due, in accordance with the payment instructions set forth on Schedule 2.6.

 

2.7.Patent
License. Effective as of the Closing Date, the Company shall grant to the Collateral Agent, for the benefit of the Secured
Parties, a non-exclusive, royalty free, license (including the right to grant sublicenses) with respect to the Patents, which
shall be evidenced by, and reflected in, the Patent License Agreement. The Collateral Agent and the Secured Parties agree that
the Collateral Agent shall only use such license following an Event of Default.

 

ARTICLE
III

CONDITIONS
PRECEDENT

 

3.1.Conditions
to Closing. The obligation of each Revenue Participant to purchase its respective pro rata share of the Revenue Stream and
the obligation of each Note Purchaser to purchase its respective pro rata share of the Notes on the Closing Date is subject to
the satisfaction of the conditions set forth in this Section 3.1:

 

3.1.1.Deliveries.
The Company (and each of its Subsidiaries, as applicable) shall have delivered to each Purchaser and the Collateral Agent
fully executed (where applicable) copies of the following:

 

3.1.1.1.this
Agreement;

 

3.1.1.2.the
Notes;

 

3.1.1.3.the
Security Agreement;

 

3.1.1.4.the
Patent License Agreement;

 

3.1.1.5.the
Patent Security Agreement;

 

3.1.1.6.the
Limited Liability Company Agreement;

 

3.1.1.7.the
Proxy;

 

3.1.1.8.Stock
Certificate in SITO Mobile, Ltd.

 

    	-5-

    	 

    

 

3.1.1.9.
(i) a copy of the certificate or articles of incorporation, certificate of formation, limited liability company agreement
or other constitutive document, including all amendments thereto, of the Company, certified as of a recent date by the Secretary
of State of the state of its organization and a certificate as to the good standing of the Company as of a recent date, from such
Secretary of State (or, in each case, a comparable governmental official, if available); (ii) a certificate of the Secretary
or Assistant Secretary of the Company, dated the Closing Date and certifying (A) that attached thereto is a true and complete
copy of the by-laws and any limited liability company agreement of the Company as in effect on the Closing Date and at all times
since a date prior to the date of the resolutions described in clause (B) below, (B) that attached thereto is a true
and complete copy of resolutions duly adopted by the board of directors or managers of the Company authorizing the execution,
delivery and performance of the Documents, and that such resolutions and consents have not been modified, rescinded or amended
and are in full force and effect, (C) that the certificate or articles of incorporation of the Company or the applicable
subsidiary have not been amended since the date of the last amendment thereto shown on the certificate of good standing furnished
pursuant to clause (i) above, and (D) as to the incumbency and specimen signature of each officer executing this Agreement
or any other Document on behalf of the Company; and (iii) to the extent available, a certificate of another officer as to
the incumbency and specimen signature of the Secretary or Assistant Secretary executing the certificate pursuant to clause (ii)
above;

 

3.1.1.10.an
opinion of counsel for the Company addressed to the Collateral Agent and each other party hereto in customary form and otherwise
in form and substance reasonably satisfactory to the Collateral Agent;

 

3.1.1.11.an
officer’s certificate from an Authorized Officer of the Company certifying that the condition set forth in Section 3.1.2
has been satisfied; and

 

3.1.1.12.all
documentation and other information about the Company requested by the Revenue Participants or the Note Purchasers or the Collateral
Agent under applicable “know your customer” and anti-money laundering rules and regulations, including the USA PATRIOT
Act.

 

3.1.2.Representations
and Warranties; No Default. The representations and warranties contained in this Agreement and the other Documents shall be
true and correct in all material respects, and there shall exist no Default or Event of Default, including after giving effect
to the transactions contemplated herein.

 

3.1.3.Consummation
of Purchase of Common Stock. The Subscription Agreement shall have been executed and delivered and shares of Parent Common
Stock sold to the Purchasers as contemplated thereby.

 

3.1.4.Fees
and Expenses. The Structuring Fee, and the expenses of the Purchasers and the Collateral Agent invoiced as of the Closing
Date (subject to Section 9.1(i)), shall have been paid in full, in cash.

 

3.1.5.Due
Diligence. The Purchasers shall have completed their due diligence, and shall be satisfied with the results thereof, in their
sole judgment.

 

    	-6-

    	 

    

 

3.1.6.Senior
Lien. The Purchasers shall be satisfied that, after giving effect to the Collateral Documents, and to the making of any
filings contemplated thereby, the Collateral Agent will have a first priority perfected lien in the Patents and all other material
assets of the Company and its Subsidiaries.

 

ARTICLE
IV

REPRESENTATIONS
AND WARRANTIES OF THE COMPANY

 

In
order to induce the Revenue Participants to purchase the Revenue Stream and the Note Purchasers to purchase the Notes, the Company
hereby represents and warrants to the Purchasers as of the Closing Date that:

 

4.1.Organization
and Business. The Company is (a) a duly organized and validly existing corporation or limited liability company, (b) in good
standing under the laws of the jurisdiction of its incorporation or organization, and (c) has the power and authority, corporate
or otherwise, necessary (i) to enter into and perform this Agreement and the Documents to which it is a party, and (ii) to carry
on the business now conducted or proposed to be conducted by it. Parent has no Subsidiaries other than Licensee and Owner. Schedule
4.1 sets forth each entity in which the Company holds an interest, directly or indirectly, and sets forth the ownership of
all equity securities of each such entity (including joint venture, membership or partnership interests, and including convertible
securities, options or warrants).

 

4.2.Qualification.
The Company is duly and legally qualified to do business as a foreign corporation or limited liability company and is in good
standing in each state or jurisdiction in which such qualification is required and is duly authorized, qualified and licensed
under all laws, regulations, ordinances or orders of public authorities, or otherwise, to carry on its business in the places
and in the manner in which it is conducted.

 

4.3.Operations
in Conformity with Law, etc. The operations of the Company as now conducted or proposed to be conducted are not in violation
in any material respect of, nor is the Company in default in any material respect under, any Legal Requirement. 

 

4.4.Authorization
and Non-Contravention. The Company has taken all corporate, limited liability or other action required to execute, deliver
and perform this Agreement and each other Document. All
necessary consents, approvals and authorizations of any governmental or administrative agency or any other Person of any of the
transactions contemplated hereby shall have been obtained and shall be in full force and effect. This Agreement and each other
Document does not (i) contravene the terms of any of the Company’s Organization Documents, (ii) conflict with or result
in any breach or contravention of, or the creation of any Lien under, or require any payment to be made under (x) any Contractual
Obligation of the Company or its applicable Subsidiaries or (y) any material order, injunction, writ or decree of any Governmental
Authority or any arbitral award to which the Company is subject or (iii) violate any Legal Requirement.

 

    	-7-

    	 

    

 

4.5.Intellectual
Property. As of the Closing Date, subject solely to the licensing agreements set forth on Schedule 4.5 (the “Existing
Licenses”) (true and complete copies of which have been delivered to the Purchasers), Owner is the entire, valid, sole
and exclusive beneficial and record owner of all right, title and interest to all of the Patents with good and marketable title
free and clear of any and all Liens, charges and encumbrances, including, without limitation, that other than the Existing Licenses,
there are no pledges, assignments, licenses, springing licenses, options, non-assertion agreements, earn-outs, monetization agreements,
profit and revenue sharing arrangements, derivative interests, fee and recovery splitting agreements, registered user agreements,
shop rights and covenants by Owner not to sue third persons, and Owner has the power to bring and sustain action and recover for
past, present and future infringement without having to join any other third party and that no provision of any Existing License
will materially restrict the ability of Owner to pursue Monetization Activities. Owner is listed as record owner of all of the
Patents and the recordings in the United States Patent and Trademark Office do not reflect any defects in chain-of-title or unreleased
liens. All of the Patents are subsisting and have not been adjudged invalid or unenforceable, in whole or in part, and none of
the Patents are at this time the subject to any challenge to their validity or enforceability. To the knowledge of the Company,
the Patents are valid and enforceable. The Company has no notice of any lawsuits, actions or opposition, cancellation, revocation,
re-examination or reissue proceedings commenced or threatened with reference to any of the Patents.

 

4.6.Material
Agreements. Schedule 4.6 sets forth each agreement relating to the purchase or other acquisition of any Patent, including
seller notes issued in connection with such acquisition, and any other material agreement relating to any Patent (other than the
Existing Licenses). Each such agreement is in full force and effect for the benefit of the Company and to the knowledge of the
Company there are no material defaults under any such agreement.

 

4.7.Margin
Regulations. The Company is not engaged, nor will it engage, principally or as one of its important activities, in the business
of purchasing or carrying Margin Stock, or extending credit for the purpose of purchasing or carrying Margin Stock, and the Notes
will not be used for any purpose that violates Regulation U of the Board of Governors of the United States Federal Reserve System.

 

4.8.Investment
Company Act. The Company is not, and is not required to be, registered as an “investment company” under the Investment
Company Act of 1940.

 

4.9.USA
PATRIOT Act, FCPA and OFAC.

 

4.9.1.To
the extent applicable, the Company is in compliance, in all material respects, with (i) the Trading with the Enemy Act, as amended,
and each of the foreign assets control regulations of the United States Treasury Department (31 CFR Subtitle B, Chapter V, as
amended) and any other enabling legislation or executive order relating thereto and (ii) the USA Patriot Act.

 

4.9.2.No
part of the proceeds of the Notes or the purchase price for the Revenue Stream will be used, directly or indirectly, for any payments
to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone
else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation
of the United States Foreign Corrupt Practices Act of 1977, as amended.

 

    	-8-

    	 

    

 

4.9.3.None
of the Company nor, to the knowledge of the Company, any director, officer, agent, employee or controlled Affiliate of the Company,
is currently the subject of any U.S. sanctions program administered by the Office of Foreign Assets Control of the United States
Department of the Treasury (“OFAC”); and the Company will not directly or indirectly use the proceeds of the
Notes or otherwise make available such proceeds to any Person, for the purpose of financing the activities of any Person currently
the subject of any U.S. sanctions program administered by OFAC, except to the extent licensed or otherwise approved by OFAC.

 

4.10.No
Default. No Default or Event of Default exists or would result from the incurring of any Obligations by the Company or the
grant or perfection of Liens on the Collateral. The Company is not in default under or with respect to any Contractual Obligation
in any respect which, individually or together with all such defaults, would reasonably be expected to have a Material Adverse
Effect.

 

4.11.Binding
Effect. This Agreement and each other Document constitute the legal, valid and binding obligations of the Company, enforceable
against the Company in accordance with their respective terms, except as enforceability may be limited by applicable bankruptcy,
insolvency, or similar laws affecting the enforcement of creditors’ rights generally or by equitable principles relating
to enforceability.

 

4.12.Disclosure.
No report, financial statement, certificate or other written information furnished by or on behalf of the Company (other than
projected financial information, pro forma financial information and information of a general economic or industry nature)
to any Purchaser or the Collateral Agent in connection with the transactions contemplated hereby and the negotiation of this Agreement
or delivered hereunder or any other Document (as modified or supplemented by other information so furnished) when taken as a whole
contains any material misstatement of fact or omits to state any material fact necessary to make the statements therein (when
taken as a whole), in the light of the circumstances under which they were made, not materially misleading. With respect to projected
financial information and pro forma financial information, the Company represents that such information was prepared in
good faith based upon assumptions believed to be reasonable at the time of preparation; it being understood that such projections
may vary from actual results and that such variances may be material.

 

ARTICLE
VI

REPRESENTATIONS
AND WARRANTIES OF THE PURCHASERS AND COLLATERAL AGENT

 

Each
Purchaser, for itself and for no other Purchaser, and the Collateral Agent hereby represents and warrants to the Company as of
the Closing Date:

 

6.1.Authority.
The Purchaser and the Collateral Agent, as the case may be, has the power and authority, corporate or otherwise, necessary
to enter into and perform this Agreement and the Documents to which it is a party.

 

    	-9-

    	 

    

 

6.2.Binding
Effect. This Agreement and each other Document constitute the legal, valid and binding obligations of the Purchaser and the
Collateral Agent, enforceable against the Purchaser or the Collateral Agent as the case may be in accordance with their respective
terms, except as enforceability may be limited by applicable bankruptcy, insolvency, or similar laws affecting the enforcement
of creditors’ rights generally or by equitable principles relating to enforceability.

 

6.3.Investment
Intent. The Purchaser understands that the Note is a “restricted security” and has not been registered under the
Securities Act or any applicable state securities law and is acquiring the Note as principal for its own account and not with
a view to or for distributing or reselling the Note or any part thereof in violation of the Securities Act or any applicable state
securities laws. The Purchaser does not presently have any agreement, plan or understanding, directly or indirectly, with any
Person to distribute or effect any distribution of the Note (or any securities which are derivatives thereof) to or through any
person or entity.

 

6.4.Experience
of the Purchaser. The Purchaser has such knowledge, sophistication and experience in business and financial matters so as
to be capable of evaluating the merits and risks of the prospective investment in the Note, and has so evaluated the merits and
risks of such investment. The Purchaser is able to bear the economic risk of an investment in the Note and, at the present time,
is able to afford a complete loss of such investment. The Purchaser understands that its investment in the Note involves a significant
degree of risk.

 

6.5.Access
to Information. The Purchaser acknowledges that it has been afforded (i) the opportunity to ask such questions as it
has deemed necessary of, and to receive answers from, representatives of the Company concerning the terms and conditions of the
offering of the Note and the merits and risks of investing in the Note; (ii) access to information about the Company and
its subsidiaries and their respective financial condition, results of operations, business, properties, management and prospects
sufficient to enable it to evaluate its investment; and (iii) the opportunity to obtain such additional information that
the Company possesses or can acquire without unreasonable effort or expense that is necessary to make an informed investment decision
with respect to the investment. The Purchaser has sought such accounting, legal and tax advice as it has considered necessary
to make an informed decision with respect to its acquisition of the Note.

 

5.6Reliance
on Exemptions. The Purchaser understands that the Notes are being offered and sold to it in reliance on specific exemptions
from the registration requirements of U.S. federal and state securities laws and that the Company is relying in part upon the
truth and accuracy of, and the Purchaser’s compliance with, the representations, warranties, agreements, acknowledgements
and understandings of the Purchaser set forth herein in order to determine the availability of such exemptions and the eligibility
of the Purchaser to acquire its Note.

 

ARTICLE
VII

COVENANTS

 

Until
all of the Company’s obligations with respect to the Notes and the Revenue Stream, have been paid in full in cash, the Company
shall comply with the covenants set forth in this Article VI.

 

    	-10-

    	 

    

 

7.1.Taxes
and Other Charges. The Company shall duly pay and discharge, or cause to be paid and discharged,
before the same becomes in arrears, all taxes, assessments and other governmental charges imposed upon such Person and its properties,
sales or activities, or upon the income or profits therefrom; provided, however, that any such tax, assessment,
charge or claim need not be paid if the validity or amount thereof shall at the time be contested in good faith by appropriate
proceedings and if such Person shall, in accordance with GAAP, have set aside on its books adequate reserves with respect thereto;
provided, further, that the Company shall pay or bond, or cause to be paid or bonded, all such taxes, assessments,
charges or other governmental claims immediately upon the commencement of proceedings to foreclose any Lien which may have attached
as security therefor (except to the extent such proceedings have been dismissed or stayed).

 

7.2.Conduct
of Monetization Activities. The Company shall undertake its best efforts to diligently pursue the monetization of the Patents,
and shall provide regular updates to the Purchasers and their advisors, and shall consult with Purchasers and their advisors on
request, as to such activities.

 

7.3.Maintenance
of Existence. The Company shall do all things necessary to preserve, renew and keep in full force
and effect and in good standing its legal existence and authority necessary to continue its business.

 

7.4.Compliance
with Legal Requirements. The Company shall comply in all material respects with all valid Legal Requirements applicable to
it, except where compliance therewith shall at the time be contested in good faith by appropriate proceedings.

 

7.5.Notices;
Reports.

 

7.5.1.Certain
Notices. The Company shall, promptly following having notice or knowledge thereof, furnish to each of the Note Purchasers
and Revenue Participants such information as they may reasonably request concerning the Company’s Monetization Activities
and Monetization Revenues, including without limitation the following:

 

7.5.1.1.any
dispute, litigation, investigation, suspension or any administrative or arbitration proceeding by or against the Company for an
amount in excess of $500,000 or affecting the Company’s ownership rights with respect to the Patents; and

 

7.5.1.2.promptly
upon acquiring knowledge thereof, the existence of any Default or Event of Default, specifying the nature thereof and what action
the Company has taken, is taking or proposes to take with respect thereto.

 

Each
notice pursuant to this Section shall be accompanied by a statement by an Authorized Officer of the Company, on behalf of
the Company, setting forth details of the occurrence referred to therein, and stating what action the Company or other Person
proposes to take with respect thereto and at what time. Each notice under Section 6.5.1.2 shall describe with particularity
any and all clauses or provisions of this Agreement or other Document that have been breached or violated.

 

    	-11-

    	 

    

 

7.5.2.Certain
Reports. The Company shall cause to be furnished to each of the Note Purchasers and the Revenue Participants the following:

 

7.5.2.1.no
later than the 15th day of every month, a report calculating in detail its Monetization Revenues, in each case in form
and substance reasonably satisfactory to the Majority Purchasers;

 

7.5.2.2.copies
of any demand, cease and desist or other similar letter and copies of any material filing in any litigation or arbitration relating
to the Patents by or against the Company that is not subject to an “attorneys’ eyes only” or other protective
order, as soon as reasonably practical after receipt thereof or, in the case of any material letter sent or material filing made
by the Company, which is not subject to an “attorneys’ eyes only” or other protective order, as early as practical
prior to the date such letter is to be sent or such filing is to be made;

 

7.5.2.3.promptly
(and in any event within 10 Business Days) after execution thereof, copies of all judgments, settlement agreements or licenses
with respect to the Patents; and

 

7.5.2.4.promptly
(and in any event within 10 Business Days), such additional business, financial, corporate affairs and other information as the
Majority Purchasers may from time to time reasonably request.

 

Subject
to the preservation of any privilege, the Company shall authorize and direct any legal counsel or consultant engaged by it to
discuss the status of the Company’s Monetization Activities with the Purchasers and the Collateral Agent.

 

7.6.Information
Rights.

 

7.6.1.Upon
request of the Majority Purchasers, the Company shall permit any Purchaser and any Purchaser’s duly authorized representatives
and agents to visit during normal business hours and inspect any of its property, corporate books, and financial records related
to the Patents, to examine and make copies of its books of accounts and other financial records related to the Patents and its
Monetization Activities and Monetization Revenues, and to discuss its affairs, finances, and accounts with, and to be advised
as to the same by, its managers, officers, employees and independent public accountants (and by this provision the Company hereby
authorizes such accountants to discuss with the Purchasers the finances and affairs of the Company so long as (i) an officer or
manager of the Company has been afforded a reasonable opportunity to be present for such discussion and (ii) such accountants
shall be bound by standard confidentiality obligations), in each case related to the Patents and the Monetization Activities and
Monetization Revenues. In addition, upon request of the Majority Purchasers from time to time, and subject to any claims of privilege,
the Company shall provide the Purchasers with a status update of any material development in any litigations or any administrative
or arbitration proceeding related to the Patents. All costs and expenses incurred by the Purchasers and their duly authorized
representatives and agents in connection with the exercise of the Purchasers’ rights pursuant to this Section 6.6
shall be paid by the Company. 

 

    	-12-

    	 

    

 

7.6.2.The
Purchasers acknowledge that in connection with their information and access rights under this Agreement, the Company may be required
to provide information that may be deemed to be material non public information; provided that the Company agrees to clearly identify
any such information prior to delivery and to request and obtain Purchaser confirmation prior to such delivery that the Purchasers
wish to receive such information notwithstanding that it may constitute material non public information. The Purchasers and the
Company agree to work together in good faith to establish procedures for the handling of information that may constitute material
non public information, including procedures that enable the Purchasers to evaluate from time to time the extent to which they
are prepared to receive material non public information by the Company and as to which of such information will be subject to
periodic “cleansing disclosure” and/or the establishment of “trading windows” in order to achieve the
Purchasers’ objectives of remaining reasonably informed of the Company’s Monetization Activities and available to
consult with the Company regarding such activities, while not being unreasonably restricted in public trading of common stock
of the Company. For the avoidance of doubt, subject to the Company not providing the Purchasers with any information that it is
not prepared to disclose to the public without first providing a written notice to the Purchasers identifying, with specificity,
which information is subject to such restriction, the Company shall have no obligation to any Purchaser to disclose information
to the public, whether by press release or SEC filing, that it is not otherwise obligated to disclose at such time pursuant to
the Securities Exchange Act of 1943 and the regulations of the SEC promulgated thereunder.

 

7.7.Indebtedness.
The Company shall not create, incur, assume or otherwise become or remain liable with respect to any Indebtedness that is secured
by the Patents or any rights related thereto. The Company shall not incur any other Indebtedness, except for:

 

7.7.1.Indebtedness
in respect of the Obligations;

 

7.7.2.unsecured
trade payables that are not evidenced by a promissory note and are incurred in the Ordinary Course of Business;

 

7.7.3.the
existing Indebtedness set forth on Schedule 6.7; and

 

7.7.4.additional
unsecured Indebtedness that is subordinated to the rights of the Purchasers under this Agreement pursuant to an agreement in form
and substance satisfactory to the Majority Purchasers.

 

7.8.Liens.
The Company shall not create, incur, assume or suffer to exist any Lien upon any Patent other than the following (“Permitted
Liens”):

 

7.8.1.
Liens securing the Obligations, and

 

    	-13-

    	 

    

 

7.8.2.the
Existing Licenses and other non-exclusive licenses that are entered into pursuant to the Company’s Monetization Activities
and otherwise in compliance with this Agreement.

 

7.9.Management
of Patents and Patent Licenses.

 

7.9.1.Dispositions.
The Company shall not make any Disposition of any Patents other than (i) entering into settlement agreements or non-exclusive
licensing arrangements with respect to the Patents in pursuit of the Monetization Activities, (ii) sales of the Company’s
proprietary hardware and software products in the ordinary course of business provided, for the avoidance of doubt, that
no such arrangements shall permit the use of any Patents other than as required for the sale of such products; and (iii) the entry
into exclusive license agreements or sales of Patents with the written consent of the Majority Purchasers. For the avoidance
of doubt, proceeds of any Disposition shall constitute Monetization Revenues. The Company shall include in any Disposition (other
than outright sales of Patents) a prohibition against any sublicenses, and a provision that terminates any such arrangement upon
a Change of Control of the sublicensee.

 

7.9.2.Preservation
of Patents. (a) The Company shall, at its own expense, take all reasonable steps to pursue the registration and maintenance
of each Patent and shall take all reasonably necessary steps to preserve and protect each Patent and (b) the Company shall not
do or permit any act or knowingly omit to do any act whereby any of the Patents may lapse, be terminated, or become invalid or
unenforceable or placed in the public domain. At its option, the Collateral Agent or the Majority Purchasers may, at the Company’s
expense, take all reasonable steps to pursue the registration and maintenance of each Patent and take all reasonably necessary
steps to preserve and protect each Patent and the Company hereby grants the Collateral Agent a power-of-attorney to take all steps
in the Company’s name in furtherance of the foregoing; provided that the foregoing shall not be interpreted as excusing
the Company from the performance of, or imposing any obligation on the Collateral Agent or the Majority Purchasers to cure or
perform any obligation of the Company; provided further that the Collateral Agent shall give the Company prompt written
notice following any action taken by the Collateral Agent under this Section 6.9.2, and shall endeavor to the advance written
notice where feasible.

 

7.9.3.Entry
into Agreements. Neither the Company nor any Affiliate of the Company shall enter into any contract or other agreement with
respect to the Patents that contains confidentiality provisions prohibiting or otherwise restricting the Company or such Affiliate
from disclosing the existence and content of such contract or other agreement to the Note Purchasers and their counsel.

 

7.10.Minimum
Liquidity. The Company shall maintain not less than One Million Dollars ($1,000,000) in unrestricted cash and Cash Equivalents
(“Liquidity”) (not including amounts on deposit in the Cash Collateral Account except to the extent the Company
is entitled to such amounts), and shall provide monthly certifications demonstrating the Company’s Liquidity.

 

    	-14-

    	 

    

 

7.11.Cash
Collateral Account. Within 30 days following the Closing Date, the Company shall open a depository account (the “Cash
Collateral Account”) with [U.S. Bank, N.A.] which Cash Collateral Account shall be subject to a control agreement, substantially
in the form of Exhibit B (and with such other changes as may be approved by the Collateral Agent and the Company) (the
“Control Agreement”), between the Company, [U.S. Bank, N.A.] and the Collateral Agent. The Company shall cause
all Monetization Revenues to be deposited into such Cash Collateral Account, shall provide instructions to each payor of Monetization
Revenues to directly deposit any Monetization Revenues into the Cash Collateral Account, and the Company hereby authorizes the
Majority Purchasers to inform any payor of Monetization Revenues of the Company’s obligation to direct all Monetization
Revenues to the Cash Collateral Account as required hereunder. On each deposit of Monetization Revenues to the Cash Collateral
Account, the Company shall deliver an officer’s certificate in the form of Exhibit C to the Collateral Agent detailing
the source and nature of such Monetization Revenues and setting forth the Company’s calculation of the required application
of the resulting Monetization Revenues. On a monthly basis on and after the Closing Date, but no later than the 15th
day of each month, the Collateral Agent shall deliver to the Company a written statement (each a “Collateral Agent Statement”)
with reasonable detail showing the amounts applied by the Collateral Agent in the Cash Collateral Account for the prior month
to the payment of the Note or, after the payment in full of the Notes, the payments made to Revenue Participants, and payments
to the Company in respect of the Monetization Revenues. The Cash Collateral Account shall be under the sole control of the Collateral
Agent and the Company may not have withdrawal rights with respect to, or otherwise control of, the Cash Collateral Account; provided
that the Collateral Agent shall make withdrawals from the Cash Collateral Account promptly following the deposit of any Monetization
Revenues, and will apply such Monetization Revenues to amounts due hereunder in accordance with this Agreement, and will release
any excess amounts to the Company. The Company shall have access to account statements from the depositary bank concerning the
Cash Collateral Account.

 

7.12.Further
Assurances. Upon the reasonable request of the Majority Purchasers or the Collateral Agent, the Company shall (i) correct
any material defect or error that may be discovered in the execution, acknowledgment, filing or recordation of any Document or
other document or instrument relating to any Collateral, and (ii) do, execute, acknowledge, deliver, record, re-record, file,
re-file, register and re-register any and all such further acts, deeds, certificates, assurances and other instruments as the
Collateral Agent or Majority Purchasers may reasonably request from time to time in order to carry out the purposes of the Documents.
Promptly upon the Company acquiring any new Subsidiary, the Company shall cause such Subsidiary to execute the Collateral Documents
and any other documentation requested by the Collateral Agent, and to take any action reasonably requested to grant to the Collateral
Agent, and perfected, liens on its material assets.

