Document:

REGISTRATION
RIGHTS AGREEMENT

 

This REGISTRATION
RIGHTS AGREEMENT (this “Agreement”) is dated as of July 30, 2013, and is by and among Autovative Products,
Inc., a Nevada corporation (the “Company”), and the undersigned purchasers set forth on the signature pages
hereto (each, a “Purchaser”, and collectively, the “Purchasers”).

 

WHEREAS:

 

A.           In
connection with those certain Subscription Agreements, by and among the parties hereto of even date herewith (collectively referred
to herein as the “Subscription Agreement”), the Company has agreed, upon the terms and subject to the conditions
of the Subscription Agreement, to issue and sell on the date hereof to Purchasers Units, comprising shares (the “Common
Shares”) of the Company’s common stock, par value $0.001 per share (“Common Stock”), and warrants
(the “Warrants”) to acquire additional shares of Common Stock (the shares of Common Stock issuable upon exercise
of or otherwise pursuant to the Warrants, collectively, the “Warrant Shares”).

 

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

 

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

 

1.            Definitions.
Capitalized terms used herein and not otherwise defined herein shall have the respective meanings set forth in the Subscription
Agreement. As used in this Agreement, the following terms shall have the following meanings:

 

(a)          “1934
Act” means the Securities Exchange Act of 1934, as amended.

 

(b)          “Business
Day” means any day other than Saturday, Sunday or any other day on which commercial banks in the City of New York are
authorized or required by law to remain closed.

 

(c)          “Closing
Date” shall mean the date hereof.

 

(d)          “Effective
Date” means the date the Registration Statement has been declared effective by the SEC.

 

(e)          “Effectiveness
Deadline” means the date that is two hundred seventy (270) days after the Closing Date.

 

(f)          “Filing
Deadline” means the date that is ninety (90) days after the Closing Date.

 

    	 

    	 

    

 

(g)          “Investor”
means a Purchaser or any transferee or assignee thereof to whom a Purchaser assigns its rights under this Agreement and who agrees
to become bound by the provisions of this Agreement in accordance with Section 9 and any transferee or assignee thereof
to whom a transferee or assignee assigns its rights under this Agreement and who agrees to become bound by the provisions of this
Agreement in accordance with Section 9.

 

(h)          “Merger”
means the merger of Ucansi Acquisition Corp., a Delaware corporation, with and into Ucansi, with Ucansi surviving the Merger as
a wholly owned subsidiary of the Company.

 

(i)          “Person”
means an individual, a limited liability company, a partnership, a joint venture, a corporation, a trust, an unincorporated organization
and a government or any department or agency thereof.

 

(j)          “Prospectus”
means the prospectus included in a Registration Statement (including, without limitation, a prospectus that includes any information
previously omitted from a prospectus filed as part of an effective registration statement in reliance upon Rule 430A promulgated
under the 1933 Act), as amended or supplemented by any prospectus supplement, with respect to the terms of the offering of any
portion of the Registrable Securities covered by a Registration Statement, and all other amendments and supplements to the Prospectus,
including post-effective amendments, and all material incorporated by reference or deemed to be incorporated by reference in such
Prospectus.

 

(k)          “register”,
“registered” and “registration” refer to a registration effected by preparing and filing
one or more Registration Statements (as defined below) in compliance with the 1933 Act and pursuant to Rule 415 and the declaration
or ordering of effectiveness of such Registration Statement(s) by the SEC.

 

(l)          “Registrable
Securities” means (i) the Common Shares, (ii) the Warrant Shares and (iii) any shares of capital stock issued or issuable
with respect to the Common Shares as a result of any stock split, stock dividend or similar transaction, or other distribution
with respect to the foregoing; provided, that the Investor has completed and delivered to the Company a Selling Stockholder
Questionnaire; and provided, further, that Common Shares and Warrant Shares shall cease to be Registrable
Securities upon the earliest to occur of the following: (A) sale pursuant to a Registration Statement or Rule 144 under
the 1933 Act (in which case, only such securities sold shall cease to be a Registrable Security); or (B) becoming eligible
for sale by the Investor, without notice or restriction, pursuant to Rule 144 provided that, if reasonably requested by the Company,
such Investor shall have furnished the Company with an opinion of counsel, reasonably satisfactory to the Company, that such disposition
will not require registration of such shares under the 1933 Act.

 

(m)          “Registration
Statement” means a registration statement or registration statements of the Company filed under the 1933 Act covering
the Registrable Securities.

 

(n)          “Required
Holders” means the holders of at least a majority of the Registrable Securities.

 

    	 

    	 

    

 

(o)          “Required
Registration Amount” for the Registration Statement means the number of Common Shares and Warrant Shares issued pursuant
to the Subscription Agreement.

 

(p)          “Rule
415” means Rule 415 promulgated under the 1933 Act or any successor rule providing for offering securities on a continuous
or delayed basis.

 

(q)          “SEC”
means the United States Securities and Exchange Commission.

 

(r)          “Selling
Stockholder Questionnaire” means a questionnaire in the form attached as Exhibit B hereto, or such other form
of questionnaire as may reasonably be adopted by the Company from time to time.

 

(s)          “Ucansi”
means Ucansi Inc., a Delaware corporation.

 

(t)          “Ucansi
Investors” means those Persons who held shares of capital stock of Ucansi immediately prior to the effective time of
the Merger.

 

(u)          “Ucansi
Investor Shares” means shares of Common Stock issued to Ucansi Investors in the Merger.

 

(v)         “Units”
has the meaning ascribed thereto in the Subscription Agreement.

 

2.            Registration.

 

(a)          Mandatory
Registration; Rule 415 Reduction. If the Company is eligible to use Form S-3 under the 1933 Act for the resale registration
of the Registrable Securities, then the Company shall prepare, and, as soon as practicable but in no event later than the Filing
Deadline, file with the SEC the Registration Statement on Form S-3 covering the resale of at least the number of shares of Common
Stock equal to the Required Registration Amount determined as of date the Registration Statement is initially filed with the SEC.
The Company shall use its reasonable efforts to have the Registration Statement declared effective by the SEC as soon as practicable,
but in no event later than the Effectiveness Deadline. No later than 9:30 a.m. Eastern Time on the fifth Business Day following
the Effective Date, the Company shall notify the Investors of the effectiveness of the Registration Statement (which notice shall
be transmitted to all Investors at approximately the same time) and, no later than the fifth Business Day following the Effective
Date, the Company shall file with the SEC, in accordance with Rule 424 under the 1933 Act, the final Prospectus to be used in connection
with resales pursuant to such Registration Statement. The Company shall maintain the effectiveness of any such Registration Statement
during the Registration Period. Notwithstanding the registration obligations set forth in this Section 2(a), if the SEC
informs the Company that all of the Registrable Securities cannot, as a result of the application of Rule 415, be registered for
resale as a secondary offering on a single Registration Statement (a “Rule 415 Reduction”), then the number
of Registrable Securities to be registered on such Registration Statement will: (i) first be reduced by Registrable Securities
represented by Warrant Shares (applied, in the case that some Warrant Shares may be registered, to the Investors on a pro rata
basis based on the total number of unregistered Warrant Shares held by such Investors); and (ii) second by (x) Registrable
Securities represented by Common Shares and (y) Ucansi Investor Shares (applied, to the Investors and the Ucansi Investors, together
as a single group, on a pro rata basis based on the total number of unregistered Common Shares held by such Investors and Ucansi
Investors, subject to any determination by the SEC that certain Investors or Ucansi Investors must be reduced first based on the
number of Common Shares or Ucansi Investor Shares held by such Investors or Ucansi Investors, respectively).

 

    	 

    	 

    

 

(b)          Registration
on Form S-1. If the Company is not eligible to use Form S-3 under the 1933 Act for the resale registration of the Registrable
Securities, then the Company shall prepare, and, as soon as practicable but in no event later than the Filing Deadline, file with
the SEC the Registration Statement on Form S-1 (or such other form under the 1933 Act that the Company is then eligible to use
to register the resale by the Investors of the Registrable Securities) covering the resale of at least the number of shares of
Common Stock equal to the Required Registration Amount determined as of date the Registration Statement is initially filed with
the SEC. The Company shall use its reasonable efforts to have the Registration Statement declared effective by the SEC as soon
as practicable, but in no event later than the Effectiveness Deadline. No later than 9:30 a.m. Eastern Time on the fifth Business
Day following the Effective Date, the Company shall notify the Investors of the effectiveness of the Registration Statement (which
notice shall be transmitted to all Investors at approximately the same time) and, no later than the fifth Business Day following
the Effective Date, the Company shall file with the SEC, in accordance with Rule 424 under the 1933 Act, the final Prospectus to
be used in connection with resales pursuant to such Registration Statement. The Company shall maintain the effectiveness of any
such Registration Statement during the Registration Period.

