Document:

REGISTRATION RIGHTS AGREEMENT

    This Registration Rights Agreement ("Agreement") is entered into as of
    March 3, 2000, between TELULAR CORPORATION, a Delaware corporation with
    offices at 647 North Lakeview Parkway, Vernon Hills, IL  60061 (the
    "Company"), HALIFAX FUND, L.P. a Cayman Islands limited partnership with
    offices c/o The Palladin Group, 195 Maplewood Avenue, Maplewood, New
    Jersey 07040 ("Halifax"), ELLIOTT ASSOCIATES, L.P., a Delaware limited
    partnership with an office at 512 Fifth Avenue, New York, New York  10019
    ("Elliott"), and WESTGATE INTERNATIONAL, L.P., a Cayman Islands limited
    partnership with an office c/o Stonington Management Corporation, 712
    Fifth Avenue, New York, New York  10019 ("Westgate").  Each of Halifax,
    Elliott and Westgate are referred to hereinafter individually as an
    "Investor" and collectively as the "Investors".

                              W I T N E S S E T H:

         WHEREAS, pursuant to that certain Common Stock Investment Agreement,
    dated the date hereof, among the Company and the Investors (the "Purchase
    Agreement"), the Company has agreed to sell and issue to the Investors,
    and the Investors have agreed to purchase from the Company, inter alia,
    an aggregate of 444,445 shares (the "Initial Shares") of the Company's
    common stock, $.01 par value ("Common Stock"), and certain warrants, all
    as more fully specified and subject to the terms and conditions set forth
    in the Purchase Agreement.

         NOW, THEREFORE, in consideration of the mutual promises,
    representations, warranties, covenants and conditions set forth in the
    Purchase Agreement and this Agreement, the Company and the Investors
    agree as follows:

              1.  Certain Definitions.  Capitalized terms used herein and not
    otherwise defined shall have the meaning ascribed thereto in the Purchase
    Agreement.  As used in this Agreement, the following terms shall have the
    following respective meanings:

         "Closing" and "Closing Date" shall have the meanings ascribed to
    such terms in the Purchase Agreement.

         "Commission" or "SEC" shall mean the Securities and Exchange
    Commission or any other federal agency at the time administering the
    Securities Act.

         "Holder" and "Holders" shall include the Investors and any
    transferee or transferees of the Purchased Shares or Registrable
    Securities which have not been sold to the public to whom the
    registration rights conferred by this Agreement have been transferred in
    compliance with this Agreement and the Purchase Agreement.

         The terms "register," "registered" and "registration" shall refer to
    a registration effected by preparing and filing a registration statement
    in compliance with the Securities Act and applicable rules and
    regulations thereunder, and the declaration or ordering of the
    effectiveness of such registration statement.

         "Purchased Shares" means the Initial Shares, Warrant Shares and
    Additional Shares actually acquired by Holders.
<PAGE>
         "Registrable Securities" shall mean:  (i) the Initial Shares;
    (ii) the Warrant Shares; (iii) the Additional Shares; (iv) securities
    issued or issuable upon any stock split, stock dividend, recapitalization
    or similar event with respect to the foregoing; and (v) any other
    security issued as a dividend or other distribution with respect to, in
    exchange for or in replacement of the securities referred to in the
    preceding clauses; provided such securities will cease to be Registrable
    Securities for purposes of this Agreement if and to the extent they
    become freely saleable by the Holders pursuant to Rule 144.

         "Registration Expenses" shall mean all expenses to be incurred by
    the Company in connection with each Holder's registration rights under
    this Agreement, including, without limitation, all registration and
    filing fees, printing expenses, fees and disbursements of counsel for the
    Company, blue sky fees and expenses, reasonable fees and disbursements of
    counsel to Holders (using a single counsel selected by a majority in
    interest of the Holders) for a "due diligence" examination of the Company
    and review of the Registration Statement and related documents, and the
    expense of any special audits incident to or required by any such
    registration (but excluding the compensation of regular employees of the
    Company, which shall be paid in any event by the Company).

         "Registration Statement" shall have the meaning set forth in Section
    2(a)(i) herein.

         "Regulation D" shall  mean Regulation D  as promulgated pursuant  to
    the Securities Act, and as subsequently amended.

         "Securities Act" or "Act" shall mean the Securities Act of 1933,  as
    amended.

         "Selling Expenses" shall mean all underwriting discounts and selling
    commissions applicable to the sale of Registrable Securities and all fees
    and disbursements of counsel for Holders not included within
    "Registration Expenses._

              2.  Registration Requirements.  The Company shall use its best
    efforts to effect the registration of the Registrable Securities
    (including, without limitation, the execution of an undertaking to file
    post-effective amendments, appropriate qualification under applicable
    blue sky or other state securities laws and appropriate compliance with
    applicable regulations issued under the Securities Act) as would permit
    or facilitate the sale or distribution of all the Registrable Securities
    in the manner (including manner of sale) and in all states reasonably
    requested by any Holder.  Such best efforts by the Company shall include,
    without limitation, the following:

                   (a)  The Company shall, as expeditiously as possible after
    the Closing Date:

                     (i)  But in any event within thirty (30) calendar days
              after the Closing, prepare and file a registration statement
              with the Commission pursuant to Rule 415 under the Securities
              Act on Form S-3 under the Securities Act (or in the event that
              the Company is ineligible to use such form, such other form as
              the Company is eligible to use under the Securities Act)
              covering resales by the Holders of the Registrable Securities
              ("Registration Statement").  If the Company issues Fill-up
              Warrants (as defined in the Purchase Agreement), the Warrant
<PAGE>
              Shares underlying such Fill-up Warrants shall be included in
              such Registration Statement.  Thereafter the Company shall use
              its best efforts to cause such Registration Statement and other
              filings to be declared effective as soon as possible, and in
              any event prior to 90 days following the Closing Date.  Without
              limiting the foregoing, the Company will promptly respond to
              all SEC comments, inquiries and requests, and shall request
              acceleration of effectiveness at the earliest possible date.
              The Company shall provide the Holders and their counsel
              reasonable opportunity to review any such Registration
              Statement or amendment or supplement thereto prior to filing.

                     (ii)  Prepare and file with the SEC such amendments and
              supplements to such Registration Statement and the prospectus
              used in connection with such Registration Statement as may be
              necessary to comply with the provisions of the Act with respect
              to the disposition of all securities covered by such
              Registration Statement and promptly notify the Holders of the
              filing and effectiveness of such Registration Statement and any
              amendments or supplements.

                     (iii)  Furnish to each Holder such numbers of copies of
              a current prospectus conforming with the requirements of the
              Act, copies of the Registration Statement, any amendment or
              supplement thereto and any documents incorporated by reference
              therein and such other documents as such Holder may reasonably
              require in order to facilitate the disposition of Registrable
              Securities owned by such Holder.

                     (iv)   Register and qualify the securities covered by
              such Registration Statement under the securities or "Blue Sky"
              laws of all domestic jurisdictions.

