Document:

sec document

                                                                    Exhibit 10.1

                            STOCK PURCHASE AGREEMENT

                                  by and among

                      CHOICEPOINT GOVERNMENT SERVICES INC.,

                                CHOICEPOINT INC.

                                       and

                            GLOBALOPTIONS GROUP, INC.

                          Dated as of February 28, 2007

                                TABLE OF CONTENTS

Section 1.  Purchase of Shares................................................1
      1.1   Transfer of Shares................................................1
      1.2   Purchase Price....................................................1
      1.3   Payment of Purchase Price.........................................1
      1.4   Adjustments to Purchase Price.....................................1

Section 2.  Closing; Further Assurances; Related Matters......................3
      2.1   Closing...........................................................3
      2.2   Instruments of Conveyance.........................................3
      2.3   Further Assurances................................................4
      2.4   Corporate Services................................................4

Section 3.  Representations and Warranties of ChoicePoint.....................4
      3.1   Organization......................................................4
      3.2   Authorization.....................................................5
      3.3   Absence of Restrictions and Conflicts.............................5
      3.4   Capitalization....................................................5
      3.5   Ownership of Assets and Related Matters...........................6
      3.6   Financial Statements..............................................7
      3.7   No Undisclosed Liabilities........................................7
      3.8   Absence of Certain Changes........................................7
      3.9   Legal Proceedings.................................................7
      3.10  Licenses, Permits, and Compliance with Law........................7
      3.11  Company Contracts.................................................8
      3.12  Tax Returns; Taxes................................................9
      3.13  ERISA and Related Matters........................................10
      3.14  Labor Matters....................................................11
      3.15  Intellectual Property............................................11
      3.16  Customers; Suppliers.............................................11
      3.17  Brokers, Finders, and Investment Bankers.........................12
      3.18  Books and Records................................................12
      3.19  Prepayments and Deposits.........................................12

Section 4.  Representations and Warranties of Buyer..........................12
      4.1   Organization.....................................................12
      4.2   Authorization....................................................12
      4.3   Absence of Restrictions and Conflicts............................13
      4.4   Brokers, Finders, and Investment Bankers.........................13
      4.5   Purchase for Investment..........................................13
      4.6   Litigation.......................................................13
      4.7   Availability of Funds............................................13

Section 5.  Additional Covenants and Agreements..............................13
      5.1   Fees and Expenses................................................14
      5.2   Confidentiality..................................................14

      5.3   Employees; Employee Benefits.....................................14
      5.4   Use of Corporate Names and Trademarks............................15
      5.5   Lease Guaranty...................................................16
      5.6   Retention of Records.............................................16
      5.7   Audited Financials...............................................16
      5.8   Limited Representations and Warranties...........................16

Section 6.  Restrictive Covenants............................................17
      6.1   Definitions......................................................17
      6.2   Noncompetition...................................................17
      6.3   Nonsolicitation of Company Employees.............................18
      6.4   Severability.....................................................18
      6.5   Injunctive Relief................................................18

Section 7.  Contemporaneous Actions..........................................18
      7.1   Stock Certificates...............................................18
      7.2   Purchase Price...................................................19
      7.3   Resignations of Directors and Officers...........................19
      7.4   Transition Services Agreement....................................19

Section 8.  Indemnification..................................................19
      8.1   Indemnification Obligations of ChoicePoint.......................19
      8.2   Indemnification Obligations of Buyer.............................19
      8.3   Indemnification Procedure........................................19
      8.4   Claims Period....................................................21
      8.5   Threshold Amount; Limitation Amount..............................21
      8.6   Limitations on Indemnification...................................21
      8.7   Exclusive Remedy.................................................22

Section 9.  Tax Matters......................................................22
      9.1   Preparation and Filing of Tax Returns............................22
      9.2   Payment of Taxes.................................................23
      9.3   Tax Sharing Agreements...........................................23
      9.4   Carryforwards and Carrybacks.....................................23
      9.5   Refunds..........................................................24
      9.6   Tax Cooperation..................................................24
      9.7   Tax Indemnification..............................................24
      9.8   Tax Contests.....................................................25
      9.9   Definitions......................................................26