 

(c)          Effect
of Failure to File and Obtain Effectiveness of Registration Statement. If a Registration Statement covering all of the Registrable
Securities required to be covered thereby and required to be filed by the Company pursuant to this Agreement is (A) not filed with
the SEC on or before the Filing Deadline (a “Filing Failure”) or (B) not declared effective by the SEC on or
before the Effectiveness Deadline (an “Effectiveness Failure”), then, as liquidated damages reflecting a reasonable
approximation of the uncertain damages to any holder of Registrable Securities by reason of any such delay in or reduction of its
ability to sell the underlying shares of Common Stock, the Company shall pay to each holder of Registrable Securities relating
to such Registration Statement an amount in cash equal to one-half of one percent (0.5%) of such holder’s aggregate investment
in the Units on each of the following dates: (i)  on every thirtieth (30th) day following a Filing Failure (pro
rated for shorter periods) until such Filing Failure is cured; and (ii) on every thirtieth (30th) day following an Effectiveness
Failure (pro rated for shorter periods) until such Effectiveness Failure is cured. The payments to which a holder shall be entitled
pursuant to this Section 2(c) are referred to herein as “Liquidated Damages”. Liquidated Damages shall
be paid (“Registration Delay Payments”) on the earlier of (i) the last day of the calendar month during which
such Liquidated Damages are incurred and (ii) the third Business Day after the event or failure giving rise to Liquidated
Damages is cured. Notwithstanding anything to the contrary herein or in the Subscription Agreement, (A)(i) no Liquidated Damages
shall be payable for any period after the expiration of the Registration Period, (ii) no Liquidated Damages shall be payable in
respect of any Registrable Securities that are not registered on a Registration Statement due to a Rule 415 Reduction, and (iii) no
Liquidated Damages shall be payable in respect of any Registrable Securities that may be sold by a holder thereof under Rule 144
or pursuant to another exemption from registration under the 1933 Act, and (B) in no event shall the aggregate amount of Liquidated
Damages payable to any Investor exceed, in the aggregate, six percent (6%) of the aggregate gross purchase price paid by such Investor
for such Investor’s Units.

 

    	 

    	 

    

 

3.            Related Obligations.
At such time as the Company is obligated to file a Registration Statement with the SEC pursuant to Section 2(a) or Section
2(b), the Company and the Investors shall have the following obligations:

 

(a)          The
Company shall submit to the SEC, as soon as practicable (but in no event later than three (3) Business Days) after the Company
learns that no review of a particular Registration Statement will be made by the staff of the SEC or that the staff has no further
comments on a particular Registration Statement, as the case may be, a request for acceleration of effectiveness of such Registration
Statement to a time and date not later than two (2) Business Days after the submission of such request. The Company shall keep
each Registration Statement effective pursuant to Rule 415 at all times until the earlier of (i) the first date as of which Common
Shares covered by such Registration Statement may be sold pursuant to Rule 144 (or any successor thereto) promulgated under the
1933 Act, (ii) the date on which the Investors shall have sold all of the Common Shares covered by such Registration Statement
and (iii) the date that is one (1) year following the date on which such Registration Statement is declared effective by the SEC
(the period ending on the earliest of the dates specified in the immediately preceding clauses (i), (ii) and (iii), the “Registration
Period”). This Agreement shall automatically terminate at the end of the Registration Period.

 

(b)          The
Company shall (i) prepare and file with the SEC such amendments (including post-effective amendments) and supplements to the Registration
Statement and the Rule 424 Prospectus used in connection with such Registration Statement as may be necessary to keep such Registration
Statement effective during the Registration Period, and (ii) during such period, comply with the provisions of the 1933 Act with
respect to the registration of all Registrable Securities covered by such Registration Statement until the end of the Registration
Period. In the case of amendments and supplements to a Registration Statement that are required to be filed pursuant to this Agreement,
including, pursuant to this Section 3(b), by reason of the Company filing a report on Form 10-Q, Form 10-K, Form 8-K or
any other report or other document under the Securities Exchange Act of 1934, as amended (each such document, a “1934
Act Report”), the Company shall file such amendments or supplements with the SEC as soon as practicable after the 1934
Act Report is filed or other event occurred that created the requirement for the Company to amend or supplement such Registration
Statement.

 

(c)          The
Company shall furnish to each Investor whose Registrable Securities are included in any Registration Statement, without charge,
to the extent requested by an Investor, (i) promptly after the same is prepared and filed with the SEC, at least one copy of such
Registration Statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated therein
by reference, all exhibits and each preliminary Prospectus, (ii) upon the effectiveness of any Registration Statement, up to ten
(10) copies of the Prospectus included in such Registration Statement and all amendments and supplements thereto, and (iii) such
other documents, including copies of any preliminary or final Prospectus, as such Investor may reasonably request from time to
time in order to facilitate the disposition of the Registrable Securities owned by such Investor.

 

    	 

    	 

    

 

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

 

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

 

(f)          The
Company shall use its commercially reasonable efforts to prevent the issuance of any stop order or other suspension of effectiveness
of a Registration Statement or the suspension of the qualification of any of the Registrable Securities for sale in any jurisdiction.
If such an order or suspension is issued, the Company shall use its commercially reasonable efforts to obtain the withdrawal of
such order or suspension as promptly as practicable, and to notify each Investor who holds Registrable Securities being sold of
the issuance of such order and the resolution thereof, or its receipt of notice of the initiation or threat of any proceeding for
such purpose.

 

(g)          The
Company shall use its commercially reasonable efforts to cause all of the Registrable Securities covered by a Registration Statement
to be listed on each securities exchange on which securities of the same class or series issued by the Company are then listed,
if any, if the listing of such Registrable Securities is then permitted under the rules of such exchange. The Company shall pay
all fees and expenses in connection with satisfying its obligation under this Section 3(g).

 

    	 

    	 

    

 

(h)          The
Company shall cooperate with the Investors who hold Registrable Securities being offered and, to the extent applicable, facilitate
the timely preparation and delivery of certificates representing the Registrable Securities to be offered pursuant to a Registration
Statement and enable such certificates to be in such denominations or amounts, as the case may be, as the Investors may reasonably
request and registered in such names as the Investors may request.

 

(i)          Within
two (2) Business Days after a Registration Statement which covers Registrable Securities is ordered effective by the SEC, the Company
shall deliver to the transfer agent for such Registrable Securities confirmation that such Registration Statement has been declared
effective by the SEC substantially in the form attached hereto as Exhibit A.

 

4.             Other
Obligations of the Investors.

 

(a)          At
least three (3) Business Days prior to the first anticipated filing date of a Registration Statement, the Company shall notify
each Investor in writing of the information the Company requires from each such Investor, including without limitation a Selling
Stockholder Questionnaire, if such Investor elects to have any of such Investor’s Registrable Securities included in such
Registration Statement. It shall be a condition precedent to the obligations of the Company to complete the registration pursuant
to this Agreement with respect to the Registrable Securities of a particular Investor that (i) such Investor furnish to the Company
such information regarding itself, the Registrable Securities held by it and the intended method of disposition of the Registrable
Securities held by it as shall be reasonably required to effect the effectiveness of the registration of such Registrable Securities,
and (ii) the Investor execute such documents in connection with such registration as the Company may reasonably request.

 

(b)          Each
Investor, by such Investor’s acceptance of the Registrable Securities, agrees to cooperate with the Company as reasonably
requested by the Company in connection with the preparation and filing of any Registration Statement hereunder, unless such Investor
has notified the Company in writing of such Investor’s election to exclude all of such Investor’s Registrable Securities
from such Registration Statement.

 

(c)          Each
Investor agrees that, upon receipt of any notice from the Company of the happening of any event of the kind described in Section
3(f) or the first sentence of Section 3(e), such Investor will immediately discontinue disposition of Registrable Securities
pursuant to any Registration Statements) covering such Registrable Securities until such Investor’s receipt of the copies
of the supplemented or amended Prospectus contemplated by Section 3(f) or the first sentence of Section 3(e) or receipt
of notice that no supplement or amendment is required.

 

(d)          Each
Investor covenants and agrees that it will comply with the prospectus delivery requirements of the 1933 Act as applicable to it
or an exemption therefrom in connection with sales of Registrable Securities pursuant to the Registration Statement.

 

    	 

    	 

    

 

5.             Expenses of Registration.
All fees and expenses, other than underwriting discounts and commissions incurred in connection with registrations, filings or
qualifications pursuant to Section 2 and Section 3, including, without limitation, all registration, listing and
qualifications fees, printers and accounting fees, and fees and disbursements of counsel for the Company, shall be paid by the
Company.