                     (v)    Notify each Holder immediately of the happening of
              any event (but not the substance or details of any such events
              unless specifically requested by a Holder) as a result of which
              the prospectus (including any supplements thereto or thereof)
              included in such Registration Statement, as then in effect,
              includes an untrue statement of material fact or omits to state
              a material fact required to be stated therein or necessary to
              make the statements therein not misleading in light of the
              circumstances then existing, and use its best efforts to
              promptly update and/or correct such prospectus.

                     (vi)   Notify each Holder immediately of the issuance by
              the Commission or any state securities commission or agency of
              any stop order suspending the effectiveness of the Registration
              Statement or the threat or initiation of any proceedings for
              that purpose.  The Company shall use its best efforts to
              prevent the issuance of any stop order and, if any stop order
              is issued, to obtain the lifting thereof at the earliest
              possible time.
<PAGE>
                     (vii)  Permit counsel to the Holders to review the
              Registration Statement and all amendments and supplements
              thereto within a reasonable period of time (but not less than
              four (4) full trading days) prior to each filing, and shall not
              file any document in a form to which such counsel reasonably
              objects and will not request acceleration of the Registration
              Statement without prior notice to such counsel.

                     (viii)  List the Registrable Securities covered by such
              Registration Statement with all securities exchange(s) and/or
              markets on which the Common Stock is then listed and prepare
              and file any required filings with the Nasdaq National Market
              System or any exchange or market where the Common Shares are
              traded.

                     (ix)   Take all steps necessary to enable Holders to
              avail themselves of the prospectus delivery mechanism set forth
              in Rule 153 (or successor thereto) under the Act.

                   (b)  Set forth below in this Section 2(b) are (I) events
    that may arise that the parties consider will interfere with the full
    enjoyment by the Investors of their rights under this Agreement and the
    Purchase Agreement (the "Interfering Events"), and (II) certain remedies
    applicable in each of these events.

                   Paragraphs (i) through (iv) of this Section 2(b) describe
    the Interfering Events, provide a remedy to the Investors if an
    Interfering Event occurs and provide that the Investors may require that
    the Company repurchase outstanding Purchased Shares at a specified price
    if certain Interfering Events are not timely cured.

                   Paragraph (v) provides, inter alia, that if default
    adjustments required as the remedy in the case of certain of the
    Interfering Events are not provided when due, the Company may be required
    by the Investors to redeem outstanding Purchased Shares at a specified
    price.

                   Paragraph (vi) provides, inter alia, that the Investors
    have the right to specific performance.

                   The preceding paragraphs in this Section 2(b) are meant to
    serve only as an introduction to this Section 2(b), are for convenience
    only, and are not to be considered in applying, construing or
    interpreting this Section 2(b).

                     (i)    Delay in Effectiveness of Registration Statement.

                        (A)   In the event that such Registration Statement has
                   not been declared effective within 90 days from the
                   Closing Date, then the Company shall pay each Holder a
                   Monthly Delay Payment (as defined below) for each 30 day
                   period (or portion thereof) that effectiveness of the
                   Registration Statement is delayed.  In addition to the
                   foregoing, if the Registration Statement has not been
                   declared effective within 120 days after the Closing Date,
                   then each Holder shall have the right but not the
                   obligation to sell to the Company, and the Company shall
                   have the obligation to purchase for immediately available
                   funds, at any time after the 120th day after the Closing
<PAGE>
                   Date, any or all of its Purchased Shares for a per share
                   consideration (the "Mandatory Repurchase Price") equal to
                   120% of the original purchase price of each Purchased
                   Share being sold to the Company.

                        (B)  As used in this Agreement, a "Monthly Delay
                   Payment" shall be a five year Warrant in substantially the
                   form of Annex A to the Purchase Agreement, but having an
                   economic value to the Holders at issuance equal to 1% of
                   the Purchase Price of the Purchased Shares held by a
                   Holder for the initial 30 day period (or portion thereof)
                   that the specified condition in this Section 2(b) has not
                   been fulfilled or the specified deficiency has not been
                   remedied, and 1 1/2% of the Purchase Price of the Purchased
                   Shares held by a Holder for each subsequent such 30 day
                   period (or portion thereof).  Payment of the Monthly Delay
                   Payments and Mandatory Repurchase Price shall be due and
                   payable from the Company to such Holder within five (5)
                   business days of demand therefor.  Without limiting the
                   foregoing, if cash payment of the Mandatory Repurchase
                   Price is not made within such 5 business day period, the
                   Holder may revoke and withdraw in whole or in part its
                   election to cause the Company to make such mandatory
                   purchase at any time prior to its receipt of such cash,
                   without prejudice to its ability to elect to receive the
                   Mandatory Repurchase Price in the future.

                     (ii)  No Listing; Premium Price Redemption for Delisting
              of Class of Shares.

                        (A)  In the event that the Company fails, refuses or
                   for any other reason is unable to cause the Registrable
                   Securities covered by the Registration Statement to be
                   listed with Nasdaq National Market System or another
                   Approved Market at all times during the period ("Listing
                   Period") from the 90th day following the Closing Date
                   until the fifth (5th) anniversary of the Closing Date,
                   then each Holder shall have the right from time to time to
                   sell to the Company, and the Company shall have the
                   obligation to purchase for immediately available funds,
                   any or all of its Purchased Shares at the Mandatory
                   Repurchase Price.  In the event that the Company is
                   statutorily prohibited from purchasing all Purchased
                   Shares  submitted for repurchase, the Company shall only
                   be required (as long as such prohibition remains) to
                   purchase a pro rata amount from each Holder based on the
                   number of Purchased Shares submitted for repurchase by all
                   Holders.  In any case where the Company fails to
                   repurchase any Purchased Shares as required, in addition
                   to any other remedies available to the Holders, the
                   Company shall provide to each Holder a Monthly Delay
                   Payment in respect of each Purchased Share not so
                   repurchased, for each 30-day period or portion thereof
                   during which such listing is not in effect.  The
                   provisions of Section 2(b)(i)(B) shall apply to this
                   Section 2(b)(ii)(A).
<PAGE>
                        (B)  In the event that shares of Common Stock of the
                   Company are not listed on any of the Approved Markets at
                   all times following the Closing Date, or are otherwise
                   suspended from trading and remain unlisted or suspended
                   for three (3) consecutive days, or if the Registrable
                   Securities are not listed for three (3) consecutive days
                   following the Closing, then at the option of each Holder
                   and to the extent such Holder so elects, each Holder shall
                   have the right to sell to the Company the Purchased Shares
                   held by such Holder, in whole or in part, for the
                   Mandatory Repurchase Price on the terms set forth in
                   Section 2(b)(i)(B) above.

                     (iii)  Blackout Periods.  In the event any Holder's
              ability to sell Registrable Securities under the Registration
              Statement is suspended for more than an aggregate of thirty
              (30) days in any twelve month period ("Suspension Grace
              Period"), including without limitation by reason of any
              suspension or stop order with respect to the Registration
              Statement or the fact that an event has occurred as a result of
              which the prospectus (including any supplements thereto)
              included in such Registration Statement then in effect includes
              an untrue statement of material fact or omits to state a
              material fact required to be stated therein or necessary to
              make the statements therein not misleading in light of the
              circumstances then existing (a "Blackout"), then the Company
              shall provide to each Holder a Monthly Delay Payment for each
              30 day period or portion thereof from and after the expiration
              of the Suspension Grace Period, on the terms set forth in
              Section 2(b)(i)(B) above.  In addition, at any time following
              the expiration of the Suspension Grace Period if the Blackout
              continues for more than ten (10) additional consecutive days, a
              Holder shall have the right to sell to the Company its
              Purchased Shares in whole or in part for the Mandatory
              Repurchase Price on the terms set forth in Section 2(b)(i)(B)
              above.