 

    	-15-

    	 

    

 

7.13.Confidentiality.
Each party hereto will hold, and will cause its respective Affiliates and its and their respective directors, officers, employees,
agents, members, investors, auditors, attorneys, financial advisors, other consultants and advisors and assignees to hold, in
strict confidence, unless disclosure to a regulatory authority is necessary in connection with any necessary regulatory approval,
examination or inspection or unless disclosure is required by judicial or administrative process or, in the written opinion of
its counsel, by other requirement of law or the applicable requirements of any regulatory agency or relevant stock exchange, all
non-public records, books, contracts, instruments, computer data and other data and information (collectively, “Information”)
concerning the other party hereto furnished to it by or on behalf of such other party or its representatives pursuant to this
Agreement (except to the extent that such information can be shown to have been (1) previously known by such party on a non-confidential
basis or becomes available to such party on a non-confidential basis, (2) publicly available through no fault of such party or
(3) later lawfully acquired from other sources by such party), and neither party hereto shall release or disclose such Information
to any other person, except on a confidential basis to its officers, directors, employees, agents, members, investors, Affiliates,
auditors, attorneys, financial advisors, other consultants and advisors and except in connection with any proposed assignment
or participation of the rights of a Purchaser under this Agreement made in accordance with Section 9.10.2, provided
such prospective assignee or participant has agreed to be bound by the confidentiality provisions consistent with those set
forth herein.3

 

ARTICLE
VIII

EVENTS
OF DEFAULT

 

8.1.Events
of Default. Each of the following events is referred to as an “Event of Default”:

 

8.1.1.Payment.
The Company shall fail to make any payment due hereunder within 3 Business Days of when such payment is due and payable.

 

8.1.2.Other
Covenants. The Company shall (x) fail to perform or observe any of the covenants or agreements contained in Section 6.6
and Section 6.10 or (y) fail to perform or observe any of the covenants or agreements in Article VI, Section
6.2 or elsewhere in this Agreement or in any other Document (other than those covenants or agreements specified in clause
(x) above) such failure continues for thirty days after the earlier of (i) written notice to the Company by the Collateral Agent
or any Purchaser of such failure or (ii) knowledge of the Company of such failure; provided, that no such cure period shall apply
to breaches of any of Sections 6.7 through Section 6.9 or to Section 6.11 that either are intentional by
the Company or where, in the reasonable judgment of the Majority Purchasers, a material delay in the exercise of remedies or the
taking of curative action is reasonably likely to result in material harm to the value of the Patents or the success of the monetization
efforts.

 

8.1.3.Representations
and Warranties. Any representation or warranty of or with respect to the Company, pursuant to or in connection with any Document,
or in any financial statement, report, notice, mortgage, assignment or certificate delivered by the Company so representing to
the other parties hereto in connection herewith or therewith, shall be false in any material respect on the date as of which it
was made provided such failure continues for thirty days after the earlier of (i) written notice to the Company by the
Collateral Agent or any Purchaser of such failure or (ii) knowledge of the Company of such failure.

 

 

3 Provisions
requiring cleansing disclosure to be included in Subscription Agreement.

 

    	-16-

    	 

    

 

8.1.4.Cross
Default. Prior to the Maturity Date, any event of default, after giving effect to any applicable grace, cure, or waiver period
specified in the underlying document, with respect to any Indebtedness in excess of $500,000 of the Company that is on account
of a default in any payment under such Indebtedness shall occur and be continuing if such event of default continues for thirty
days after the earlier of (i) written notice to the Company by the Collateral Agent or any Purchaser of such failure or (ii) knowledge
of the Company of such event of default.

 

8.1.5.Liquidation;
etc. The Company shall initiate any action to dissolve, liquidate or otherwise terminate its existence.

 

8.1.6.Change
of Control. A Change of Control shall have occurred.

 

8.1.7.Judgments.
A final judgment (a) which, with other outstanding final judgments against the Company, exceeds an aggregate of $500,000 shall
be rendered against the Company or (b) which grants injunctive relief that results, or creates a material risk of resulting, in
a Material Adverse Effect and in either case if (i) within 60 days after entry thereof (or such longer period permitted under
the terms of such judgment), such judgment shall not have been discharged or execution thereof stayed pending appeal or (ii) within
60 days after the expiration of any such stay, such judgment shall not have been discharged.

 

8.1.8.Bankruptcy,
etc. The Company shall:

 

8.1.8.1.commence
a voluntary case under the Bankruptcy Code or authorize, by appropriate proceedings of its board of directors or other governing
body, the commencement of such a voluntary case;

 

8.1.8.2.(i)
have filed against it a petition commencing an involuntary case under the Bankruptcy Code that shall not have been dismissed within
60 days after the date on which such petition is filed or (ii) file an answer or other pleading within such 60-day period admitting
or failing to deny the material allegations of such a petition or seeking, consenting to or acquiescing in the relief therein
provided or (iii) have entered against it an order for relief in any involuntary case commenced under the Bankruptcy Code;

 

8.1.8.3.seek
relief as a debtor under any applicable law, other than the Bankruptcy Code, of any jurisdiction relating to the liquidation or
reorganization of debtors or to the modification or alteration of the rights of creditors, or consent to or acquiesce in such
relief;

 

8.1.8.4.have
entered against it an order by a court of competent jurisdiction (i) finding it to be bankrupt or insolvent, (ii) ordering
or approving its liquidation or reorganization as a debtor or any modification or alteration of the rights of its creditors or
(iii) assuming custody of, or appointing a receiver or other custodian for, all or a substantial portion of its property; or

 

    	-17-

    	 

    

 

8.1.8.5.make
an assignment for the benefit of, or enter into a composition with, its creditors, or appoint, or consent to the appointment of,
or suffer to exist a receiver or other custodian for, all or a substantial portion of its property.

 

8.1.9.Collateral.
Any material provision of any Document shall for any reason cease to be valid and binding on or enforceable against the Company
or the Company shall so state in writing or bring an action to limit its obligations or liabilities thereunder; or any Collateral
Document shall for any reason (other than pursuant to the terms thereof) cease to create a valid security interest in the Collateral
purported to be covered thereby or such security interest shall for any reason (other than the failure of the Collateral Agent
or the Note Purchasers to take any action within its control) cease to be a perfected and first priority security interest subject
only to Permitted Liens and such failure shall continue for thirty days after the earlier of (i) written notice to the Company
by the Collateral Agent or any Purchaser of such failure or (ii) knowledge of the Company of such failure.

 

8.2.Remedies
Following an Event of Default. If any one or more Events of Default shall occur and be continuing, then in each and every
such case:

 

8.2.1.Specific
Performance; Exercise of Rights. The Majority Purchasers (or the Collateral Agent, acting at the direction of the Majority
Purchasers) may proceed to protect and enforce such party’s rights by suit in equity, action at law and/or other appropriate
proceeding, either for specific performance of any covenant or condition contained in any Document, or in aid of the exercise
of any power granted in any Document, including directing the Company to take any action requested by the Majority Purchasers
(or the Collateral Agent, acting at the direction of the Majority Purchasers) in any Monetization Activity regarding the Patents;

 

8.2.2.Acceleration.
The Majority Purchasers may, by notice in writing to the Company, declare the remaining unpaid amount of the then-outstanding
Notes, together with accrued and unpaid interest and fees thereon, and the balance of the Revenue Stream, to be immediately due
and payable; provided that if a Bankruptcy Event of Default pursuant to Section 7.1.8 shall have occurred, such
amounts shall automatically become immediately due and payable; and provided, that in such event, the Company shall immediately
and unconditionally be obligated to pay, as liquidated damages with respect to the Revenue Stream, the maximum amount of the Revenue
Stream in full, in cash, i.e., the Company shall pay to the Revenue Participants in respect of the Revenue Stream $5,000,000 to
the extent such payment occurs prior to March 31, 2018 and $7,500,000 thereafter, in each case, less any amounts previously applied
to the Revenue Stream.

 

8.2.3.Standstill.
Upon notice in writing from the Majority Purchasers, the Company shall not enter into any new pledges, assignments, licenses,
springing licenses, options, non-assertion agreements, earn-outs, monetization agreements, profit and revenue sharing arrangements,
derivative interests, fee and recovery splitting agreements, registered user agreements, shop rights and covenants by the Company
not to sue third persons with respect to any of the Patents; and

 

    	-18-

    	 

    

 

8.2.4.Cumulative
Remedies. To the extent not prohibited by applicable law which cannot be waived, each party’s rights hereunder and under
the other Documents shall be cumulative;

 

provided
that, effective upon the Majority Purchasers (or the Collateral Agent, acting at the direction of the Majority Purchasers)
enforcing any such rights or remedies under this Agreement or any other Document, or under applicable law, the Purchasers and
the Collateral Agent shall (1) grant, and do hereby grant, to the Company a perpetual non-exclusive, royalty-free, world-wide
license (with the right to sublicense to third parties under the Existing Licenses and the sale of proprietary products and any
other licenses entered into in compliance with this Agreement) to the Patents, which license shall be non-revocable by any third
party transferee or any other person or entity that acquires rights in the Patents (by foreclosure or otherwise) at any time following
such exercise of rights or remedies, and (2) require as a condition to the effectiveness of any such transfer or assignment (by
foreclosure or otherwise) of the Patents or rights in the Patents, that the applicable transferee or assignee acknowledge and
agree to the non-revocable grant to the Company of the perpetual license of the type described in the immediately preceding clause
(1), which acknowledgement and agreement by such transferee or assignee shall be made in a writing, signed by a duly authorized
officer of such transferee or assignee, made to and for the express benefit of the Company, and the original of which shall be
delivered by the Purchasers or the Collateral Agent to the Company promptly following any such transfer or assignment.

 

8.3.Annulment
of Defaults. Once an Event of Default has occurred, such Event of Default shall be deemed to exist and be continuing for all
purposes of this Agreement until the earlier of (x) Majority Purchasers shall have waived such Event of Default in writing, (y)
the Company shall have cured such Event of Default to the Majority Purchasers’ reasonable satisfaction or the Company or
such Event of Default otherwise ceases to exist, or (z) the Collateral Agent and the Purchasers or Majority Purchasers (as required
by Section 9.4.1) have entered into an amendment to this Agreement which by its express terms cures such Event of Default,
at which time such Event of Default shall no longer be deemed to exist or to have continued. No such action by the parties hereto
shall prevent the occurrence of, or effect a waiver with respect to, any subsequent Event of Default or impair any rights of the
parties hereto upon the occurrence thereof. 

 

8.4.Waivers.
To the extent that such waiver is not prohibited by the provisions of applicable law that cannot be waived, the Company waives:

 

8.4.1.all
presentments, demands for performance, notices of nonperformance (except to the extent required by this Agreement), protests,
notices of protest and notices of dishonor;

 

8.4.2.any
requirement of diligence or promptness on the part of the Purchasers in the enforcement of its rights under this Agreement;

 

    	-19-

    	 

    

 

8.4.3.any
and all notices of every kind and description which may be required to be given by any statute or rule of law; and

 

8.4.4.any
defense (other than indefeasible payment in full) which it may now or hereafter have with respect to its liability under this
Agreement or with respect to the Obligations.

 

ARTICLE
IX

COLLATERAL
AGENT

 

9.1.Appointment
of Collateral Agent. Each of the Purchasers hereby appoints Fortress Credit Co LLC as Collateral Agent to act for them as
collateral agent, to hold any pledged collateral and any other collateral perfected by perfection or control for the benefit of
the Purchasers; provided that the rights of the Note Purchasers to direct the Collateral Agent and to receive proceeds
of Collateral shall be prior to, and controlling of, any rights of the Revenue Participants. Without limiting the foregoing, the
Collateral Agent shall take direction from the Majority Purchasers and shall distribute any proceeds of Collateral (net of its
own expenses) to the Note Purchasers to apply to the payment of the Notes prior to distributing any proceeds to the Revenue Participants.

 

9.2.Collateral.
The Collateral Agent shall act at the instruction of the Majority Purchasers with respect to providing any vote, consent or taking
other action with respect to the Collateral.

 

9.3.Collateral
Agent’s Resignation. The Collateral Agent may resign at any time by giving at least 30 days’ prior written
notice of its intention to do so to each of the other parties hereto and upon the appointment by the Majority Purchasers of a
successor Collateral Agent. If no successor Collateral Agent shall have been so appointed and shall have accepted such appointment
within 45 days after the retiring Collateral Agent’s giving of such notice of resignation, then the retiring Collateral
Agent may appoint a successor Collateral Agent, with the consent of the Majority Purchasers. Upon the appointment of a new Collateral
Agent hereunder, the term “Collateral Agent” shall for all purposes of this Agreement thereafter mean such
successor. After any retiring Collateral Agent’s resignation hereunder as Collateral Agent, or the removal hereunder of
any successor Collateral Agent, the provisions of this Agreement shall continue to inure to the benefit of such retiring or removed
Collateral Agent as to any actions taken or omitted to be taken by it while it was Collateral Agent under this Agreement.

 

9.4.Concerning
the Collateral Agent.

 

9.4.1.Standard
of Conduct, etc. The Collateral Agent and its officers, directors, employees and agents shall be under no liability to any
of the Purchasers or to any future holder of any interest in the Obligations for any action or failure to act taken or suffered
in the absence of gross negligence and willful misconduct, and any action or failure to act in accordance with an opinion of its
counsel shall conclusively be deemed to be in the absence of gross negligence and willful misconduct.

 

    	-20-

    	 

    

 

9.4.2.No
Implied Duties, etc. The Collateral Agent shall have and may exercise such powers as are specifically delegated to the Collateral
Agent under this Agreement together with all other powers incidental thereto. The Collateral Agent shall have no implied duties
to any Person or any obligation to take any action under this Agreement except for action specifically provided for in this Agreement
to be taken by the Collateral Agent.

 

9.4.3.Validity,
etc. The Collateral Agent shall not be responsible to any other party or any future holder of any interest in the Obligations
(a) for the legality, validity, enforceability or effectiveness of any Document, (b) for any recitals, reports, representations,
warranties or statements contained in or made in connection with any Document, (c) for the existence or value of any assets included
in any security for the Obligations, (d) for the effectiveness of any Lien purported to be included in the security for the Obligations,
or (e) for the perfection of the security interests for the Obligations.

 

9.4.4.Compliance.
The Collateral Agent shall not be obligated to ascertain or inquire as to the performance or observance of any of the terms of
this Agreement or any other Document.

 

9.4.5.Employment
of Agents and Counsel. The Collateral Agent may execute any of its duties as Collateral Agent under this Agreement or the
other Documents by or through employees, agents and attorneys-in-fact and shall not be responsible to any of the parties hereto
for the default or misconduct of any such employees, agents or attorneys-in-fact selected by the Collateral Agent acting in the
absence of gross negligence and willful misconduct. The Collateral Agent shall be entitled to advice of counsel concerning all
matters pertaining to the agency hereby created and its duties hereunder.

 

9.4.6.Reliance
on Documents and Counsel. The Collateral Agent shall be entitled to rely, and shall be fully protected in relying, upon any
affidavit, certificate, cablegram, consent, instrument, letter, notice, order, document, statement, telecopy, telegram, telex
or teletype message or writing reasonably believed in good faith by the Collateral Agent to be genuine and correct and to have
been signed, sent or made by the Person in question, including any telephonic or oral statement made by such Person, and, with
respect to legal matters, upon an opinion or the advice of counsel selected by the Collateral Agent.

 

9.4.7.Collateral
Agent’s Reimbursement. The Purchasers agree to indemnify the Collateral Agent for any losses arising from its appointment
as the Collateral Agent or from the performance of its duties hereunder and to reimburse the Collateral Agent for any reasonable
expenses; provided, however, that the Collateral Agent shall not be indemnified or reimbursed for liabilities or
expenses to the extent resulting from its own gross negligence or willful misconduct.

 

9.4.8.Assumption
of Collateral Agent’s Rights. Notwithstanding anything herein to the contrary, if at any time no Person constitutes
the Collateral Agent hereunder or the Collateral Agent fails to act upon written directions from the parties hereto, the Majority
Purchasers shall be entitled to exercise any power, right or privilege granted to the Collateral Agent and in so acting the Majority
Purchasers shall have the same rights, privileges, indemnities and protections provided to the Collateral Agent hereunder.

 

    	-21-

    	 

    

 

ARTICLE
X

GENERAL
PROVISIONS

 

10.1.Expenses.
The Company agrees to promptly pay in full (i) subject to the availability
and limited to the proceeds of the Notes, all reasonable out-of-pocket costs and expenses (including, without limitation, reasonable
fees and disbursements of a single external counsel and of any local counsel in any relevant jurisdiction) incurred, by the Collateral
Agent or the Purchasers in connection with the preparation, negotiation, execution and delivery of the proposal letter and the
Documents, including the Purchasers’ due diligence and credit approval process in connection with the financing; provided
that the aggregate reimbursable expenses under this clause (i) shall not exceed $100,000, (ii) all reasonable out-of-pocket
costs and expenses (including, without limitation, reasonable fees and disbursements of a counsel to the Company) incurred by
the Purchasers pursuant to Section 6.9.2 or otherwise expressly payable by the Company under this Agreement, (iii) following
an Event of Default, all reasonable out-of-pocket costs and expenses (including, without limitation, reasonable fees and disbursements
of a counsel to the Company) incurred by the Collateral Agent or the Purchasers in enforcing any obligations hereunder or under
any other Document on account of such Default or in collecting any payments due hereunder, including
broker’s fees and other third party professional fees and expenses and (iv) all reasonable out-of-pocket costs and expenses
(including, without limitation, reasonable fees and disbursements of a single external counsel and any local counsel in any relevant
jurisdiction) incurred by the Collateral Agent or the Purchasers in connection with any refinancing or restructuring of the credit
arrangements provided under this Agreement in the nature of a workout, or any insolvency or bankruptcy proceedings.
Any such costs and expenses invoiced prior to a Closing Date shall be paid on such Closing Date, first through application of
any expense deposit. The unused balance, if any, of any expense deposit shall be released to the Company following completion
of the Control Agreement pursuant to Section 6.11 and any post- closing activities, including perfection in any Collateral.
Any other costs and expenses shall be paid within thirty (30) days of the submission of an invoice to the Company therefor, provided
that the Collateral Agent’s application of the proceeds of the Monetization Revenues towards such expenses pursuant to Section
6.11 shall be deemed to be timely payment thereof if the Collateral Agent receives sufficient Monetization Revenues within
such 30 day period. Any amounts not timely paid shall bear interest, payable in cash, at a rate of 10% per annum compounding quarterly.
The provisions of this Section 9.1 shall survive the repayment in full of the Notes and the termination of this Agreement.

 

    	-22-

    	 

    

 

10.2.Indemnity.
In addition to the payment of expenses pursuant to Section 9.1, whether or not the transactions contemplated hereby
shall be consummated, the Company (as “Indemnitor”) agrees to indemnify, pay and hold the Collateral Agent
and the Purchasers, and the officers, directors, partners, managers, members, employees, agents, and Affiliates of the Collateral
Agent and the Purchasers (collectively, the “Indemnitees”) harmless from and against any and all other liabilities,
costs, expenses, obligations, losses (other than lost profit), damages, penalties, actions, judgments, suits, claims and disbursements
of any kind or nature whatsoever (including, without limitation, the reasonable fees and disbursements of one counsel for such
Indemnitees) in connection with any investigative, administrative or judicial proceeding commenced
or threatened (excluding claims among Indemnitees) by any person who is not a Purchaser or an Affiliate thereof or the Collateral
Agent or an Affiliate thereof, whether or not such Indemnitee shall be designated a party thereto, which may be imposed on, incurred
by, or asserted against that Indemnitee, in any manner relating to or arising out of this Agreement and the Notes (the “Indemnified
Liabilities”); provided that the Indemnitor shall not have any obligation to an Indemnitee
hereunder with respect to an Indemnified Liability to the extent that such Indemnified Liability arises from the gross negligence
or willful misconduct of that Indemnitee or any of its officers, directors, partners, managers, members, employees, agents and/or
Affiliates. Each Indemnitee shall give the Indemnitor prompt written notice of any claim that might give rise to Indemnified Liabilities
setting forth a description of those elements of such claim of which such Indemnitee has knowledge;
provided that any failure to give such notice shall not affect the obligations of the Indemnitor. The Indemnitor shall
have the right at any time during which such claim is pending to select counsel to defend and control the defense thereof and
settle any claims for which it is responsible for indemnification hereunder (provided that the Indemnitor will not settle
any such claim without (i) the appropriate Indemnitee’s prior written consent, which consent shall not be unreasonably withheld
or (ii) obtaining an unconditional release of the appropriate Indemnitee from all claims arising out of or in any way relating
to the circumstances involving such claim and without any admission as to culpability or fault of such Indemnitee) so long as
in any such event, the Indemnitor shall have stated in a writing delivered to the Indemnitee that, as between the Indemnitor and
the Indemnitee, the Indemnitor is responsible to the Indemnitee with respect to such claim to the extent and subject to the limitations
set forth herein; provided that the Indemnitor shall not be entitled to control the defense of any claim in the event that
in the reasonable opinion of counsel for the Indemnitee, there are one or more material defenses available to the Indemnitee which
are not available to the Indemnitor; provided further, that with respect to any claim as to which the Indemnitee is controlling
the defense, the Indemnitor will not be liable to any Indemnitee for any settlement of any claim pursuant to this Section 9.2
that is effected without its prior written consent, which consent shall not be unreasonably withheld. To the extent that the
undertaking to indemnify, pay and hold harmless set forth in this Section 9.2 may be
unenforceable because it is violative of any law or public policy, the Company shall contribute the maximum portion which it is
permitted to pay and satisfy under applicable law, to the payment and satisfaction of all Indemnified
Liabilities incurred by the Indemnitees or any of them. Notwithstanding anything to the contrary in this Agreement, no party shall
be liable to the other party or any third party for any indirect, incidental, exemplary, special, punitive or consequential damages
(including with respect to lost revenue, lost profits or savings or business interruption) of any kind or nature whatsoever suffered
by the other party or any third party howsoever caused and regardless of the form or cause of action, even if such damages are
foreseeable or such party has been advised of the possibility of such damages. The provisions of this Section 9.2 shall
survive the repayment in full of the Notes and the termination of this Agreement.

 

10.3.Notices.
All
notices, demands or other communications to be given or delivered under or by reason of the provisions of this Agreement shall
be in writing and delivered via facsimile, email (in each case, followed promptly by delivery from a nationally recognized overnight
courier) or a nationally recognized overnight courier. Such notices, demands and other communications will be delivered or sent
to the address indicated on Schedule 9.3 or such other address or to the attention of such other Person as the recipient
party shall have specified by prior written notice to the sending party. Any such communication shall be deemed to have been received
when actually delivered or refused.

 

    	-23-

    	 

    

 

10.4.Amendments,
Consents, Waivers, etc. 

 

10.4.1.Amendments.
No amendment, modification, termination or waiver of any provision of this Agreement shall in any event be effective without the
written consent of each of the Company, the Collateral Agent and the Majority Purchasers; provided that the consent of
each affected Purchaser shall be required for any amendment that (i) waives or reduces any amounts owed to it under this Agreement
or extends the date for payment of any amount hereunder, (ii) releases the Company or (iii) releases all or any material portion
of the Collateral, except in connection with any Disposition of Patents to the extent permitted under Section 6.9.1. Any
waiver or consent shall be effective only in the specific instance and for the specific purpose for which it was given. No notice
to or demand on the Company in any case shall entitle the Company to any further notice or demand in similar or other circumstances.
Any amendment, modification, termination, waiver or consent effected in accordance with this Section
9.4.1 shall be binding upon the holders of the Obligations at the time outstanding and each future holder thereof.

 

10.4.2.Course
of Dealing; No Implied Waivers. No course of dealing between the Purchasers and the Company shall operate as a waiver of any
Purchaser’s rights under this Agreement or with respect to the Obligations. In particular, no delay or omission on the part
of any Purchaser in exercising any right under this Agreement or with respect to the Obligations shall operate as a waiver of
such right or any other right hereunder or thereunder. A waiver on any one occasion shall not be construed as a bar to or waiver
of any right or remedy on any future occasion. 

 

10.5.No
Strict Construction. The parties have participated jointly in the negotiation and drafting of this Agreement with counsel
sophisticated in financing transactions. In the event an ambiguity or question of intent or interpretation arises, this Agreement
shall be construed as if drafted jointly by the parties and no presumption or burden of proof shall arise favoring or disfavoring
any party by virtue of the authorship of any provisions of this Agreement.

 

10.6.Certain
Acknowledgments. Each of the Company and the Purchasers acknowledges that:

 

10.6.1.it
has been advised by counsel in the negotiation, execution and delivery of this Agreement; and

 

10.6.2.no
joint venture is created hereby or otherwise exists by virtue of the transactions contemplated hereby or thereby among the Company
and the Purchasers.

 

10.7.Venue;
Service of Process; Certain Waivers. The Company and Purchaser:

 

10.7.1.irrevocably
submit to the exclusive jurisdiction of any New York state court or federal court sitting in New York, New York, and any court
having jurisdiction over appeals of matters heard in such courts, for the purpose of any suit, action or other proceeding arising
out of or based upon this Agreement or the subject matter hereof or thereof;

 

    	-24-

    	 

    

 

10.7.2.waive
to the extent not prohibited by applicable law that cannot be waived, and agree not to assert, by way of motion, as a defense
or otherwise, in any such proceeding brought in any of the above-named courts, any claim that they are not subject personally
to the jurisdiction of such court, that their property is exempt or immune from attachment or execution, that such proceeding
is brought in an inconvenient forum, that the venue of such proceeding is improper, or that this Agreement, or the subject matter
hereof or thereof, may not be enforced in or by such court;

 

10.7.3.consent
to service of process in any such proceeding in any manner at the time permitted under the applicable laws of the State of New
York and agree that service of process by registered or certified mail, return receipt requested, at the address specified in
or pursuant to Section 9.3 is reasonably calculated to give actual notice; and

 

10.7.4.waive
to the extent not prohibited by applicable law that cannot be waived any right to claim or recover in any such proceeding any
special, exemplary, punitive or consequential damages.

 

10.8.WAIVER
OF JURY TRIAL. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW THAT CANNOT BE WAIVED, EACH COMPANY AND EACH PURCHASER WAIVES,
AND COVENANTS THAT IT WILL NOT ASSERT (WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE), ANY RIGHT TO TRIAL BY JURY IN ANY FORUM
IN RESPECT OF ANY ISSUE, CLAIM OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE CONDUCT OF THE PARTIES HERETO,
WHETHER NOW EXISTING OR HEREAFTER ARISING AND WHETHER IN CONTRACT, TORT OR OTHERWISE. The Company acknowledges that it has been
informed by the Purchasers that the foregoing sentence constitutes a material inducement upon which
the Purchasers have relied and will rely in entering into this Agreement. Any of the Company or Purchasers may file an original
counterpart or a copy of this Agreement with any court as written evidence of the consent of the Company and Purchasers to the
waiver of their rights to trial by jury.

 

10.9.Interpretation;
Governing Law; etc. All covenants, agreements, representations and warranties made in this Agreement or in certificates delivered
pursuant hereto or thereto shall be deemed to have been relied on by each Purchaser, notwithstanding any investigation made by
such Purchaser, and shall survive the execution and delivery to the Purchasers hereof and thereof. The invalidity or unenforceability
of any provision hereof shall not affect the validity or enforceability of any other provision hereof, and any invalid or unenforceable
provision shall be modified so as to be enforced to the maximum extent of its validity or enforceability. The headings in this
Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof. This Agreement and
the Documents constitute the entire understanding of the parties with respect to the subject matter hereof and thereof and supersede
all prior and contemporaneous understandings and agreements, whether written or oral. This Agreement may be executed in any number
of counterparts which together shall constitute one instrument. This Agreement,
and any issue, claim or proceeding arising out of or relating to this Agreement or the Documents or the conduct of the parties
hereto, whether now existing or hereafter arising and whether in contract, tort or otherwise, shall be governed by and construed
in accordance with the laws of the State of New York.