 

6.             Indemnification.
In the event any Registrable Securities are included in a Registration Statement under this Agreement:

 

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

 

    	 

    	 

    

 

(b)          In
connection with any Registration Statement in which an Investor is participating, each such Investor agrees to severally and not
jointly indemnify, hold harmless and defend, to the same extent and in the same manner as is set forth in Section 6(a),
the Company, each of its directors, each of its officers who signs the Registration Statement and each Person, if any, who controls
the Company within the meaning of the 1933 Act or the 1934 Act (each, an “Indemnified Party”), against any Claim
or Indemnified Damages to which any of them may become subject, insofar as such Claim or Indemnified Damages arise out of or are
based upon any Violation, in each case to the extent, and only to the extent, that such Violation occurs in reliance upon and in
conformity with written information furnished to the Company by such Investor expressly for use in connection with such Registration
Statement; and, subject to Section 6(c), such Investor will reimburse any legal or other expenses reasonably incurred by
an Indemnified Party in connection with investigating or defending any such Claim; provided, however, that the indemnity
agreement contained in this Section 6(b) and the agreement with respect to contribution contained in Section 7 shall
not apply to amounts paid in settlement of any Claim if such settlement is effected without the prior written consent of such Investor,
which consent shall not be unreasonably withheld or delayed; provided, further, however, that the Investor
shall be liable under this Section 6(b) for only that amount of a Claim or Indemnified Damages as does not exceed the greater
of (i) the proceeds to such Investor as a result of the sale of Registrable Securities pursuant to such Registration Statement
or (ii) the aggregate purchase price paid by such Investor for such Investor’s Units pursuant to the Subscription Agreement.
Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such Indemnified Party
and shall survive the transfer of the Registrable Securities by the Investors pursuant to Section 9.

 

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

 

    	 

    	 

    

 

(d)          The
payment of Indemnified Damages required by this Section 6 shall be made by periodic payments of the amount thereof during
the course of the investigation or defense, as and when bills for such Indemnified Damages are received by or delivered to the
indemnifying party and become due and payable.

 

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

 

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

 

8.            Reports Under the
1934 Act. With a view to making available to the Investors the benefits of Rule 144 promulgated under the 1933 Act or any other
similar rule or regulation of the SEC that may at any time permit the Investors to sell securities of the Company to the public
without registration (“Rule 144”), the Company agrees, subject to the consent of its independent auditors with
respect to each such filing the Company makes or is required to make under applicable laws and regulations, to:

 

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

 

    	 

    	 

    

 

(b)          file
with the SEC in a timely manner (subject to permissible extensions thereof) all reports and other documents required of the Company
under the 1934 Act so long as the Company remains subject to such requirements and the filing of such reports and other documents
is required under the applicable provisions of Rule 144.

 

9.             Assignment of Registration
Rights. The rights under this Agreement shall be automatically assignable by the Investors to any transferee of all or any
portion of such Investor’s Registrable Securities if: (i) the Investor agrees in writing with the transferee or assignee
to assign such rights and a copy of such agreement is furnished to the Company within a reasonable time after such assignment;
(ii) the Company is, within a reasonable time after such transfer or assignment, furnished with written notice of the name and
notice information of such transferee or assignee and the securities with respect to which such registration rights are being transferred
or assigned; (iii) immediately following such transfer or assignment the further disposition of any such securities by the transferee
or assignee may not be made immediately under Rule 144; (iv) the transferee or assignee agrees in writing with the Company
to be bound by all of the provisions contained herein; (v) the transferee or assignee delivers to the Company a Selling Stockholder
Questionnaire; and (vi) such transfer shall have been made in accordance with the applicable requirements of the Subscription Agreement
and applicable law.

 

10.           Amendment of Registration
Rights. This Agreement may be amended and the observance thereof may be waived (either generally or in a particular instance
and either retroactively or prospectively), with the written consent of the Company and the Required Holders. Any amendment or
waiver effected in accordance with the previous sentence shall be binding upon each Investor and the Company.

 

11.          Miscellaneous.

 

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

 

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

 

    	 

    	 

    

 

If to the Company:

 

Autovative Products, Inc.

167 Penn Street

Washington Boro, PA 17582

Telephone: (___) ___-____

Facsimile: (___) ___-____

Attention: Nimrod Madar

 

With a copy (which shall not constitute notice) to:

 

Greenberg Traurig, P.A.

333 S.E. 2nd Avenue

Suite 4400

Miami, Florida 33131

Telephone: (305) 579-0756

Facsimile: (305) 961-7756

Attention: Robert L. Grossman

 

If to an Investor, to its address, facsimile
number or email address set forth on such Investor’s signature page to the Subscription Agreemen, or to such other address,
facsimile number and/or email address and/or to the attention of such other Person as the recipient party has specified by written
notice given to each other party five (5) days prior to the effectiveness of such change.

 

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

 

(d)          All
questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be governed by the internal
laws of the State 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, and hereby irrevocably waives, and agrees not to assert in any
suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit,
action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is improper. Each
party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding
by mailing a copy thereof to such party at the address for such notices to it under this Agreement and agrees that such service
shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in
any way any right to serve process in any manner permitted by law. If any provision of this Agreement shall be invalid or unenforceable
in any jurisdiction, such invalidity or unenforceability shall not affect the validity or enforceability of the remainder of this
Agreement in that jurisdiction or the validity or enforceability of any provision of this Agreement in any other jurisdiction.
EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF
ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

    	 

    	 

    

 

(e)          This
Agreement and the Subscription Agreement and the instruments referenced herein and therein constitute the entire agreement among
the parties hereto with respect to the subject matter hereof and thereof. There are no restrictions, promises, warranties or undertakings,
other than those set forth or referred to herein and therein. This Agreement and the Subscription Agreement and the instruments
referenced herein and therein supersede all prior agreements and understandings among the parties hereto with respect to the subject
matter hereof and thereof.

 

(f)          Subject
to the requirements of Section 9, this Agreement shall inure to the benefit of and be binding upon the permitted successors
and assigns of each of the parties hereto.

 

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

 

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

 

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

 

(j)          All
consents and other determinations required to be made by the Investors pursuant to this Agreement shall be made, unless otherwise
specified in this Agreement, by the Required Holders.

 

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

 

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

 

(m)          The
obligations of each Investor hereunder are several and not joint with the obligations of any other Investor, and no Investor shall
be responsible in any way for the performance of the obligations of any other Investor hereunder. Nothing contained herein, and
no action taken by any Investor pursuant hereto, shall be deemed to constitute the Investor as, and the Company acknowledges that
the Investors do not so constitute, a partnership, an association, a joint venture or any other kind of entity, or create a presumption
that the Investors are in any way acting in concert or as a group, and the Company will not assert any such claim with respect
to such obligations or the transactions contemplated herein.

 

* * * * * *

 

    	 

    	 

    

 

OMNIBUS

SIGNATURE PAGE TO THE SUBSCRIPTION AGREEMENT

AND REGISTRATION RIGHTS AGREEMENT

 

(i)          Subscriber
hereby elects to subscribe under the Subscription Agreement for a total of _______ Units at a price of $1.25 per Unit (NOTE: to
be completed by subscriber) and hereby executes, and agrees to be legally bound by the terms of, the Subscription Agreement and
the Registration Rights Agreement.

 

Date (NOTE: To be completed by subscriber):

 

If the Purchaser is an INDIVIDUAL, and
if purchased as JOINT TENANTS, as TENANTS IN COMMON, or as COMMUNITY PROPERTY:

 

	[Investors Party Hereto]	 	 
	Print Name(s)	 	Social Security Number(s)
	 	 	 
	/s/ [Investors Party Hereto]	 	 
	Signature(s) of Subscriber(s)	 	Signature
	 	 	 
	July 30, 2013	 	 
	Date	 	Address

 

If the Purchaser is a PARTNERSHIP, CORPORATION,
LIMITED LIABILITY COMPANY or TRUST:

 

	 	 	 
	Name of Partnership,	 	Federal Taxpayer
	Corporation, Limited	 	Identification Number
	Liability Company or Trust	 	 

 

	By: 	 	 	 
	Name:	 	State of Organization
	Title:	 	 

 

	 	 	 
	Date	 	Address

 

ACCEPTED BY:

 

AUTOVATIVE PRODUCTS, INC.

 

	By:	/s/ Nimrod Madar	 
	 	Authorized Officer	 

 

    	 

    	 

    

 

EXHIBIT A

 

FORM
OF NOTICE OF EFFECTIVENESS

OF REGISTRATION STATEMENT

[               ]

[               ]

[               ]

 

Attention: [      ]

 

Re: Autovative Products, Inc.