                     (iv)  Redemption for Exercise Deficiency.  In the event
              that the Company does not have a sufficient number of shares of
              Common Stock available to satisfy the Company's obligations to
              any Holder upon receipt of a notice of exercise of a Warrant or
              Additional Investment Notice from an Investor, or is otherwise
              unable or unwilling for any reason to issue Common Stock as
              required by the Warrants or the Purchase Agreement (each, an
              "Exercise Deficiency"), then:

                        (A)  The Company shall provide to each Holder a
                   Monthly Delay Payment for each 30 day period or portion
                   thereof following the Exercise Deficiency, on the terms
                   set forth in Section 2(b)(i)(B) above.
<PAGE>
                        (B)  At any time five (5) days after the commencement
                   of the running of the first 30-day period described above
                   in clause (A) of this paragraph (iv), at the request of
                   any Holder, the Company promptly shall purchase from such
                   Holder, and on the terms set forth in Section 2(b)(i)(B)
                   above, the outstanding Warrants to the extent required to
                   be issued but not issuable, in each case as a result of
                   the Exercise Deficiency at a price equal to the excess of
                   the Mandatory Repurchase Price as applied to the
                   applicable Warrant Shares over the applicable aggregate
                   Warrant exercise price.

                     (v)  Mandatory Repurchase Price for Defaults.

                        (A)  The Company acknowledges that any failure,
                   refusal or inability by the Company to perform the
                   obligations described in the foregoing paragraphs (i)
                   through (iv) will cause the Holders to suffer damages in
                   an amount that will be difficult to ascertain, including
                   without limitation damages resulting from the loss of
                   liquidity in the Registrable Securities and the additional
                   investment risk in holding the Registrable Securities.
                   Accordingly, the parties agree, after consulting with
                   counsel, that it is appropriate to include in this
                   Agreement the foregoing provisions for Monthly Delay
                   Payments and mandatory redemptions in order to compensate
                   the Holders for such damages.  The parties acknowledge and
                   agree that the Monthly Delay Payments and mandatory
                   redemptions set forth above represent the parties' good
                   faith effort to quantify such damages and, as such, agree
                   that the form and amount of such payments and mandatory
                   redemptions are reasonable and will not constitute a
                   penalty.

                        (B)  In the event that the Company fails to pay any
                   Monthly Delay Payment within 5 business days of demand
                   therefor, each Holder shall have the right to sell to the
                   Company any or all of its Purchased Shares at the
                   Mandatory Repurchase Price on the terms set forth in
                   Section 2(b)(i)(B) above.

                     (vi)  Cumulative Remedies.  The Monthly Delay Payments
              and mandatory redemptions provided for above are in addition to
              and not in lieu or limitation of any other rights the Holders
              may have at law, in equity or under the terms of the Purchase
              Agreement, the Warrants and this Agreement, including without
              limitation the right to monetary contract damages and specific
              performance.  Each Holder shall be entitled to specific
              performance of any and all obligations of the Company in
              connection with the registration rights of the Holders
              hereunder without the necessity of posting a bond or surety.

                   (c)  If the Holder(s) intend to distribute the Registrable
    Securities by means of an underwriting, the Holder(s) shall so advise the
    Company.  Any such underwriting may only be administered by nationally or
    regionally recognized investment bankers reasonably satisfactory to the
    Company.
<PAGE>
                   (d)  The Company shall enter into such customary agreements
    for secondary offerings (including a customary underwriting agreement
    with the underwriter or underwriters, if any) and take all such other
    reasonable actions reasonably requested by the Holders in connection
    therewith in order to expedite or facilitate the disposition of such
    Registrable Securities and in such connection, whether or not an
    underwriting agreement is entered into and whether or not the Registrable
    Securities are to be sold in an underwritten offering:

                     (i)  make such representations and warranties to the
              Holders and the underwriter or underwriters, if any, in form,
              substance and scope as are customarily made by issuers to
              underwriters in secondary offerings;

                     (ii)  cause to be delivered to the sellers of
              Registrable Securities and the underwriter or underwriters, if
              any, opinions of independent counsel to the Company, on and
              dated as of the effective day (or in the case of an
              underwritten offering, dated the date of delivery of any
              Registrable Securities sold pursuant thereto) of the
              Registration Statement, and within ninety (90) days following
              the end of each fiscal year thereafter, which counsel and
              opinions (in form, scope and substance) shall be reasonably
              satisfactory to the Holders and the underwriter(s), if any, and
              their counsel and covering, without limitation, such matters as
              the due authorization and issuance of the securities being
              registered and compliance with securities laws by the Company
              in connection with the authorization, issuance and registration
              thereof and other matters that are customarily given to
              underwriters in underwritten offerings, addressed to the
              Holders and each underwriter, if any;

                     (iii)  cause to be delivered, immediately prior to the
              effectiveness of the Registration Statement (and, in the case
              of an underwritten offering, at the time of delivery of any
              Registrable Securities sold pursuant thereto), and at the
              beginning of each fiscal year following a year during which the
              Company's independent certified public accountants shall have
              reviewed any of the Company's books or records, a "comfort"
              letter from the Company's independent certified public
              accountants addressed to the Holders and each underwriter, if
              any, stating that such accountants are independent public
              accountants within the meaning of the Securities Act and the
              applicable published rules and regulations thereunder, and
              otherwise in customary form and covering such financial and
              accounting matters as are customarily covered by letters of the
              independent certified public accountants delivered in
              connection with secondary offerings; such accountants shall
              have undertaken in each such letter to update the same during
              each such fiscal year in which such books or records are being
              reviewed so that each such letter shall remain current, correct
              and complete throughout such fiscal year; and each such letter
              and update thereof, if any, shall be reasonably satisfactory to
              the Holders;

                     (iv)  if an underwriting agreement is entered into, the
              same shall include customary indemnification and contribution
              provisions to and from the underwriters and procedures for
              secondary underwritten offerings; and
<PAGE>
                     (v)  deliver such documents and certificates as may be
              reasonably requested by the Holders of the Registrable
              Securities being sold or by the managing underwriter or
              underwriters, if any, to evidence compliance with clause (i)
              above and with any customary conditions contained in the
              underwriting agreement, if any.

                   (e)  The Company shall make available for inspection by the
    Holders, representative(s) of all the Holders together, any underwriter
    participating in any disposition pursuant to a Registration Statement,
    and any attorney or accountant retained by any Holder or underwriter, all
    financial and other records customary for purposes of the Holders' due
    diligence examination of the Company and review of any Registration
    Statement, all SEC Documents (as defined in the Purchase Agreement) filed
    subsequent to the Closing, pertinent corporate documents and properties
    of the Company, and cause the Company's officers, directors and employees
    to supply all information reasonably requested by any such
    representative, underwriter, attorney or accountant in connection with
    such Registration Statement, provided that such parties agree to keep
    such information confidential.