 

    	-25-

    	 

    

 

10.10.Successors
and Assigns 

 

10.10.1.The
provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors
and assigns permitted by Sections 9.10.2 and 9.10.3.

 

10.10.2.The
Company may not assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of the
Majority Purchasers. Subject to Section 9.10.4 below, any Note Purchaser may sell, assign, participate or transfer all
or any part of their rights under this Agreement to an Eligible Assignee (as defined below) with the written consent of the Company
(not to be unreasonably withheld, delayed or conditioned); provided that (x) the consent of the Company shall not be required
(a) in the case of any sale, assignment, participation or transfer to any person that is not a direct competitor of the Company
(as reasonably determined by the Majority Purchasers after notice to the Company), (b) in the case of any sale, assignment, participation
or transfer to any Affiliate of a Purchaser that is an Eligible Assignee and (c) if an Event of Default has occurred and is continuing;
(y) such Note Purchaser and the assignee of such Note Purchaser shall have delivered an executed Assignment and Acceptance Agreement
substantially in the form attached hereto as Exhibit D-1 to the Company and each other Purchaser; and (z) other than during
an Event of Default, no Note Purchaser may sell, assign, participate or transfer all or any part of their rights under this Agreement
without the prior written consent of the Company if, as a result of such sale, assignment, participation or transfer, the resulting
Note Purchasers constituting the Majority Note Purchasers would at any time be greater in number than one Note Purchaser except
that all Affiliates of the original Note Purchaser shall be treated as if they were one entity for purposes of this clause (z)
and there is a single point of contact representing the original Note Purchaser and all such Affiliates for purposes of this Agreement.
In the case of any sale, assignment, transfer or negotiation of all or part of the rights of a Note Purchaser under this Agreement
that is authorized under this Section 9.10.2, the assignee, transferee or recipient shall have, to the extent of such
sale, assignment, transfer or negotiation, the same rights, benefits and obligations as it would if it were a Note Purchaser hereunder.
The Note Purchasers agree to provide to the Company prompt written notice of any sales, assignments or transfers permitted hereunder,
including the name and address of the transferee(s). “Eligible Assignee” means any commercial bank, insurance company,
finance company, financial institution, fund that invests in loans or any other “accredited investor” (as defined
in Regulation D of the Securities Act (subject to such consents, if any, as may be required above under this Section 9.10.2)).

 

10.10.3.The
Company shall maintain at its principal office, or the principal office of its counsel, a register (the “Register”)
in which the Company shall keep a record of the Notes made by each Purchaser, payments to each Purchaser and any transfer of the
rights of an Purchaser; provided that the Company shall have no obligation to update the register to reflect any sales,
assignments or transfers made by the Purchasers in the event that the Purchasers fail to give the Company written notice as required
under Section 9.10.2. The requirement that the ownership and transfer of the rights of the Purchasers under this Agreement
shall be reflected in the Register is intended to ensure that the Notes qualify as an obligation issued in “registered form”
as that term is used in Sections 163(f), 871(h), and 881(c) of the Code and shall be interpreted accordingly and, notwithstanding
anything to the contrary in this Agreement.

 

    	-26-

    	 

    

 

10.10.4.Any
Revenue Participant may sell, assign, participate or transfer all or any part of their rights under this Agreement to an Eligible
Assignee with the written consent of the Company (not to be unreasonably withheld, delayed or conditioned); provided that
(x) the consent of the Company shall not be required (a) in the case of any sale, assignment, participation or transfer to any
person that is not a direct competitor of the Company (as reasonably determined by the Majority Revenue Participant after notice
to the Company), (b) in the case of any sale, assignment, participation or transfer to any Affiliate of a Revenue Participant
that is an Eligible Assignee and (c) if an Event of Default has occurred and is continuing; (y) such Revenue Participant and the
assignee of such Revenue Participant shall have delivered an executed Assignment and Acceptance Agreement substantially in the
form attached hereto as Exhibit D-2 to the Company and each other Purchaser; and (z) other than during an Event of Default,
no Revenue Participant may sell, assign, participate or transfer all or any part of their rights under this Agreement without
the prior written consent of the Company if, as a result of such sale, assignment, participation or transfer, the resulting Revenue
Participants constituting the Majority Revenue Participants would at any time be greater in number than one Revenue Participant
except that all Affiliates of the original Revenue Participant shall be treated as if they were one entity for purposes of this
clause (z) and there is a single point of contact representing the original Revenue Participant and all such Affiliates for purposes
of this Agreement. In the case of any sale, assignment, transfer or negotiation of all or part of the rights of a Revenue Participant
under this Agreement that is authorized under this Section 9.10.4, the assignee, transferee or recipient shall have,
to the extent of such sale, assignment, transfer or negotiation, the same rights, benefits and obligations as it would if it were
a Revenue Participant hereunder. The Revenue Participants agree to provide to the Company prompt written notice of any sales,
assignments or transfers permitted hereunder, including the name and address of the transferee(s).

 

10.11.Tax
Treatment.4

 

10.11.1.The
Company and each Revenue Participant intend that, solely for federal, state and local income tax purposes and for no other purpose,
the relationship between the Revenue Participants and the Company that is created by this Agreement with respect to the Revenue
Stream shall be treated as creating a partnership with respect to the Revenue Stream (the “Tax Partnership”),
with the Revenue Participants and the Company being treated as partners of such partnership; it being understood for avoidance
of doubt that the relationship between the Company and the Note Purchasers by this Agreement with respect to the Notes shall be
a debtor-creditor relationship for all purposes, including for all federal, state and local income tax purposes.

 

 

4
Under tax review. 

 

    	-27-

    	 

    

 

10.11.2.The
Company and each Revenue Participant hereby agree that for purposes of determining the Company’s and each Revenue Participant’s
distributive share of income, gain, loss and deduction of the Tax Partnership:

 

10.11.2.1.The
Tax Partnership shall maintain capital accounts for each of the Company and the Revenue Participants consistent with the rules
of Treasury Regulations Section 1.704-1(b); it being understood that under no circumstances shall any such rule override the economic
relationship between the parties as to their respective shares of the Monetization Revenues set forth in this Agreement;

 

10.11.2.2.The
Company shall be deemed to contribute to the Tax Partnership the right to generate revenue through the exploitation of the Patents
(the “Patent Rights”), which such right the parties agree had a fair market value of $50,000 as of the date
of contribution;

 

10.11.2.3.The
Revenue Participants shall be deemed to contribute to the Tax Partnership the purchase price for the Revenue Stream;

 

10.11.2.4.The
Tax Partnership shall allocate items of income, gain, loss and deduction to the Company and the Revenue Participants in a manner
that causes the capital accounts of the parties to be equal to the amounts payable pursuant to this agreement if the Tax Partnership
sold the Patent Rights and any other non-cash assets for an amount equal to the book value of the Patent Rights and any other
non-cash assets (as determined pursuant to Treasury Regulations Section 1.704-1(b)) and distributed the proceeds and any other
cash pursuant to this Agreement; it being understood that any losses attributable to Monetization Expenses shall be allocated
to the Revenue Participants until the aggregate capital accounts of the Revenue Participants shall have been reduced to $50,000.

 

10.11.3.The
Company and each Revenue Participant shall file all tax returns and shall otherwise take all tax and financial reporting positions
in a manner consistent with any treatment described in this Section 9.11.  The Company shall be the tax matters partner
of the Tax Partnership.

 

10.11.4.The
Company and each of the Revenue Participants will cooperate to provide each other with any information reasonably requested by
any of them in connection with the preparation or filing of any return, declaration, report, election, information return or other
statement or form filed or required to be filed with any governmental authority relating to Taxes (a “Tax Return”)
for any of them or for or relating to the partnership described in the first sentence of this Section 9.11. The Company
shall be responsible for preparing and filing any Tax Return for or relating to such partnership, and the out-of-pocket costs
incurred in connection with the preparation and filing of any Tax Return for or relating to the Tax Partnership shall be treated
as an expense of the Tax Partnership.

 

10.11.5.For
the avoidance of doubt, no fiduciary relationship is intended to be created by this Agreement between the Company and any Revenue
Participant.

 

(The
remainder of this page intentionally has been left blank.)

 

    	-28-

    	 

    

 

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

 

	 	Revenue Participant:
	 	 
	 	CF DB EZ LLC
	 	 
	 	/s/ Constantine M. Dakolias
	 	By: Constantine M. Dakolias
	 	Title: President
	 	 
	 	Note Purchasers:
	 	 
	 	Fortress Credit Co LLC
	 	 
	 	/s/ Constantine M. Dakolias
	 	By: Constantine M. Dakolias
	 	Title: President

 

    	[Signature Page to Single Touch Revenue Sharing and Note Purchase Agreement]

    	 

    

 

	 	Collateral Agent:
	 	 
	 	Fortress Credit Co LLC
	 	 
	 	/s/ Constantine M. Dakolias
	 	By: Constantine M. Dakolias
	 	Title: President

 

    	[Signature Page to Single Touch Revenue Sharing and Note Purchase Agreement]

    	 

    

 

	 	Company:
	 	 
	 	SITO MOBILE, LTD.
	 	 
	 	/s/ Jerry Hug
	 	By:  Jerry Hug
	 	Title: Interim CEO
	 	 
	 	SINGLE TOUCH INTERACTIVE, INC.
	 	 
	 	/s/ Jerry Hug
	 	By: Jerry Hug
	 	Title: President
	 	 
	 	SINGLE TOUCH INTERACTIVE R&D IP, LLC
	 	 
	 	/s/ Jerry Hug
	 	By: Jerry Hug
	 	Title: Authorized Manager

 

    	[Signature Page to Single Touch Revenue Sharing and Note Purchase Agreement]

    	 

    

 

APPENDIX
I

 

DEFINITIONS

 

“Affiliate”
means with respect to any specified Person, any other Person directly or indirectly controlling, controlled by or under direct
or indirect common control with such Person, and shall include (a) any officer or director or general partner of such specified
Person, (b) any other Person of which such specified Person or any Affiliate (as defined in clause (a) above) of such specified
Person shall, directly or indirectly, beneficially own either (i) at least 10% of the outstanding equity securities having the
general power to vote or (ii) at least 10% of all equity interests, (c) any other Person directly or indirectly controlling such
specified Person through a management agreement, voting agreement or other contract and (d) with respect to any individual, such
individual’s child, stepchild, grandchild or more remote descendant, parent, stepparent, grandparent, spouse, former spouse,
qualified domestic partner, sibling, mother-in-law, father-in-law, son-in-law and daughter-in-law (including adoptive relationships)
and any trust, partnership or other bona fide estate-planning vehicle the only beneficiaries of which are any of the foregoing
individuals or any private foundation or fund that is controlled by any of the foregoing individuals or any donor-advised fund
of which any such individual is the donor; provided that neither the Collateral Agent or any Purchaser (or any Affiliate
thereof) shall be deemed an Affiliate of the Company on account of the amounts owed to it under the Agreement or the relationship
created thereby.

 

“Applicable
Percentage” means:

 

(a)until
such time as the Revenue Participants have received $2,500,000 in the aggregate with respect to the Revenue Stream, 50%;

 

(b)thereafter,
until such time that the Revenue Participants have received $5,000,000 in the aggregate with respect to the Revenue Stream, 35%;

 

(c)thereafter,
10%, until the Revenue Stream has been fully satisfied;

 

Provided,
upon any acceleration of the Notes and Revenue Stream, the Applicable Percentage shall be 100% until the Revenue Stream has been
fully satisfied.

 

“Authorized
Officer” means, with respect to any Person, the chief executive officer, chief restructuring officer, chief financial
officer, president, treasurer, comptroller or executive vice president of such Person.

 

“Bankruptcy
Code” means Title 11 of the United States Code.

 

“Bankruptcy
Default” means an Event of Default referred to in Section 7.1.8.

 

“Business
Day” means any day other than a Saturday, a Sunday or a day on which commercial banks in New York City are required
or authorized to be closed.

 

    	A-1

     

    

 

“Capital
Stock” means, with respect to any Person, any and all shares, interests, participations, rights in or other equivalents
(however designated) of such Person’s capital stock, partnership interests, membership interests or other equivalent interests
and any rights (other than debt securities convertible into or exchangeable for capital stock), warrants or options exchangeable
for or convertible into such capital stock or other equity interests.

 

“Capitalized
Lease” means any lease which is required to be capitalized on the balance sheet of the lessee in accordance with GAAP,
including Statement Nos. 13 and 98 of the Financial Accounting Standards Board.

 

“Capitalized
Lease Obligations” means the amount of the liability reflecting the aggregate discounted amount of future payments under
all Capitalized Leases in accordance with GAAP, including Statement Nos. 13 and 98 of the Financial Accounting Standards Board.

 

“Cash
Equivalents” means cash on deposit at a bank; certificates of deposit; money market mutual funds or U.S. Treasury bills
with a remaining maturity of 90 days or less.

 

“Change
of Control” means (x) any Person or “group” (as such term is used in Sections 13(d) and 14(d) of the Securities
Exchange Act of 1934, but excluding any employee benefit plan of such Person and its subsidiaries, and any Person acting in its
capacity as trustee, agent or other fiduciary or administrator of any such plan), either becomes the “beneficial owner”
(as defined in Rules 13(d)-3 and 13(d)-5 of the Securities Exchange Act of 1934), directly or indirectly, of equity interests
representing more than thirty percent (30%) of the aggregate ordinary voting power represented by the issued and outstanding equity
interests of Parent or (y) Parent ceases to own all of the equity interests in Licensee and Owner, other than interests held by
the Collateral Agent.

 

“Closing
Date” means October 3, 2014.

 

“Code”
means the Internal Revenue Code of 1986, as amended.

 

“Collateral”
has the meaning set forth in the Security Agreement.

 

“Collateral
Documents” means the Security Agreement, the Patent Security Agreement, the Control Agreement referred to in Section
6.11, any financing statement (or amendment thereto) naming the Company as debtor and the Collateral Agent as secured party,
and all other instruments, documents, agreements and certificates delivered by the Company to the Purchasers or the Collateral
Agent pursuant to these agreements.

 

“Contractual
Obligations” means, as to any Person, any provision of any security (whether in the nature of Capital Stock or otherwise)
issued by such Person or of any agreement, undertaking, contract, indenture, mortgage, deed of trust or other instrument, document
or agreement (other than a Document) to which such Person is a party or by which it or any of its Property is bound or to which
any of its Property is subject.

 

“Default”
means any Event of Default and any event or condition which with the passage of time or giving of notice, or both, would become
an Event of Default.

 

    	A-2

     

    

 

“Disposition”
means the sale, transfer, license, profit and revenue sharing arrangements, derivative interests, lease or other disposition (including
any sale or issuance of equity interests in the Company or any subsidiary of the Company) of any property by any Person, including
any sale, assignment, transfer or other disposal, with or without recourse, of any notes or accounts receivable or any rights
and claims associated therewith, whether in a single transaction or a series of related transactions. “Dispose” shall
have the correlative meaning.

 

“Documents”
means this Agreement, Collateral Documents, the Subscription Agreement, and all other instruments, documents, agreements and certificates
delivered by the Company to the Purchasers or the Collateral Agent pursuant to this Agreement.

 

“GAAP”
means generally accepted accounting principles as from time to time in effect, including the statements and interpretations of
the United States Financial Accounting Standards Board.

 

“Governmental
Authority” means any nation, sovereign or government, any state or other political subdivision thereof, any agency,
authority or instrumentality thereof and any entity or authority exercising executive, legislative, taxing, judicial, regulatory
or administrative functions of or pertaining to government, including any central bank, stock exchange, regulatory body, arbitrator,
public sector entity, supra-national entity (including the European Union and the European Central Bank) and any self-regulatory
organization (including the National Association of Insurance Commissioners).

 

“Guarantee”
means, with respect to any specified Person:

 

(a)any
guarantee by such Person of the payment or performance of, or any contingent obligation by such Person in respect of, any Indebtedness
or other obligation of any primary obligor;

 

(b)any
other arrangement whereby credit is extended to a primary obligor on the basis of any promise or undertaking of such Person, including
any binding “comfort letter” or “keep well agreement” written by such Person, to a creditor or prospective
creditor of such primary obligor, to (i) pay the Indebtedness of such primary obligor, (ii) purchase an obligation owed by such
primary obligor, (iii) pay for the purchase or lease of assets or services regardless of the actual delivery thereof or (iv) maintain
the capital, working capital, solvency or general financial condition of such primary obligor;

 

(c)any
liability of such Person, as a general partner of a partnership in respect of Indebtedness or other obligations of such partnership;

 

(d)any
liability of such Person as a joint venturer of a joint venture in respect of Indebtedness or other obligations of such joint
venture;

 

(e)any
liability of such Person with respect to the tax liability of others as a member of a group (other than a group consisting solely
of such Person and its Subsidiaries) that is consolidated for tax purposes; and

 

(f)reimbursement
obligations, whether contingent or matured, of such Person with respect to letters of credit, bankers acceptances, surety bonds
and other financial guarantees;

 

    	A-3

     

    

 

in
each case whether or not any of the foregoing are reflected on the balance sheet of such Person or in a footnote thereto; provided,
however, that the term “Guarantee” shall not include endorsements for collection or deposit in the Ordinary
Course of Business.

 

“Indebtedness”
means all obligations, contingent or otherwise, which in accordance with GAAP are required to be classified as indebtedness upon
a balance sheet of the Company, but in any event including (without duplication):

 

(a)indebtedness
for borrowed money;

 

(b)indebtedness
evidenced by notes, debentures or similar instruments;

 

(c)Capitalized
Lease Obligations and Synthetic Lease Obligations;

 

(d)the
deferred purchase price of assets, services or securities, including related noncompetition, consulting and stock repurchase obligations
(other than ordinary trade accounts payable on customary terms in the Ordinary Course of Business), and any long-term contractual
obligations for the payment of money, but not including contingent fees payable to counsel;

 

(e)mandatory
redemption, repurchase or dividend rights on Capital Stock (or other equity), including provisions that require the exchange of
such Capital Stock (or other equity) for Indebtedness from the issuer;

 

(f)reimbursement
obligations, whether contingent or matured, with respect to letters of credit, bankers acceptances, surety bonds and other financial
guarantees (without duplication of other Indebtedness supported or guaranteed thereby);

 

(g)unfunded
pension liabilities;

 

(h)liabilities
secured by any Lien (other than Liens securing the Obligations) existing on property owned or acquired by the Company, whether
or not the liability secured thereby shall have been assumed; and

 

(i)all
Guarantees in respect of Indebtedness of others and reimbursement obligations, whether contingent or matured, under letters of
credit or other financial guarantees by third parties (or become contractually committed to do so).

 

“Legal
Requirement” means, with respect to any specified Person, any present or future requirement imposed upon such Person
and its Subsidiaries by any law, statute, rule, regulation, directive, order, decree or guideline (or any interpretation thereof
by courts or of administrative bodies) of the United States of America or any state or political subdivision thereof, governmental
or administrative agency, central bank or monetary authority of the United States of America, any jurisdiction where the such
Person or any of its Subsidiaries owns property or conducts its business, or any political subdivision of any of the foregoing.

 

    	A-4

     

    

 

“LIBOR”
means the greater of (x) 1.00% per annum or (y) the London interbank offered rate administered by the British Bankers Association
(or any other Person that takes over the administration of such rate for Dollars) for a twelve (12) month period as displayed
on pages LIBOR01 or LIBOR02 of the Reuters screen or, in the event such rate does not appear on a Reuters page or screen, on any
successor or substitute page on such screen that displays such rate, or on the appropriate page of such other information service
that publishes such rate as shall be selected by the Majority Note Purchaser from time to time in its reasonable discretion (the
“Eurodollar Screen Rate”), such to be annually established as of each January 2.

 

“Lien”
means with respect to any specified Person:

 

(a)
any lien, encumbrance, mortgage, pledge, charge or security interest of any kind upon any property or assets of such Person,
whether now owned or hereafter acquired, or upon the income or profits therefrom (excluding in any event a financing statement
filed by a lessor under an operating lease not intended to be a secured financing), but shall not include: (i) liens for any tax,
assessment or other governmental charge not yet due or that are being contested in good faith by appropriate proceeding, (ii)
materialmen’s and mechanics’ liens or other like Liens, arising in the Ordinary Course of Business for amounts not
yet due or that are being contested in good faith; and (iii) liens, deposits or pledges to secure statutory obligations or performance
of bids, tenders, contracts or leases, incurred in the Ordinary Course of Business;

 

(b)the
acquisition of, or the agreement to acquire, any property or asset upon conditional sale or subject to any other title retention
agreement, device or arrangement (including a Capitalized Lease and a Synthetic Lease);

 

(c)the
sale, assignment, pledge or transfer for security of any accounts, general intangibles or chattel paper of such Person, with or
without recourse;

 

(d)in
the case of securities, any purchase option, call or similar purchase right of a third party;

 

(e)the
existence for a period of more than 120 consecutive days of any Indebtedness against such Person which if unpaid would by law
or upon a Bankruptcy Default be given priority over general creditors.

 

“Limited
Liability Company Agreement” means that certain Limited Liability Company Agreement, dated as of the date hereof, by
Single Touch Interactive R&D IP, LLC.

 

“Majority
Note Purchasers” means the Note Purchasers that hold more than 50% of the aggregate outstanding Notes.

 

“Majority
Purchasers” means the Majority Revenue Participant and, if any of the Notes are outstanding, the Majority Note Purchaser.

 

“Majority
Revenue Participants” means the Revenue Participants representing more than 50% of such participation right.

 

“Margin
Stock” means “margin stock” within the meaning of Regulation T, U or X of the Board of Governors of the
Federal Reserve System.

 

    	A-5

     

    

 

“Material
Adverse Effect” means, with respect to the Company, since any specified date or from the circumstances existing immediately
prior to the happening of any specified event, a material adverse effect on the business, assets, financial condition, income
or prospects of the Company.

 

“Monetization
Activities” means any activities necessary or desirable to generate revenue from intellectual property anywhere in the
world by means of license (non-exclusive or exclusive), assignment, enforcement, litigation, arbitration, negotiation, covenant
not to sue or assert, or otherwise.

 

“Monetization
Revenues” means the sum of (x) amounts that the Company receives in cash or an amount equal to the fair market value
of any in-kind payment the Company receives (i) from third parties in respect of the Patents; (ii) on account of any sale of products
or services using the Patents not under development or offered by the Company as of the Closing Date solely to the extent reasonably
determined by the Majority Purchasers, following discussion with the Company, that such sales are to a party that would otherwise
have been or was a target of Monetization Activities, that ; (iii) the development to order of any software or other products
using the Patents, including royalty payments, license fees, settlement payments, judgments or other similar payments in respect
of the Patents; and (iv) the purchase price or other amounts received in connection the sale of hardware or software with respect
to the Patents, in each case as and when actually received by the Company (including any and all such amounts actually received
by any attorneys, agents or other representatives of the Company). Monetization Revenues shall be calculated prior to giving effect
to any expenses incurred by the Company in the collection of any Monetization Revenues, including, without limitation, prior to
giving effect to any contingent or other fees owed to any attorneys, consultants or other professionals in the monetization of
any of the Company’s rights with respect to any Patents.

 

“Obligations”
means any and all obligations of the Company under this Agreement or any other Document.

 

“Ordinary
Course of Business” means, in respect of any transaction involving any Person, the ordinary course of such Person’s
business, as conducted by any such Person in accordance with past practice and undertaken by such Person in good faith and not
for purposes of evading any covenant or restriction in any Document.

 

“Organization
Documents” means, (a) with respect to any corporation, the certificate or articles of incorporation and the bylaws (or
equivalent or comparable constitutive documents with respect to any non-U.S. jurisdiction); (b) with respect to any limited liability
company, the certificate or articles of formation or organization and operating agreement; and (c) with respect to any partnership,
joint venture, trust or other form of business entity, the partnership, joint venture or other applicable agreement of formation
or organization and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation or
organization with the applicable Governmental Authority in the jurisdiction of its formation or organization and, if applicable,
any certificate or articles of formation or organization of such entity.

 

    	A-6

     

    

 

“Patent
License Agreement” means the Patent License Agreement attached hereto as Exhibit E.

 

“Patent
Security Agreement” means the Patent Security Agreement substantially in the form of Exhibit F hereto.

 

“Patents”
means the letters Patent set forth on Schedule I(a), whether registered in the United States or any other jurisdiction,
all registrations and recordings thereof, including all re-examination certificates and all utility models, including registrations,
recordings and pending applications, and all reissues, continuations, divisions, continuations-in-part, renewals, improvements
or extensions thereof, and the inventions disclosed or claimed therein.

 

“Person”
means any entity, whether of natural or legal constitution, including any present or future individual, corporation, partnership,
joint venture, limited liability company, unlimited liability company, trust, estate, unincorporated organization, government
or any agency or political subdivision thereof.

 

“Property”
means, as to any Person, all types of real, personal, tangible, intangible or mixed property owned by such Person whether or not
included in the most recent balance sheet of such Person and its Subsidiaries under GAAP.

 

“Proxy”
means that certain Proxy, dated as of the date hereof, by and between SITO Mobile, Single Touch Interactive, Inc., Single Touch
R&D IP, LLC, and CF DB EZ LLC.

 

“Revenue
Stream” means a right to receive a portion of Monetization Revenues totaling (x) if paid in full prior to March 31,
2018, up to $5,000,000 and (y) otherwise, up to $7,500,000; provided, that upon an acceleration, the Revenue Stream shall represent
an absolute entitlement to receive such amounts without regard to the existence of Monetization Revenues.

 

“Secured
Parties” means, collectively, the Collateral Agent and the Purchasers.

 

“Security
Agreement” means a Security Agreement substantially in the form of Exhibit G hereto.

 

“Subscription
Agreement” means the subscription agreement between the Parent and the Note Purchasers for the purchase of $1,000,000
of the Parent’s common stock.

 

“Synthetic
Lease” means a lease that is treated as an operating lease under GAAP and as a loan or other financing for federal income
tax purposes.

 

“Synthetic
Lease Obligations” means the aggregate amount of future rental payments under all Synthetic Leases, discounted as if
such Synthetic Leases were Capitalized Leases.

 

“USA
PATRIOT Act” means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct
Terrorism Act of 2001, Public Law 107-56.

 

    	A-7

    	Senior Note N-[_]
Original Principal Amount: [$_______]
Holder: [_________________________]

    

 

Exhibit
A

FORM
OF NOTE

 

THIS
NOTE WAS ISSUED IN A PRIVATE PLACEMENT, WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”),
AND MAY NOT BE SOLD, ASSIGNED, PLEDGED OR OTHERWISE TRANSFERRED (I) IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER
THE ACT COVERING THE TRANSFER OR AN EXEMPTION FROM SUCH REGISTRATION AND (II) EXCEPT IN COMPLIANCE WITH SECTION 9.10 OF
THAT CERTAIN REVENUE SHARING AND NOTE PURCHASE AGREEMENT DATED AS OF OCTOBER 3, 2014, AMONG THE COMPANY, THE COLLATERAL AGENT
AND THE PURCHASERS (EACH AS DEFINED THEREIN).