 

Ladies and Gentlemen:

 

On behalf of Autovative
Products, Inc., a Nevada corporation (the “Company”), I am writing in connection with those certain Subscription
Agreements (collectively, the “Subscription Agreement”), entered into by and among the Company and the purchasers
named therein (collectively, the “Holders”) pursuant to which the Company issued to the Holders certain Units
(as defined in the Subscription Agreement), comprising shares of the Company’s common stock, par value $0.0001 per share
(the “Common Stock”), and warrants (the “Warrants”), which are exercisable into shares of
Common Stock. Pursuant to the Subscription Agreement, the Company also has entered into a Registration Rights Agreement with the
Holders (the “Registration Rights Agreement”) pursuant to which the Company agreed, among other things, to register
the resale of the Registrable Securities (as defined in the Registration Rights Agreement) under the Securities Act of 1933, as
amended (the “1933 Act”). In connection with the Company’s obligations under the Registration Rights Agreement,
on ________________ ___, 20__, the Company filed a Registration Statement on Form S-1 (File No. 333-__________) (the “Registration
Statement”) with the Securities and Exchange Commission (the “SEC”), relating to the Registrable Securities
which names each Holder as a selling stockholder thereunder.

 

In connection with
the foregoing, I advise you that a member of the SEC’s staff has advised the Company or its counsel by telephone that the
SEC has entered an order declaring the Registration Statement effective under the 1933 Act at [ENTER TIME OF EFFECTIVENESS] on
[ENTER DATE OF EFFECTIVENESS], and the Company has no knowledge, after telephonic inquiry by the Company or its counsel of a member
of the SEC’s staff, that any stop order suspending its effectiveness has been issued or that any proceedings for that purpose
are pending before, or threatened by, the SEC, and the Registrable Securities will be available for resale under the 1933 Act pursuant
to the Registration Statement, upon the Company’s filing of a prospectus supplement pursuant to Rule 424 promulgated under
the 1933 Act in accordance with terms of the Registration Rights Agreement.

 

    	 

    	 

    

 

This letter shall serve
as notice to you that the Registrable Securities may be resold pursuant to the Registration Statement. You need not require further
letters from us or our counsel to effect any future legend-free resale of the Registrable Securities, provided at the time of such
resale, the Company has not otherwise notified you that the Registration Statement is unavailable for the resale of the Registrable
Securities.

 

	 	Very truly yours,
	 	 
	 	Autovative Products, Inc.
	 	 	 
	 	By:	 

 

CC: [LIST NAMES OF HOLDERS]

 

    	 

    	 

    

 

EXHIBIT B

 

AUTOVATIVE
PRODUCTS, Inc.

SELLING STOCKHOLDER NOTICE AND QUESTIONNAIRE

 

The undersigned holder
of shares of the common stock, par value $0.0001 per share, of Autovative Products, Inc., a Nevada corporation (the “Company”),
issued pursuant to that certain Subscription Agreement by and among the Company and the Purchasers named therein, dated as of [____________],
201[_] (the “Agreement”), understands that the Company intends to file with the Securities and Exchange Commission
a registration statement on Form S-1 (the “Resale Registration Statement”) for the registration of the resale
under Rule 415 of the Securities Act of 1933, as amended (the “Securities Act”), of the Registrable Securities
in accordance with the terms of certain Registration Rights Agreement, dated as of ___________, by and among the Company and the
Purchasers party thereto, the “Registration Rights Agreement”. All capitalized terms not otherwise defined herein
shall have the respective meanings ascribed thereto in the Registration Rights Agreement.

 

In order to sell or
otherwise dispose of any Registrable Securities pursuant to the Resale Registration Statement, a holder of Registrable Securities
generally will be required to be named as a selling stockholder in the related prospectus or a supplement thereto (as so supplemented,
the “Prospectus”), deliver the Prospectus to purchasers of Registrable Securities (including pursuant to Rule 172
under the Securities Act) and be bound by the provisions of the Agreement (including certain indemnification provisions, as described
below). Each Purchaser must complete and deliver this Notice and Questionnaire in order to be named as a selling stockholder in
the Prospectus. Holders of Registrable Securities who do not complete, execute and return this Notice and Questionnaire within
ten (10) Trading Days following the date of the Agreement (1) will not be named as selling stockholders in the Resale
Registration Statement or the Prospectus and (2) may not use the Prospectus for resales of Registrable Securities.

 

Certain legal consequences
arise from being named as a selling stockholder in the Resale Registration Statement and the Prospectus. Holders of Registrable
Securities are advised to consult their own securities law counsel regarding the consequences of being named or not named as a
selling stockholder in the Resale Registration Statement and the Prospectus.

 

NOTICE

 

The undersigned holder
(the “Selling Stockholder”) of Registrable Securities hereby gives notice to the Company of its intention to
sell or otherwise dispose of Registrable Securities owned by it and listed below in Item (3), unless otherwise specified in Item
(3), pursuant to the Resale Registration Statement. The undersigned, by signing and returning this Notice and Questionnaire, understands
and agrees that it will be bound by the terms and conditions of this Notice and Questionnaire and the Agreement.

 

    	 

    	 

    

 

The undersigned hereby
provides the following information to the Company and represents and warrants that such information is accurate and complete:

 

QUESTIONNAIRE

 

		1.	Name.

 

		(a)	Full Legal Name of Selling Stockholder:

 

		(b)	Full Legal Name of Registered Holder (if not the same as (a) above) through which Registrable Securities
Listed in Item 3 below are held:

 

		(c)	Full Legal Name of Natural Control Person (which means a natural person who directly or indirectly
alone or with others has power to vote or dispose of the securities covered by the questionnaire):

 

		2.	Address for Notices to Selling Stockholder:

 

	Telephone:	 

 

	Fax:	 

 

	Contact Person:	 

 

	E-mail address of Contact Person:	 

 

    	 

    	 

    

 

		3.	Beneficial Ownership of Registrable Securities Issuable Pursuant to the Purchase Agreement:

 

		(a)	Type and Number of Registrable Securities beneficially owned and issued pursuant to the Agreement:

 

		(b)	Number of shares of common stock to be registered pursuant to this Notice and Questionnaire for
resale:

 

		4.	Broker-Dealer Status:

 

		(a)	Are you a broker-dealer?

 

	Yes________________________	 	No________________________	 

 

		(b)	If “yes” to Section 4(a), did you receive your Registrable Securities as compensation
for investment banking services to the Company?

 

	Yes________________________	 	No________________________	 

 

		Note:	If no, the Commission’s staff has indicated that you should be identified as an underwriter
in the Registration Statement, and you will be so identified.

 

		(c)	Are you an affiliate of a broker-dealer?

 

	Yes________________________	 	No________________________	 

 

		Note:	If yes, provide a narrative explanation below:

 

    	 

    	 

    

 

		(c)	If you are an affiliate of a broker-dealer, do you certify that you bought the Registrable Securities
in the ordinary course of business, and at the time of the purchase of the Registrable Securities to be resold, you had no agreements
or understandings, directly or indirectly, with any person to distribute the Registrable Securities?

 

	Yes________________________	 	No________________________	 

 

		Note:	If no, the Commission’s staff has indicated that you should be identified as an underwriter
in the Registration Statement, and you will be so identified.

 

		5.	Beneficial Ownership of Other Securities of the Company Owned by the Selling Stockholder.

 

Except as set forth below in
this Item 5, the undersigned is not the beneficial or registered owner of any securities of the Company other than the Registrable
Securities listed above in Item 3.

 

		(a)	Type and amount of other securities beneficially owned:

 

		6.	Relationships with the Company:

 

Except as set forth below, neither
the undersigned nor any of its affiliates, officers, directors or principal equity holders (owners of 5% of more of the equity
securities of the undersigned) has held any position or office or has had any other material relationship with the Company (or
its predecessors or affiliates) during the past three years.

 

State any exceptions
here:

 

    	 

    	 

    

 

		7.	Plan of Distribution:

 

The undersigned has
reviewed the form of Plan of Distribution attached as Exhibit B to the Registration Rights Agreement, and hereby confirms that,
except as set forth below, the information contained therein regarding the undersigned and its plan of distribution is correct
and complete.

 

State any exceptions here:

 

***********

 

The undersigned agrees
to promptly notify the Company of any inaccuracies or changes in the information provided herein that may occur subsequent to the
date hereof and prior to the effective date of any applicable Resale Registration Statement. All notices to the Company hereunder
shall be made in writing, by hand delivery, confirmed or facsimile transmission, first-class mail or air courier guaranteeing overnight
delivery at the address set forth below. In the absence of any such notification, the Company shall be entitled to continue to
rely on the accuracy of the information in this Notice and Questionnaire.