                   (f)  Subject to Section 2(b) above, the Company may suspend
    the use of any prospectus used in connection with the Registration
    Statement only in the event, and for such period of time as, such a
    suspension is required by the rules and regulations of the Commission.
    The Company will use its best efforts to cause such suspension to
    terminate at the earliest possible date.

                   (g)  The Company shall file a Registration Statement with
    respect to any newly authorized and/or reserved Registrable Securities
    within five (5) business days of any stockholders or directors meeting
    formally authorizing same and shall use its best efforts to cause such
    Registration Statement to become effective within thirty (30) days of
    such stockholders meeting.  If the Holders receive any Registrable
    Securities that were not already included in a Registration Statement,
    subsequent to the date such Registration Statement is declared effective,
    and the Company is unable under the securities laws to add such
    securities to the then effective Registration Statement, the Company
    shall promptly file, in accordance with the procedures set forth herein,
    an additional Registration Statement with respect to such newly
    Registrable Securities.  The Company shall use its best efforts to (i)
    cause any such additional Registration Statement, when filed, to become
    effective under the Securities Act, and (ii) keep such additional
    Registration Statement effective during the period described in Section 5
    below and cause such Registration Statement to become effective within 30
    days of that date that the need to file the Registration Statement arose.
    All of the registration rights and remedies under this Agreement shall
    apply to the registration of such newly reserved shares and such new
    Registrable Securities, including without limitation the provisions
    providing for default payments and mandatory redemptions contained
    herein.

              3.  Expenses of Registration.  All Registration Expenses in
    connection with any registration, qualification or compliance with
    registration pursuant to this Agreement shall be borne by the Company,
    and all Selling Expenses of a Holder shall be borne by such Holder.
<PAGE>
              4.  Registration on Form S-3.  The Company shall use its best
    efforts to remain qualified for registration on Form S-3 or any
    comparable or successor form or forms, or in the event that the Company
    is ineligible to use such form, such form as the Company is eligible to
    use under the Securities Act.

              5.  Registration Period.  In the case of the registration
    effected by the Company pursuant to this Agreement, the Company will use
    its best efforts to keep such registration effective until the earlier of
    the fifth (5th) anniversary of the Closing Date or the date upon which
    such Registrable Securities may be sold freely and without limitation by
    the Holders under Rule 144(k) (provided that the Company's transfer agent
    has accepted an irrevocable instruction from the Company to such effect,
    a copy of which shall have been given and be reasonably acceptable to the
    Holders and their counsel).  As long as any Registrable Securities are
    outstanding, the Company shall do all things necessary to make Rule 144
    available to the Holders.

              6.  Indemnification.

                   (a)  Company Indemnity.  The Company will indemnify each
    Holder, each of its officers, directors, agents and partners, and each
    person controlling each of the foregoing, within the meaning of Section
    15 of the Securities Act and the rules and regulations thereunder with
    respect to which registration, qualification or compliance has been
    effected pursuant to this Agreement, and each underwriter, if any, and
    each person who controls, within the meaning of Section 15 of the
    Securities Act and the rules and regulations thereunder, any underwriter,
    against all claims, losses, damages, expenses (including the costs of
    enforcing this provision) and liabilities (or actions in respect thereof)
    arising out of or based on any untrue statement (or alleged untrue
    statement) of a material fact contained in any prospectus, offering
    circular or other document (including any related registration statement,
    notification or the like) incident to any such registration,
    qualification or compliance, or based on any omission (or alleged
    omission) to state therein a material fact required to be stated therein
    or necessary to make the statements therein not misleading in light of
    the circumstances under which they were made, or any violation by the
    Company of the Securities Act or any state securities law or in either
    case, any rule or regulation thereunder applicable to the Company and
    relating to action or inaction required of the Company in connection with
    any such registration, qualification or compliance, and will reimburse
    each Holder, each of its officers, directors, agents and partners, and
    each person controlling each of the foregoing, each such underwriter and
    each person who controls any such underwriter, for any legal and any
    other expenses reasonably incurred in connection with investigating and
    defending any such claim, loss, damage, liability or action, provided
    that the Company will not be liable in any such case to a Holder to the
    extent that any such claim, loss, damage, liability or expense arises out
    of or is based on any untrue statement or omission based upon written
    information furnished to the Company by such Holder or the underwriter
    (if any) therefor and stated to be specifically for use therein.  The
    indemnity agreement contained in this Section 6(a) shall not apply to
    amounts paid in settlement of any such loss, claim, damage, liability or
    action if such settlement is effected without the consent of the Company
    (which consent will not be unreasonably withheld).
<PAGE>
                   (b)  Holder Indemnity.  Each Holder will, severally and not
    jointly, if Registrable Securities held by it are included in the
    securities as to which such registration, qualification or compliance is
    being effected, indemnify the Company, each of its directors, officers,
    agents and partners, and each underwriter, if any, of the Company's
    securities covered by such a registration statement, each person who
    controls the Company or such underwriter within the meaning of Section 15
    of the Securities Act and the rules and regulations thereunder, each
    other Holder (if any), and each of their officers, directors and
    partners, and each person controlling such other Holder(s) against all
    claims, losses, damages and liabilities (or actions in respect thereof)
    arising out of or based on any untrue statement (or alleged untrue
    statement) of a material fact contained in any such registration
    statement, prospectus, offering circular or other document, or any
    omission (or alleged omission) to state therein a material fact required
    to be stated therein or necessary to make the statement therein not
    misleading in light of the circumstances under which they were made, and
    will reimburse the Company and such other Holder(s) and their directors,
    officers and partners, underwriters or control persons for any legal or
    any other expenses reasonably incurred in connection with investigating
    and defending any such claim, loss, damage, liability or action, in each
    case to the extent, but only to the extent, that such untrue statement
    (or alleged untrue statement) or omission (or alleged omission) is made
    in such registration statement, prospectus, offering circular or other
    document in reliance upon and in conformity with written information
    furnished to the Company by such Holder and stated to be specifically for
    use therein, and provided that the maximum amount for which such Holder
    shall be liable under this indemnity shall not exceed the net proceeds
    received by such Holder from the sale of the Registrable Securities
    pursuant to the registration statement in question.  The indemnity
    agreement contained in this Section 6(b) shall not apply to amounts paid
    in settlement of any such claims, losses, damages or liabilities if such
    settlement is effected without the consent of such Holder (which consent
    shall not be unreasonably withheld).