Section 10. Miscellaneous....................................................26
      10.1  Notices..........................................................26
      10.2  Attachments......................................................27
      10.3  Successors in Interest...........................................27
      10.4  Number; Gender; Currency.........................................28
      10.5  Captions.........................................................28
      10.6  Knowledge........................................................28

                                      -ii-

      10.7  Controlling Law; Integration; Amendment..........................28
      10.8  Submission to Jurisdiction.......................................28
      10.9  Severability.....................................................29
      10.10 Counterparts.....................................................29
      10.11 Enforcement of Certain Rights....................................29
      10.12 Guaranty.........................................................29

                                     -iii-

                            STOCK PURCHASE AGREEMENT

      THIS STOCK PURCHASE AGREEMENT (this "AGREEMENT"), dated as of the 28th day
of February, 2007 (the "EFFECTIVE DATE"), is made and entered into by and among
CHOICEPOINT GOVERNMENT SERVICES INC., a Georgia corporation ("CHOICEPOINT"),
CHOICEPOINT INC., a Georgia corporation ("PARENT"), and GLOBALOPTIONS GROUP,
INC, a Delaware corporation ("BUYER").

                             W I T N E S S E T H:
                             - - - - - - - - - -

      WHEREAS, ChoicePoint owns all of the outstanding shares of capital
stock of The Bode Technology Group, Inc., a Virginia corporation (the
"Company");

      WHEREAS, the Company is engaged in the business (the "BUSINESS") of
providing forensic DNA analysis, proprietary DNA collection products, and
related research services to law enforcement agencies, federal and state
governments, crime laboratories and disaster management organizations; and

      WHEREAS, subject to the terms and conditions of this Agreement,
ChoicePoint desires to sell, and Buyer desires to purchase, all of the
outstanding shares of capital stock of the Company.

      NOW, THEREFORE, in consideration of the premises and the mutual promises
and agreements contained herein, the parties hereto, intending to be legally
bound, hereby agree as follows:

      SECTION 1.  PURCHASE OF SHARES.

      1.1   TRANSFER OF SHARES. Contemporaneously with the execution and
delivery of this Agreement, ChoicePoint hereby sells, assigns, transfers, and
delivers to Buyer, and Buyer hereby purchases from ChoicePoint, 1,000 shares of
common stock of the Company (the "SHARES"), which Shares constitute all of the
outstanding shares of capital stock of the Company.

      1.2   PURCHASE PRICE. Contemporaneously with the execution and delivery of
this Agreement, in consideration for all of the Shares, subject to adjustments
pursuant to Section 1.4, the purchase price (the "PURCHASE PRICE") for the
Shares shall be Twelve Million Five Hundred Thousand ($12,500,000), which shall
be paid in accordance with Section 1.3.

      1.3   PAYMENT OF PURCHASE PRICE.  Contemporaneously with the execution
and delivery of this Agreement, Buyer shall pay the Purchase Price to
ChoicePoint by wire transfer of immediately available funds to the following
account: Wachovia Bank, N.A., Account No. 2079900421653, Account Name
ChoicePoint Inc. - Master Account.

      1.4   ADJUSTMENTS TO PURCHASE PRICE.

            (a) DEFINITION OF "NET WORKING CAPITAL." For purposes of this
      Section 1.4, the term "NET WORKING CAPITAL" means the aggregate amount of

      the current assets of the Company MINUS the aggregate amount of the
      current liabilities of the Company, in each case as determined as of the
      Effective Date in accordance with generally accepted accounting principles
      in the United States applied consistently with past practices ("GAAP") and
      the guidelines attached hereto as EXHIBIT A (the "WORKING CAPITAL
      GUIDELINES").

            (b) PREPARATION OF PROPOSED CLOSING STATEMENT. Within sixty (60)
      days after the Effective Date, Buyer shall prepare and deliver to
      ChoicePoint, at the sole expense of Buyer, a closing statement of the
      Company as of the Effective Date (the "PROPOSED CLOSING STATEMENT"), which
      Proposed Closing Statement shall set forth in reasonable detail the
      proposed calculation of the Net Working Capital and shall be substantially
      in the form attached hereto as EXHIBIT B. Buyer shall make available to
      ChoicePoint for review and copying all books, records and work papers
      relating to the Proposed Closing Statement. The Proposed Closing Statement
      shall be prepared in accordance with the Working Capital Guidelines.