 

The undersigned also
agrees to provide the Company and the Company’s counsel any and all such further information regarding the undersigned promptly
upon request in connection with the preparation, filing, amending or supplementing of any Resale Registration Statement (or any
prospectus contained therein). The undersigned hereby consents to the use of all such information in the Registration Statement.

 

By signing below, the
undersigned consents to the disclosure of the information contained herein in its answers to Items (1) through (7) above and the
inclusion of such information in the Resale Registration Statement and the Prospectus. The undersigned understands that such information
will be relied upon by the Company in connection with the preparation or amendment of any such Resale Registration Statement and
the Prospectus.

 

By signing below, the
undersigned acknowledges that it understands its obligation to comply, and agrees that it will comply, with the provisions of the
Exchange Act and the rules and regulations thereunder, particularly Regulation M in connection with any offering of Registrable
Securities pursuant to the Resale Registration Statement. The undersigned also acknowledges that it understands that the answers
to this Notice and Questionnaire are furnished for use in connection with Registration Statements filed pursuant to the Registration
Rights Agreement and any amendments or supplements thereto filed with the Commission pursuant to the Securities Act.

 

The undersigned hereby
acknowledges and is advised of the following Interpretation A.65 of the July 1997 SEC Manual of Publicly Available Telephone Interpretations
regarding short selling:

 

    	 

    	 

    

 

“An Issuer filed
a Form S-3 registration statement for a secondary offering of common stock which is not yet effective. One of the selling stockholders
wanted to do a short sale of common stock “against the box” and cover the short sale with registered shares after the
effective date. The issuer was advised that the short sale could not be made before the registration statement become effective,
because the shares underlying the short sale are deemed to be sold at the time such sale is made. There would, therefore, be a
violation of Section 5 if the shares were effectively sold prior to the effective date.”

 

By returning this Questionnaire,
the undersigned will be deemed to be aware of the foregoing interpretation.

 

The undersigned understands
that the undersigned may be subject to serious civil and criminal liabilities if the Resale Registration Statement, when it becomes
effective, either contains an untrue statement of a material fact or omits to state a material fact required to be stated in the
Resale Registration Statement necessary to make the statements in the Registration Statement not misleading. The undersigned represents
and warrants that all information it provides to the Company and the Company’s counsel is currently accurate and complete
and will be accurate and complete at the time the Resale Registration Statement becomes effective and at all times subsequent thereto,
and agrees during such periods to notify the Company immediately of any misstatement of a material fact in the Resale Registration
Statement, and of the omission of any material fact necessary to make the statements contained therein not misleading.

 

I confirm that, to
the best of my knowledge and belief, the foregoing statements (including without limitation the answers to this Notice and Questionnaire)
are correct.

 

In
Witness Whereof the undersigned, by authority duly given, has caused this Notice and Questionnaire to be executed and
delivered either in person or by its duly authorized agent.

 

	Dated:	 	 	Beneficial Owner:

 

	 	By:	 
	 	 	Name:
	 	 	Title:

  

PLEASE EMAIL OR FAX A COPY OF THE COMPLETED AND EXECUTED
NOTICE AND QUESTIONNAIRE, AND RETURN THE ORIGINAL BY OVERNIGHT MAIL, TO:

 

	Greenberg Traurig, P.A.	Tel:	305.579.0589
	333 S.E. 2nd Avenue	Fax:	305.961.5589
	Suite 4400	Email:	altmand@gtlaw.com
	Miami, Florida 33131	 	 
	Attn:  Drew M. Altman, Esq.EMPLOYMENT
AGREEMENT

 

This
Employment Agreement (this “Agreement”), is made and entered into as of the 30th day of
July, 2013 (the “Effective Date”), by and between EYEKON E.R.D LTD., an Israeli corporation (“Employer”),
and Nimrod Madar, ID no.25497462 (“Employee”).

 

RECITALS

 

		A.	Employer desires that Employee serve in the position of President and Chief Executive Officer of
both Employer and GlassesOff, Inc., a Nevada corporation and Employer’s parent corporation (“Parent”),
and Employee desires to serve in such positions

 

		B.	Employer and Employee have made commitments to each other on a variety of important issues concerning
Employee’s employment, including the performance that will be expected of Employee, the compensation that Employee will be
paid, how long and under what circumstances Employee will remain employed and the financial details relating to any decision that
either Employee or Employer might ever make to terminate this Agreement.

 

		C.	Employer and Employee believe that the commitments they have made to each other should be memorialized
in writing, and that is the purpose of this Agreement.

 

NOW, THEREFORE,
in consideration of the premises and of the covenants and agreements hereinafter contained, it is covenanted and agreed by and
between the parties hereto as follows:

 

AGREEMENTS

 

Section 1.Term.
Employee’s employment hereunder shall be for a term of one (1) year, commencing on the Effective Date (such term, and any
then-current extension thereof as provided in the immediately succeeding sentence, the “Term”), unless sooner
terminated in accordance with Section 6. The Term shall automatically extend for one (1) additional year on each subsequent
anniversary of the Effective Date (subject to termination in accordance with Section 6), unless either party provides written
notice to the other not less than sixty (60) days prior to such anniversary of the Effective Date.

 

Section 2.Position
and Duties. Employer hereby employs Employee as President and Chief Executive Officer of both Employer and Parent. Employee
will devote Employee’s full business time and best efforts to the performance of Employee’s duties hereunder and will
not engage in any other business, profession or occupation for compensation or otherwise which would conflict or interfere with
the rendition of such services, without the prior written consent of the Board of Directors of Employer (the “Board”);
provided, however, that nothing herein shall preclude Employee, subject to the prior approval of the Board, from engaging
in other business professions or occupations for compensation or otherwise or from accepting appointment to or continuing to serve
on any board of directors or trustees of any business corporation or any charitable organization; provided further,
that, in each case, and in the aggregate, such activities do not conflict or interfere with the performance of Employee’s
duties hereunder or conflict with Section 7. Employee’s duties and authority shall consist of and include all duties
and authority customarily performed and held by persons holding equivalent positions with business organizations similar in nature
and size to Employer and Parent, as such duties and authority are reasonably defined, modified and delegated from time to time
by the Board. Employee shall have the powers necessary to perform the duties assigned to him.

 

    	

    	 

    

 

 

Section 3.Compensation.
Employee’s monthly salary and other terms of employment shall be as set forth in the Notification to Employee of Employment
Conditions attached hereto as Exhibit A, as required by law, and as may be amended from time to time. As compensation for
the services to be provided by Employee hereunder, Employee shall receive the following compensation, expense reimbursement and
other benefits:

 

(a)Base Salary.
Employee shall receive an aggregate annual salary of one hundred eighty-thousand U.S. Dollars ($180,000) payable in equal
monthly installments in accordance with the regular payroll schedule of Employer but not later than the 9th day of
each month (“Base Salary”). The Base Salary shall be subject to review annually, and shall be maintained or
increased during the Term as the Board may determine from time to time.

 

(b)Performance
Bonus. Employee shall be eligible to receive an annual cash bonus up to 25% of Base Salary, as determined by the Board, payable
within ninety (90) days after the end of the fiscal year of Employer for which the bonus is earned, which shall be based upon
performance criteria established by the compensation committee of the Board (“Performance Bonus”).

 

(c)Equity Performance
Awards. On the Effective Date, Employer shall cause Parent, subject to approval by Parent’s Board of Directors, to grant
to Employee 200,000 restricted shares of Parent’s common stock, subject to a three year vesting schedule. Subject to the
availability of options under Parent’s option plan, Employee shall be eligible to receive an additional option to purchase
150,000 shares of Parent’s common stock (“Parent Common Stock”) upon the final closing of the offering
of Parent’s securities described in that certain Confidential Private Placement Memorandum, dated April 18, 2013, at a per
share exercise price equal to the fair market value of the Parent Common Stock on the date of grant, subject to a three year vesting
schedule, and containing such other terms as more fully set forth in an option agreement to be entered into between Parent and
Employee.

 

(d)Discretion
of the Board. Additional incentive compensation shall be at the discretion of the Board.

 

(e)Car. Employee
shall be entitled to use an Employer car pursuant to the terms and conditions of Employer’s car policy as adopted by Employer
and may be amended by Employer from time to time in Employer’s discretion (the “Car Policy”). Employer
shall make a gross-up payment to Employee for any tax liability incurred by Employee with respect to the car’s “value
equivalent” (the value of the car usage) for tax purposes as updated from time to time. Subject to applicable
law, in the event that Employee fails to timely pay any fines, penalties, costs or other obligations in respect of the car (excluding
any costs and payments which are borne by Employer pursuant to the terms of the Car Policy), Employer shall be entitled to pay
such fines, penalties, costs or other obligations and to deduct such costs from Employee’s Base Salary.