                   (c)  Procedure.  Each party entitled to indemnification
    under this Section 6 (the "Indemnified Party") shall give notice to the
    party required to provide indemnification (the "Indemnifying Party")
    promptly after such Indemnified Party has actual knowledge of any claim
    as to which indemnity may be sought, and shall permit the Indemnifying
    Party to assume the defense of any such claim in any litigation resulting
    therefrom, provided that counsel for the Indemnifying Party, who shall
    conduct the defense of such claim or any litigation resulting therefrom,
    shall be approved by the Indemnified Party (whose approval shall not be
    unreasonably withheld), and the Indemnified Party may participate in such
    defense at its own expense, and provided further that the failure of any
    Indemnified Party to give notice as provided herein shall not relieve the
    Indemnifying Party of its obligations under this Section 6 except to the
    extent that the Indemnifying Party is materially and adversely affected
    by such failure to provide notice.  No Indemnifying Party, in the defense
    of any such claim or litigation, shall, except with the consent of each
    Indemnified Party, consent to entry of any judgment or enter into any
    settlement which does not include as an unconditional term thereof the
    giving by the claimant or plaintiff to such Indemnified Party of a
    release from all liability in respect to such claim or litigation.  Each
    Indemnified Party shall furnish such non-privileged information regarding
    itself or the claim in question as an Indemnifying Party may reasonably
    request in writing and as shall be reasonably required in connection with
    the defense of such claim and litigation resulting therefrom.
<PAGE>
              7.  Contribution.  If the indemnification provided for in
    Section 6 herein is unavailable to the Indemnified Parties in respect of
    any losses, claims, damages or liabilities referred to herein (other than
    by reason of the exceptions provided therein), then each such
    Indemnifying Party, in lieu of indemnifying such Indemnified Party, shall
    contribute to the amount paid or payable by such Indemnified Party as a
    result of such losses, claims, damages or liabilities as between the
    Company on the one hand and any Holder on the other, in such proportion
    as is appropriate to reflect the relative fault of the Company and of
    such Holder in connection with the statements or omissions which resulted
    in such losses, claims, damages or liabilities, as well as any other
    relevant equitable considerations.  The relative fault of the Company on
    the one hand and of any Holder on the other shall be determined by
    reference to, among other things, whether the untrue or alleged untrue
    statement of a material fact or omission or alleged omission to state a
    material fact relates to information supplied by the Company or by such
    Holder.

              In no event shall the obligation of any Indemnifying Party to
    contribute under this Section 7 exceed the amount that such Indemnifying
    Party would have been obligated to pay by way of indemnification if the
    indemnification provided for under Section 6(a) or 6(b) hereof had been
    available under the circumstances.

              The Company and the Holders agree that it would not be just and
    equitable if contribution pursuant to this Section 7 were determined by
    pro rata allocation (even if the Holders or the underwriters were treated
    as one entity for such purpose) or by any other method of allocation
    which does not take account of the equitable considerations referred to
    in the immediately preceding paragraphs.  The amount paid or payable by
    an Indemnified Party as a result of the losses, claims, damages and
    liabilities referred to in the immediately preceding paragraphs shall be
    deemed to include, subject to the limitations set forth above, any legal
    or other expenses reasonably incurred by such Indemnified Party in
    connection with investigating or defending any such action or claim.
    Notwithstanding the provisions of this section, no Holder or underwriter
    shall be required to contribute any amount in excess of the amount by
    which (i) in the case of any Holder, the net proceeds received by such
    Holder from the sale of Registrable Securities pursuant to the
    registration statement in question or (ii) in the case of an underwriter,
    the total price at which the Registrable Securities purchased by it and
    distributed to the public were offered to the public exceeds, in any such
    case, the amount of any damages that such Holder or underwriter has
    otherwise been required to pay by reason of such untrue or alleged untrue
    statement or omission or alleged omission.  No person guilty of
    fraudulent misrepresentation (within the meaning of Section 11(f) of the
    Securities Act) shall be entitled to contribution from any person who was
    not guilty of such fraudulent misrepresentation.

              8.  Survival.  The indemnity and contribution agreements
    contained in Sections 6 and 7 and the representations and warranties of
    the Company referred to in Section 2(d)(i) shall remain operative and in
    full force and effect regardless of (i) any termination of this Agreement
    or the Purchase Agreement or any underwriting agreement, (ii) any
    investigation made by or on behalf of any Indemnified Party or by or on
    behalf of the Company, and (iii) the consummation of the sale or
    successive resales of the Registrable Securities.
<PAGE>
              9.  Information by Holders.  Each Holder shall furnish to the
    Company such information regarding such Holder and the distribution
    and/or sale proposed by such Holder as the Company may reasonably request
    in writing and as shall be reasonably required in connection with any
    registration, qualification or compliance referred to in this Agreement.
    The intended method or methods of disposition and/or sale (Plan of
    Distribution) of such securities as so provided by such Investor shall be
    included without alteration in the Registration Statement covering the
    Registrable Securities and shall not be changed without written consent
    of such Holder.

              10. Replacement Certificates.  The certificate(s) representing
    the shares Common Stock held by any Investor (or then Holder) may be
    exchanged by such Investor (or such Holder) at any time and from time to
    time for certificates with different denominations representing an equal
    aggregate number of shares or Common Stock, as reasonably requested by
    such Investor (or such Holder) upon surrendering the same.  No service
    charge will be made for such registration or transfer or exchange.

              11. Transfer or Assignment.  Except as otherwise provided
    herein, this Agreement shall be binding upon and inure to the benefit of
    the parties and their successors and permitted assigns.  Without limiting
    the foregoing, if the Company merges with and into another corporation in
    a transaction in which the Common Stock holders of the Company receives
    shares of another publicly traded company, the publicly traded company
    issuing such shares will assume the Company's obligations under this
    Agreement as a condition of such merger.  The rights granted to the
    Investors by the Company under this Agreement to cause the Company to
    register Registrable Securities may be transferred or assigned (in whole
    or in part) to a permitted transferee or assignee of Registrable
    Securities or Warrants, and all other rights granted to the Investors by
    the Company hereunder may be transferred or assigned to any such
    transferee or assignee; provided in each case that the Company must be
    given written notice by the such Investor at the time of or within a
    reasonable time after said transfer or assignment, stating the name and
    address of said transferee or assignee and identifying the securities
    with respect to which such registration rights are being transferred or
    assigned; and provided further that the transferee or assignee of such
    rights agrees in writing to be bound by the registration provisions of
    this Agreement.