 

SITO
MOBILE LTD., SINGLE TOUCH INTERACTIVE, INC., AND

SINGLE
TOUCH INTERACTIVE R&D IP, LLC

 

SENIOR NOTE

DUE [ ]

 

N-[_]

Original
Principal Amount: $[_________]

 

Issue Date:
[___], 201[_]

 

FOR
VALUE RECEIVED, the undersigned, SITO Mobile, Ltd., a Delaware corporation, Single Touch Interactive, Inc., a Nevada corporation
and Single Touch Interactive R&D IP, LLC, a Delaware limited liability company (collectively, the “Company”)
HEREBY PROMISE TO PAY [__________], or its permitted assigns (the “Holder”), the Adjusted Principal Amount
(as defined below) of this Note on or before [___], 201[], or such later date as the Holder may have consented to pursuant to
Section 2.2.4.1 of the Agreement (the “Maturity Date”), or such earlier date as due and payable in accordance
with the Revenue Sharing and Note Purchase Agreement (as amended, restated, supplemented or otherwise modified from time to time,
the “Agreement”), dated as of October 3, 2014, among the Company, Fortress Credit Co LLC, as Collateral Agent
and the purchasers from time to time party thereto, plus interest on the Adjusted Principal Amount outstanding from time to time
at the interest rate specified in the Agreement.

 

This
Note (i) is one of a series of Senior Notes (herein called the “Notes”) of the Company issued pursuant to the
Agreement, (ii) is entitled to the benefits and subject to the terms set forth in the Agreement with respect to the Notes, and
(iii) constitutes an Obligation under the Agreement. Capitalized terms used but not defined herein have the meanings provided
in the Agreement. The issuance date of this Note is [___], 201[].

 

    	 

    	Senior Note N-[_]
Original Principal Amount: [$_______]
Holder: [_________________________]

    

 

The
Adjusted Principal Amount of this Note is equal to the sum of (x) [______], plus (y) any PIK Interest, in accordance
with the Agreement, minus (z) any prior principal amounts paid with respect to this Note.

 

Interest
shall be payable on the interest payment dates specified in the Agreement, and shall further be due and payable on any partial
or complete prepayment of this Note, on any portion of the Adjusted Principal Amount so prepaid, and on the Maturity Date (and
after the Maturity Date, to the extent not paid, on demand) and upon any acceleration of the amounts due hereunder. All computations
of interest hereunder shall be made on the actual number of days elapsed over a year of 360 days.

 

In
case an Event of Default shall occur and be continuing, the entire principal of this Note may become or be declared due and payable
in the manner and with the effect provided in the Agreement.

 

Interest
on this Note shall accrue on the Adjusted Principal Amount of this Note in the manner and at the rate or rates per annum determined
pursuant to the terms of the Agreement. Payments of principal and interest (other than payments of interest payable as PIK Interest
to the extent permitted by the Agreement) on this Note are to be made in lawful money of the United States of America in immediately
available funds at the times and in the manner described in the Agreement.

 

All
payments made on account of principal hereof, and any adjustments to the Adjusted Principal Amount, shall be recorded by the Holder
and, prior to any transfer hereof, endorsed on the grid attached hereto which is part of this Note, provided, however, that the
failure of the Holder hereof to make such a notation or any error in such a notation shall not in any manner affect the obligations
of the Company to make payments of principal, interest or any other amounts with respect to this Note and the Agreement.

 

The
Company shall, upon surrender of a Note that is paid or prepaid in part, promptly execute and deliver to the Holder a new Note
equal in principal amount to the unpaid portion of the Note surrendered.

 

The
Company hereby acknowledges and makes this Note a registered obligation for U.S. federal tax purposes. The Company shall be the
registrar for this Note.

 

This
Note shall be governed by and construed in accordance with the laws (other than the conflict of laws rules) of the State of New
York.

 

The
Company hereby waives presentment, demand, notice, protest and all other demands and notices in connection with the delivery,
acceptance, performance and enforcement of this Note, except as specifically otherwise provided in the Agreement.

 

[The
remainder of this page intentionally has been left blank.]

 

    	 

    	Senior Subordinated Note N-[_]
Holder: [________________________]

    

 

In
witness whereof, the Company has caused this Note to be executed
and delivered by its duly authorized officer, on the date first above mentioned.

 

	 	SITO
    MOBILE, LTD.
	 	 	 	 
	 	By:	
	 	 	Name:	Jerry
    Hug
	 	 	Title:	Interim
    CEO
	 	 	 	 
	 	SINGLE
    TOUCH INTERACTIVE, INC.
	 	 	 	 
	 	By:	
	 	 	Name:	Jerry
    Hug
	 	 	Title:	President
	 	 	 	 
	 	SINGLE
    TOUCH INTERACTIVE R&D IP, LLC
	 	 	 	 
	 	By:	
	 	 	Name:	Jerry
    Hug
	 	 	Title:	Authorized
    Manager

 

Signature
Page to Note

 

    	 

    	 

    

 

PRINCIPAL
AMOUNT OF NOTE AND PAYMENTS OF PRINCIPAL

 

	

        Date
	 	

        Additional
        Principal 

        (PIK Interest)
	 	

        Amount
        of

        Principal
        Repaid
	 	

        Remaining
        Outstanding Principal Amount of Note
	 	

        Notation

        Made
        By

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 

    	 

    

 

EXHIBIT B

 

CONTROL AGREEMENT

 

Within 30 days following the Closing Date, the Company shall open
a depository account (the “Cash Collateral Account”) which Cash Collateral Account shall be subject to a Control
Agreement

 

    	 

    	 

    

 

[Form of]

 

CASH COLLATERAL ACCOUNT CERTIFICATE

OF

SITO MOBILE LTD., SINGLE TOUCH INTERACTIVE,
INC. AND 

SINGLE TOUCH R&D IP LLC

 

October 3, 2014

 

Reference is made to the Revenue Sharing
and Note Purchase Agreement, dated as of October 3, 2014, (the “Agreement”), by and among SITO Mobile, Ltd.,
a Delaware corporation, Single Touch Interactive, Inc., a Nevada corporation and Single Touch R&D IP, LLC, a Delaware limited
liability company (collectively, the “Company”) the Purchasers party thereto from time to time and Fortress
Credit Co LLC, as Collateral Agent. Capitalized terms used, but not defined herein, shall have the meanings provided in the Agreement.

The undersigned, [ ], being the duly
elected, qualified and acting [ ] of the Company, hereby certifies as follows pursuant to Section 6.11 of the Agreement:

1.        On or about the date hereof, $[ ] of Monetization Revenues will be deposited into the Cash Collateral Account.

IN WITNESS WHEREOF, I have executed
this Certificate of Officer as of the date first set forth above.

 

	 	
	 	Name:
	 	Title:

 

    	 

    	 

    

 

EXHIBIT D-1

 

[FORM OF]

 

NOTE ASSIGNMENT AND ASSUMPTION AGREEMENT

 

This Note Assignment
and Assumption Agreement (this “Note Assignment and Assumption Agreement”) is dated as of the Effective Date
set forth below and is entered into by and between the Assignor (as defined below) and the Assignee (as defined below). Capitalized
terms used in this Note Assignment and Assumption Agreement and not otherwise defined herein have the meanings specified in the
Revenue Sharing and Note Purchase Agreement dated as of October 3, 2014 (as amended, restated, supplemented or otherwise modified
from time to time, the “Agreement”), between SITO Mobile, Ltd., a Delaware corporation, Single Touch Interactive,
Inc., a Nevada corporation and Single Touch Interactive R&D IP, LLC (collectively, the “Company”), each
of the Purchasers party thereto and Fortress Credit Co LLC, as collateral agent (the “Collateral Agent”), receipt
of a copy of which is hereby acknowledged by the Assignee. The Standard Terms and Conditions set forth in Annex 1 attached hereto
(the “Standard Terms and Conditions”) are hereby agreed to and incorporated herein by reference and made a part
of this Note Assignment and Assumption Agreement as if set forth herein in full.

 

For an agreed consideration,
the Assignor hereby irrevocably sells and assigns to the Assignee, and the Assignee hereby irrevocably purchases and assumes from
the Assignor, subject to and in accordance with the Standard Terms and Conditions and the Agreement, as of the Effective Date inserted
by the Collateral Agent as contemplated below, (i) all of the Assignor’s rights and obligations in its capacity as a Note
Purchaser under the Agreement and any other documents or instruments delivered pursuant thereto to the extent related to the amount
and percentage interest identified below of all of such outstanding rights and obligations of the Assignor under the Notes identified
below and (ii) to the extent permitted to be assigned under applicable law, all claims, suits, causes of action and any other right
of the Assignor (in its capacity as a Notes Purchaser) against any Person, whether known or unknown, arising under or in connection
with the Agreement, any other documents or instruments delivered pursuant thereto or the transactions governed thereby or in any
way based on or related to any of the foregoing, including, but not limited to, contract claims, tort claims, malpractice claims,
statutory claims and all other claims at law or in equity related to the rights and obligations sold and assigned pursuant to clause
(i) above (the rights and obligations sold and assigned pursuant to clauses (i) and (ii) above being referred to herein collectively
as the “Assigned Interest”). Such sale and assignment is without recourse to the Assignor and, except as expressly
provided in this Note Assignment and Assumption Agreement, without representation or warranty by the Assignor.

 

		1.	Assignor (the “Assignor”): [NAME]
	 	 	 
		2.	Assignee (the “Assignee”): [NAME]
	 	 	 
		3.	Company: SITO Mobile, Ltd., Single Touch Interactive, Inc., and Single Touch R&D IP, LLC

 

    	 

    	 

    
	 	 	 
		4.	Collateral Agent: Fortress Credit Co LLC
	 	 	 
		5.	Assigned Interest:

 

	Aggregate Amount of Notes of all Note Purchasers	Amount of Notes Assigned	Percentage
    Assigned of Notes5
	$	$	%
	$	$	%
	$	$	%

 

Effective Date: __________________, 20[ ] [TO BE INSERTED
BY THE COLLATERAL AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.]

 

5
Set forth, to at least 8 decimals, as a percentage of the Notes of all Notes Purchasers thereunder.

 

    	 

    	 

    

 

The terms set forth
in this Note Assignment and Assumption Agreement are hereby agreed to:

 

	 	[NAME OF ASSIGNOR], as Assignor
	 	 
	 	By:	
	 	 	Name:
	 	 	
        

        Title:

	 	 	 
	 	[NAME OF ASSIGNEE], as Assignee
	 	 	 
	 	By:	
	 	
         

        
	Name:
	 	 	Title:

 

    	 

    	 

    

 

STANDARD TERMS AND CONDITIONS FOR

NOTE ASSIGNMENT AND ASSUMPTION AGREEMENT6

 

1.Representations and Warranties.Assignor.
The Assignor (a) represents and warrants that (i) it is the legal and beneficial owner of the Assigned Interest, (ii) the Assigned
Interest is free and clear of any lien, encumbrance or other adverse claim and (iii) it has full power and authority, and has taken
all action necessary, to execute and deliver this Note Assignment and Assumption Agreement and to consummate the transactions contemplated
hereby; and (b) assumes no responsibility with respect to (i) any statements, warranties or representations made in or in connection
with the Agreement or any other Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value
of the Documents or any collateral thereunder, (iii) the financial condition of the Company or any of its Subsidiaries or Affiliates
or any other Person obligated in respect of any Document or (iv) the performance or observance by the Company or any of its
Subsidiaries or Affiliates or any other Person of any of their respective obligations under any Document.

 

1.2.Assignee. The Assignee
(a) represents and warrants that (i) it has full power and authority, and has taken all action necessary, to execute and deliver
this Note Assignment and Assumption Agreement and to consummate the transactions contemplated hereby and to become a Note Purchaser
under the Agreement, (ii) it satisfies the requirements, if any, specified in the Agreement that are required to be satisfied by
it in order to acquire the Assigned Interest and become a Note Purchaser, (iii) from and after the Effective Date, it shall be
bound by the provisions of the Agreement as a Note Purchaser thereunder and, to the extent of the Assigned Interest, shall have
the obligations of a Note Purchaser thereunder and (iv) it has received a copy of the Agreement and has received or has been accorded
the opportunity to receive copies of such documents and information as it has deemed appropriate to make its own credit analysis
and decision to enter into this Note Assignment and Assumption Agreement and to purchase the Assigned Interest on the basis of
which it has made such analysis and decision independently and without reliance on the Collateral Agent or any other Purchaser;
and (b) agrees that (i) it will, independently and without reliance on the Assignor, the Collateral Agent or any other Purchaser,
and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions
in taking or not taking action under the Documents, and (ii) it will perform in accordance with their terms all of the obligations
which by the terms of the Documents are required to be performed by it as a Note Purchaser.

 

6
Capitalized terms used in this Note Assignment and Assumption Agreement and not otherwise defined herein have the meanings specified
in the Revenue Sharing and Note Purchase Agreement dated as of October 3, 2014 (as amended, restated, supplemented or otherwise
modified from time to time, the “Agreement”), between SITO Mobile, Ltd., a Delaware corporation, Single Touch
Interactive, Inc., a Nevada corporation and Single Touch R&D IP, LLC, a Delaware limited liability company (collectively, the
“Company”), each of the Purchasers party thereto and Fortress Credit Co LLC, as collateral agent (the “Collateral
Agent”).

 

    	 

    	 

    

 

2.Payments. From and after
the later of the Effective Date and the date that the Company received written notice pursuant to the provisions of Section 9.3
of the Agreement, the Company shall make all payments in respect of the Assigned Interest (including payments of principal, interest,
fees and other amounts) to the Assignor for amounts which have accrued to but excluding the Effective Date and to the Assignee
for amounts which have accrued from and after the Effective Date.

 

3.General Provisions. This
Note Assignment and Assumption Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective
successors and assigns permitted by the Agreement. This Note Assignment and Assumption Agreement may be executed in one or more
counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
Delivery by telecopier, .pdf or other electronic imaging means of an executed counterpart of a signature page to this Note Assignment
and Assumption Agreement shall be effective as delivery of an original executed counterpart of this Note Assignment and Assumption
Agreement. This Note Assignment and Assumption Agreement shall be governed by, and construed in accordance with, the law of the
State of New York.

 

    	 

    	 

    

 

EXHIBIT d-2

 

[FORM OF]

 

REVENUE STREAM ASSIGNMENT AND ASSUMPTION
AGREEMENT

This Revenue Stream
Assignment and Assumption Agreement (this “Revenue Stream Assignment and Assumption Agreement”) is dated as
of the Effective Date set forth below and is entered into by and between the Assignor (as defined below) and the Assignee (as defined
below). Capitalized terms used in this Revenue Stream Assignment and Assumption Agreement and not otherwise defined herein have
the meanings specified in the Revenue Sharing and Note Purchase Agreement dated as of October 3, 2014 (as amended, restated, supplemented
or otherwise modified from time to time, the “Agreement”), between SITO Mobile Ltd., a Delaware corporation,
Single Touch Interactive, Inc., a Nevada corporation and Single Touch Interactive R&D IP, LLC, a Delaware limited liability
company (collectively, the “Company”), each of the Purchasers party thereto and Fortress Credit Co LLC, as collateral
agent (the “Collateral Agent”), receipt of a copy of which is hereby acknowledged by the Assignee. The Standard
Terms and Conditions set forth in Annex 1 attached hereto (the “Standard Terms and Conditions”) are hereby agreed
to and incorporated herein by reference and made a part of this Revenue Stream Assignment and Assumption Agreement as if set forth
herein in full.

For an agreed consideration,
the Assignor hereby irrevocably sells and assigns to the Assignee, and the Assignee hereby irrevocably purchases and assumes from
the Assignor, subject to and in accordance with the Standard Terms and Conditions and the Agreement, as of the Effective Date inserted
by the Collateral Agent as contemplated below, (i) all of the Assignor’s rights and obligations in its capacity as a Revenue
Participant under the Agreement and any other documents or instruments delivered pursuant thereto to the extent related to the
amount and percentage interest identified below of all of such outstanding rights and obligations of the Assignor to the Revenue
Stream identified below and (ii) to the extent permitted to be assigned under applicable law, all claims, suits, causes of action
and any other right of the Assignor (in its capacity as a Revenue Participant) against any Person, whether known or unknown, arising
under or in connection with the Agreement, any other documents or instruments delivered pursuant thereto or the transactions governed
thereby or in any way based on or related to any of the foregoing, including, but not limited to, contract claims, tort claims,
malpractice claims, statutory claims and all other claims at law or in equity related to the rights and obligations sold and assigned
pursuant to clause (i) above (the rights and obligations sold and assigned pursuant to clauses (i) and (ii) above being referred
to herein collectively as the “Assigned Interest”). Such sale and assignment is without recourse to the Assignor
and, except as expressly provided in this Revenue Stream Assignment and Assumption Agreement, without representation or warranty
by the Assignor.

		6.	Assignor (the “Assignor”): [NAME]
	 	 	 
		7.	Assignee (the “Assignee”): [NAME]
	 	 	 
		8.	Company: SITO Mobile, Ltd., Single Touch Interactive, Inc., and Single Touch R&D IP, LLC

 

    	 

    	 

    
	 	 	 
		9.	Collateral Agent: Fortress Credit Co LLC
	 	 	 
		10.	Assigned Interest:

 

	Percentage
    Assigned of the Revenue Stream 7
	%
	%
	%

 

Effective Date: __________________, 20[ ] [TO BE INSERTED
BY THE COLLATERAL AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.]

 

7
Set forth, to at least 8 decimals, as a percentage of the Revenue Stream of all Revenue Participants thereunder.

 

    	 

    	 

    

 

The terms set forth
in this Revenue Stream Assignment and Assumption Agreement are hereby agreed to:

 

	 	[NAME OF ASSIGNOR], as Assignor
	 	 
	 	By:	
	 	 	Name:
	 	 	
        

        Title:

	 	 	 
	 	[NAME OF ASSIGNEE], as Assignee
	 	 	 
	 	By:	
	 	
         

        
	Name:
	 	 	Title:

 

    	 

    	 

    

 

STANDARD
TERMS AND CONDITIONS FOR

REVENUE
STREAM ASSIGNMENT AND ASSUMPTION AGREEMENT8

 

1.Representations
and Warranties.Assignor. The Assignor (a) represents and warrants that (i) it is the legal and beneficial owner of the Assigned
Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or other adverse claim and (iii) it has full power
and authority, and has taken all action necessary, to execute and deliver this Revenue Stream Assignment and Assumption Agreement
and to consummate the transactions contemplated hereby; and (b) assumes no responsibility with respect to (i) any statements,
warranties or representations made in or in connection with the Agreement or any other Document, (ii) the execution, legality,
validity, enforceability, genuineness, sufficiency or value of the Documents or any collateral thereunder, (iii) the financial
condition of the Company or any of its Subsidiaries or Affiliates or any other Person obligated in respect of any Document or
(iv) the performance or observance by the Company or any of its Subsidiaries or Affiliates or any other Person of any of
their respective obligations under any Document.

 

1.2.Assignee.
The Assignee (a) represents and warrants that (i) it has full power and authority, and has taken all action necessary, to execute
and deliver this Revenue Stream Assignment and Assumption Agreement and to consummate the transactions contemplated hereby and
to become a Revenue Participant under the Agreement, (ii) it satisfies the requirements, if any, specified in the Agreement that
are required to be satisfied by it in order to acquire the Assigned Interest and become a Revenue Participant, (iii) from and
after the Effective Date, it shall be bound by the provisions of the Agreement as a Revenue Participant thereunder and, to the
extent of the Assigned Interest, shall have the obligations of a Revenue Participant thereunder and (iv) it has received a copy
of the Agreement and has received or has been accorded the opportunity to receive copies of such documents and information as
it has deemed appropriate to make its own analysis and decision to enter into this Revenue Stream Assignment and Assumption Agreement
and to purchase the Assigned Interest on the basis of which it has made such analysis and decision independently and without reliance
on the Collateral Agent or any other Purchaser; and (b) agrees that (i) it will, independently and without reliance on the
Assignor, the Collateral Agent or any other Purchaser, and based on such documents and information as it shall deem appropriate
at the time, continue to make its own decisions in taking or not taking action under the Documents, and (ii) it will perform in
accordance with their terms all of the obligations which by the terms of the Documents are required to be performed by it as a
Revenue Participant.

 

2.Payments.
From and after the later of the Effective Date and the date that the Company received written notice pursuant to the provisions
of Section 9.3 of the Agreement, the Company shall make all payments in respect of the Assigned Interest (including payments of
principal, interest, fees and other amounts) to the Assignor for amounts which have accrued to but excluding the Effective Date
and to the Assignee for amounts which have accrued from and after the Effective Date.

 

 

8 Capitalized
terms used in this Revenue Stream Assignment and Assumption Agreement and not otherwise defined herein have the meanings
specified in the Revenue Sharing and Note Purchase Agreement dated as of October 3, 2014 (as amended, restated, supplemented
or otherwise modified from time to time, the “Agreement”), between the SITO Mobile, Ltd., a Delaware
corporation, Single Touch Interactive, Inc., a Nevada corporation and Single Touch Interactive R&D IP, LLC, a limited
liability company (collectively, the “Company”), each of the Purchasers party thereto and Fortress Credit
Co LLC, as collateral agent (the “Collateral Agent”).

 

    	 

     

    

 

3.General
Provisions. This Revenue Stream Assignment and Assumption Agreement shall be binding upon and inure to the benefit of the
parties hereto and their respective successors and assigns permitted by the Agreement. This Revenue Stream Assignment and Assumption
Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall
constitute one and the same instrument. Delivery by telecopier, .pdf or other electronic imaging means of an executed counterpart
of a signature page to this Revenue Stream Assignment and Assumption Agreement shall be effective as delivery of an original executed
counterpart of this Revenue Stream Assignment and Assumption Agreement. This Revenue Stream Assignment and Assumption Agreement
shall be governed by, and construed in accordance with, the law of the State of New York.

  

    	 

     

    

 

 Exhibit
E

 

PATENT
LICENSE AGREEMENT

 

THIS
PATENT LICENSE AGREEMENT (the “Agreement”) is made and entered into effective as of October 3, 2014 by
and among:

 

SITO
Mobile, Ltd., a Delaware corporation having its principal place of business located at at 100 Town Square Place, Suite 204,
Jersey City, NJ 07310;

 

Single
Touch Interactive, Inc., a Nevada corporation having its principal place of business located at 100 Town Square Place, Suite
204, Jersey City, NJ 07310;

 

Single
Touch Interactive R&D IP LLC, a Delaware limited liability company having its principal place of business located at 100
Town Square Place, Suite 204, Jersey City, NJ 07310. (collectively, “Licensor”); and

 

Fortress
Credit Co LLC, an entity incorporated under the laws of Delaware having its principal place of business located at 1345 Avenue
of the Americas, 46th Floor, New York, NY 1005 (“Licensee”).

 

Licensor
and Licensee are sometimes referred to herein individually as a “Party” and collectively as the “Parties”.

 

WHEREAS,
reference is made to the Revenue Sharing and Note Purchase Agreement, dated as of the date hereof (as it may be amended, restated,
supplemented or otherwise modified from time to time, the “Revenue Sharing and Note Purchase Agreement”), by
and among the Licensor, the Purchasers (including the Licensee) and the Licensee, acting as the Collateral Agent and the Security
Agreement, dated as of the date hereof (as it may be amended, restated, supplemented or otherwise modified from time to time,
the “Security Agreement”), by and among the Grantors (as defined therein, including Licensor) and the Licensee,
acting as the Collateral Agent;

 

WHEREAS,
in consideration of the investments set forth in the Revenue Sharing and Note Purchase Agreement, Licensor agreed to grant certain
rights, including rights to license patents and patent applications, to the Licensee for the benefit of the Secured Parties; and

 

WHEREAS,
Licensor is the owner of certain patents and patent applications identified in Schedule I(a) of the Revenue Sharing and Note
Purchase Agreement, which Schedule I(a) shall be an integral part of this Agreement; and

 

    	Page 1 of 7

    	 

    

 

NOW,
THEREFORE, in consideration of the premises and the mutual covenants and agreements contained herein, the Parties hereto
agree as follows:

 

		1.	Definitions

 

In
this Agreement, the following terms shall have the assigned meaning. Capitalized terms used in this Agreement but not defined
herein shall have the meaning given to them in the Revenue Sharing and Note Purchase Agreement and/or the Security Agreement,
as applicable.

 

“Licensed
Patents” shall mean the Patents listed on Schedule I(a) of the Revenue Sharing and Note Purchase Agreement. .

 

		2.	License

 

		2.1	Subject
                                         to the terms and conditions herein and in the Revenue Sharing and Note Purchase Agreement,
                                         Licensor hereby grants to Licensee a perpetual, non-exclusive, transferrable, sub-licensable,
                                         divisible, irrevocable, fully paid-up, royalty-free, and worldwide license to the Licensed
                                         Patents, including, but not limited to, the rights to make, have made, market, use, sell,
                                         offer for sale, import, export and distribute the inventions disclosed in the Licensed
                                         Patents and otherwise exploit the Licensed Patents in any lawful manner in Licensee’s
                                         sole and absolute discretion solely for the benefit of the Secured Parties (“Patent
                                         License”), provided that Licensee shall only use the Patent License following
                                         an Event of Default.

 

		2.2	If
                                         Licensee elects to grant any sublicense(s) pursuant to the Patent License in Section
                                         2.1, Licensee shall (x) obtain the prior written approval of Licensor before entering
                                         into any sublicense agreement imposing financial obligations or restrictions on Licensor
                                         and (y) provide written notice within fifteen days of entering into any sublicense agreement.

 

		3.	Representations,
                                         Warranties and Acknowledgements

 

		3.1	Each
                                         Party represents, warrants and covenant to the other that the execution, delivery and
                                         performance of this Agreement is within each Party's powers and has been duly authorized.

 

		3.2	Licensor
                                         hereby represents, warrants and covenant that it is the sole and exclusive owner of all
                                         rights, title and interest in and to the Licensed Patents.

 

		3.3	EXCEPT
                                         AS EXPRESSLY PROVIDED HEREIN, NEITHER PARTY MAKES ANY WARRANTIES OF ANY KIND, WHETHER
                                         EXPRESS, IMPLIED, STATUTORY OR OTHERWISE, AND EACH PARTY SPECIFICALLY DISCLAIMS ALL IMPLIED
                                         WARRANTIES, INCLUDING ANY WARRANTIES OF MERCHANTABILITY, NON-INFRINGEMENT OR FITNESS
                                         FOR A PARTICULAR PURPOSE OR THAT ARISE BY COURSE OF DEALING OR BY REASON OF CUSTOM OR
                                         USAGE IN THE TRADE, TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW.

 

		3.4	Notwithstanding
                                         anything to the contrary in this Agreement, no Party shall be liable to the other or
                                         any third party for any indirect, incidental, exemplary, special, punitive or consequential
                                         damages (including with respect to lost revenue, lost profits or savings or business
                                         interruption) of any kind or nature whatsoever suffered by the other Party or any third
                                         party howsoever caused and regardless of the form or cause of action, even if such damages
                                         are foreseeable or such party has been advised of the possibility of such damages.

 

    	Page 2 of 7

    	 

    

 

		4.	Infringement

 

Upon
request, Licensee shall notify Licensor of any infringement of the Licensed Patents by third parties of which Licensee become
aware. Licensor shall have the sole right, at its expense, to bring any action on account of any such infringement of the Licensed
Patents, and Licensee shall reasonably cooperate with Licensor, as Licensor may request and at Licensor’s expense, in connection
with any such action brought by Licensor.

 

		5.	Termination

 

		5.1	The
                                         Parties may terminate this Agreement at any time by mutual written agreement executed
                                         by both Parties provided that any sublicenses granted hereunder prior to the termination
                                         of this Agreement shall survive according to the respective terms and conditions of such
                                         sublicenses.