            (c) EXAMINATION OF STATEMENTS. ChoicePoint shall review the Proposed
      Closing Statement to confirm the accuracy thereof and of Buyer's
      calculation of the Net Working Capital, as applicable. If ChoicePoint
      fails to give Buyer written notice of any disputed amounts within
      forty-five (45) days after ChoicePoint receives the Proposed Closing
      Statement (the "REVIEW PERIOD") or if ChoicePoint gives Buyers written
      notice (the "ACCEPTANCE NOTICE") during the Review Period that ChoicePoint
      accepts the Proposed Closing Statement as being accurate, then the
      Proposed Closing Statement shall become the "Final Closing Statement" (as
      hereinafter defined) for purposes hereof as of the earlier of (i) the date
      Buyer receives the Acceptance Notice or (ii) the last day of the Review
      Period (the earlier of such dates being referred to herein as the
      "ACCEPTANCE DATE"). If ChoicePoint gives Buyer written notice of any
      disputed items within the Review Period, ChoicePoint and Buyer shall
      attempt in good faith to agree on any adjustments that should be made to
      the Proposed Closing Statement in order to reflect the Net Working
      Capital. If ChoicePoint and Buyer are unable to resolve any disputed
      amounts within sixty (60) days after ChoicePoint receives the Proposed
      Closing Statement, ChoicePoint and Buyer will engage the Atlanta, Georgia
      office of Ernst & Young LLP (or such other independent accounting firm of
      national standing that the parties shall mutually designate) (as
      applicable, the "AUDIT FIRM") to resolve any such disputed matters in
      accordance with the terms of this Agreement. The decision of the Audit
      Firm shall be made, if possible, within thirty (30) days after being
      engaged, and, in any event, shall be final and binding on the parties. The
      Proposed Closing Statement shall be revised, if necessary, to reflect the
      final determination of the Net Working Capital (the final form of the
      Proposed Closing Statement, including any revisions which are made thereto
      pursuant to this Section 1.4(c), is referred to herein as the "FINAL
      CLOSING STATEMENT"). Such revisions, if any, shall be made by Buyer within
      five (5) business days after any disputes with respect to the Proposed
      Closing Statement have been resolved in accordance with this Section
      1.4(c), and a copy of the Final Closing Statement shall be promptly
      delivered by Buyer to ChoicePoint. For purposes of this Section 1.4, the
      "FINAL DETERMINATION DATE" shall be deemed to be the earlier of (i) the
      Acceptance Date or (ii) the date as of which ChoicePoint receives the
      Final Closing Statement from Buyer pursuant to this Section 1.4(c).

                                      -2-

            (d) ADJUSTMENTS. The parties hereto acknowledge that the
      consideration being paid to ChoicePoint pursuant to Section 1.2 is based
      on the assumption that the Net Working Capital shall be $7,546,000 (the
      "ASSUMED WORKING CAPITAL"). Accordingly, the parties hereto agree that if
      the Net Working Capital as reflected on the Final Closing Statement is
      less than the Assumed Working Capital (the amount of such shortfall, if
      any, is hereinafter referred to as the "WORKING CAPITAL DEFICIT"),
      ChoicePoint shall pay to Buyer an amount equal to the Working Capital
      Deficit (such payment being hereinafter referred to as a "DEFICIT
      PAYMENT"). The Deficit Payment, if any, shall be paid to Buyer within ten
      (10) days of the Final Determination Date. If the Net Working Capital as
      reflected on the Final Closing Statement is greater than the Assumed
      Working Capital (the amount of such excess is hereinafter referred to as
      the "WORKING CAPITAL SURPLUS"), Buyer shall pay to ChoicePoint an amount
      equal to the Working Capital Surplus (such payment being hereinafter
      referred to as a "SURPLUS PAYMENT"). The Surplus Payment, if any, shall be
      paid by Buyer to ChoicePoint within ten (10) days of the Final
      Determination Date. Any adjustments pursuant to this Section 1.4 shall
      constitute adjustments to the Purchase Price for Tax (as hereinafter
      defined) purposes.