 

    	2

    	 

    

 

 

(f)Mobile Phone.
Employer shall furnish Employee with a cellular telephone, and the shall bear all business-related cellular phone expenses for
using such telephone. Any tax liability to be imposed on Employee with respect to such telephone will be paid by Employee.

 

(g)Insurance
Policy. Employer shall provide Employee with a customary “Executive’s Insurance Policy” or other
comprehensive pension arrangement, at Employee’s choice, (including disability insurance and loss of working capacity insurance)
(collectively, the “Pension Insurance”); provided, however, that Employer’s cost for the Pension Insurance
shall not exceed 15.83% of the then current Base Salary, in addition to any payments made at Employee’s own expense towards
the cost of such Pension Insurance.

 

(h)Study Fund.
Employer shall contribute an aggregate monthly amount equal to 7.5% of the Base Salary towards an advanced study fund (Keren
Hishtalmut) (the “Advanced Study Fund”). Employee shall contribute, and for that purpose Employee hereby irrevocably
authorizes and instructs Employer to deduct from Employee’s Base Salary, an aggregate monthly amount equal to 2.5% of the
Base Salary as Employee’s participation cost in such Advanced Study Fund. Employee will bear any and all taxes applicable
in connection with amounts payable by Employee and/or Employer to the Advanced Study Fund.

 

(i)Vacations,
Sick Leave. Employee shall be entitled to an annual vacation of 22 days per annum, which vacation shall be taken at
a time or times mutually agreeable to Employer and Employee. In addition, Employee shall be entitled to paid sick leave (“Dmei
Machala”) as prescribed under Israeli law.

 

(j)Reimbursement
of Expenses. Employee shall be reimbursed, upon submission of appropriate vouchers and supporting documentation, for all travel,
entertainment and other out-of-pocket expenses reasonably and necessarily incurred by Employee in the performance of his duties
hereunder.

 

(k)Withholding.
 Employer shall be entitled to withhold from amounts payable to Employee hereunder, any federal, state or local withholding
or other taxes or charges which it is from time to time required to withhold. Employer shall be entitled to rely upon the opinion
of its legal counsel with regard to any question concerning the amount or requirement of any such withholding.

 

Section 4.Work
and Rest Hours Law, 1951.

 

Employee acknowledges
and agrees that Employee’s employment with Employer is a senior position and requires a special degree of personal trust,
and that the law known as “Work and Rest Hours Law, 1951” (“Chok Shot Avoda Vemenucha”) shall
not apply to Employee’s relationship with Employer. Accordingly, the monthly salary payable to Employee is a gross global
salary inclusive of remuneration for working overtime and on days of rest. Employee acknowledges and agrees that, except as expressly
specified in this Agreement, Employee shall not be entitled to any remuneration or payment whatsoever, regardless of any current
or future custom between Employer and its employees.

 

    	3

    	 

    

 

Section 5.Confidentiality
and Loyalty.

 

(a)Confidentiality.

 

(i)Employee will
not at any time (whether during or after Employee’s employment with Employer) (x) retain or use for the benefit, purpose
or account of Employee or any other person, firm, partnership, joint venture, association, corporation or other business organization,
entity or enterprise whatsoever (“Person”), or (y) disclose, divulge, reveal, communicate, share, transfer
or provide access to any Person outside Employer or Parent (other than its professional advisers who are bound by confidentiality
obligations), any of Employer’s or Parent’s non-public, proprietary or confidential information, including, without
limitation trade secrets, know-how, research and development, software, databases, inventions, processes, formulae, technology,
designs and other intellectual property, information concerning finances, investments, profits, pricing, costs, products, services,
vendors, customers, clients, partners, investors, personnel, compensation, recruiting, training, advertising, sales, marketing,
promotions, government and regulatory activities and approvals - concerning the past, current or future business, activities
and operations of Employer or Parent, their respective subsidiaries or affiliates and/or any third party that has disclosed or
provided any of same to Employer or Parent on a confidential basis (such information, irrespective of form of or the media on which
such information is stored “Confidential Information”) without the prior written authorization of the Board.

 

(ii)“Confidential
Information” shall not include any information that is (a) generally known to the public other than as a result
of Employee’s breach of this Agreement or any breach of any other confidentiality obligations by third parties; (b) made
legitimately available to Employee by a third party without such third party’s breach of any confidentiality obligation;
or (c) required by law to be disclosed; provided, that Employee shall give prompt written notice to Employer
of such requirement, disclose no more information than is so required, and cooperate with any attempts by Employer to obtain a
protective order or similar treatment.

 

(iii)Except as
required by applicable law, Employee shall not disclose to any Person, other than Employee’s immediate family and Employee’s
legal or financial advisors, the existence or contents of this Agreement; provided, that Employee may disclose to
any prospective future employer the provisions of Section 5 and Section 7 of this Agreement provided they agree to
maintain the confidentiality of such terms. Notwithstanding anything herein to the contrary, each party to this Agreement (and
any employee, representative, or other agent of any party to this Agreement) may disclose to any and all Persons, without limitation
of any kind, the tax treatment and tax structure of the transactions contemplated by this Agreement and all materials of any kind
(including opinions or other tax analyses) that are provided to it relating to such tax treatment and tax structure; however, any
such information relating to the tax treatment or tax structure is required to be kept confidential to the extent necessary to
comply with any applicable federal or state securities laws.

 

(iv)Upon termination
of this Agreement and/or termination of Employee’s employment with Employer for any reason, Employee shall (x) cease
and not thereafter commence use of any Confidential Information or intellectual property (including, without limitation, any patent,
invention, copyright, trade secret, trademark, trade name, logo, domain name or other source indicator) owned or used by Employer
or Parent or their respective subsidiaries or affiliates; (y) immediately destroy, delete or return to Employer, at Employer’s
option, all originals and copies in any form or medium (including memoranda, books, papers, plans, computer files, letters and
other data) in Employee’s possession or control (including, without limitation, any of the foregoing stored or located in
Employee’s office, home, laptop or other computer, whether or not Employer property) that contain Confidential Information
or otherwise relate to the business of Employer or Parent or their respective affiliates and subsidiaries, except that Employee
may retain only those portions of any personal notes, notebooks and diaries that do not contain any Confidential Information; and
(z) notify and fully cooperate with Employer regarding the delivery or destruction of any other Confidential Information of
which Employee is or becomes aware.

 

    	4

    	 

    

 

 

(b)Intellectual
Property.

 

(i)If Employee
creates, invents, designs, develops, contributes to or improves any works, either alone or with third parties, at any time during
Employee’s employment by Employer and within the scope of such employment and/or with the use of any of Employer’s
or Parent’s resources (“Employer Works”), Employee shall promptly and fully disclose same to Employer
and hereby irrevocably assigns, transfers and conveys, to the maximum extent permitted by applicable law, all rights and intellectual
property rights therein (including rights under patent, industrial property, copyright, trademark, trade secret, unfair competition
and related laws) to Employer and Parent to the extent ownership of any such rights does not vest originally in Employer or Parent.

 

(ii)Employee agrees
to keep and maintain adequate and current written records (in the form of notes, sketches, drawings, and any other form or media
requested by Employer) of all Employer Works. The records will be available to and remain the sole property and intellectual property
of Employer at all times.

 

(iii)Employee shall
take all requested actions and execute all requested documents (including any licenses or assignments required by a government
contract) at Employer’s expense (but without further remuneration) to assist Employer in validating, maintaining, protecting,
enforcing, perfecting, recording, patenting or registering any of Employer’s or Parent’s rights in Employer Works.
If Employer is unable for any other reason to secure Employee’s signature on any document for this purpose, then Employee
hereby irrevocably designates and appoints Employer and its duly authorized officers and agents as Employee’s agent and attorney
in fact, to act for and in Employee’s behalf and stead to execute any documents and to do all other lawfully permitted acts
in connection with the foregoing.

 

(iv)Employee shall
not improperly use for the benefit of, bring to any premises of, divulge, disclose, communicate, reveal, transfer or provide access
to, or share with Employer or Parent any confidential, proprietary or non-public information or intellectual property relating
to a former employer or third party without the prior written permission of such third party. Employee hereby indemnifies, holds
harmless and agrees to defend Employer, Parent and their respective officers, directors, partners, employees, agents and representatives
from each breach of the foregoing covenant. Employee shall comply with all relevant policies and guidelines of Employer, including
regarding the protection of confidential information and intellectual property and potential conflicts of interest. Employee acknowledges
that Employer may amend any such policies and guidelines from time to time, and that Employee remains at all times bound by their
most current version.

 

    	5

    	 

    

 

 

(v)The provisions
of this Section 5 shall survive the termination of this Agreement and/or Employee’s employment for any reason.