 

		5.2	The
                                         Agreement shall end after the later of (x) the expiration of the last Licensed Patent
                                         to expire and (y) the date on which all statutes of limitations have fully run for bringing
                                         infringement claims under the Licensed Patents. Breach(es), material or otherwise, of
                                         this Agreement by either Party or any other Person will not constitute grounds by which
                                         this Agreement may be terminated.

 

		6.	Survival

 

Any
rights and obligations which by their nature survive and continue after any expiration or termination of this Agreement will survive
and continue and will bind the Parties and their successors and assigns, until such rights are extinguished and obligations are
fulfilled.

 

		7.	Statement
                                         of Intent With Respect to Bankruptcy.

 

The
Parties intend that the licenses granted under this Agreement are, and shall otherwise be deemed to be, for purposes of Section
365(n) of the United States Bankruptcy Code, 111 U.S.C. § 101, et seq. (“Bankruptcy Code”), licenses of
rights to “intellectual property” as defined in the Bankruptcy Code.

 

		8.	Assignment

 

Licensee
and each of its sublicensees may, without the consent of Licensor, assign any or all of their rights and interests, and delegate
any or all of their obligations without restriction. The rights and obligations of the Parties hereto shall inure to the benefit
of, and be binding and enforceable upon and by, the respective successors and assigns of the Parties.

 

		9.	Entire
                                         Agreement and Construction

 

This
Agreement along with the pertinent provisions of the Revenue Sharing and Note Purchase Agreement constitute the sole, final and
entire understanding of the parties hereto concerning the subject matter hereof, and all prior understandings having been merged
herein. This Agreement cannot be modified or amended except by a writing signed by the Parties hereto. The language used in this
Agreement will be deemed to be the language chosen by the Parties hereto to express their mutual intent, and no rule of strict
construction will be applied against any Party.

 

    	Page 3 of 7

    	 

    

 

		10.	Severability

 

The
provisions of this Agreement shall be deemed severable and the invalidity or unenforceability of any provision shall not affect
the validity or enforceability of the other provisions hereof. If any provision of this Agreement, or the application thereof
to any Person or any circumstance, is invalid or unenforceable, (a) a suitable and equitable provision shall be substituted therefor
in order to carry out, so far as may be valid and enforceable, the intent and purpose of such invalid or unenforceable provision
and (b) the remainder of this Agreement and the application of such provision to other Persons or circumstances shall not be affected
by such invalidity or unenforceability, nor shall such invalidity or unenforceability affect the validity or enforceability of
such provision, or the application thereof, in any other jurisdiction.

 

		11.	Notices

 

All
notices, requests, claims, demands, and other communications hereunder shall be in writing and shall be given (and shall be deemed
to have been duly given upon receipt) by delivery in person, or by overnight delivery service from a recognized carrier, to the
respective Party as follows:

  

if
to Licensor:

  

	SITO
Mobile, Ltd. 

        100
Town Square, Suite 204 

        Jersey
City, NJ 07310 

        Attention:
        Chief Executive Officer

        Fax:
201-942-3091
	With
a copy to: 

                                                                                                                         

        Sichenzia
Ross Friedman Ference LLP 

        61
Broadway, 32nd Floor 

        New
York, New York 10006 

        Attention:
Gregory Sichenzia 

        Fax:
212-930-9725 

        Electronic
        mail: gsichenzia@SRFF.COM

 

Notices
to the Collateral Agent or the Purchasers should be sent to the following:

  

	Yoni
Shtein 

        Vice
President 

        Intellectual
Property Finance Group 

        Fortress
Investment Group 

        One
Market Plaza 

        Spear
Tower, 42nd Floor 

        San
Francisco, CA 94105 

        Phone:
415-284-7415 

        Email:
yshtein@fortress.com 

        CC:
    jnoble@fortress.com
	With
a copy to:

         

        Alyson
Allen 

        Ropes
& Gray LLP 

        Prudential
Tower, 800 Boylston Street 

        Boston,
MA 02199-3600 

        Tel:
617-951-7483 

        Email:
        alyson.allen@ropesgray.com

         

         

  

or
to such other address as the person to whom notice is given may have previously furnished to the other Party in writing in the
manner set forth above.

 

    	Page 4 of 7

    	 

    

 

		12.	Governing
                                         Law; Jurisdiction; Venue

 

This
Agreement, and all claims arising hereunder or relating hereto, shall be governed by and construed in accordance with the internal
laws of the State of New York in the United States of America applicable to agreements made and to be performed entirely within
such State, without regard to the conflicts of law principles of such State that would result in the application of the laws of
another jurisdiction. In any action or proceeding between either of the Parties arising out of or relating to this Agreement or
any of the transactions contemplated by this Agreement, each of the Parties (a) irrevocably and unconditionally consents and submits
to the exclusive jurisdiction and venue of the state and federal courts residing in the State of New York and (b) agrees that
all claims in respect of such action or proceeding must be heard and determined exclusively in the state or federal courts in
the State of New York. Each Party shall be entitled to seek injunctive or other equitable relief, without the posting of a bond,
at any time (with or without delivering a demand notice) whenever the facts or circumstances would permit a Party to seek such
equitable relief in a court of competent jurisdiction.

 

		13.	Waiver

 

Except
as otherwise provided herein, any failure of any Party to comply with any obligation, covenant, agreement, or condition herein
may be waived by the Party entitled to the benefits thereof only by a written instrument signed by the Party granting such waiver;
provided, however, that such waiver or failure to insist upon strict compliance with such obligation, covenant, agreement, or
condition shall not operate as a waiver of, or estoppel with respect to, any subsequent or other failure.

 

		14.	Counterparts

 

This
Agreement may be executed in one or more counterparts, each of which will be an original and both of which will constitute together
the same document. Counterparts may be signed and delivered by facsimile or PDF file, each of which will be binding when received
by the applicable Party.

 

[Signature
Page Follows]

 

    	Page 5 of 7

    	 

    

 

IN
WITNESS WHEREOF, the Parties have executed this Agreement as of the date firs written above.

  

	 	Licensor:	 
	 	 	 
	 	SITO
    Mobile, Ltd.	 
	 	 	 
	 	/s/ Jerry Hug	 
	 	Authorized
    Signature	 
	 	 	 
	 	Jerry Hug	 
	 	Print
    Name and Title	 
	 	 	 
	 	Single
    Touch Interactive, Inc.	 
	 	 	 
	 	/s/ Jerry Hug	 
	 	Authorized
    Signature	 
	 	 	 
	 	Jerry Hug	 
	 	Print
    Name and Title	 

  

Single
Touch Interactive R&D IP, LLC 

  

	 	/s/ Jerry Hug	 
	 	Authorized
    Signature	 
	 	 	 
	 	Jerry Hug	 
	 	Print
    Name and Title	 
	 	 	 
	 	Licensee:	 
	 	 	 
	 	Fortress
    Credit Co LLC	 
	 	 	 
	 	/s/ Constantine M. Dakolias	 
	 	Authorized
    Signature	 
	 	 	 
	 	Constantine
    M. Dakolias, President	 
	 	Print
    Name and Title	 

 

[Signature Page to Patent License Agreement] 

 

    	 

    	 

    

 

Exhibit F

 

Patent
Security Agreement

 

Patent
Security Agreement, dated as of October 3, 2014, by SITO MOBILE, LTD., a Delaware corporation, SINGLE TOUCH INTERACTIVE, INC.,
a Nevada corporation and SINGLE TOUCH INTERACTIVE R&D IP, LLC, a Delaware limited liability company (collectively, the “Pledgor”),
in favor of FORTRESS CREDIT CO LLC, in its capacity as collateral agent pursuant to the Revenue Sharing and Note Purchase Agreement
(in such capacity, the “Collateral Agent”).

 

W i t n e s s e t h:

  

Whereas,
the Pledgor is party to a Security Agreement of even date herewith (the “Security Agreement”) in favor of the
Collateral Agent pursuant to which the Pledgor is required to execute and deliver this Patent Security Agreement;

 

Now,
Therefore, in consideration of the premises and to induce the Collateral
Agent, for the benefit of the Secured Parties, to enter into the Revenue Sharing and Note Purchase Agreement, the Pledgor hereby
agrees with the Collateral Agent as follows:

 

SECTION
1. Defined Terms. Unless otherwise defined herein, terms defined in the Security Agreement and used herein have the meaning
given to them in the Security Agreement.

 

SECTION
2. Grant of Security Interest in Patent Collateral. The Pledgor hereby pledges and grants to the Collateral Agent for the
benefit of the Secured Parties a lien on and security interest in and to all of its right, title and interest in, to and under
all the following Collateral:

 

(a)registered
Patents and applications of the Pledgor set forth on Schedule A attached hereto; and

 

(b)all
Proceeds of any and all of the foregoing.

 

SECTION
3. Security Agreement. The security interests granted to the Collateral Agent pursuant to this Patent Security Agreement
are granted in conjunction with the security interests granted to the Collateral Agent pursuant to the Security Agreement, and
Pledgor hereby acknowledges and affirms that the rights and remedies of the Collateral Agent with respect to the security interests
in the Patents made and granted hereby are set forth in the Security Agreement, the terms and provisions of which are incorporated
by reference herein as if fully set forth herein. In the event that any provision of this Patent Security Agreement is deemed
to conflict with the Security Agreement, the provisions of the Security Agreement shall control.

 

SECTION
4. Counterparts. This Patent Security Agreement may be executed in any number of counterparts, all of which shall constitute
one and the same instrument, and any party hereto may execute this Patent Security Agreement by signing and delivering one or
more counterparts. Delivery of an executed counterpart of a signature page of this Patent Security Agreement by telecopier or
other electronic transmission (i.e. a “pdf” or “tif” document) shall be effective as delivery of a manually
executed counterpart of this Patent Security Agreement.

 

[Signature
page follows]

 

    	 

    	 

    

 

In
Witness Whereof, the Pledgor has caused this Patent Security Agreement
to be executed and delivered by its duly authorized offer as of the date first set forth above.

 

	 	Very
truly yours,
	 	 
	 	SITO
    MOBILE, LTD.,
	 	as
    Pledgor
	 	 	 
	 	By:	/s/ Jerry
    Hug
	 	Name:	Jerry
    Hug
	 	Title:	Interim
    CEO
	 	 	 
	 	SINGLE
    TOUCH INTERACTIVE, INC.,
	 	as
    Pledgor
	 	 	 
	 	By:	/s/ Jerry
    Hug
	 	Name:	Jerry
    Hug
	 	Title:	President

 

	 	SINGLE
    TOUCH INTERACTIVE, LLC
	 	as
    Pledgor
	 	 	 
	 	By:	/s/ Jerry
    Hug
	 	Name:	Jerry
    Hug
	 	Title:	Authorized
    Manager

  

Accepted
and Agreed:

 

FORTRESS
CREDIT CO LLC, 

as Collateral
Agent

 

	By:	/s/ Constantine M. Dakolias	 
	 	Name: Constantine M. Dakolias	 
	 	Title:   President	 

 

[Signature Page to Patent Security Agreement]

  

    	 

    	 

    

 

SECURITY
AGREEMENT

 

SECURITY
AGREEMENT, dated as of October 3, 2014 (this “Agreement”), by and among SITO Mobile, Ltd., a Delaware Corporation,
Single Touch Interactive, Inc., a Nevada corporation, and Single Touch Interactive R&D IP, LLC, a Delaware limited liability
company (collectively, “Grantor”), and Fortress Credit Co LLC, as collateral agent for the Secured Parties
(as defined in the Revenue Sharing and Note Purchase Agreement, as defined below) (in such capacity as collateral agent, the “Collateral
Agent”).

 

RECITALS:

 

WHEREAS,
reference is made to that certain Revenue Sharing and Note Purchase Agreement, dated as of the date hereof (as it may be amended,
restated, supplemented or otherwise modified from time to time, the “Revenue Sharing and Note Purchase Agreement”),
by and among the Grantor, the Purchasers party thereto from time to time and the Collateral Agent;

 

WHEREAS,
in consideration of the purchase of the Notes by the Note Purchasers, the purchase of the Revenue Stream by the Revenue Participants
and the other accommodations of the Purchasers, in each case as set forth in the Revenue Sharing and Note Purchase Agreement,
Grantor has agreed to secure Grantor’s obligations under the Documents as set forth herein; and

 

NOW,
THEREFORE, in consideration of the premises, agreements, provisions and covenants herein contained, and other good and valuable
consideration, the receipt, sufficiency and adequacy of which are hereby acknowledged, Grantor and Collateral Agent agree as follows:

 

SECTION
1.DEFINITIONS.

 

1.1.General
Definitions. In this Agreement, the following terms shall have the following meanings:

 

“Collateral
Support” shall mean all property (real or personal) assigned, hypothecated or otherwise securing any Collateral and
shall include any security agreement or other agreement granting a lien or security interest in such real or personal property.

 

“Commercial
Tort Claims” shall mean all “commercial tort claims” as defined in Article 9 of the UCC that relate
to the Patents or rights deriving from the Patents, including, without limitation, all commercial tort claims listed on Schedule
4.3 (as such schedule may be amended or supplemented from time to time).

 

“Documents”
shall have the meaning assigned to such term in the Revenue Sharing and Note Purchase Agreement.

 

“Patents”
shall have the meaning assigned to such term in the Revenue Sharing and Note Purchase Agreement.

 

    	 

    	 

    

 

“Patent
Security Agreement” shall mean the patent security agreement executed by the parties substantially in the form of Exhibit
B to perfect the Secured Parties’ security interest in the Collateral pursuant to the terms and conditions of this Agreement.

 

“Permitted
Liens” shall mean any Lien that is permitted to be incurred by Grantor under Section 6.8 of the Revenue Sharing
and Note Purchase Agreement.

 

“Proceeds”
shall mean: (i) all “proceeds” as defined in Article 9 of the UCC and (ii) whatever is receivable or
received when Collateral or proceeds are sold, exchanged, collected or otherwise disposed of, whether such disposition is voluntary
or involuntary.

 

“Security
Agreement Supplement” shall mean any supplement to this Agreement substantially in the form of Exhibit A.

  

“Supporting
Obligation” shall mean all “supporting obligations” as defined in Article 9 of the UCC.

 

“UCC”
means the Uniform Commercial Code as in effect from time to time in the State of New Jersey; provided that, if perfection
or the effect of perfection or non-perfection or the priority of the security interest in any Collateral is governed by the Uniform
Commercial Code as in effect in a jurisdiction other than the State of New Jersey, “UCC” means the Uniform Commercial
Code as in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating to such perfection,
effect of perfection or non-perfection or priority. 

 

“United
States” shall mean the United States of America.

 

1.2.Definitions;
Interpretation. All capitalized terms used herein (including the preamble and recitals hereto) but not otherwise defined herein
shall have the respective meanings ascribed to such terms in the Revenue Sharing and Note Purchase Agreement or, if not defined
therein, in the UCC. References to “Sections,” “Exhibits” and “Schedules” shall be to sections,
exhibits and schedules, as the case may be, of this Agreement unless otherwise specifically provided. The rules of construction
specified in Section 1.2 of the Revenue Sharing and Note Purchase Agreement also apply to this Agreement.

 

1.3.Schedules
and Exhibits. This Agreement includes each of the following Schedules and Exhibits, all of which are incorporated into this
Agreement by this reference, as each may be amended or supplemented from time to time in accordance with the terms and conditions
here.

 

Schedule
4.1Grantor Corporate Information 

Schedule
4.2Patents 

Schedule
4.3Commercial Tort Claims 

Exhibit
ASecurity Agreement Supplement 

Exhibit
B Patent Security Agreement

 

    	2

    	 

    

 

SECTION
2.GRANT OF SECURITY.

 

2.1.Grant
of Security. As security for the payment and performance in full of all of the Secured Obligations (as defined in Section
3.1), Grantor hereby grants to Collateral Agent, for the benefit of Secured Parties, a security interest and continuing lien on
all of Grantor’s right, title and interest in, to and under all personal property of the grantor, in each case whether now
owned or existing or hereafter acquired or arising and wherever located (all of which are hereinafter collectively referred to
as the “Collateral”):

 

(a)Patents;

 

(b)the
license agreements set forth on Schedule 4.5 of the Revenue Sharing and Note Purchase Agreement (the “Existing
Licenses”);

 

(c)Commercial
Tort Claims described on Schedule 4.3 (as such schedule may be amended or supplemented from time to time);

 

(d)to
the extent not otherwise included above, all Collateral Support and Supporting Obligations relating to any of the foregoing; and

 

(e)to
the extent not otherwise included above, all receivables, Proceeds, products, accessions, rents and profits of or in respect of
any of the foregoing.

 

SECTION
3.SECURITY FOR OBLIGATIONS; GRANTORS REMAIN LIABLE.

 

3.1.Security
for Obligations. This Agreement secures, and the Collateral is collateral security for, the prompt and complete payment or
performance in full when due, whether at stated maturity, by required prepayment, declaration, acceleration, demand or otherwise
(including the payment of amounts that would become due but for the operation of the automatic stay under Section 362(a) of the
Bankruptcy Code, 11 U.S.C. § 362(a) (and any successor provision thereof)), of all Obligations with respect to Grantor,
whether now existing or hereafter incurred (collectively, the “Secured Obligations”).

 

3.2.Continuing
Liability Under Collateral. Notwithstanding anything herein to the contrary, (i) Grantor shall remain liable for all obligations
under the Collateral and nothing contained herein is intended to or shall be a delegation of duties to Collateral Agent or any
other Secured Party, (ii) Grantor shall remain liable under each of the agreements included in the Collateral and neither Collateral
Agent nor any other Secured Party shall have any obligation or liability under any of such agreements by reason of or arising
out of this Agreement and (iii) the exercise by Collateral Agent of any of its rights hereunder shall not release Grantor from
any of its duties or obligations under the contracts and agreements included in the Collateral.

 

    	3

    	 

    

 

SECTION
4.REPRESENTATIONS AND WARRANTIES AND COVENANTS.

 

4.1.Generally.

 

(a)Representations
and Warranties. Grantor hereby represents and warrants to Collateral Agent and each other Secured Party, as of the Closing
Date and as of the date of each issuance of Notes, that:

 

(i)it
owns the Collateral purported to be owned by it or otherwise has the rights it purports to have in each item of Collateral and,
as to all Collateral whether now existing or hereafter acquired, will continue to own or have such rights in each item of the
Collateral, in each case free and clear of any and all Liens, rights or claims of all other Persons other than Permitted Liens;

 

(ii)it
has indicated on Schedule 4.1 (as such schedule may be amended or supplemented from time to time): (w) the type of organization
of Grantor, (x) the jurisdiction of organization of Grantor, (y) its organizational identification number, if any, and (z) the
jurisdiction where the chief executive office or its sole place of business is, and for the one-year period preceding the date
hereof has been, located.

 

(iii)the
full legal name of Grantor is as set forth on Schedule 4.1 and it has not done in the last five (5) years, and does not
do, business under any other name (including any trade-name or fictitious business name) except for those names set forth on Schedule
4.1;

 

(iv)except
as provided on Schedule 4.1, it has not changed its name, jurisdiction of organization, chief executive office or sole
place of business or its corporate structure in any way (e.g., by merger, consolidation, change in corporate form or otherwise)
within the past five (5) years;

 

(v)it
has not become bound (whether as a result of merger or otherwise) as debtor under a security agreement entered into by another
Person, which has not heretofore been terminated other than the agreements identified on Schedule 4.1 hereof;

 

(vi)(x)
upon the filing of all UCC financing statements naming Grantor as “debtor” and Collateral Agent as “secured
party” and describing the Collateral in the filing offices set forth opposite such Grantor’s name on Schedule 4.1
hereof and other filings delivered by each Grantor and (y) to the extent perfection or priority of a security interest therein
not subject to Article 9 of the UCC, upon recordation of the security interests granted hereunder in Patents in the applicable
intellectual property registries, including but not limited to the United States Patent and Trademark Office, the security interests
granted to Collateral Agent hereunder shall constitute valid and perfected first priority Liens (subject in the case of priority
only to Permitted Liens) on such Collateral;

 

(vii)all
actions and consents, including all filings, notices, registrations and recordings necessary or desirable for the exercise by
Collateral Agent of the rights provided for in this Agreement or the exercise of remedies in respect of the Collateral have been
made or obtained;

 

    	4

    	 

    

 

(viii)other
than the financing statements filed in favor of Collateral Agent, no effective UCC financing statement, fixture filing or other
instrument similar in effect under any applicable law covering all or any part of the Collateral is on file in any filing or recording
office except for (A) financing statements for which proper termination statements have been delivered to Collateral Agent for
filing and (B) financing statements filed in connection with Permitted Liens; and

 

(ix)no
authorization, approval or other action by, and no notice to or filing with, any Governmental Authority or regulatory body is
required for either (i) the pledge or grant by any Grantor of the Liens purported to be created in favor of Collateral Agent
hereunder or (ii) the exercise by Collateral Agent of any rights or remedies in respect of any Collateral (whether specifically
granted or created hereunder or created or provided for by applicable law), except for the filings contemplated by clause (vi)
above.

 

(b)Covenants
and Agreements. Grantor hereby covenants and agrees with Collateral Agent and each other Secured Party that:

 

(i)it
shall not change Grantor’s name, identity, corporate structure (e.g., by merger, consolidation, change in corporate form
or otherwise) sole place of business, chief executive office, type of organization or jurisdiction of organization or establish
any trade names unless it shall have (A) notified Collateral Agent in writing, by executing and delivering to Collateral Agent
a completed Security Agreement Supplement, together with all Supplements to Schedules thereto, at least fifteen (15) Business
Days prior to any such change or establishment, identifying such new proposed name, identity, corporate structure, sole place
of business, chief executive office, jurisdiction of organization or trade name and providing such other information in connection
therewith as Collateral Agent may reasonably request and (B) taken all actions necessary or advisable to maintain the continuous
validity, perfection and the same or better priority of Collateral Agent’s security interest in the Collateral intended
to be granted and agreed to hereby; and

 

(ii)it
shall not take or permit any action which could impair Collateral Agent’s rights in the Collateral.

 

4.2.Intellectual
Property.

 

(a)Representations
and Warranties. Except as disclosed in Schedule 4.2, Grantor hereby represents and warrants to Collateral Agent and
each other Secured Party, as of the Closing Date and as of the date of each issuance of Notes, that:

 

(i)Schedule
4.2 sets forth a true and complete list of all United States, state and foreign registrations of and applications for the
Patents;

 

(ii)it
is the sole and exclusive owner of the entire right, title, and interest in and to all of the Patents listed on Schedule 4.2,
free and clear of all Liens, claims, encumbrances and licenses, except for Permitted Liens and the Existing Licenses set forth
on Schedule 4.5 of the Revenue Sharing and Note Purchase Agreement; and

 

    	5

    	 

    

 

(iii)all
registrations and applications for Patents of Grantor are standing in the name of Grantor, and none of such Patents has been licensed
by any Grantor to any Affiliate or third party, except as disclosed in Schedule 4.2.

 

4.3.Commercial
Tort Claims.

 

(a)Representations
and Warranties. Each Grantor hereby represents and warrants to Collateral Agent and each other Secured Party, as of the Closing
Date and as of the date of each issuance of Notes, that Schedule 4.3 (as such schedule may be amended or supplemented from
time to time) sets forth all Commercial Tort Claims of each Grantor.

 

(b)Covenants
and Agreements. Each Grantor hereby covenants and agrees with Collateral Agent and each other Secured Party that prior to
the initiation of any Commercial Tort Claim hereafter arising it shall deliver to the Collateral Agent a completed Security Agreement
Supplement, together with all Supplements to Schedules thereto, identifying such new Commercial Tort Claims and granting a security
interest therein to the Collateral Agent.

 

SECTION
5.FURTHER ASSURANCES.

 

5.1.Further
Assurances.

 

(a)Grantor
agrees that from time to time, at the expense of Grantor, it shall promptly execute and deliver all further instruments and documents,
and take all further action, that may be necessary or desirable, or that Collateral Agent may reasonably request, in order to
create and/or maintain the validity, perfection or priority of and protect any security interest granted or purported to be granted
hereby or to enable Collateral Agent to exercise and enforce its rights and remedies hereunder with respect to any Collateral.
Without limiting the generality of the foregoing, Grantor shall:

 

(i)file
or authorize the filing of such financing or continuation statements, or amendments thereto, and execute and deliver such other
agreements, instruments, endorsements, powers of attorney or notices, as may be necessary or desirable, or as Collateral Agent
may reasonably request, in order to perfect and preserve the security interests granted or purported to be granted hereby;

 

(ii)take
all actions necessary to ensure the recordation of appropriate evidence of the liens and security interest granted hereunder in
the Patents with any intellectual property registry in which said Patents are registered or in which an application for registration
is pending including, without limitation, the United States Patent and Trademark Office, the various Secretaries of State, and
the foreign counterparts of any of the foregoing; and

 

    	6

    	 

    

 

(iii)at
Collateral Agent’s reasonable request, appear in and defend any action or proceeding that may affect Grantor’s title
to or Collateral Agent’s security interest in all or any part of the Collateral.

 

(b)Grantor
hereby authorizes Collateral Agent to file a Record or Records, including, without limitation, financing or continuation statements,
and amendments thereto, in any jurisdictions and with any filing offices as Collateral Agent may determine, in its sole discretion,
are necessary to perfect the security interest granted to Collateral Agent herein. Grantor shall furnish to Collateral Agent from
time to time statements and schedules further identifying and describing the Collateral and such other reports in connection with
the Collateral as Collateral Agent may reasonably request, all in reasonable detail

 

(c)Grantor
hereby authorizes Collateral Agent to amend Schedule 4.2 to include reference to any right, title or interest in any existing
Patents or any Patents acquired or developed by any Grantor after the execution hereof or to delete any reference to any right,
title or interest in any Patents in which any Grantor no longer has or claims any right, title or interest.

 

SECTION
6.COLLATERAL AGENT APPOINTED ATTORNEY-IN-FACT.

 

6.1.Power
of Attorney. Grantor hereby irrevocably appoints Collateral Agent (such appointment being coupled with an interest) as Grantor’s
attorney-in-fact, with full authority in the place and stead of Grantor and in the name of Grantor, Collateral Agent or otherwise,
from time to time in Collateral Agent’s discretion to take any action and to execute any instrument that Collateral Agent
may deem reasonably necessary or advisable to accomplish the purposes of this Agreement, including, without limitation, the following:

 

(a)upon
the occurrence and during the continuance of any Event of Default, to ask for, demand, collect, sue for, recover, compound, receive
and give acquittance and receipts for moneys due and to become due under or in respect of any of the Collateral;

 

(b)upon
the occurrence and during the continuance of any Event of Default, to receive, endorse and collect any drafts or other instruments,
documents and chattel paper in connection with clause (a) above;

 

(c)upon
the occurrence and during the continuance of any Event of Default, to file any claims or take any action or institute any proceedings
that Collateral Agent may deem necessary or desirable for the collection of any of the Collateral or otherwise to enforce the
rights of Collateral Agent with respect to any of the Collateral;

 

(d)to
prepare and file any UCC financing statements and continuations and amendments thereof against Grantor as debtor;

 

(e)to
prepare, sign, and file for recordation in any intellectual property registry, appropriate evidence of the lien and security interest
granted herein in the Patents in the name of Grantor as assignor or debtor;

 

(f)to
take or cause to be taken all actions necessary to perform or comply or cause performance or compliance with the terms of this
Agreement, including, without limitation, access to pay or discharge taxes or Liens (other than Permitted Liens) levied or placed
upon or threatened against the Collateral, the legality or validity thereof and the amounts necessary to discharge the same to
be determined by Collateral Agent in its sole discretion, any such payments made by Collateral Agent to become obligations of
Grantor to Collateral Agent, due and payable immediately without demand; and

 

    	7

    	 

    

 

(g)upon
the occurrence and during the continuation of an Event of Default, generally to sell, transfer, pledge, make any agreement with
respect to or otherwise deal with any of the Collateral as fully and completely as though Collateral Agent were the absolute owner
thereof for all purposes, and to do, at Collateral Agent’s option and Grantor’s expense, at any time or from time
to time, all acts and things that Collateral Agent deems reasonably necessary to protect, preserve or realize upon the Collateral
and Collateral Agent’s security interest therein in order to effect the intent of this Agreement, all as fully and effectively
as Grantor might do.