            (e) EXPENSES OF AUDIT FIRM. In the event the parties submit any
      unresolved objections to the Audit Firm for resolution as provided in
      Section 1.4(c) above, Buyer, on the one hand, and ChoicePoint, on the
      other hand, will bear responsibility for the fees and expenses of the
      Audit Firm with respect to this Section 1.4 as follows:

                  (i) If the Audit Firm resolves the remaining objections, based
            on aggregate dollar values involved with respect to such objections,
            in favor of ChoicePoint, Buyer will be responsible for all such fees
            and expenses of the Audit Firm;

                  (ii) If the Audit Firm resolves the remaining objections,
            based on aggregate dollar values involved with respect to such
            objections, in favor of Buyer, ChoicePoint will be responsible for
            all such fees and expenses of the Audit Firm; and

                  (iii) If the Audit Firm resolves the remaining objections,
            based on aggregate dollar values involved with respect to such
            objections, in a manner which evenly divides those values between
            Buyer and ChoicePoint, Buyer and ChoicePoint shall each be
            responsible for one-half of all such fees and expenses of the Audit
            Firm.

      SECTION 2.  CLOSING; FURTHER ASSURANCES; RELATED MATTERS.

      2.1   CLOSING. The closing of the transactions contemplated by this
Agreement (the "CLOSING") shall take place contemporaneously with the execution
and delivery of this Agreement via facsimile or electronic transmission as of
the Effective Date.

      2.2   INSTRUMENTS OF CONVEYANCE. At the Closing, ChoicePoint shall deliver
any and all stock certificates representing the Shares to Buyer, duly endorsed
in blank (or accompanied by duly executed stock powers).

                                      -3-

      2.3   FURTHER ASSURANCES. Each party hereto shall, on the Effective Date
and from time to time thereafter, at any other party's reasonable request and
without further consideration, execute and deliver to such other party such
instruments of transfer, conveyance, and assignment in addition to those
delivered pursuant to Section 2.2 as shall be reasonably requested to transfer,
convey, and assign the Shares to Buyer and otherwise to effect the transactions
contemplated by this Agreement.

      2.4   CORPORATE SERVICES. At the Closing, except as set forth in the
Transition Services Agreement (as hereinafter defined) all arrangements for the
provision of data processing, accounting, insurance, treasury, human resources,
employee benefit programs, legal, tax compliance, communications (data and
voice), investor and media relations, real estate, corporate finance, payroll,
and other similar services to the Company by ChoicePoint or any of its
Affiliates (as hereinafter defined) (other than the Company), including any
agreements or understandings (written or oral) with respect thereto, shall
terminate. It is expressly understood that title to all assets and other
properties of ChoicePoint or its Affiliates (other than the Company) used to
provide any such data processing, accounting, insurance, treasury, human
resources, employee benefit programs, legal, tax compliance, communications
(data and voice), investor and media relations, real estate, corporate finance,
payroll, and other similar services to the Company (the "EXCLUDED ASSETS") shall
not be transferred to the Company or Buyer but shall be retained by ChoicePoint
or its Affiliates. As used herein, "AFFILIATE" of any specified Person (as
hereinafter defined) means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified
Person. For purposes of this Agreement, (a) "CONTROL", when used with respect to
any specified Person, means the power to direct the management and policies of
such Person, directly or indirectly, whether through the ownership of voting
securities, by contract, or otherwise, (b) "CONTROLLING" and "CONTROLLED" have
meanings correlative to the foregoing, and (c) "PERSON" means any individual,
corporation, partnership, limited liability company, joint venture, trust,
unincorporated organization, or other entity or any government or any agency or
political subdivision thereof.

      SECTION 3.  REPRESENTATIONS AND WARRANTIES OF CHOICEPOINT.