              12. Miscellaneous.

                   (a)  Remedies.  The Company and the Investors acknowledge
    and agree that irreparable damage would occur in the event that any of
    the provisions of this Agreement were not performed in accordance with
    their specific terms or were otherwise breached.  It is accordingly
    agreed that the parties shall be entitled to an injunction or injunctions
    to prevent or cure breaches of the provisions of this Agreement and to
    enforce specifically the terms and provisions hereof without the
    necessity of posting a bond or surety, this being in addition to any
    other remedy to which any of them may be entitled by law or equity.
<PAGE>
                   (b)  Jurisdiction.  EACH OF THE COMPANY AND EACH OF THE
    INVESTORS (I) HEREBY IRREVOCABLY SUBMITS TO THE EXCLUSIVE JURISDICTION OF
    THE UNITED STATES DISTRICT COURT, THE NEW YORK STATE COURTS AND OTHER
    COURTS OF THE UNITED STATES SITTING IN NEW YORK COUNTY, NEW YORK FOR THE
    PURPOSES OF ANY SUIT, ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO
    THIS AGREEMENT AND (II) HEREBY WAIVES, AND AGREES NOT TO ASSERT IN ANY
    SUCH SUIT, ACTION OR PROCEEDING, ANY CLAIM THAT IT IS NOT PERSONALLY
    SUBJECT TO THE JURISDICTION OF SUCH COURT, THAT THE SUIT, ACTION OR
    PROCEEDING IS BROUGHT IN AN INCONVENIENT FORUM OR THAT THE VENUE OF THE
    SUIT, ACTION OR PROCEEDING IS IMPROPER.  THE COMPANY AND THE INVESTORS
    CONSENT TO PROCESS BEING SERVED IN ANY SUCH SUIT, ACTION OR PROCEEDING BY
    MAILING A COPY THEREOF TO SUCH PARTY AT THE ADDRESS IN EFFECT FOR NOTICES
    TO IT UNDER THIS AGREEMENT AND AGREES THAT SUCH SERVICE SHALL CONSTITUTE
    GOOD AND SUFFICIENT SERVICE OF PROCESS AND NOTICE THEREOF.  NOTHING IN
    THIS PARAGRAPH SHALL AFFECT OR LIMIT ANY RIGHT TO SERVE PROCESS IN ANY
    OTHER MANNER PERMITTED BY LAW.

                   (c)  Notices.  Any notice or other communication required
    or permitted to be given hereunder shall be in writing by facsimile, mail
    or personal delivery and shall be effective upon actual receipt of such
    notice.  The addresses for such communications shall be:

              to the Company:

                   Telular Corporation
                   647 North Lakeview Parkway
                   Vernon Hills, IL  60061
                   Telephone:     (847) 247-9400
                   Facsimile:     (847) 247-0021
                   Attention:     Chief Financial Officer

              with copies to:

                   Covington & Burling
                   1201 Pennsylvania Ave., N.W.
                   Washington, D.C.  20004
                   Telephone:     (202) 662-5258
                   Facsimile:     (202) 662-6291
                   Attention:     Michael E. Cutler, Esq.

              to the Investors:

                   Halifax Fund, L.P.
                   c/o The Palladin Group, L.P.
                   195 Maplewood Avenue
                   Maplewood, New Jersey  07040
                   Telephone:     (973) 313-6400
                   Facsimile:     (973) 313-6493
                   Attention:     Mr. Steven Weiner

                   AND
<PAGE>
                   Elliott Associates, L.P.
                   712 Fifth Avenue
                   New York, New York  10019
                   Telephone:     (212) 974-6000
                   Facsimile:     (212) 974-2092
                   Attention:     Mr. Brett Cohen

                   AND

                   Westgate International, L.P.
                   c/o Stonington Management Corporation
                   712 Fifth Avenue
                   New York, New York  10019
                   Telephone:     (212) 586-2999
                   Facsimile:     (212) 586-9467
                   Attention:     Mr. Brett Cohen

              with copies to:

                   Kleinberg, Kaplan, Wolff & Cohen, P.C.
                   551 Fifth Avenue
                   New York, New York 10176
                   Facsimile:     (212) 986-8866
                   Attention:     Christopher P. Davis, Esq.

    Any party hereto may from time to time change its address for notices by
    giving at least five days' written notice of such changed address to the
    other parties hereto.

                   (d)  Indemnity.  Each party shall indemnify each other
    party against any loss, cost or damages (including reasonable attorney's
    fees) incurred as a result of such parties' breach of any representation,
    warranty, covenant or agreement in this Agreement.

                   (e)  Waivers.  No waiver by any party of any default with
    respect to any provision, condition or requirement of this Agreement
    shall be deemed to be a continuing waiver in the future or a waiver of
    any other provision, condition or requirement hereof, nor shall any delay
    or omission of any party to exercise any right hereunder in any manner
    impair the exercise of any such right accruing to it thereafter.  The
    representations and warranties and the agreements and covenants of the
    Company and each Investor contained herein shall survive the Closing.

                   (f)  Execution in Counterpart.  This Agreement may be
    executed in two or more counterparts, all of which shall be considered
    one and the same agreement, it being understood that all parties need not
    sign the same counterpart.

                   (g)  Publicity.  The Company agrees that it will not
    disclose, and will not include in any public announcement, the name of
    the Investors without their consent, unless and until such disclosure is
    required by law or applicable regulation, and then only to the extent of
    such requirement.  The Company agrees to submit for reasonable review and
    comment a copy of any public announcement regarding the matters covered
    by this Agreement or any agreement or document executed herewith to the
    Investors and any public announcement including the name of the Investors
    to the Investors, prior to the publication of such announcements.
<PAGE>
                   (h)  Entire Agreement; Amendment.  This Agreement, together
    with the Purchase Agreement, the Warrants and the agreements and
    documents contemplated hereby and thereby, contains the entire
    understanding and agreement of the parties, and may not be amended,
    modified or terminated except by a written agreement signed by the
    Company plus the Holders of two-thirds (2/3) of the Registrable
    Securities (as if all are Warrants were exercised).

                   (i)  Governing Law.  THIS AGREEMENT AND THE VALIDITY AND
    PERFORMANCE OF THE TERMS HEREOF SHALL BE GOVERNED BY AND CONSTRUED IN
    ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS
    EXECUTED AND TO BE PERFORMED ENTIRELY WITHIN SUCH STATE, EXCEPT TO THE
    EXTENT THAT THE LAW OF THE STATE OF DELAWARE REGULATES THE COMPANY'S
    ISSUANCE OF SECURITIES.

                   (j)  Titles.  The titles used in this Agreement are used
    for convenience only and are not to be considered in construing or
    interpreting this Agreement.

                   (k)  Unconditional Obligation.  The obligations of the
    Company hereunder are unconditional and no alleged claim against the
    Investors shall excuse the Company from its obligations hereunder
    (without prejudice to the Company's right to commence an action against
    the Investors to assert any such claims).
<PAGE>
                            [Signature Page Follows]

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
    be duly executed as of the date first above written.

                             TELULAR CORPORATION

                             By:
                             Name:
                             Title:

                        INVESTORS:

                        HALIFAX FUND, L.P.

                        By:  THE PALLADIN GROUP, L.P.
                                 Attorney-in-Fact

                        By:  PALLADIN CAPITAL MANAGEMENT, LLC
                                 General Partner

                             By:
                                  Name:
                                  Title:

                        ELLIOTT ASSOCIATES, L.P.

                        By:
                                  Elliot Greenberg
                                  Title:

                        By:  WESTGATE INTERNATIONAL, L.P.

                        By:  MARTLEY INTERNATIONAL, INC.
                             As Attorney-in-Fact

                             By:
                                  Elliot Greenberg
                                  Vice PresidentM A N A G E M E N T   A G R E E M E N T
                    ---------------------------------------

OWNER:             Secured Investment Resources Fund, L.P., III

AGENT:             Maxus Properties, Inc.