 

6.2.No
Duty on the Part of Collateral Agent or Secured Parties. The powers conferred on Collateral Agent hereunder are solely to
protect the interests of the Secured Parties in the Collateral and shall not impose any duty upon Collateral Agent or any Secured
Party to exercise any such powers. Collateral Agent and the Secured Parties shall be accountable only for amounts that they actually
receive as a result of the exercise of such powers, and neither they nor any of their respective officers, directors, employees
or agents shall be responsible to Grantor for any act or failure to act hereunder, except for their own gross negligence or willful
misconduct as determined by a final, non-appealable judgment of a court of competent jurisdiction.

 

SECTION
7.REMEDIES.

 

7.1.Generally.

 

(a)If
any Event of Default shall have occurred and be continuing, Collateral Agent may exercise in respect of the Collateral, in addition
to all other rights and remedies provided for herein or otherwise available to it at law or in equity, all the rights and remedies
of Collateral Agent on default under the UCC (whether or not the UCC applies to the affected Collateral) to collect, enforce or
satisfy any Secured Obligations then owing, whether by acceleration or otherwise, and also may, without notice except as required
under the UCC, exercise its rights under Section 2.7 of the Revenue Sharing and Note Purchase Agreement and sell, assign,
lease, license (on an exclusive or nonexclusive basis) or otherwise dispose of the Collateral or any part thereof in one or more
parcels at public or private sale, at any of Collateral Agent’s offices or elsewhere, for cash, on credit or for future
delivery, at such time or times and at such price or prices and upon such other terms as Collateral Agent may deem commercially
reasonable, provided however, that any such exercise of remedies (including any sale, assignment or disposition of Patents or
any rights in any Patents) shall be subject to (1) the required grant by Purchasers and the Collateral Agent to the Grantor a
perpetual non-exclusive, royalty-free, world-wide license (with the right to sublicense to third parties under the Existing Licenses
and the sale of proprietary products and any other licenses entered into in compliance with this Agreement) to the Patents pursuant
to the proviso at the end of Section 7.2 of the Revenue Sharing and Note Purchase Agreement and (2) the Purchasers and
Collateral Agent obtaining and delivering to Grantor a written acknowledgement and agreement of the applicable transferee or assignee
as required pursuant to the proviso at the end of Section 7.2 of the Revenue Sharing and Note Purchase Agreement. 

 

    	8

    	 

    

 

(b)In
connection with the exercise of remedies pursuant to Section 7.1(a) of this Agreement, Collateral Agent or any other Secured Party
may be the purchaser of any or all of the Collateral at any public or private (to the extent that the portion of the Collateral
being privately sold is of a kind that is customarily sold on a recognized market or the subject of widely distributed standard
price quotations) sale in accordance with the UCC and Collateral Agent, as collateral agent for and representative of the Secured
Parties, shall be entitled, for the purpose of bidding and making settlement or payment of the purchase price for all or any portion
of the Collateral sold at any such sale made in accordance with the UCC, to use and apply any of the Secured Obligations as a
credit on account of the purchase price for any Collateral payable by Collateral Agent at such sale. Each purchaser at any such
sale shall hold the property sold absolutely free from any claim or right on the part of Grantor, and Grantor hereby waives (to
the extent permitted by applicable law) all rights of redemption, stay and/or appraisal which it now has or may at any time in
the future have under any rule of law or statute now existing or hereafter enacted. Grantor agrees that, to the extent notice
of sale shall be required by law, at least thirty (30) days notice to such Grantor of the time and place of any public sale or
the time after which any private sale is to be made shall constitute reasonable notification. Collateral Agent shall not be obligated
to make any sale of Collateral regardless of notice of sale having been given. Collateral Agent may adjourn any public or private
sale from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made
at the time and place to which it was so adjourned. Grantor agrees that it would not be commercially unreasonable for Collateral
Agent to dispose of the Collateral or any portion thereof by using Internet sites that provide for the auction of assets of the
types included in the Collateral or that have the reasonable capability of doing so, or that match buyers and sellers of assets.
Grantor hereby waives any claims against Collateral Agent arising by reason of the fact that the price at which any Collateral
may have been sold at such a private sale was less than the price which might have been obtained at a public sale, even if Collateral
Agent accepts the first offer received and does not offer such Collateral to more than one offeree. If the proceeds of any sale
or other disposition of the Collateral are insufficient to pay all the Secured Obligations, Grantor shall be liable for the deficiency
and the fees of any attorneys employed by Collateral Agent to collect such deficiency. Grantor further agrees that a breach of
any of the covenants contained in this Section will cause irreparable injury to Collateral Agent, that Collateral Agent has no
adequate remedy at law in respect of such breach and, as a consequence, that each and every covenant contained in this Section
shall be specifically enforceable against Grantor, and Grantor hereby waives and agrees not to assert any defenses against an
action for specific performance of such covenants except for a defense that no default has occurred giving rise to the Secured
Obligations becoming due and payable prior to their stated maturities. Nothing in this Section shall in any way alter the rights
of Collateral Agent hereunder.

 

(c)Collateral
Agent may sell the Collateral in connection with the exercise of remedies pursuant to Section 7.1(a) of this Agreement without
giving any warranties as to the Collateral. Collateral Agent may specifically disclaim or modify any warranties of title or the
like. This procedure will not be considered to adversely affect the commercial reasonableness of any sale of the Collateral.

 

    	9

    	 

    

 

(d)Collateral
Agent shall have no obligation to marshal any of the Collateral.

 

7.2.Application
of Proceeds. All proceeds received by Collateral Agent in respect of any sale, any collection from, or other realization upon
all or any part of the Collateral in connection with the exercise of remedies pursuant to Section 7.1(a) or (b) of this Agreement
shall be applied in full or in part by Collateral Agent against the Secured Obligations as follows:

 

(a)First,
to payment of that portion of the Secured Obligations constituting fees, indemnities, expenses and other amounts (other than
principal, interest and the Revenue Participant’s proportionate share of Revenue Stream, but including (x) attorney costs
and other expenses payable under Section 9.1 of the Revenue Sharing and Note Purchase Agreement, (y) amounts owing in respect
of the preservation of Collateral or the security interest in the Collateral and (z) amounts owing in respect of enforcing the
rights of the Secured Parties under the Documents) payable to the Collateral Agent in its capacity as such or to the Purchasers;

 

(b)Second,
to the payment of that portion of the Secured Obligation constituting amounts owed to the Note Purchasers;

 

(c)Third,
to the payment of that portion of the Secured Obligations constituting amounts owed to the Revenue Participants in accordance
with Section 2.1.2 of the Revenue Sharing and Note Purchase Agreement; and

 

(d)Last,
the balance, if any, after all the Secured Obligations have been paid in full, to the Grantor or as otherwise required by applicable
law.

 

7.3.Sales
on Credit. If Collateral Agent sells any of the Collateral in connection with the exercise of remedies pursuant to Section
7.1(a) of this Agreement upon credit, Grantor will be credited only with payments actually made by the purchaser thereof and received
by Collateral Agent and applied to indebtedness of the purchaser thereof. In the event the purchaser fails to pay for the Collateral,
Collateral Agent may resell the Collateral and Grantor shall be credited with proceeds of the sale.

 

7.4.Intellectual
Property.

 

(a)Anything
contained herein to the contrary notwithstanding, upon the occurrence and during the continuation of an Event of Default

 

(i)The
Collateral Agent may exercise its rights under Section 2.7 of the Revenue Sharing and Note Purchase Agreement;

 

(ii)Collateral
Agent shall have the right (but not the obligation) to bring suit or otherwise commence any action or proceeding in the name of
Grantor, Collateral Agent or otherwise, in Collateral Agent’s sole discretion, to enforce any Patents, in which event Grantor
shall, at the request of Collateral Agent, do any and all lawful acts and execute any and all documents required by Collateral
Agent in aid of such enforcement and Grantor shall promptly, upon demand, reimburse and indemnify Collateral Agent as provided
in Sections 9.1 and 9.2 of the Revenue Sharing and Note Purchase Agreement in connection with the exercise of its
rights under this Section, and, to the extent that Collateral Agent shall elect not to bring suit to enforce any Patents as provided
in this Section, Grantor agrees to use all reasonable measures, whether by action, suit, proceeding or otherwise, to prevent the
infringement or other violation of any of Grantor’s rights in the Patents by any other Person and for that purpose agrees
to diligently maintain any action, suit or proceeding against any Person so infringing as shall be necessary to prevent such infringement
or violation;

 

    	10

    	 

    

 

(iii)Collateral
Agent shall have the right to notify, or require Grantor to notify, any obligors with respect to amounts due or to become due
to Grantor in respect of the Patents, of the existence of the security interest created herein, to direct such obligors to make
payment of all such amounts directly to Collateral Agent, and, upon such notification and at the expense of Grantor, to enforce
collection of any such amounts and to adjust, settle or compromise the amount or payment thereof, in the same manner and to the
same extent as Grantor might have done;

 

(1)all
amounts and proceeds (including checks and other instruments) received by Grantor in respect of amounts due to Grantor in respect
of the Collateral or any portion thereof shall be received in trust for the benefit of Collateral Agent hereunder, shall be segregated
from other funds of Grantor and shall be forthwith paid over or delivered to Collateral Agent in the same form as so received
(with any necessary endorsement) to be applied as per Section 7.2 of this Agreement; and

 

(2)no
Grantor shall adjust, settle or compromise the amount or payment of any such amount or release wholly or partly any obligor with
respect thereto or allow any credit or discount thereon.

 

(b)If
(i) an Event of Default shall have occurred and, by reason of cure, waiver, modification, amendment or otherwise, no longer be
continuing, (ii) no other Event of Default shall have occurred and be continuing, (iii) an assignment or other transfer to Collateral
Agent of any rights, title and interests in and to the Patents shall have been previously made and shall have become absolute
and effective, and (iv) the Secured Obligations shall not have become immediately due and payable, upon the written request of
Grantor, Collateral Agent shall promptly execute and deliver to Grantor, at Grantor’s sole cost and expense, such assignments
or other transfer as may be necessary to reassign to Grantor any and all such rights, title and interests as may have been assigned
to Collateral Agent as aforesaid, subject to any disposition thereof that may have been made by Collateral Agent; provided, after
giving effect to such reassignment, Collateral Agent’s security interest granted pursuant hereto, as well as all other rights
and remedies of Collateral Agent granted hereunder, shall continue to be in full force and effect; and provided further, the rights,
title and interests so reassigned shall be free and clear of any other Liens granted by or on behalf of Collateral Agent and the
Secured Parties.

 

    	11

    	 

    

 

SECTION
8.COLLATERAL AGENT.

 

Collateral
Agent has been appointed to act as “Collateral Agent” hereunder by Purchasers pursuant to the Revenue Sharing and
Note Purchase Agreement. Collateral Agent shall be obligated, and shall have the right hereunder, to make demands, to give notices,
to exercise or refrain from exercising any rights, and to take or refrain from taking any action (including, without limitation,
the release or substitution of Collateral), solely in accordance with this Agreement and the other Documents; provided,
Collateral Agent shall, after payment in full of all Obligations under the Revenue Sharing and Note Purchase Agreement and the
other Documents, exercise, or refrain from exercising, any remedies provided for herein in accordance with the instructions of
the Majority Purchasers. In furtherance of the foregoing provisions of this section, each Secured Party, by its acceptance of
the benefits hereof, agrees that it shall have no right individually to realize upon any of the Collateral hereunder, it being
understood and agreed by such Secured Party that all powers, rights and remedies hereunder may be exercised solely by Collateral
Agent for the benefit of Secured Parties in accordance with the terms of this section. Collateral Agent may resign, and a successor
be appointed, in accordance with the Revenue Sharing and Note Purchase Agreement. After any retiring Collateral Agent’s
resignation hereunder as Collateral Agent, the provisions of this Agreement shall inure to its benefit as to any actions taken
or omitted to be taken by it under this Agreement while it was Collateral Agent hereunder.

 

SECTION
9.CONTINUING SECURITY INTEREST; TRANSFER OF RIGHTS UNDER INVESTMENT DOCUMENTS.

 

This
Agreement shall create a continuing security interest in the Collateral and shall remain in full force and effect until the payment
in full of all Secured Obligations (other than contingent indemnity obligations not then asserted), be binding upon Grantor, its
successors and assigns, and inure, together with the rights and remedies of Collateral Agent hereunder, to the benefit of Collateral
Agent and its successors, transferees and assigns. Without limiting the generality of the foregoing, but subject to the terms
of the Revenue Sharing and Note Purchase Agreement, any Purchaser may assign or otherwise transfer any rights held by it under
the Documents to any other Person, and such other Person shall thereupon become vested with all the benefits in respect thereof
granted to Purchasers herein or otherwise. Upon the payment in full of all Secured Obligations (other than contingent indemnity
obligations not then asserted), the security interest granted hereby shall automatically terminate hereunder and of record and
all rights to the Collateral shall revert to Grantor. Upon any such termination, Collateral Agent shall, at Grantor’s expense,
execute and deliver to Grantor or otherwise authorize the filing of such release documents as Grantor shall reasonably request,
including financing statement amendments to evidence such termination, in each case, such documents to be in form and substance
satisfactory to Collateral Agent and without representation or warranty by, or recourse to, Collateral Agent. Upon any Disposition
of property permitted by the Revenue Sharing and Note Purchase Agreement, the Liens granted herein shall be deemed to be automatically
released and such property shall automatically revert to the Grantor (or transferee) with no further action on the part of any
Person. Collateral Agent shall, at Grantor’s expense, execute and deliver or otherwise authorize the filing of such documents
as Grantor shall reasonably request, in form and substance reasonably satisfactory to Collateral Agent and without representation
or warranty by, or recourse to, Collateral Agent, including financing statement amendments to evidence such release.

 

    	12

    	 

    

 

SECTION
10.STANDARD OF CARE; COLLATERAL AGENT MAY PERFORM.

 

The
powers conferred on Collateral Agent hereunder are solely to protect its interest in the Collateral and shall not impose any duty
upon it to exercise any such powers. Except for the exercise of reasonable care in the custody of any Collateral in its possession
and the accounting for moneys actually received by it hereunder, Collateral Agent shall have no duty as to any Collateral or as
to the taking of any necessary steps to preserve rights against prior parties or any other rights pertaining to any Collateral.
Collateral Agent shall be deemed to have exercised reasonable care in the custody and preservation of Collateral in its possession
if such Collateral is accorded treatment substantially equal to that which Collateral Agent accords its own property. Neither
Collateral Agent nor any of its directors, officers, employees or agents shall be liable for failure to demand, collect or realize
upon all or any part of the Collateral or for any delay in doing so or shall be under any obligation to sell or otherwise dispose
of any Collateral upon the request of Grantor or otherwise. If Grantor fails to perform any agreement contained herein, Collateral
Agent may itself perform, or cause performance of, such agreement, and the expenses of Collateral Agent incurred in connection
therewith shall be payable by Grantor under Section 9.1 of the Revenue Sharing and Note Purchase Agreement.

 

SECTION
11.INDEMNITY

 

The
Grantor (as “Indemnitor”) agrees to indemnify, pay and hold the Secured Parties, and the officers, directors,
partners, managers, members, employees, agents, and Affiliates of the Secured Parties (collectively, the “Indemnitees”)
harmless from and against any and all other liabilities, costs, expenses, obligations, losses (other than lost profit), damages,
penalties, actions, judgments, suits, claims and disbursements of any kind or nature whatsoever (including, without limitation,
the reasonable fees and disbursements of one counsel for such Indemnitees) in connection with any investigative, administrative
or judicial proceeding commenced or threatened (excluding claims among Indemnitees), whether or not such Indemnitee shall be designated
a party thereto, which may be imposed on, incurred by, or asserted against that Indemnitee, in any manner relating to or arising
out of this Agreement (the “Indemnified Liabilities”); provided that the Indemnitor shall not have any
obligation to an Indemnitee hereunder with respect to an Indemnified Liability to the extent that such Indemnified Liability arises
from the gross negligence or willful misconduct of that Indemnitee or any of its officers, directors, partners, managers, members,
employees, agents and/or Affiliates. Each Indemnitee shall give the Indemnitor prompt written notice of any claim that might give
rise to Indemnified Liabilities setting forth a description of those elements of such claim of which such Indemnitee has knowledge;
provided that any failure to give such notice shall not affect the obligations of the Indemnitor. The Indemnitor shall
have the right at any time during which such claim is pending to select counsel to defend and control the defense thereof and
settle any claims for which it is responsible for indemnification hereunder (provided that the Indemnitor will not settle
any such claim without (i) the appropriate Indemnitee’s prior written consent, which consent shall not be unreasonably withheld
or (ii) obtaining an unconditional release of the appropriate Indemnitee from all claims arising out of or in any way relating
to the circumstances involving such claim and without any admission as to culpability or fault of such Indemnitee) so long as
in any such event, the Indemnitor shall have stated in a writing delivered to the Indemnitee that, as between the Indemnitor and
the Indemnitee, the Indemnitor is responsible to the Indemnitee with respect to such claim to the extent and subject to the limitations
set forth herein; provided that the Indemnitor shall not be entitled to control the defense of any claim in the event that
in the reasonable opinion of counsel for the Indemnitee, there are one or more material defenses available to the Indemnitee which
are not available to the Indemnitor; provided further, that with respect to any claim as to which the Indemnitee is controlling
the defense, the Indemnitor will not be liable to any Indemnitee for any settlement of any claim pursuant to this Section 11
that is effected without its prior written consent, which consent shall not be unreasonably withheld. To the extent that the
undertaking to indemnify, pay and hold harmless set forth in this Section 11 may be unenforceable because it is violative
of any law or public policy, the Grantor shall contribute the maximum portion which it is permitted to pay and satisfy under applicable
law, to the payment and satisfaction of all Indemnified Liabilities incurred by the Indemnitees or any of them. Notwithstanding
anything to the contrary in this Agreement, no party shall be liable to the other party or any third party for any indirect, incidental,
exemplary, special, punitive or consequential damages (including with respect to lost revenue, lost profits or savings or business
interruption) of any kind or nature whatsoever suffered by the other party or any third party howsoever caused and regardless
of the form or cause of action, even if such damages are foreseeable or such party has been advised of the possibility of such
damages. The provisions of this Section 11 shall survive the termination of this Agreement.

 

    	13

    	 

    

 

SECTION
12.MISCELLANEOUS.

 

Any
notice required or permitted to be given under this Agreement shall be given in accordance with Section 9.3 of the Revenue
Sharing and Note Purchase Agreement. No failure or delay on the part of Collateral Agent in the exercise of any power, right or
privilege hereunder or under any other Document shall impair such power, right or privilege or be construed to be a waiver of
any default or acquiescence therein, nor shall any single or partial exercise of any such power, right or privilege preclude other
or further exercise thereof or of any other power, right or privilege. All rights and remedies existing under this Agreement and
the other Documents are cumulative to, and not exclusive of, any rights or remedies otherwise available. In case any provision
in or obligation under this Agreement shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and
enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall
not in any way be affected or impaired thereby. All covenants hereunder shall be given independent effect so that if a particular
action or condition is not permitted by any of such covenants, the fact that it would be permitted by an exception to, or would
otherwise be within the limitations of, another covenant shall not avoid the occurrence of a Default or an Event of Default if
such action is taken or condition exists. This Agreement shall be binding upon and inure to the benefit of Collateral Agent and
Grantor and their respective successors and assigns. Grantor shall not, without the prior written consent of Collateral Agent
given in accordance with the Revenue Sharing and Note Purchase Agreement, assign any right, duty or obligation hereunder. This
Agreement and the other Documents embody the entire agreement and understanding between Grantor and Collateral Agent and supersede
all prior agreements and understandings between such parties relating to the subject matter hereof and thereof. Accordingly, the
Documents may not be contradicted by evidence of prior, contemporaneous or subsequent oral agreements of the parties. There are
no unwritten oral agreements between the parties. This Agreement may be executed in one or more counterparts and by different
parties hereto in separate counterparts, each of which when so executed and delivered shall be deemed an original, but all such
counterparts together shall constitute but one and the same instrument; signature pages may be detached from multiple separate
counterparts and attached to a single counterpart so that all signature pages are physically attached to the same document. Delivery
of an executed counterpart of a signature page of this Agreement by facsimile or other electronic transmission shall be effective
as a manually executed counterpart of this Agreement. In the event of an express conflict between the terms and conditions of
this Agreement and the terms and conditions of the Revenue Sharing and Note Purchase Agreement, the terms and conditions of the
Revenue Sharing and Note Purchase Agreement shall control.

 

    	14

    	 

    

 

THIS
AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION OF THE SECURITY INTEREST
OR THE REMEDIES HEREUNDER IN RESPECT OF ANY COLLATERAL ARE GOVERNED BY THE LAW OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK.

 

TO
THE EXTENT NOT PROHIBITED BY APPLICABLE LAW THAT CANNOT BE WAIVED, EACH PARTY HERETO WAIVES, AND COVENANTS THAT IT WILL NOT ASSERT
(WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE), ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY ISSUE, CLAIM OR PROCEEDING
ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE CONDUCT OF THE PARTIES HERETO, WHETHER NOW EXISTING OR HEREAFTER ARISING AND
WHETHER IN CONTRACT, TORT OR OTHERWISE.  The Grantor acknowledges that Grantor has been informed by the Secured Parties that
the foregoing sentence constitutes a material inducement upon which the Secured Parties have relied and will rely in entering
into this Agreement. Grantor or any of the Secured Parties may file an original counterpart or a copy of this Agreement with any
court as written evidence of the consent of the Grantors and the Secured Parties to the waiver of their rights to trial by jury.

 

Each
party hereto (a) irrevocably submits to the exclusive jurisdiction of any New York state court or federal court sitting in New
York, New York, and any court having jurisdiction over appeals of matters heard in such courts, for the purpose of any suit, action
or other proceeding arising out of or based upon this Agreement or the subject matter hereof or thereof; (b) waives to the extent
not prohibited by applicable law that cannot be waived, and agrees not to assert, by way of motion, as a defense or otherwise,
in any such proceeding brought in any of the above-named courts, any claim that they are not subject personally to the jurisdiction
of such court, that their property is exempt or immune from attachment or execution, that such proceeding is brought in an inconvenient
forum, that the venue of such proceeding is improper, or that this Agreement, or the subject matter hereof or thereof, may not
be enforced in or by such court; and (c) consents to service of process in any such proceeding in any manner at the time permitted
under the applicable laws of the State of New York and agree that service of process by registered or certified mail, return receipt
requested, at the address specified in or pursuant to Section 9.3 of the Revenue Sharing and Note Purchase Agreement is
reasonably calculated to give actual notice.

 

    	15

    	 

    

 

[Remainder
of Page Intentionally Blank]

 

    	16

    	 

    

 

IN
WITNESS WHEREOF, Grantor and Collateral Agent have caused this Agreement to be duly executed and delivered by their respective
officers thereunto duly authorized as of the date first written above.

 

	 	GRANTOR:
	 	 
	 	SITO
    MOBILE, LTD.
	 	 	 
	 	/s/ Jerry
    Hug
	 	By:	Jerry
    Hug
	 	Title:	Interim
    CEO
	 	 	 
	 	SINGLE
    TOUCH INTERACTIVE, INC.
	 	 	 
	 	/s/ Jerry
    Hug
	 	By:	Jerry
    Hug
	 	Title:	President

 

	 	SINGLE
    TOUCH INTERACTIVE R&D IP, LLC
	 	 	 
	 	/s/ Jerry
    Hug
	 	By:	Jerry
    Hug
	 	Title:	Authorized
    Manager

 

[Signature Page to Security
Agreement]

 

    	 

    	 

    

 

	 	COLLATERAL
    AGENT:
	 	 
	 	FORTRESS
    CREDIT CO LLC
	 	 	 
	 	By:
    	/s/ Constantine M. Dakolias
	 	Name:	Constantine M. Dakolias
	 	Title:	President

 

[Signature Page to Security Agreement]

 

    	 

    	 

    

 

EXHIBIT
A

TO
SECURITY AGREEMENT

 

Security
Agreement SUPPLEMENT

 

This
SECURITY AGREEMENT SUPPLEMENT, dated [mm/dd/yy], is delivered by [NAME OF GRANTOR] a [NAME OF STATE OF
INCORPORATION] [Corporation] (the “Grantor”) pursuant to the Security Agreement, dated as of [mm/dd/yy]
(as it may be from time to time amended, restated, modified or supplemented, the “Security Agreement”),
among [NAME OF COMPANY], the Grantor and [NAME OF COLLATERAL AGENT], as the Collateral Agent. Capitalized terms
used herein not otherwise defined herein shall have the meanings ascribed thereto in the Security Agreement.

 

Grantor
hereby confirms the grant to Collateral Agent set forth in the Security Agreement of, and does hereby grant to Collateral Agent,
a security interest in all of Grantor’s right, title and interest in and to all Collateral to secure the Secured Obligations,
in each case whether now or hereafter existing or in which Grantor now has or hereafter acquires an interest and wherever the
same may be located and specifically, without limitation, grants to the Collateral Agent a security interest in all of Grantor’s
right, title and interest in the Commercial Tort Claims referenced on Schedule 4.3. Grantor represents and warrants to
Collateral Agent and each other Secured Party that the attached Supplements9 to Schedules accurately and completely
set forth all additional information required pursuant to the Security Agreement and hereby agrees that such Supplements to Schedules
shall constitute part of the Schedules to the Security Agreement.

 

IN
WITNESS WHEREOF, Grantor has caused this Security Agreement Supplement to be duly executed and delivered by its duly authorized
officer as of [mm/dd/yy].

 

	 	[NAME
    OF GRANTOR]
	 	 	 
	 	By:
    	 
	 	Name:	 
	 	Title:	 

 

 

9 Supplemental
schedules to be attached

 

    	 

    	 

    

 

EXHIBIT
B

TO
SECURITY AGREEMENT

 

Patent
Security Agreement

 

Patent
Security Agreement, dated as of October 3, 2014, by SITO MOBILE, LTD., a Delaware corporation, SINGLE TOUCH INTERACTIVE, INC.,
a Nevada corporation and SINGLE TOUCH INTERACTIVE R&D IP, LLC, a Delaware limited liability company (collectively, the “Pledgor”),
in favor of FORTRESS CREDIT CO LLC, in its capacity as collateral agent pursuant to the Revenue Sharing and Note Purchase Agreement
(in such capacity, the “Collateral Agent”).