 

Section 6.Termination.

 

(a)Voluntary Termination
by Employee.

 

(i)Without Good
Reason. If Employee voluntarily terminates his employment during the Term (other than in connection with a Change in Control
or for Good Reason), provided that he provides prior written notice to Employer according to Israeli law, then Employer shall be
required to pay Employee any unpaid or unreimbursed expenses incurred in accordance with this Agreement, including amounts due
under Section 3, to the extent incurred during the Term and other payments to which Employee is entitled to receive according
to Israeli law (collectively, “Accrued Obligations”), and Employer shall not be obligated to pay any performance
bonus for the then current fiscal year of Employer, or have any further obligations to Employee.

 

(ii)With Good
Reason. If Employee voluntarily terminates his employment during the Term for Good Reason, then (A) Employer shall pay Employee
an amount equal to his then-current Base Salary and the value of all Accrued Obligations, payable in installments consistent with
Employer’s normal payroll schedule over the six (6)-month period immediately following the effective date of such termination,
plus a pro-rata portion of the then current year’s performance bonus, payable at the end of the six (6) month period immediately
following the effective date of such termination, and (B) all unvested options and restricted shares granted to Employee shall
immediately vest and become exercisable on the date of such termination (the amounts and benefits specified in clauses (A) and
(B), together, the “Termination Benefits”). For purposes of this Agreement, “Good Reason”
means any of the following: (a) a material diminution in Base Salary or Performance Bonus opportunity or benefits (unless, in either
case, consented to by Employee); (b) a material diminution in Employee’s authority, duties, or responsibilities; or
(c) any other action or inaction that constitutes a material breach by Employer of this Agreement. For purposes of this Agreement,
Good Reason shall not be deemed to exist unless Employee’s termination of employment for Good Reason occurs within three
(3) months following the initial existence of one of the conditions specified in the immediately preceding clauses (a) through
(c), Employee provides Employer with written notice of the existence of such condition within fifteen (15) days after the initial
existence of the condition, and Employer fails to remedy the condition within thirty (30) days after its receipt of such notice.

 

(b)Premature
Termination by Employer or Expiration of Term Without Renewal. If Employer terminates Employee’s employment during
the Term for any reason other than a termination subject to Section 6(c) (Termination Following a Change in Control) or
Section 6(d) (Termination for Cause), or if the Term expires and is not renewed by Employer, other than Employer’s
failure to renew the Term for Cause (as defined below), then Employee will be entitled to receive the Termination Benefits.

 

    	6

    	 

    

 

 

(c)Termination
Following a Change in Control. If either (a) Employer or its successor terminates Employee’s employment within the
twelve (12)-month period immediately following a Change in Control or (b) Employee voluntary terminates his employment for Good
Reason within the twelve (12)-month period immediately following a Change in Control, then (A) Employee will be entitled to receive
a lump-sum payment equal to the greater of (i) his Base Salary for six months and (ii) his Base Salary for the remainder of the
then unexpired Term, and (B) all unvested stock options granted to Employee will immediately vest and become exercisable. This
amount is subject to reduction so that the total amount of payments or benefits provided to Employee under his employment agreement
or any benefit plans or agreements will not constitute an “excess parachute payment” under the Internal Revenue
Code

 

(d)Termination
for Cause. Employer may terminate Employee’s employment and the Term for Cause. “Cause” shall
mean:(i) a material violation by Employee of any applicable material law or regulation respecting the business of Employer;
(ii) Employee being found guilty of a felony or an act of dishonesty in connection with the performance of his duties as
an officer of Employer or Parent, or which disqualifies Employee from serving as an officer or director of Employer or Parent;
(iii) the willful or negligent failure of Employee to perform his duties hereunder in any material respect after receipt
of written notice from the Board and a thirty (30)-day period to cure; (iv) the willful or negligent failure of Employee
to obey the lawful directives of the Board after receipt of written notice from the Board and a ten (10)-day period to cure; and
(v) to the extent permitted by applicable law, the development by Employee of any drug, alcohol or other substance abuse
problems, or the commission of a crime involving moral turpitude. Upon Employer’s termination of Employee’s employment
and the Term for Cause, Employee shall be entitled to receive from Employer only the Accrued Obligations.

 

Section 7.Restrictive
Covenant.

 

(a)Restrictive
Covenant. Employee acknowledges and recognizes the highly competitive nature of the businesses of Employer, Parent and their
respective affiliates and accordingly agrees as follows:

 

(i)During the term
of Employee’s employment and, for a period of one (1)-year following the date Employee ceases to be employed by Employer,
irrespective of the reason for termination of such employment (the “Restricted Period”), Employee shall not,
whether on Employee’s own behalf or on behalf of or in conjunction with any other Person, directly or indirectly solicit
or assist in soliciting in competition with Employer, the business of any client or prospective client:

 

A.with whom Employee
had personal contact or dealings on behalf of Employer at any time during the one (1)-year period preceding Employee’s termination
of employment;

 

    	7

    	 

    

 

 

B.with whom employees
reporting to Employee had had personal contact or dealings on behalf of Employer at any time during the one year immediately preceding
Employee’s termination of employment; or

 

C.for whom Employee
had direct or indirect responsibility at any time during the one (1)-year immediately period preceding Employee’s termination
of employment.

 

(ii)During the
Restricted Period, Employee will not directly or indirectly:

 

A.engage in any business
that competes with the business of Employer, Parent or their respective affiliates (including, without limitation, businesses which
Employer, Parent or their respective affiliates have specific plans to conduct in the future and as to which Employee is aware
of such planning) in any county of any state of the United States or a comparable jurisdiction of Israel where Employer, Parent
or their respective affiliates manufactures, produces, sells, leases, rents, licenses or otherwise provides its products or services
(“Competitive Business”);

 

B.enter the employ
of, or render any services to, any Person (or any division or controlled or controlling affiliate of any Person) who or which engages
in a Competitive Business;

 

C.acquire a financial
interest in, or otherwise become actively involved with, any Competitive Business, directly or indirectly, as an individual, partner,
shareholder, officer, director, principal, agent, trustee or consultant; or

 

D.interfere with,
or attempt to interfere with, any business relationships (whether formed before, on or after the date of this Agreement) between
Employer, Parent or any of their respective affiliates and customers, clients, suppliers or investors.

 

(iii)Notwithstanding
anything to the contrary in this Agreement, Employee may, directly or indirectly own, solely as an investment, securities of any
Person engaged in a Competitive Business, which securities are publicly traded on a national or regional stock exchange or on the
over-the-counter market if Employee (A) is not a controlling person of, or a member of a group which controls, such Person
and (B) does not, directly or indirectly, own two percent (2%) or more of any class of securities of such Person.

 

(iv)During the
Restricted Period, Employee will not, whether on Employee’s own behalf or on behalf of or in conjunction with any Person,
directly or indirectly:

 

A.Solicit or encourage
any employee of Employer or Parent or their respective affiliates to leave the employment of Employer, Parent or their respective
affiliates; or

 

B.hire any such employee
who was employed by Employer, Parent or their respective affiliates as of the date of Employee’s termination of employment
with Employer, or who left the employment of Employer, Parent or their respective affiliates coincident with, or within one year
prior to or after, the termination of Employee’s employment with Employer, unless such employee has not been employed by
Employer, Parent or any of their respective affiliates for a period of six (6) months.

 

    	8

    	 

    

 

 

(b)Remedies for
Breach of Restrictive Covenants. Employee acknowledges that the restrictions contained in Section 5 (Confidentiality
and Loyalty) and Section 7 (Restrictive Covenant) of this Agreement are reasonable and necessary for the protection of
the legitimate business interests of Employer and Parent, that any violation of these restrictions would cause substantial injury
to Employer and Parent and such interests, that Employer would not have entered into this Agreement with Employee without receiving
the additional consideration offered by Employee in binding himself to these restrictions and that such restrictions were a material
inducement to Employer to enter into this Agreement. Employee further acknowledges that a portion of his salary and benefits is
paid to him in consideration for the obligations contained in Section 5 and Section 7 of this Agreement. By entering
into this Agreement, Employee represents and warrants that his execution, delivery and performance of his obligations under this
Agreement will not violate any agreement to which he is a party or by which he is bound or any applicable law or equity principle,
and agrees to maintain such non violation. In the event of any violation or threatened violation of these restrictions, Employer,
in addition to and not in limitation of, any other rights, remedies or damages available to Employer under this Agreement or otherwise
at law or in equity, shall be entitled to preliminary and permanent injunctive relief, without the posting of a bond, to prevent
or restrain any such violation by Employee and any and all persons directly or indirectly acting for or with him, as the case
may be.