PREMISES:          Bicycle Club Apartments
                   7909 N. Granby
                   Kansas City, Missouri 64151

BEGINNING:         January 1, 1999

ENDING:            January 1, 2004

<PAGE>

   IN  CONSIDERATION  of the  covenants  herein  contained,  Secured  Investment
Resources Fund L.P., III,  (hereinafter  called "OWNER"),  and Maxus Properties,
Inc. (hereinafter called "AGENT"), agree as follows:

   1. The OWNER  hereby  employs  the AGENT  exclusively  to rent and manage the
property known as Bicycle Club Apartments  (hereinafter the "Premises") upon the
terms and conditions  hereinafter set forth,  for a term of 3 years beginning on
January 1, 1999 and ending on January 1, 2004, and thereafter for yearly periods
from time to time,  unless on or  before  30 days  prior to the date last  above
mentioned  or on or before 30 days prior to the  expiration  of any such renewal
period,  either party hereto shall notify the other in writing that it elects to
terminate  this  Agreement,  in which  case  this  Agreement  shall  be  thereby
terminated on said last mentioned date. (See also Paragraph 6.3 below.)

   2. THE AGENT AGREES:

   2.1 To accept the management of the Premises,  to the extent, for the period,
and upon the terms  herein  provided  and agrees to furnish the  services of its
organization for the rental operation and management of the Premises.

   2.2 To prepare a monthly  statement  of  receipts  and  disbursements  and to
remit,  on a monthly  basis,  the net cash flow  generated by the Premises after
payment  of  all  operating  expenses,  debt  service  and  escrow  payments  if
applicable, to the following party:

                  Secured Investment Resources Fund L.P., III
                  c/o David L. Johnson
                  P.O. Box 26730
                  Kansas City, MO 64196

In the  event  total  monthly  disbursements  are in  excess  of  total  monthly
receipts,  the OWNER  shall  promptly  provide  funds to cover such  shortfalls.
Nothing  contained  herein shall  obligate the AGENT to advance its own funds on
behalf of the OWNER to cover any shortfalls.

   2.3 To cause all employees of the AGENT who handle or are responsible for the
safekeeping  of any monies of the OWNER to be  covered by a fidelity  bond in an
amount and with a company determined by the AGENT.

                                        2
<PAGE>

   3. THE OWNER AGREES:

   To give the AGENT the following authority and powers (all or any of which may
be  exercised  in the name of the OWNER) and  agrees to assume all  expenses  in
connection therewith:

   3.1 To advertise the Premises or any part  thereof;  to display signs thereon
and to  rent  the  same;  to  cause  references  of  prospective  tenants  to be
investigated;  to sign  leases  for terms not in excess of one year and to renew
and/or cancel the existing leases and prepare and execute the new leases without
additional charge to the OWNER;  provided;  however,  that the AGENT may collect
from tenant all or any of the following:  a late rent  administrative  charge, a
non-negotiable  check  charge,  credit  report fee, a subleasing  administrative
charge and/or  broker's  commission and need not account for such charges and/or
commission  to the  OWNER;  to  terminate  tenancies  and to sign and serve such
notices as are deemed needful by the AGENT;  to institute and prosecute  actions
to oust  tenants  and to  recover  possession  of the  Premises;  to sue for and
recover  rent;  and, when  expedient,  to settle,  compromise,  and release such
actions or suits, or reinstate such  tenancies.  OWNER shall reimburse AGENT for
all expenses of litigation  including  attorneys'  fees,  filing fees, and court
costs which AGENT does not recover from  tenants.  AGENT may select the attorney
of its choice to handle such litigation.

   3.2 To hire, discharge, and pay all managers,  engineers,  janitors and other
employees;  to make or cause to be made all  ordinary  repairs and  replacements
necessary  to  preserve  the  Premises  in its  present  condition  and  for the
operating  efficiency thereof and all alterations  required to comply with lease
requirements,  and to do decorating on the Premises;  to negotiate contracts for
nonrecurring  items not exceeding  $5,000 and to enter into  agreements  for all
necessary repairs,  maintenance,  minor alterations and utility services; and to
purchase  supplies  and pay bills.  AGENT shall secure the approval of the OWNER
for items,  except monthly or recurring  operating charges and emergency repairs
in excess of the  maximum,  if, in the  opinion of the AGENT,  such  repairs are
necessary  to protect the  property  from damage or to maintain  services to the
tenants as called for by their tenancy.

   3.3 To collect rents and/or  assessments and other items due or to become due
and give receipts  therefor and to deposit all funds collected  hereunder in the
AGENT's custodial account.

   3.4 AGENT agrees to collect all tenant  security  deposits.  OWNER  instructs
AGENT to deposit all security deposits in the general operating  accounts of the
property.  AGENT is not to  segregate  the  security  deposits  into a  separate
account or into an escrow account.

                                        3

<PAGE>

   3.5 To execute and file all returns and other  instruments and do and perform
all acts required of the OWNER as an employer with respect to the Premises under
the Federal Insurance  Contributions Acts, the Federal  Unemployment Tax Act and
Subtitle C of the  Internal  Revenue  Code of 1954 with respect to wages paid by
the AGENT on behalf of the OWNER and under any similar federal and state law now
or hereafter in force (and in connection therewith the OWNER agrees upon request
to promptly  execute and deliver to the AGENT all necessary  powers of attorney,
notices of appointment, and the like).

   3.6 The AGENT  shall not be  required  to advance  any monies for the care or
management  of said  property,  and the  OWNER  agrees  to  advance  all  monies
necessary therefor.  If the AGENT shall elect to advance any money in connection
with the property,  the OWNER agrees to reimburse the AGENT forthwith and hereby
authorizes the AGENT to deduct such advances from any monies due the OWNER.  The
AGENT,  shall, upon instruction from the OWNER,  impound reserves each month for
the payment of real estate taxes,  insurance,  or any other special expenditure.
In addition, the OWNER agrees to establish a permanent Operating Reserve Account
with the AGENT in the amount of $ Not Applicable .

   4. THE OWNER FURTHER AGREES:

   4.1 To  indemnify,  defend  and save the  AGENT  harmless  from all  suits in
connection  with the  Premises  and from  liability  for damage to property  and
injuries to or death of any employee or other person whomsoever, and to carry at
his (its) own expense  public  liability,  elevator  liability (if elevators are
part of the equipment of the  Premises),  and workmen's  compensation  insurance
naming  the OWNER and  AGENT,  adequate  to  protect  their  interests  in form,
substance,  and amounts reasonably  satisfactory to the AGENT, and to furnish to
the AGENT  certificates  evidencing the existence of such insurance.  Unless the
OWNER shall provide such insurance and furnish such  certificate  within 30 days
from the date of this  Agreement,  the AGENT may, but shall not be obligated to,
place said  insurance  and charge the cost  thereof to the account of the OWNER.
All such  insurance  policies  shall provide that the AGENT shall receive thirty
(30) days' written notice prior to cancellation of the policy.