      Except as set forth in the disclosure schedules attached hereto (the
"DISCLOSURE SCHEDULE"), ChoicePoint hereby represents and warrants to Buyer as
follows:

      3.1   ORGANIZATION. Each of ChoicePoint, Parent, and the Company is a
corporation duly organized, validly existing, and in good standing under the
laws of the jurisdiction of its organization. The Company has all requisite
corporate power and authority to own, lease, and operate its properties and to
carry on its business as now being conducted. The Company is duly qualified to
transact business and is in good standing as a foreign entity in each
jurisdiction where the character of its activities requires such qualification,
except where the failure to so qualify would not have a Material Adverse Effect
(as hereinafter defined). As used in this Agreement, the term "MATERIAL ADVERSE
EFFECT" means any change or effect that is materially adverse to the financial
condition, business, or results of operations of the Company, taken as a whole;
PROVIDED, HOWEVER, that a Material Adverse Effect shall not include any change
in or effect upon the financial condition, business, or results of operations of
the Company, directly or indirectly, arising out of, attributable to or as a
consequence of: (a) conditions, events or circumstances affecting the forensics
industry in general or the overall U.S. or global economy; (b) the effect of any

                                      -4-

war, act of terrorism, civil unrest or similar event; (c) any generally
applicable change in law, rule or regulation or GAAP or interpretation thereof;
or (d) the announcement or consummation of either the execution of this
Agreement or the transactions contemplated hereunder.

      3.2   AUTHORIZATION. Each of ChoicePoint and Parent has the corporate
power and authority to execute and deliver this Agreement and each other
certificate, agreement, document or instrument to be executed and delivered by
ChoicePoint in connection with the transactions contemplated by this Agreement
(the "CHOICEPOINT ANCILLARY DOCUMENTS"), and to perform its obligations
hereunder and thereunder. The execution and delivery of this Agreement and the
ChoicePoint Ancillary Documents and the performance by ChoicePoint and Parent of
their respective covenants and agreements hereunder and thereunder have been
duly and validly authorized by all necessary corporate action of ChoicePoint and
Parent. This Agreement and the ChoicePoint Ancillary Documents have been duly
executed and delivered by ChoicePoint and Parent and constitute the valid and
binding agreements of ChoicePoint and Parent, as applicable, enforceable against
ChoicePoint and Parent, as applicable, in accordance with their respective
terms, except that (a) such enforcement may be subject to any bankruptcy,
insolvency, reorganization, moratorium, fraudulent transfer or other laws, now
or hereafter in effect, relating to or limiting creditors' rights generally and
(b) the remedy of specific performance and injunctive and other forms of
equitable relief may be subject to equitable defenses and to the discretion of
the court before which any proceeding therefor may be brought.

      3.3   ABSENCE OF RESTRICTIONS AND CONFLICTS. Except as set forth in
SECTION 3.3 OF THE DISCLOSURE SCHEDULE, the execution, delivery, and performance
of this Agreement and the ChoicePoint Ancillary Documents, the consummation of
the transactions contemplated by this Agreement and the ChoicePoint Ancillary
Documents, and the fulfillment of and compliance with the terms and conditions
of this Agreement and the ChoicePoint Ancillary Documents do not violate or
conflict with, constitute a breach of or default under, or permit the
acceleration of any obligation under, (a) any term or provision of the charter
documents or bylaws of ChoicePoint, Parent, or the Company, (b) any judgment,
decree, or order of any court or governmental authority or agency to which
ChoicePoint, Parent, or the Company is a party or (c) any Company Contract (as
hereinafter defined), excluding from the foregoing clause (c) any such
violations, conflicts, breaches, defaults and rights that (i) would not have a
Material Adverse Effect or (ii) become applicable solely as a result of any acts
or omissions by, or the status of or any facts pertaining to, Buyer. Except as
set forth in SECTION 3.3 OF THE DISCLOSURE SCHEDULE, no consent, approval,
order, or authorization of, or registration, declaration, or filing with, any
governmental agency or public or regulatory unit, agency, body, or authority
with respect to ChoicePoint, Parent or the Company is required in connection
with the execution, delivery, or performance of this Agreement or the
consummation of the transactions contemplated by this Agreement.