 

(c)Enforceability.
It is expressly understood and agreed that although Employee and Employer consider the restrictions contained in this Agreement
(including, but not limited to, those contained in Section 7) to be reasonable, if a final judicial determination is made
by a court of competent jurisdiction that the time or territory or any other restriction contained in this Agreement is an unenforceable
restriction against Employee, then the provisions of this Agreement shall not be rendered void but shall be deemed amended to
apply as to such maximum time and territory and to such maximum extent as such court may judicially determine or indicate to be
enforceable. Alternatively, if any court of competent jurisdiction finds that any restriction contained in this Agreement is unenforceable,
and such restriction cannot be amended so as to make it unenforceable, such finding shall not affect the enforceability of any
of the other restrictions contained herein.

 

Section 8.Certain
Defined Terms. As used in this Agreement:

 

“affiliate,”
“associate,” “parent” and “subsidiary” shall have the respective meanings
ascribed to such terms in Rule 12b-2 under Section 12 of the Securities Exchange Act of 1934, as amended.

 

“Change
in Control” shall mean:

 

(i)Acquisition
By Person of Substantial Percentage. The acquisition by a Person (including “affiliates” and “associates”
of such Person, but excluding Parent, and any “subsidiary” or “parent” of Parent, or any
employee benefit plan of Parent or Employer) of a sufficient number of shares of Parent Common Stock, or securities convertible
into Parent Common Stock, and whether through direct acquisition of shares or by merger, consolidation, share exchange, reclassification
of securities or recapitalization of or involving Parent or any “parent” or “subsidiary”
of Parent, to constitute actual or beneficial owner of 51% or more of Parent Common Stock;

 

    	9

    	 

    

 

 

(ii)Disposition
of Assets. Any sale, lease, transfer, exchange, mortgage, pledge or other disposition, in one transaction or a series of transactions,
of all or substantially all of the assets of Parent or of any “subsidiary” of Parent to a Person described in
subsection (i) above, but only if such transaction occurs without approval or ratification by a majority of the members of Parent’s
Board of Directors (the “Parent Board”); or

 

(iii)Substantial
Change of Board Members. During any fiscal year of Parent, individuals who at the beginning of such year constitute the Parent
Board cease for any reason to constitute at least a majority thereof, unless the election of each director who was not a director
at the beginning of such period has been approved in advance by a majority of the directors in office at the beginning of the fiscal
year.

 

Section 9.General
Provisions.

 

(a)Successors;
Assignment. This Agreement shall be binding upon and inure to the benefit of Employee, Employer and his and its respective
personal representatives, successors and permitted assigns, and any successor or permitted assign of Employer shall be deemed
the “Employer” hereunder. Employer shall require any successor to all or substantially all of the business
and/or assets of Employer, whether directly or indirectly, by purchase, merger, consolidation, acquisition of stock, or otherwise,
by an agreement in form and substance reasonably satisfactory to Employee, to expressly assume and agree to perform this Agreement
in the same manner and to the same extent as Employer would be required to perform if no such succession had taken place.

 

(b)Entire Agreement;
Modifications. This Agreement constitutes the entire agreement between the parties respecting the subject matter hereof, and
supersedes all prior negotiations, undertakings, agreements and arrangements with respect thereto, whether written or oral. Except
as otherwise explicitly provided herein, this Agreement may not be amended or modified except by written agreement signed by Employee
and Employer.

 

(c)Enforcement
and Governing Law. The provisions of this Agreement shall be regarded as divisible and separate; if any of said provisions
should be declared invalid or unenforceable by a court of competent jurisdiction, the validity and enforceability of the remaining
provisions shall not be affected thereby. This Agreement shall be construed and the legal relations of the parties hereto shall
be determined in accordance with the laws of the Israel without reference to the law regarding conflicts of law that would cause
the laws of another jurisdiction to apply.

 

(d)Waiver.
No waiver of any provision of this agreement shall be effective unless set forth in a writing executed by the party against whom
enforcement is sought. No waiver by either party at any time of any breach by the other party of, or compliance with, any condition
or provision of this Agreement to be performed by the other party, shall be deemed a waiver of any similar or dissimilar provisions
or conditions at the same time or any prior or subsequent time.

 

    	10

    	 

    

 

 

(e)Notices.
Notices pursuant to this Agreement shall be in writing and shall be deemed given when received; and, if mailed, shall be mailed
by Israeli registered or certified mail, return receipt requested, postage prepaid; and if to Employer, addressed to the principal
headquarters of Employer, attention: President, or, if to Employee, to his home address set forth below Employee’s
signature on this Agreement, or to such other address as the party to be notified shall have given to the other.

 

(f)Good Faith.
The parties will deal with each other in good faith with respect to this Agreement.

 

(g)Survival.
The respective rights and obligations of the parties hereunder shall survive any termination of the Term hereunder, including
without limitation, Section 5 and Section 7.

 

(h)Counterparts;
Facsimile Signatures. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of
which, together, shall comprise one and the same instrument. Facsimile or other electronically transmitted signatures shall be
deemed originals for all purposes of this Agreement.

 

[Remainder of Page Intentionally Left
Blank]

 

 

    	11

    	 

    

 

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

 

	EYEKON E.R.D LTD.	 	EMPLOYEE
	 	 	 	 	 
	By:	/s/ Nimrod Madar	 	/s/Nimrod
    Madar
	Title 	Chief Executive Officer	 	Address:	8 Keren Street Apt #2
		 	 	Title	Pardes Hana - Karcur
	 	 	 	 	 

 

    	12

    	 

    

 

Exhibit A

 

NOTIFICATION
TO EMPLOYEE OF EMPLOYMENT CONDITIONS

 

 

 

Date: ___________, _____

 

		1.	Name of Employer: EYEKON E.R.D Ltd.

Legal Entity: Private
Company

Identification Number:
________________

__________________

 

Name of Employee: Nimrod
Madar

Identification Number:
25497462

Address: ________________,
Israel

 

		2.	Date of Commencement of Employment: _____________________

Term of Employment:
Employment is for one year period.

 

		3.	Main Responsibilities of Employee: Performing all duties incident to the office of Chief Executive
Officer of Employer and such other duties as may be prescribed from time to time by the Board of Directors of Employer.

 

		4.	Name of Employee’s direct supervisor or direct supervisor’s title:
Board of Directors.

 

		5.	The basis upon which Employee’s salary is made:
monthly.

 

		6.	Employee’s salary is set in accordance with the following:

 

The aggregate fixed payment
(gross) to be made to Employee in accordance with the Base Salary is 15,000 $. All payments to be made to Employee as compensation
are as follows:

 

	Fixed Payments	Non Fixed Payments
	Payment Type	Timing of payment	Payment Type	Timing of payment
	Salary (gross) US$15,000 (inclusive of all such payments that Employer is required to pay under any applicable law)	In accordance with Employer’s normal payroll procedures but no later than the 9th day of each month.	 	 
	 	 	 	 
	 	 	 	 
	Recreation Pay (Dmei Havraa)	Once a year in accordance with applicable law.	 	 

 

 

		7.	Employee’s working week shall consist of 43 hours. As the position
in Employer requires a special degree of personal trust, Employee may be required to work overtime and on days of rest.

 

    	13

    	 

    

 

 

		8.	The rest days are Friday and Saturday.

 

		9.	Employee declares and agrees that Employer’s
rules and regulations, as shall be adjusted from time to time by Employer in its sole discretion,
shall apply to Employee’s employment with Employer and shall be part of the terms and
conditions of Employee’s employment with Employer.

 

		10.	Payment of Social Benefits to which Employee
will be entitled (percentage of salary and supplements):

 

	Payment Type	The institution to whom payment is made and name of the plan	Payment by Employee (in percentage)	Payment by Employer (in percentage)	Payment Commencement Date
	
        Managers Insurance Policy

         

        Education Fund
	______________	
        5%

         

        2.5%
	
        13 1/3% (8 1/3% for severance pay and 5% for pension
        benefits) and up to 2.5% for disability insurance

         

        7.5%

         

         
	
        _______

         

        ________

 

		11.	Employer is not, nor is an association that Employer belongs to, a party
to a collective agreement that address the employment terms of Employee.

 

This notification is not an employment
agreement, but rather an Employer notification regarding the main terms and conditions of Employee’s employment with Employer;
this notification is without prejudice to Employee’s rights pursuant to applicable law, any extension order, any collective
agreement and his/her employment agreement.

 

 

	SIGNATURE OF EMPLOYER:	 	DATE:
	 	 	 
	 	 	 
	SIGNATURE OF EMPLOYEE:	 	DATE:
	 	 	 
	 	 	 

 

 

 

 

    	14

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00219-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00219-of-00352.parquet"}]]