   4.2 To pay all expenses incurred by the AGENT, including, but not limited to,
reasonable  attorneys'  fees and AGENT's costs and time in  connection  with any
claim,  proceeding,  or suit involving an alleged  violation by the AGENT or the
OWNER, or both, of any law pertaining to fair employment, fair credit reporting,
environmental protection,  rent control, taxes, or fair housing,  including, but
not limited to, any law prohibiting, or making illegal,

                                        4

<PAGE>

discrimination  on the basis of race,  sex,  creed,  color,  religion,  national
origin, or mental or physical handicap,  provided, however, that the OWNER shall
not be  responsible to the AGENT for any such expenses in the event the AGENT is
finally  adjudicated to have personally,  and not in a representative  capacity,
violated any such law.  Nothing  contained  herein  shall  obligate the AGENT to
employ  counsel to represent the OWNER in any such  proceeding or suit,  and the
OWNER may elect to employ counsel to represent the OWNER in any such  proceeding
or suit.  The OWNER also agrees to pay  reasonable  expenses (or an  apportioned
amount of such  expenses  where other  employers  of AGENT also benefit from the
expenditure)   incurred  by  the  AGENT  in  obtaining  legal  advice  regarding
compliance with any law affecting the premises or activities related thereto.

   4.3 To  indemnify,  defend,  and save the  AGENT  harmless  from all  claims,
investigations, and suits, or from actions or failures to act of the OWNER, with
respect to any alleged or actual  violation of state or federal  labor laws,  it
being  expressly  agreed and understood that as between the OWNER and the AGENT,
all persons employed in connection with the Premises are employees of the OWNER,
not the AGENT.  However,  it shall be the  responsibility of the AGENT to comply
with all applicable  state or federal labor laws. The OWNER's  obligation  under
this  paragraph  4.3 shall include the payment of all  settlements,  judgements,
damages,  liquidated damages,  penalties,  forfeitures,  back pay awards,  court
costs, litigation expense, and attorneys' fees.

   4.4 To give adequate advance written notice to the AGENT if the OWNER desires
that the AGENT make payment, out of the proceeds from the premises,  or mortgage
indebtedness,  general taxes, special assessments, or fire, steam boiler, or any
other insurance premiums. In no event shall the AGENT be required to advance its
own money in payment of any such indebtedness, taxes, assessments, or premiums.

   5. THE OWNER AGREES TO PAY THE AGENT EACH MONTH:

   5.1 MANAGEMENT:  OWNER agrees to pay AGENT for the ordinary management of the
Premises Five percent (5.0%) of the monthly gross receipts from the operation of
the Premises during the period this Agreement  remains in full force and effect.
Gross  receipts  are all amounts  received  from the  operation  of the Premises
including, but not limited to, rents, parking fees, deposits, laundry income and
fees.

   5.2 OTHER ITEMS OF MUTUAL  AGREEMENT:  In the event OWNER  requests and AGENT
agrees to perform  services  outside  the scope of  ordinary  management  of the
Premises,  the  parties  will  agree to a fee and  payment  structure  for these
services prior to commencement of the work.

                                        5

<PAGE>

   6. IT IS MUTUALLY AGREED THAT:

   6.1 The OWNER  expressly  withholds  from the AGENT any power or authority to
make  any  structural  changes  in any  building  or to  make  any  other  major
alterations or additions in or to any such building or equipment therein,  or to
incur any expense  chargeable to OWNER other than expenses related to exercising
the express powers above vested in AGENT without the prior written  direction of
an authorized  representative  of OWNER.  AGENT is granted the authority to make
structural  changes or major alterations if such actions are required because of
danger to life or which  are  immediately  necessary  for the  preservation  and
safety of the Premises or the safety of the occupants thereof or are required to
avoid the suspension of any necessary service to the Premises.

   6.2 The AGENT does not assume and is given no  responsibility  for compliance
of any building on the Premises or any equipment  therein with the  requirements
of any statute,  ordinance, law or regulation of any governmental body or of any
public authority or

official  thereof  having  jurisdiction,  except to notify the OWNER promptly or
forward to the OWNER promptly any complaints,  warnings,  notices,  or summonses
received by it relating to such matters.  The OWNER  represents that to the best
of his (its)  knowledge  the  Premises and such  equipment  comply with all such
requirements  and  authorizes  the AGENT,  its  representatives,  servants,  and
employees,  of and from all loss, cost, expense,  and liability whatsoever which
may be  imposed  on them  or any of them by  reason  of any  present  or  future
violation  or  alleged  violation  of  such  laws,   ordinances,   statutes,  or
regulations.

   6.3 In the event it is alleged or charged  that any  building on the Premises
or any equipment  therein or any act or failure to act by the OWNER with respect
to the Premises or the sale, rental or other disposition thereof fails to comply
with,  or is in  violation  of,  any of  the  requirements  of a  constitutional
provision, statute, ordinance, law or regulation of any governmental body or any
order or ruling of any public  authority or official  thereof having or claiming
to have  jurisdiction  thereover,  and  the  AGENT,  in its  sole  and  absolute
discretion,  considers  that the action or position  of the OWNER or  registered
managing  AGENT with  respect  thereto may result in damage or  liability to the
AGENT,  the AGENT shall have the right to cancel this  Agreement  at any time by
written notice to the OWNER of its election so to do, which  cancellation  shall
be  effective  upon the  service  of such  notice.  Such  notice  may be  served
personally  or by  registered  mail,  on or to the person  named to receive  the
AGENT's monthly statement at the address  designated for such person as provided
in Paragraph 2.2 above, and if service by mail shall be deemed to have

                                        6
<PAGE>

been served when deposited in the U.S. Mail. Such cancellation shall not release
the  indemnities  of the OWNER set forth in  Paragraph 4 and 6.2 above and shall
not  terminate  any  liability or  obligation  of the OWNER to the AGENT for any
payment,  reimbursement, or other sum of money then due and payable to the AGENT
hereunder.

   7. This  Agreement  may be  cancelled by OWNER  before the  termination  date
specified in Paragraph 1 on not less than 30 days' prior  written  notice to the
AGENT.

   8. The OWNER  shall pay or  reimburse  the AGENT for any sums of money due it
under  this   Agreement   for  service  for   actions   prior  to   termination,
notwithstanding  any  termination  of this  Agreement.  All  provisions  of this
Agreement  that  require the OWNER to have insured or to defend,  reimburse,  or
indemnify the AGENT  (including,  but not limited to,  Paragraphs  4.1, 4.2, and
4.3) shall survive any termination  and, if AGENT is or becomes  involved in any
proceeding  or  litigation  by reason of having  been the  OWNER's  agent,  such
provisions  shall apply as if this Agreement  were still in effect.  The parties
understand  and agree that the AGENT may  withhold  funds for  thirty  (30) days
after the end of the month in which the  Agreement  is  terminated  to pay bills
previously incurred but not yet invoiced and to close accounts.

   This Agreement  shall be binding upon the successors and assigns of the AGENT
and their  heirs,  administrators,  executors,  successors,  and  assigns of the
OWNER.

                                        7

<PAGE>

   IN WITNESS  THEREOF,  the parties hereto have affixed or caused to be affixed
their respective signatures effective this 1st day of January, 1999.

                           OWNER:   Secured Investment Resources Fund, L.P. III

                                    By: /s/ Christine Robinson
                                            Christine Robinson, President
                                            Nichols Resources, Ltd.
                                            General Partner of
                                            Secured Investment Resources
                                              Fund, L.P. III

                           AGENT:   Firm: Maxus Properties, Inc.

                                    By: /s/ Daniel W. Pishny
                                            Daniel W. Pishny
                                            President

                                        8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}]]