 

W i t n e s s e t h:

 

Whereas,
the Pledgor is party to a Security Agreement of even date herewith (the “Security Agreement”) in favor of the
Collateral Agent pursuant to which the Pledgor is required to execute and deliver this Patent Security Agreement;

 

Now,
Therefore, in consideration of the premises and to induce the Collateral
Agent, for the benefit of the Secured Parties, to enter into the Revenue Sharing and Note Purchase Agreement, the Pledgor hereby
agrees with the Collateral Agent as follows:

 

SECTION
1. Defined Terms. Unless otherwise defined herein, terms defined in the Security Agreement and used herein have the meaning
given to them in the Security Agreement.

 

SECTION
2. Grant of Security Interest in Patent Collateral. The Pledgor hereby pledges and grants to the Collateral Agent for the
benefit of the Secured Parties a lien on and security interest in and to all of its right, title and interest in, to and under
all the following Collateral:

 

(a)registered
Patents and applications of the Pledgor set forth on Schedule A attached hereto; and

 

(c)all
Proceeds of any and all of the foregoing.

 

SECTION
3. Security Agreement. The security interests granted to the Collateral Agent pursuant to this Patent Security Agreement
are granted in conjunction with the security interests granted to the Collateral Agent pursuant to the Security Agreement, and
Pledgor hereby acknowledges and affirms that the rights and remedies of the Collateral Agent with respect to the security interests
in the Patents made and granted hereby are set forth in the Security Agreement, the terms and provisions of which are incorporated
by reference herein as if fully set forth herein. In the event that any provision of this Patent Security Agreement is deemed
to conflict with the Security Agreement, the provisions of the Security Agreement shall control.

 

SECTION
4. Counterparts. This Patent Security Agreement may be executed in any number of counterparts, all of which shall constitute
one and the same instrument, and any party hereto may execute this Patent Security Agreement by signing and delivering one or
more counterparts. Delivery of an executed counterpart of a signature page of this Patent Security Agreement by telecopier or
other electronic transmission (i.e. a “pdf” or “tif” document) shall be effective as delivery of a manually
executed counterpart of this Patent Security Agreement.

 

[Signature
page follows]

 

    	 

    	 

    

 

In
Witness Whereof, the Pledgor has caused this Patent Security Agreement
to be executed and delivered by its duly authorized offer as of the date first set forth above.

 

	 	Very
    truly yours,
	 	 
	 	SITO
    MOBILE, LTD.,
	 	as
    Pledgor
	 	 	 
	 	By:	 
	 	Name:	Jerry
    Hug
	 	Title:	Interim
    CEO
	 	 	 
	 	SINGLE
    TOUCH INTERACTIVE, INC.,
	 	as
    Pledgor
	 	 	 
	 	By:	 
	 	Name:	Jerry
    Hug
	 	Title:	President

 

	 	SINGLE
    TOUCH INTERACTIVE, LLC
	 	as
    Pledgor
	 	 	 
	 	By:	 
	 	Name:	Jerry
    Hug
	 	Title:	Authorized
    Manager

 

Accepted
and Agreed:

 

FORTRESS
CREDIT CO LLC, 

as Collateral
Agent

 

	By:	 	 
	 	Name:	 
	 	Title:Exhibit 10.2

 

Subscription
AGREEMENT

 

This
Subscription Agreement (this “Agreement”) is dated as of October 3, 2014, between SITO Mobile, Ltd., a Delaware
corporation (the “Company”), and CF DB EZ LLC a Delaware limited liability company (“Purchaser”).

 

WHEREAS,
subject to the terms and conditions set forth in this Agreement, the Company desires to issue and sell to each Purchaser, and
each Purchaser, severally and not jointly, desires to purchase from the Company, securities of the Company as more fully described
in this Agreement.

 

NOW,
THEREFORE, IN CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration
the receipt and adequacy of which are hereby acknowledged, the Company and each Purchaser agree as follows:

 

ARTICLE
I.

DEFINITIONS

 

1.1
Definitions. In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following
terms have the meanings set forth in this Section 1.1:

 

“Acquiring
Person” shall have the meaning ascribed to such term in Section 4.3.

 

“Action”
shall have the meaning ascribed to such term in Section 3.1(j).

 

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common
control with a Person as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Board
of Directors” means the board of directors of the Company.

 

“Business
Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or
any day on which banking institutions in the Commonwealth of Massachusetts are authorized or required by law or other governmental
action to close.

 

“Closing”
means the closing of the purchase and sale of the Shares pursuant to Section 2.1.

 

“Commission”
means the United States Securities and Exchange Commission.

 

“Common
Stock” means the common stock of the Company, par value $0.001 per share, and any other class of securities into which
such securities may hereafter be reclassified or changed.

 

“Common
Stock Equivalents” means any securities of the Company or the Subsidiaries which would entitle the holder thereof to
acquire at any time Common Stock, including, without limitation, any debt, preferred stock, rights, options, warrants or other
instrument that is at any time convertible into or exercisable or exchangeable for, or otherwise entitles the holder thereof to
receive, Common Stock.

 

    	 

     

    

 

“Company
Counsel” means Sichenzia Ross Friedman Ference LLP.

 

“Evaluation
Date” shall have the meaning ascribed to such term in Section 3.1(r).

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“FCPA”
shall have the meaning ascribed to such term in Section 3.1(aa).

 

“GAAP”
shall have the meaning ascribed to such term in Section 3.1(h).

 

“Indebtedness”
shall have the meaning ascribed to such term in Section 3.1(y).

 

“Intellectual
Property Rights” shall have the meaning ascribed to such term in Section 3.1(o).

 

“Liens”
means a lien, charge, security interest, encumbrance, right of first refusal, preemptive right or other restriction.

 

“Material
Adverse Effect” shall have the meaning assigned to such term in Section 3.1(b).

 

“Material
Permits” shall have the meaning ascribed to such term in Section 3.1(m).

 

“Money
Laundering Laws” shall have the meaning ascribed to such term in Section 3.1(ff).

 

“OFAC”
shall have the meaning ascribed to such term in Section 3.1(ee).

 

“Purchase
Price” means $1,000,000.

 

“Person”
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

 

“Proceeding”
means an action, claim, suit, investigation or proceeding (including, without limitation, an informal investigation or partial
proceeding, such as a deposition), whether commenced or threatened.

 

“Purchaser
Party” shall have the meaning ascribed to such term in Section 4.5.

 

“Rule
144” means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time
to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

 

    	2

     

    

 

“Rule
424” means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

 

“SEC
Reports” shall have the meaning ascribed to such term in Section 3.1(h).

 

“Shares”
means the shares of Common Stock issued or issuable to each Purchaser pursuant to this Agreement.

 

“Short
Sales” means all “short sales” as defined in Rule 200 of Regulation SHO under the Exchange Act (but shall
not be deemed to include the location and/or reservation of borrowable shares of Common Stock). 

 

“Subsidiary”
means any subsidiary consolidated in the Company’s financial statements, and shall, where applicable, also include any direct
or indirect subsidiary of the Company formed or acquired after the date hereof.

 

“Trading
Day” means a day on which the principal Trading Market is open for trading.

 

“Trading
Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on
the date in question: the NYSE MKT, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the
New York Stock Exchange, the OTC Bulletin Board or the OTCQB or the OTCQX operated by the OTC Markets Group, Inc. (or any successors
to any of the foregoing).

 

“Transaction
Documents” means this Agreement and any other documents or agreements executed in connection with the transactions contemplated
hereunder, including the Revenue Sharing and Note Purchase Agreement, dated as of October 3, 2014, by and among the Company, Single
Touch Interactive, Inc., Single Touch Interactive R&D IP, LLC, Fortress Credit Co LLC and the Purchasers party thereto.

 

“VWAP”
means, for any date, the price determined by the first of the following clauses that applies: (a) if the Common Stock is then
listed or quoted on a Trading Market, the daily volume weighted average price of the Common Stock for such date (or the nearest
preceding date) on the Trading Market on which the Common Stock is then listed or quoted as reported by Bloomberg L.P. (based
on a Trading Day from 9:30 a.m. (New York City time) to 4:02 p.m. (New York City time)), (b)  if the OTC Bulletin Board is
not a Trading Market, the volume weighted average price of the Common Stock for such date (or the nearest preceding date) on the
OTC Bulletin Board, (c) if the Common Stock is not then listed or quoted for trading on the OTC Bulletin Board and if prices for
the Common Stock are then reported in the “Pink Sheets” published by Pink OTC Markets, Inc. (or a similar organization
or agency succeeding to its functions of reporting prices), the most recent bid price per share of the Common Stock so reported,
or (d) in all other cases, the fair market value of a share of Common Stock as determined by an independent appraiser selected
in good faith by the Purchasers of a majority in interest of the Shares then outstanding and reasonably acceptable to the Company,
the fees and expenses of which shall be paid by the Company.

 

    	3

     

    

 

ARTICLE
II.

PURCHASE AND SALE

 

2.1Closing.
Upon the terms and subject to the conditions set forth herein, the Company agrees to sell, and the Purchaser agrees to purchase
2,619,538 Shares in consideration of the payment by Purchaser of the Purchase Price. The Closing shall occur at the offices of
Company Counsel or such other location as the parties shall mutually agree.

 

ARTICLE
III.

REPRESENTATIONS AND WARRANTIES

 

3.1Representations
and Warranties of the Company. Except as described in the SEC Reports or any information contained or incorporated therein,
the Company hereby makes the following representations and warranties to Purchaser:

 

(a)Subsidiaries.
All of the direct and indirect subsidiaries of the Company are described in the Company’s SEC Reports or the schedules thereto
or the documents incorporated therein. The Company owns, directly or indirectly, all of the capital stock or other equity interests
of each Subsidiary free and clear of any Liens, and all of the issued and outstanding shares of capital stock of each Subsidiary
are validly issued and are fully paid, non-assessable and free of preemptive and similar rights to subscribe for or purchase securities.

 

(b)Organization
and Qualification. The Company and each of the Subsidiaries is an entity duly incorporated or otherwise organized, validly
existing and in good standing under the laws of the jurisdiction of its incorporation or organization, with the requisite power
and authority to own and use its properties and assets and to carry on its business as currently conducted. Neither the Company
nor any Subsidiary is in violation nor default of any of the provisions of its respective certificate or articles of incorporation,
bylaws or other organizational or charter documents, except to the extent that any such default could not have or reasonably be
expected to result in: (i) a material adverse effect on the legality, validity or enforceability of any Transaction Document,
(ii) a material adverse effect on the results of operations, assets, prospects, business or condition (financial or otherwise)
of the Company and the Subsidiaries, taken as a whole, or (iii) a material adverse effect on the Company’s ability to perform
in any material respect on a timely basis its obligations under any Transaction Document (any of (i), (ii) or (iii), a “Material
Adverse Effect”), provided, that none of the following alone shall be deemed, in and of itself, to constitute a Material
Adverse Effect: (i) a change in the market price or trading volume of the Common Stock or (ii) changes in general economic conditions
or changes affecting the industry in which the Company operates generally (as opposed to Company-specific changes) so long as
such changes do not have a materially disproportionate effect on the Company. Each of the Company and the Subsidiaries is duly
qualified to conduct business and is in good standing as a foreign corporation or other entity in each jurisdiction in which the
nature of the business conducted or property owned by it makes such qualification necessary, except where the failure to be so
qualified or in good standing, as the case may be, could not have or reasonably be expected to result in a Material Adverse Effect
and no Proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing or seeking to revoke, limit or
curtail such power and authority or qualification.

 

    	4

     

    

 

(c)Authorization;
Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate the transactions
contemplated by each of the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder. The execution
and delivery of each of the Transaction Documents by the Company and the consummation by it of the transactions contemplated hereby
and thereby have been duly authorized by all necessary action on the part of the Company and no further action is required by
the Company, the Board of Directors or the Company’s stockholders in connection therewith. Each Transaction Document to
which it is a party has been (or upon delivery will have been) duly executed by the Company and, when delivered in accordance
with the terms hereof and thereof, will constitute the valid and binding obligation of the Company enforceable against the Company
in accordance with its terms, except (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization,
moratorium and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by
laws relating to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as
indemnification and contribution provisions may be limited by applicable law.

 

(d)No
Conflicts. The execution, delivery and performance by the Company of the Transaction Documents, the issuance and sale of the
Shares and the consummation by it of the transactions contemplated hereby and thereby to which it is a party do not and will not
(i) conflict with or violate any provision of the Company’s or any Subsidiary’s certificate or articles of incorporation,
bylaws or other organizational or charter documents, or (ii) conflict with, or constitute a default (or an event that with notice
or lapse of time or both would become a default) under, result in the creation of any Lien upon any of the properties or assets
of the Company or any Subsidiary, or give to others any rights of termination, amendment, acceleration or cancellation (with or
without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing a Company or Subsidiary
debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which any property or asset
of the Company or any Subsidiary is bound or affected, or (iii) conflict with or result in a violation of any law, rule, regulation,
order, judgment, injunction, decree or other restriction of any court or governmental authority to which the Company or a Subsidiary
is subject (including federal and state securities laws and regulations), or by which any property or asset of the Company or
a Subsidiary is bound or affected; except in the case of each of clauses (ii) and (iii), such as could not have or reasonably
be expected to result in a Material Adverse Effect.

 

(e)Filings,
Consents and Approvals. The Company is not required to obtain any consent, waiver, authorization or order of, give any notice
to, or make any filing or registration with, any court or other federal, state, local or other governmental authority or other
Person in connection with the execution, delivery and performance by the Company of the Transaction Documents, other than such
filings as are required to be made under applicable state securities laws.

 

    	5

     

    

 

(f)Issuance
of the Shares. The Shares are duly authorized and, when issued and paid for in accordance with the applicable Transaction
Documents, will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens imposed by the Company.
The Company has reserved from its duly authorized capital stock the maximum number of shares of Common Stock issuable pursuant
to this Agreement.

 

(g)Capitalization.
Neither the Company nor any of its Subsidiaries has issued any capital stock since the Company’s most recently filed periodic
report under the Exchange Act, other than pursuant to the exercise of employee stock options under the Company’s stock option
plans or the issuance of shares of Common Stock to employees pursuant to the conversion and/or exercise of Common Stock Equivalents
outstanding as of the date of the most recently filed periodic report under the Exchange Act. No Person has any right of first
refusal, preemptive right, right of participation, or any similar right to participate in the transactions contemplated by the
Transaction Documents. Except as a result of the purchase and sale of the Shares or as disclosed in the SEC Reports, there are
no outstanding options, warrants, scrip rights to subscribe to, calls or commitments of any character whatsoever relating to,
or securities, rights or obligations convertible into or exercisable or exchangeable for, or giving any Person any right to subscribe
for or acquire, any shares of Common Stock, or contracts, commitments, understandings or arrangements by which the Company or
any Subsidiary is or may become bound to issue additional shares of Common Stock or Common Stock Equivalents. The issuance and
sale of the Shares will not obligate the Company or any of its Subsidiaries to issue shares of Common Stock or other securities
to any Person (other than the Purchaser) and will not result in a right of any holder of securities of the Company or any of its
Subsidiaries to adjust the exercise, conversion, exchange or reset price under any of such securities. All of the outstanding
shares of capital stock of the Company and its Subsidiaries are validly issued, fully paid and nonassessable, have been issued
in compliance with all federal and state securities laws, and none of such outstanding shares was issued in violation of any preemptive
rights or similar rights to subscribe for or purchase securities. No further approval or authorization of any stockholder, the
Board of Directors or third party is required for the issuance and sale of the Shares. Except as disclosed in the SEC Reports
or in any exhibit thereto, there are no stockholders agreements, voting agreements or other similar agreements with respect to
the Company’s or any of its Subsidiaries’ capital stock to which the Company is a party or, to the knowledge of the
Company, between or among any of the Company’s stockholders.

 

    	6

     

    

 

(h)SEC
Reports; Financial Statements. The Company has filed all reports, schedules, forms, statements and other documents required
to be filed by the Company under the Securities Act and the Exchange Act, including pursuant to Section 13(a) or 15(d) thereof,
for the one (1) yea preceding the date hereof (or such shorter period as the Company was required by law or regulation to file
such material) (the foregoing materials, including the exhibits thereto and documents incorporated by reference therein, being
collectively referred to herein as the “SEC Reports”) on a timely basis or has received a valid extension of
such time of filing and has filed any such SEC Reports prior to the expiration of any such extension. As of their respective dates,
the SEC Reports complied in all material respects with the requirements of the Securities Act and the Exchange Act, as applicable,
and none of the SEC Reports, when filed, contained any untrue statement of a material fact or omitted to state a material fact
required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances under which
they were made, not misleading. The financial statements of the Company included in the SEC Reports comply in all material respects
with applicable accounting requirements and the rules and regulations of the Commission with respect thereto as in effect at the
time of filing. Such financial statements have been prepared in accordance with United States generally accepted accounting principles
applied on a consistent basis during the periods involved (“GAAP”), except as may be otherwise specified in
such financial statements or the notes thereto and except that unaudited financial statements may not contain all footnotes required
by GAAP, and fairly present in all material respects the financial position of the Company and its consolidated Subsidiaries as
of and for the dates thereof and the results of operations and cash flows for the periods then ended, subject, in the case of
unaudited statements, to normal, immaterial, year-end audit adjustments.

 

(i)Material
Changes; Undisclosed Events, Liabilities or Developments. Since the date of the latest audited financial statements included
within the SEC Reports, except as specifically disclosed in a subsequent SEC Report filed prior to the date hereof, (i) there
has been no event, occurrence or development that has had or that could reasonably be expected to result in a Material Adverse
Effect, (ii) the Company has not incurred any liabilities (contingent or otherwise) other than (A) trade payables and accrued
expenses incurred in the ordinary course of business consistent with past practice and (B) liabilities not required to be reflected
in the Company’s financial statements pursuant to GAAP or disclosed in filings made with the Commission, (iii) the Company
has not altered its method of accounting, (iv) the Company has not declared or made any dividend or distribution of cash or other
property to its stockholders or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock
and (v) the Company has not issued any equity securities to any officer, director or Affiliate, except pursuant to existing Company
stock option plans. The Company does not have pending before the Commission any request for confidential treatment of information.
Except for the issuance of the Shares contemplated by this Agreement or as disclosed in the SEC Reports, no event, liability,
fact, circumstance, occurrence or development has occurred or exists or is reasonably expected to occur or exist with respect
to the Company or its Subsidiaries or their respective business, properties, operations, assets or financial condition that would
be required to be disclosed by the Company under applicable securities laws at the time this representation is made or deemed
made that has not been publicly disclosed at least one (1) Trading Day prior to the date that this representation is made.

 

    	7

     

    

 

(j)Litigation.
There is no action, suit, inquiry, notice of violation, proceeding or investigation pending or, to the knowledge of the Company,
threatened against or affecting the Company, any Subsidiary or any of their respective properties before or by any court, arbitrator,
governmental or administrative agency or regulatory authority (federal, state, county, local or foreign) (collectively, an “Action”)
which (i) adversely affects or challenges the legality, validity or enforceability of any of the Transaction Documents or the
Shares or (ii) could, if there were an unfavorable decision, have or reasonably be expected to result in a Material Adverse Effect.
Neither the Company nor any Subsidiary, nor, to the knowledge of the Company, any director or officer thereof, is or has been
the subject of any Action involving a claim of violation of or liability under federal or state securities laws or a claim of
breach of fiduciary duty. There has not been, and to the knowledge of the Company, there is not pending or contemplated, any investigation
by the Commission involving the Company or, to the knowledge of the Company, any current or former director or officer of the
Company. The Commission has not issued any stop order or other order suspending the effectiveness of any registration statement
filed by the Company or any Subsidiary under the Exchange Act or the Securities Act.

 

(k)Labor
Relations. To the knowledge of the Company, no strike, work stoppage, slow down or other labor dispute exists or, is imminent
with respect to any of the employees of the Company, which could reasonably be expected to result in a Material Adverse Effect.
None of the Company’s or its Subsidiaries’ employees is a member of a union that relates to such employee’s
relationship with the Company or such Subsidiary, and neither the Company nor any of its Subsidiaries is a party to a collective
bargaining agreement, and the Company and its Subsidiaries believe that their relationships with their employees are good. No
executive officer, to the knowledge of the Company, is, or is now expected to be, in violation of any material term of any employment
contract, confidentiality, disclosure or proprietary information agreement or non-competition agreement, or any other contract
or agreement or any restrictive covenant in favor of any third party, and the continued employment of each such executive officer
does not subject the Company or any of its Subsidiaries to any liability with respect to any of the foregoing matters. The Company
and its Subsidiaries are in compliance with all U.S. federal, state, local and foreign laws and regulations relating to employment
and employment practices, terms and conditions of employment and wages and hours, except where the failure to be in compliance
could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

 

(l)Compliance.
Neither the Company nor any Subsidiary: (i) is in default under or in violation of (and no event has occurred that has not been
waived that, with notice or lapse of time or both, would result in a default by the Company or any Subsidiary under), nor has
the Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture,
loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any of its properties is
bound (whether or not such default or violation has been waived), (ii) is in violation of any judgment, decree or order of any
court, arbitrator or governmental body or (iii) is or has been in violation of any statute, rule, ordinance or regulation of any
governmental authority, including without limitation all foreign, federal, state and local laws relating to taxes, environmental
protection, occupational health and safety, product quality and safety and employment and labor matters, except in each case as
could not have or reasonably be expected to result in a Material Adverse Effect.

 

    	8

     

    

 

(m)Regulatory
Permits. The Company and the Subsidiaries possess all certificates, authorizations and permits issued by the appropriate federal,
state, local or foreign regulatory authorities necessary to conduct their respective businesses as currently conducted as described
in the SEC Reports, except where the failure to possess such permits could not reasonably be expected to result in a Material
Adverse Effect (“Material Permits”), and neither the Company nor any Subsidiary has received any notice of
proceedings relating to the revocation or modification of any Material Permit.

 

(n)Title
to Assets. The Company and the Subsidiaries have good and marketable title in fee simple to all real property owned by them
and good and marketable title in all personal property owned by them that is material to the business of the Company and the Subsidiaries,
in each case free and clear of all Liens, except for Liens as do not materially affect the value of such property and do not materially
interfere with the use made and proposed to be made of such property by the Company and the Subsidiaries and Liens for the payment
of federal, state or other taxes, the payment of which is neither delinquent nor subject to penalties. Any real property and facilities
held under lease by the Company and the Subsidiaries are held by them under valid, subsisting and enforceable leases with which
the Company and the Subsidiaries are in compliance, except where the failure to be in compliance would not reasonably be expected
to have a Material Adverse Effect.

 

(o)Intellectual
Property Rights. Except as set forth on Schedule 3.1(o)(i), to the knowledge
of the Company, the Company and the Subsidiaries have, or have rights to use, all patents, patent applications, trademarks, trademark
applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual property rights
and similar rights necessary for use  in connection with their respective businesses as described in the SEC Reports and
which the failure to so have could reasonably be expected to have a Material Adverse Effect (collectively, the “Intellectual
Property Rights”).  Except as set forth on Schedule 3.1(o)(ii), none of, and neither the Company nor any
Subsidiary has received a notice (written or otherwise) that any of, the Intellectual Property Rights of the Company and the Subsidiaries
(or, to the knowledge of the Company, the Intellectual Property Rights) has expired, terminated or been abandoned, or is expected
to expire or terminate or be abandoned, within three (3) years from the date of this Agreement, in either case which are material
to the Company’s business.  Except as set forth on Schedule 3.1(o)(iii), neither the Company nor any Subsidiary
has received, since the date of the latest audited financial statements included within the SEC Reports, a written notice of a
claim or otherwise has any knowledge that it has violated or infringed upon the intellectual property rights of any Person, except
as would not have a Material Adverse Effect.  Except as set forth on Schedule 3.1(o)(iv), to the knowledge of the
Company, all such Intellectual Property Rights are enforceable.  The Company and its Subsidiaries have taken commercially
reasonable security measures to, where commercially appropriate, protect the secrecy and confidentiality of all of their trade
secrets, except where failure to do so could not, individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect.

 

    	9

     

    

 

(p)Insurance.
The Company and the Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks
and in such amounts as are prudent and customary in the businesses in which the Company and the Subsidiaries are engaged, including,
but not limited to, directors and officers insurance coverage. Neither the Company nor any Subsidiary has any reason to believe
that it will not be able to renew its existing insurance coverage as and when such coverage expires or to obtain similar coverage
from similar insurers as may be necessary to continue its business without a significant increase in cost.

 

(q)Transactions
With Affiliates and Employees. Except as set forth in the SEC Reports, none of the officers or directors of the Company and,
to the knowledge of the Company, none of the employees of the Company is presently a party to any transaction with the Company
or any Subsidiary (other than for services as employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise
requiring payments to or from any officer, director or such employee or, to the knowledge of the Company, any entity in which
any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner, in each
case in excess of $120,000 other than for (i) payment of salary or consulting fees for services rendered, (ii) reimbursement for
expenses incurred on behalf of the Company and (iii) other employee benefits, including stock option agreements under any stock
option plan of the Company.

 

(r)Sarbanes-Oxley;
Internal Accounting Controls. The Company is in compliance with any and all applicable requirements of the Sarbanes-Oxley
Act of 2002 that are effective as of the date hereof, and any and all applicable rules and regulations promulgated by the Commission
thereunder that are effective as of the date hereof, except where the failure to be in compliance would not have a Material Adverse
Effect. The Company and the Subsidiaries maintain a system of internal accounting controls sufficient to provide reasonable assurance
that: (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions
are recorded as necessary to permit preparation of financial statements in conformity with GAAP and to maintain asset accountability,
(iii) access to assets is permitted only in accordance with management’s general or specific authorization, and (iv) the
recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken
with respect to any differences. The Company has established disclosure controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) for the Company and designed such disclosure controls and procedures to ensure that information required
to be disclosed by the Company in the reports it files or submits under the Exchange Act is recorded, processed, summarized and
reported, within the time periods specified in the Commission’s rules and forms. The Company’s certifying officers
have evaluated the effectiveness of the Company’s disclosure controls and procedures as of the end of the period covered
by the Company’s most recently filed periodic report under the Exchange Act (such date, the “Evaluation Date”).
The Company presented in its most recently filed periodic report under the Exchange Act the conclusions of the certifying officers
about the effectiveness of the disclosure controls and procedures based on their evaluations as of the Evaluation Date. Since
the Evaluation Date, there have been no changes in the Company’s internal control over financial reporting (as such term
is defined in the Exchange Act) that has materially affected, or is reasonably likely to materially affect, the Company’s
internal control over financial reporting.

 

    	10

     

    

 

(s)Certain
Fees. No brokerage or finder’s fees or commissions are or will be payable by the Company to any broker, financial advisor
or consultant, finder, placement agent, investment banker, bank or other Person with respect to the transactions contemplated
by the Transaction Documents. The Purchaser shall have no obligation with respect to any fees or with respect to any claims made
by or on behalf of other Persons for fees of a type contemplated in this Section that may be due in connection with the transactions
contemplated by the Transaction Documents.

 

(t)Investment
Company. The Company is not, and is not an Affiliate of, and immediately after receipt of payment for the Shares, will not
be or be an Affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940, as amended.
The Company shall conduct its business in a manner so that it will not become an “investment company” subject to registration
under the Investment Company Act of 1940, as amended.

 

(u)Registration
Rights. Except as described in the SEC Reports, no Person has any right to cause the Company to effect the registration under
the Securities Act of any securities of the Company.

 

(v)Listing
and Maintenance Requirements. The Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange Act, and the
Company has taken no action designed to, or which to its knowledge is likely to have the effect of, terminating the registration
of the Common Stock under the Exchange Act nor has the Company received any notification that the Commission is contemplating
terminating such registration. The Company has not, in the 12 months preceding the date hereof, received notice from any Trading
Market on which the Common Stock is or has been listed or quoted to the effect that the Company is not in compliance with the
listing or maintenance requirements of such Trading Market. The Company is, and has no reason to believe that it will not in the
foreseeable future continue to be, in compliance with all such listing and maintenance requirements.

 

(w)Application
of Takeover Protections. The Company and the Board of Directors have taken all necessary action, if any, in order to render
inapplicable any control share acquisition, business combination, poison pill (including any distribution under a rights agreement)
or other similar anti-takeover provision under the Company’s certificate of incorporation (or similar charter documents)
or the laws of its state of incorporation that is or could become applicable to the Purchaser as a result of the Purchaser and
the Company fulfilling their obligations or exercising their rights under the Transaction Documents, including without limitation
as a result of the Company’s issuance of the Shares and the Purchaser’ ownership of the Shares.

 

    	11

     

    

 

(x)Disclosure.
All of the disclosure furnished by or on behalf of the Company to the Purchaser regarding the Company, its business and the transactions
contemplated hereby is true and correct and does not contain any untrue statement of a material fact or omit to state any material
fact necessary in order to make the statements made therein, in the light of the circumstances under which they were made, not
misleading. The press releases disseminated by the Company during the twelve (12) months preceding the date of this Agreement
taken as a whole and taken together with the SEC Reports do not contain any untrue statement of a material fact or omit to state
a material fact required to be stated therein or necessary in order to make the statements therein, in the light of the circumstances
under which they were made and when made, not misleading. The Company acknowledges and agrees that no Purchaser makes or has made
any representations or warranties with respect to the transactions contemplated hereby other than those specifically set forth
in Section 3.2 hereof.

 

(y)Solvency.
Based on the consolidated financial condition of the Company as of the date hereof, after giving effect to the receipt by the
Company of the proceeds from the sale of the Shares hereunder, (i) the fair saleable value of the Company’s assets exceeds
the amount that will be required to be paid on or in respect of the Company’s existing debts and other liabilities (including
known contingent liabilities) as they mature, (ii) the Company’s assets do not constitute unreasonably small capital to
carry on its business as now conducted and as proposed to be conducted including its capital needs taking into account the particular
capital requirements of the business conducted by the Company, and projected capital requirements and capital availability thereof,
and (iii) the current cash and cash equivalents of the Company, together with the proceeds the Company would receive, were it
to liquidate all of its assets, after taking into account all anticipated uses of the cash, would be sufficient to pay all amounts
on or in respect of its liabilities when such amounts are required to be paid. The Company does not intend to incur debts beyond
its ability to pay such debts as they mature (taking into account the timing and amounts of cash to be payable on or in respect
of its debt). The Company has no knowledge of any facts or circumstances which lead it to believe that it will file for reorganization
or liquidation under the bankruptcy or reorganization laws of any jurisdiction within one year from the date hereof. The SEC Reports
set forth as of the date hereof all outstanding secured and unsecured Indebtedness of the Company or any Subsidiary, or for which
the Company or any Subsidiary has commitments. For the purposes of this Agreement, “Indebtedness” means (x)
any liabilities for borrowed money or amounts owed in excess of $100,000 (other than trade accounts payable incurred in the ordinary
course of business), (y) all guaranties, endorsements and other contingent obligations in respect of indebtedness of others, whether
or not the same are or should be reflected in the Company’s balance sheet (or the notes thereto), except guaranties by endorsement
of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business; and (z) the present
value of any lease payments in excess of $100,000 due under leases required to be capitalized in
accordance with GAAP. Neither the Company nor any Subsidiary is in default with respect to any Indebtedness.

 

(z)Tax
Status. Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result in a
Material Adverse Effect, The Company and each Subsidiary (i) has made or filed all United States federal and state income and
all foreign income and franchise tax returns, reports and declarations required by any jurisdiction to which it is subject, (ii)
has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined to be due on
such returns, reports and declarations and (iii) has set aside on its books provision reasonably adequate for the payment of all
material taxes for periods subsequent to the periods to which such returns, reports or declarations apply. There are no unpaid
taxes in any material amount claimed to be due by the taxing authority of any jurisdiction, and the officers of the Company or
of any Subsidiary know of no basis for any such claim.

 

    	12

     

    

 

(aa)Foreign
Corrupt Practices. Neither the Company, nor to the knowledge of the Company after reasonable inquiry, any agent or other person
acting on behalf of the Company, has (i) directly or indirectly, used any funds for unlawful contributions, gifts, entertainment
or other unlawful expenses related to foreign or domestic political activity, (ii) made any unlawful payment to foreign or domestic
government officials or employees or to any foreign or domestic political parties or campaigns from corporate funds, (iii) failed
to disclose fully any contribution made by the Company (or made by any person acting on its behalf of which the Company is aware)
which is in violation of law, or (iv) violated in any material respect any provision of the Foreign Corrupt Practices Act of 1977,
as amended (the “FCPA”).

 

(bb)Acknowledgment
Regarding Purchaser’ Purchase of Shares. The Company acknowledges and agrees that the Purchaser is acting solely in
the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions contemplated thereby.
The Company further acknowledges that Purchaser is not acting as a financial advisor or fiduciary of the Company (or in any similar
capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice given by any Purchaser
or any of their respective representatives or agents in connection with the Transaction Documents and the transactions contemplated
thereby is merely incidental to the Purchaser’ purchase of the Shares. The Company further represents to each Purchaser
that the Company’s decision to enter into this Agreement and the other Transaction Documents has been based solely on the
independent evaluation of the transactions contemplated hereby by the Company and its representatives.

 

(cc)Acknowledgement
Regarding Purchaser’s Trading Activity. Anything in this Agreement or elsewhere herein to the contrary notwithstanding,
it is understood and acknowledged by the Company that: (i) Purchaser has not been asked by the Company to agree, nor has any Purchaser
agreed, to desist from purchasing or selling, long and/or short, securities of the Company, or “derivative” securities
based on securities issued by the Company or to hold the Shares for any specified term; (ii) past or future open market or other
transactions by Purchaser, specifically including, without limitation, Short Sales or “derivative” transactions, before
or after the closing of this or future private placement transactions, may negatively impact the market price of the Company’s
publicly-traded securities; (iii) Purchaser, and counter-parties in “derivative” transactions to which Purchaser is
a party, directly or indirectly, presently may have a “short” position in the Common Stock, and (iv) Purchaser shall
not be deemed to have any affiliation with or control over any arm’s length counter-party in any “derivative”
transaction. The Company further understands and acknowledges that (y) Purchaser may engage in hedging activities at various times
during the period that the Shares are outstanding and (z) such hedging activities (if any) could reduce the value of the existing
stockholders’ equity interests in the Company at and after the time that the hedging activities are being conducted. 

 

    	13

     

    

 

(dd)Regulation
M Compliance.  The Company has not, and to its knowledge no one acting on its behalf has, (i) taken, directly or indirectly,
any action designed to cause or to result in the stabilization or manipulation of the price of any security of the Company to
facilitate the sale or resale of any of the Shares, (ii) sold, bid for, purchased, or, paid any compensation for soliciting purchases
of, any of the Shares, or (iii) paid or agreed to pay to any Person any compensation for soliciting another to purchase any other
securities of the Company.

 

(ee)Office
of Foreign Assets Control. Neither the Company nor, to the Company’s knowledge, any director, officer, agent, employee
or affiliate of the Company is currently subject to any U.S. sanctions administered by the Office of Foreign Assets Control of
the U.S. Treasury Department (“OFAC”).

 

(ff)Money
Laundering. The operations of the Company are and have been conducted at all times in compliance with applicable financial
record-keeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, applicable
money laundering statutes and applicable rules and regulations thereunder (collectively, the “Money Laundering Laws”),
and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving
the Company with respect to the Money Laundering Laws is pending or, to the knowledge of the Company, threatened.

 

3.2Representations
and Warranties of the Purchaser. Purchaser hereby represents and warrants as of the date hereof to the Company as follows
(unless as of a specific date therein):

 

(a)Organization;
Authority. Purchaser is either an individual or an entity duly organized, validly existing and in good standing under the
laws of the jurisdiction of its organization with full right, corporate or partnership power and authority to enter into and to
consummate the transactions contemplated by this Agreement and otherwise to carry out its obligations hereunder and thereunder.
The execution and delivery of this Agreement and performance by such Purchaser of the transactions contemplated by this Agreement
have been duly authorized by all necessary corporate, partnership, limited liability company or similar action, as applicable,
on the part of the Purchaser. Each Transaction Document to which it is a party has been duly executed by the Purchaser, and when
delivered by the Purchaser in accordance with the terms hereof, will constitute the valid and legally binding obligation of the
Purchaser, enforceable against it in accordance with its terms, except: (i) as limited by general equitable principles and applicable
bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’
rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable
remedies and (iii) insofar as indemnification and contribution provisions may be limited by applicable law.

 

    	14

     

    

 

(b)Own
Account. Purchaser is acquiring the Shares as principal for its own account and has no direct or indirect arrangement or understandings
with any other Persons to distribute or regarding the distribution of such Shares in violation of the Securities Act or any applicable
state securities law (this representation and warranty not limiting Purchaser’s right to sell the Shares in compliance with
applicable federal and state securities laws).

 

(c)Purchaser
Status. At the time Purchaser was offered the Shares, it was, and as of the date hereof it is, either: (i) an “accredited
investor” as defined in Rule 501(a)(1), (a)(2), (a)(3), (a)(7) or (a)(8) under the Securities Act or (ii) a “qualified
institutional buyer” as defined in Rule 144A(a) under the Securities Act. Purchaser is not required to be registered as
a broker-dealer under Section 15 of the Exchange Act. 

 

(d)Certain
Transactions and Confidentiality. Other than consummating the transactions contemplated hereunder, Purchaser has not, nor
has any Person acting on behalf of or pursuant to any understanding with Purchaser, directly or indirectly executed any purchases
or sales, including Short Sales, of the securities of the Company during the period commencing as of the time that Purchaser
first received a term sheet (written or oral) as of the Company or any other Person representing the Company setting forth the
material terms of the transactions contemplated hereunder and ending immediately prior to the execution hereof.
Other than to other Persons party to this Agreement, Purchaser has maintained the confidentiality of all disclosures made to it
in connection with this transaction (including the existence and terms of this transaction). Notwithstanding the foregoing, for
avoidance of doubt, nothing contained herein shall constitute a representation or warranty, or preclude any actions, with respect
to the identification of the availability of, or securing of, available shares to borrow in order to effect Short Sales or similar
transactions in the future.

 

ARTICLE
IV.

OTHER AGREEMENTS OF THE PARTIES

 

4.1Transfer
Restrictions.

 

(a)Without
the prior written consent of the Company, Purchaser agrees not to sell, contract to sell, sell any option or contract to purchase,
purchase any option or contract to sell, grant any option, right or warrant for the sale of or otherwise dispose of or transfer
any Shares for a period not to exceed twelve (12) months from the date of this Agreement, other than, in each case, a transfer
to an Affiliate of Purchaser (the “Lock-Up”). Purchaser agrees that the certificates evidencing the Shares shall bear
a legend which sets for the parties’ agreement with respect to the Lock-Up. The Shares may only be disposed of in compliance
with state and federal securities laws. In connection with any transfer of Shares other than pursuant to an effective registration
statement or Rule 144, to the Company or to an Affiliate of a Purchaser or in connection with a pledge as contemplated in Section
4.1(b), the Company may require the transferor thereof to provide to the Company an opinion of counsel selected by the transferor
and reasonably acceptable to the Company, the form and substance of which opinion shall be reasonably satisfactory to the Company,
to the effect that such transfer does not require registration of such transferred Shares under the Securities Act. As a condition
of transfer, any such transferee shall agree in writing to be bound by the terms of this Agreement and shall have the rights and
obligations of a Purchaser under this Agreement.

 

    	15

     

    

 

(b)Purchaser
agrees to the imprinting, so long as is required by this Section 4.1, of a legend on any of the Shares in the following form:

 

THIS
SECURITY HAS NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE
UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY,
MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE
EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH
APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF
WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY. THIS SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT
WITH A REGISTERED BROKER-DEALER OR OTHER LOAN WITH A FINANCIAL INSTITUTION THAT IS AN “ACCREDITED INVESTOR” AS DEFINED
IN RULE 501(a) UNDER THE SECURITIES ACT OR OTHER LOAN SECURED BY SUCH SECURITIES.

 

The
Company acknowledges and agrees that Purchaser may from time to time pledge pursuant to a bona fide margin agreement with a registered
broker-dealer or grant a security interest in some or all of the Shares to a financial institution that is an “accredited
investor” as defined in Rule 501(a) under the Securities Act and who agrees to be bound by the provisions of this Agreement
and, if required under the terms of such arrangement, such Purchaser may transfer pledged or secured Shares to the pledgees or
secured parties. Such a pledge or transfer would not be subject to approval of the Company and no legal opinion of legal counsel
of the pledgee, secured party or pledgor shall be required in connection therewith. Further, no notice shall be required of such
pledge. At the Purchaser’s expense, the Company will execute and deliver such reasonable documentation as a pledgee or secured
party of Shares may reasonably request in connection with a pledge or transfer of the Shares.

 

(c)Certificates
evidencing the Shares shall not contain any legend (including the legend set forth in Section 4.1(b) hereof), (i) while a registration
statement covering the resale of such security is effective under the Securities Act; provided however, Purchaser acknowledges
and agrees that it will comply with the prospectus delivery requirements of the Securities Act in connection with sales of the
Shares under a registration statement, (ii) following any sale of such Shares pursuant to Rule 144, (iii) or (iv) if such legend
is not required under applicable requirements of the Securities Act (including judicial interpretations and pronouncements issued
by the staff of the Commission). If such legend is not required under applicable requirements of the Securities Act (including
judicial interpretations and pronouncements issued by the staff of the Commission) then such Shares shall be issued free of all
legends. The Company agrees that following the time as such legend is no longer required under this Section 4.1(c), it will, no
later than three Trading Days following the delivery by a Purchaser to the Company or the Company’s transfer agent of a
certificate representing Shares, issued with a restrictive legend (such third Trading Day, the “Legend Removal Date”),
deliver or cause to be delivered to such Purchaser a certificate representing such shares that is free from all restrictive and
other legends. The Company may not make any notation on its records or give instructions to such transfer agent that enlarge the
restrictions on transfer set forth in this Section 4. Certificates for Shares subject to legend removal hereunder shall be transmitted
by the transfer agent to the Purchaser by crediting the account of the Purchaser’s prime broker with the Depository Trust
Company System as directed by such Purchaser.

 

    	16

     

    

 

(d)In
addition to Purchaser’s other available remedies, the Company shall pay to a Purchaser, in cash, as partial liquidated damages
and not as a penalty, for each $1,000 of Shares (based on the VWAP of the Common Stock on the date such Shares are submitted to
the transfer agent) delivered for removal of the restrictive legend and subject to Section 4.1(c), $5 per Trading Day for each
Trading Day following the 3rd Trading Day after the Legend Removal Date until such certificate is delivered without a legend.
Nothing herein shall limit Purchaser’s right to pursue actual damages for the Company’s failure to deliver certificates
representing any Shares as required by the Transaction Documents, and Purchaser shall have the right to pursue all remedies available
to it at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief.

 

4.2Furnishing
of Information. Until the earlier of (i) the time the Purchaser no longer hold any Shares or (ii) four years from the date
hereof, the Company covenants to timely file (or obtain extensions in respect thereof and file within the applicable grace period)
all reports required to be filed by the Company after the date hereof pursuant to the Exchange Act and, if the Company is not
required to file reports pursuant to the Exchange Act, it will prepare and furnish to the Purchaser and make publicly available
in accordance with Rule 144(c) such information as is required for the Purchaser to sell the Shares, including without limitation,
under Rule 144. The Company further covenants that it will take such further action as any holder of Shares may reasonably request,
to the extent required from time to time to enable such Person to sell such Shares without registration under the Securities Act,
including without limitation, within the requirements of the exemption provided by Rule 144.

 

4.3Shareholder
Rights Plan. No claim will be made or enforced by the Company or, with the consent of the Company, any other Person, that
Purchaser is an “Acquiring Person” under any control share acquisition, business combination, poison pill (including
any distribution under a rights agreement) or similar anti-takeover plan or arrangement in effect or hereafter adopted by the
Company, or that Purchaser could be deemed to trigger the provisions of any such plan or arrangement, by virtue of receiving Shares
under the Transaction Documents or under any other agreement between the Company and the Purchaser. No control share acquisition,
business combination, poison pill (including any distribution under a rights agreement) or similar anti-takeover plan or arrangement
hereafter adopted by the Company shall limit the number of additional shares of Common Stock that the Purchaser may acquire.

 

    	17

     

    

 

4.4Non-Public
Information. Except with respect to the material terms and conditions of the transactions contemplated by the Transaction
Documents, so long as Purchaser owns Shares, the Company covenants and agrees that neither it, nor any other Person acting on
its behalf will provide Purchaser or its agents or counsel with any information that the Company believes constitutes material
non-public information, unless prior thereto Purchaser shall have executed a written agreement with the Company regarding the
confidentiality and use of such information. The Company understands and confirms that Purchaser shall be relying on the foregoing
covenant in effecting transactions in securities of the Company.

 

4.5Indemnification
of Purchaser. Subject to the provisions of this Section 4.5, the Company will indemnify and hold Purchaser and its directors,
officers, shareholders, members, partners, employees and agents (and any other Persons with a functionally equivalent role of
a Person holding such titles notwithstanding a lack of such title or any other title), each Person who controls Purchaser (within
the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, shareholders,
agents, members, partners or employees (and any other Persons with a functionally equivalent role of a Person holding such titles
notwithstanding a lack of such title or any other title) of such controlling persons (each, a “Purchaser Party”)
harmless from any and all losses, liabilities, obligations, claims, contingencies, damages, costs and expenses, including all
judgments, amounts paid in settlements, court costs and reasonable attorneys’ fees and costs of investigation that any Purchaser
Party may suffer or incur as a result of or relating to (a) any breach of any of the representations, warranties, covenants or
agreements made by the Company in this Agreement or in the other Transaction Documents or (b) any action instituted against Purchaser
in any capacity, or any of them or their respective Affiliates, by any stockholder of the Company who is not an Affiliate of Purchaser,
with respect to any of the transactions contemplated by the Transaction Documents (unless such action is based upon a breach of
Purchaser’s representations, warranties or covenants under the Transaction Documents or any agreements or understandings
Purchaser may have with any such stockholder or any violations by Purchaser of state or federal securities laws or any conduct
by Purchaser which constitutes fraud, gross negligence, willful misconduct or malfeasance). If any action shall be brought against
any Purchaser Party in respect of which indemnity may be sought pursuant to this Agreement, such Purchaser Party shall promptly
notify the Company in writing, and the Company shall have the right to assume the defense thereof with counsel of its own choosing
reasonably acceptable to the Purchaser Party. Any Purchaser Party shall have the right to employ separate counsel in any such
action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense of such Purchaser
Party except to the extent that (i) the employment thereof has been specifically authorized by the Company in writing, (ii) the
Company has failed after a reasonable period of time to assume such defense and to employ counsel or (iii) in such action there
is, in the reasonable written opinion of counsel to the Purchaser furnished to the Company, a material conflict on any material
issue between the position of the Company and the position of such Purchaser Party, in which case the Company shall be responsible
for the reasonable fees and expenses of no more than one such separate counsel. The Company will not be liable to any Purchaser
Party under this Agreement (y) for any settlement by a Purchaser Party effected without the Company’s prior written consent,
which shall not be unreasonably withheld or delayed; or (z) to the extent, but only to the extent that a loss, claim, damage or
liability is attributable to any Purchaser Party’s breach of any of the representations, warranties, covenants or agreements
made by such Purchaser Party in this Agreement or in the other Transaction Documents.
The indemnification required by this Section 4.5 shall be made by periodic payments of the amount thereof during the course of
the investigation or defense, as and when bills are received or are incurred, but if the Purchaser Party is later determined not
to be entitled to indemnification under this Section 4.5 or otherwise, the Purchaser Party will promptly return any moneys paid
pursuant to this sentence. The indemnity agreements contained herein shall be in addition to any cause of action or similar right
of any Purchaser Party against the Company or others, and any liabilities the Company may be subject to pursuant to law.

 

    	18

     

    

 

4.6Reservation
of Common Stock. As of the date hereof, the Company has reserved and the Company shall continue to reserve and keep available
at all times, free of preemptive rights, a sufficient number of shares of Common Stock for the purpose of enabling the Company
to issue Shares pursuant to this Agreement. 

 

4.7
Listing of Common Stock. The Company hereby agrees to
use commercially reasonable efforts to maintain the listing or quotation of the Common Stock on the Trading Market on which it
is currently listed.

 

ARTICLE
V.

MISCELLANEOUS

 

5.1Fees
and Expenses. Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay the fees and
expenses of its advisers, counsel, accountants and other experts, if any, and all other expenses incurred by such party incident
to the negotiation, preparation, execution, delivery and performance of this Agreement.

 

5.2Entire
Agreement. The Transaction Documents, together with the exhibits and schedules thereto, contain the entire understanding of
the parties with respect to the subject matter hereof and supersede all prior agreements and understandings, oral or written,
with respect to such matters, which the parties acknowledge have been merged into such documents, exhibits and schedules.

 

5.3Notices.
Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall be in writing and
shall be deemed given and effective on the earliest of: (a) the date of transmission, if such notice or communication is delivered
via facsimile at the facsimile number set forth on the signature pages attached hereto prior to 5:30 p.m. (Boston time) on a Trading
Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered via facsimile at the
facsimile number set forth on the signature pages attached hereto on a day that is not a Trading Day or later than 5:30 p.m. (Boston
time) on any Trading Day, (c) the second (2nd) Trading Day following the date of mailing, if sent by U.S. nationally
recognized overnight courier service or (d) upon actual receipt by the party to whom such notice is required to be given. The
address for such notices and communications shall be as set forth on the signature pages attached hereto.

 

5.4Amendments;
Waivers. No provision of this Agreement may be waived, modified, supplemented or amended except in a written instrument signed,
in the case of an amendment, by the Company and Purchaser or, in the case of a waiver, by the party against whom enforcement of
any such waived provision is sought. No waiver of any default with respect to any provision, condition or requirement of this
Agreement shall be deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other
provision, condition or requirement hereof, nor shall any delay or omission of any party to exercise any right hereunder in any
manner impair the exercise of any such right.

 

    	19

     

    

 

5.5Headings.
The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect
any of the provisions hereof.

 

5.6Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted
assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent of
Purchaser (other than by merger). Purchaser may assign any or all of its rights under this Agreement to any Person to whom Purchaser
assigns or transfers any Shares, provided that such transferee agrees in writing to be bound, with respect to the transferred
Shares, by the provisions of the Transaction Documents that apply to the “Purchaser.”

 

5.7No
Third-Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective successors
and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other Person, except as
otherwise set forth in Section 4.5.

 

5.8Governing
Law. All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents shall
be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the
principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations, enforcement
and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought against a
party hereto or its respective affiliates, directors, officers, shareholders, employees or agents) shall be commenced exclusively
in the state and federal courts sitting in the City of New York. Each party hereby irrevocably submits to the exclusive jurisdiction
of the state and federal courts sitting in the City of New York, borough of Manhattan for the adjudication of any dispute hereunder
or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect to the enforcement
of any of the Transaction Documents), 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 improper
or is an inconvenient venue for such proceeding. 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 via registered or certified mail or overnight
delivery (with evidence of delivery) to such party at the address in effect for 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 other manner permitted by law. If either party shall commence an
action or proceeding to enforce any provisions of the Transaction Documents, then, in addition to the obligations of the Company
under Section 4.5, the prevailing party in such action or proceeding shall be reimbursed by the other party for its reasonable
attorneys’ fees and other costs and expenses incurred with the investigation, preparation and prosecution of such action
or proceeding.

 

    	20

     

    

 

5.9Survival.
The representations and warranties contained herein shall survive the Closing and the delivery of the Shares.

 

5.10Execution.
This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered one and the same
agreement and shall become effective when counterparts have been signed by each party and delivered to the other party, it being
understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission
or by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and binding obligation of
the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or “.pdf”
signature page were an original thereof.

 

5.11Severability.
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid,
illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain
in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially
reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated
by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that
they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be
hereafter declared invalid, illegal, void or unenforceable.

 

5.12Replacement
of Shares. If any certificate or instrument evidencing any Shares is mutilated, lost, stolen or destroyed, the Company shall
issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in the case of mutilation), or in
lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory
to the Company of such loss, theft or destruction and, if requested by the Company, the posting of a customary bond. The applicant
for a new certificate or instrument under such circumstances shall also pay any reasonable third-party costs (including customary
indemnity) associated with the issuance of such replacement Shares.

 

5.13Remedies.
In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of damages, each of
the Purchaser and the Company will be entitled to specific performance under the Transaction Documents. The parties agree that
monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations contained in the
Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any such obligation
the defense that a remedy at law would be adequate.

 

5.14Construction.
The parties agree that each of them and/or their respective counsel has reviewed and had an opportunity to revise the Transaction
Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting
party shall not be employed in the interpretation of the Transaction Documents or any amendments hereto. In addition, each and
every reference to share prices and shares of Common Stock in any Transaction Document shall be subject to adjustment for reverse
and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock that occur after
the date of this Agreement.

 

    	21

     

    

 

5.15WAIVER
OF JURY TRIAL. IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER PARTY, THE
PARTIES EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY,
IRREVOCABLY AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY. 

  

(Signature
Pages Follow)

 

    	22

     

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.

 

	SITO MOBILE, LTD.  	 
	 	 	 
	By:	/s/ Jerry
    Hug	 
	 	
        Name: Jerry
    Hug

        Title: Interim CEO

         

        Address for Notice:

        100 Town Square Place

        Jersey City, NJ 07310

        Attention: Jerry Hug

        Facsimile: (201) 942-3091
	 
	 	 
	With a copy to (which shall not constitute notice):  
	 	 
	 	
        Sichenzia Ross Friedman Ference LLP

        61 Broadway, 32nd Floor

        New York, NY 10006

        Attention: Gregory Sichenzia, Esq.

        Facsimile: (212) 930-9725
	 

 

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK 

SIGNATURE
PAGE FOR PURCHASER FOLLOWS]

  

 

[Single Touch Subscription Agreement]

 

    	 

     

    

 

[PURCHASER
SIGNATURE PAGE TO SUBSCRIPTION AGREEMENT]

 

IN
WITNESS WHEREOF, the undersigned have caused this Agreement to be duly executed by their respective authorized signatories as
of the date first indicated above.

 

	CF
DB EZ LLC 

         
	 
	By:	/s/ Constantine M. Dakolias	 
	 	Name: Constantine M. Dakolias

        Title:
President

         

        Address
for Notice: 

        One
        Market Plaza

        Spear
        Tower, 42nd Floor

        San
        Francisco, CA 94105

        Attn:
        Yoni Shtein

        Email:
        yshtein@fortress.com
	 
	 	 	 
	With a copy to (which shall not constitute notice):
	 
		Ropes
& Gray LLP

        Prudential
        Tower

        800
        Boylston St

        Boston,
        MA 02119-3600

        Attention:
        Alyson Allen

        Fax:
        (617) 951-7000

        Email:
alyson.allen@ropesgray.com
	 

  

 

 

 

 

 

 

 

[Single Touch Subscription Agreement]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}]]