      3.4   CAPITALIZATION.

            (a) The authorized capital stock of the Company consists solely of
      1,000 shares of common stock, $1.00 par value per share. The Shares
      constitute all of the issued and outstanding capital stock of the Company.
      The Shares have been duly authorized, validly issued, fully paid,

                                      -5-

      nonassessable, and have not been issued in violation of preemptive rights.
      The Company does not own, beneficially or otherwise, directly or
      indirectly, any capital stock of, or other securities, equity or ownership
      interest in, nor does the Company have any obligation to form or
      participate in, any corporation, partnership or other Person.

            (b) ChoicePoint has good and marketable title to, and is the record
      owner of, the Shares, free and clear of any and all liens, pledges,
      leases, security interests, and encumbrances (hereinafter collectively
      referred to as "LIENS").

            (c) There are no subscriptions, options, convertible securities,
      calls, puts, rights, warrants, or other agreements, claims, or commitments
      of any nature whatsoever obligating the Company to purchase, redeem,
      issue, transfer, deliver, or sell, or cause to be purchased, redeemed,
      issued, transferred, delivered, or sold, additional shares or other
      securities of the Company. There are no dividends which have accrued or
      been declared but are unpaid on the shares or equity of the Company, and
      there are no stock appreciation, phantom stock, or similar rights with
      respect to the shares or equity of the Company.

      3.5   OWNERSHIP OF ASSETS AND RELATED MATTERS.

            (a) REAL PROPERTY.

                  (i) The Company does not currently own, and has not previously
            owned, any real property.

                  (ii) SECTION 3.5(A)(II) OF THE DISCLOSURE SCHEDULE sets forth
            a correct and complete list of all leases and agreements granting
            the Company possession of or rights to real property (the "REAL
            PROPERTY LEASES").

            (b) PERSONAL PROPERTY. SECTION 3.5(B) OF THE DISCLOSURE SCHEDULE
      sets forth a correct and complete list of all leases and agreements
      granting the Company possession of or rights to personal property and
      requiring lease payments in excess of $50,000 per annum (the "PERSONAL
      PROPERTY LEASES").

            (c) OWNERSHIP. Except as set forth in SECTION 3.5(C) OF THE
      DISCLOSURE SCHEDULE and except for (i) the Excluded Assets, (ii) assets
      leased under the Real Property Leases and the Personal Property Leases and
      (iii) software licensed to the Company, all assets which are material to
      the operation of the Business are owned by and in the possession of the
      Company, free and clear of all Liens (other than the (A) liens for
      utilities and current taxes not yet due and payable, (B) mechanics',
      carriers', workers', repairers', materialmen's, warehousemen's and other
      similar Liens arising or incurred in the ordinary course of business, (C)
      utility easements, covenants and restrictions of record, (D) zoning or
      similar laws, (E) Liens being contested in good faith, and (F) any other
      Liens that do not materially interfere with the operation of the Company
      (collectively, "PERMITTED LIENS")).

            (d) ASSETS. Except for the assets to be used in connection with the
      services provided pursuant to the Transition Services Agreement, the

                                      -6-

      assets owned by the Company constitute all of the assets necessary to, in
      all material respects, conduct the operations of the Business in the
      manner presently conducted by the Company.

      3.6   FINANCIAL STATEMENTS. ChoicePoint has delivered to Buyer the
unaudited balance sheets and related unaudited annual statements of income of
the Company as of and for the fiscal years ended December 31, 2005 and December
31, 2006 (the "FINANCIAL STATEMENTS"). Copies of the Financial Statements are
attached as SECTION 3.6 OF THE DISCLOSURE SCHEDULE. Except as noted in SECTION
3.6 OF THE DISCLOSURE SCHEDULE, the balance sheets included in the Financial
Statements fairly present, in all material respects, the financial position of
the Company, as of the respective dates thereof, and the statements of income
included in the Financial Statements fairly present, in all material respects,
the results of operations of the Company for the respective periods set forth
therein, in each case in accordance with GAAP.

      3.7   NO UNDISCLOSED LIABILITIES. Except as set forth in SECTION 3.7 OF
THE DISCLOSURE SCHEDULE, the Company does not have any liabilities as of the
date hereof that would be required to be shown a balance sheet in accordance
with GAAP, except (a) to the extent reflected in the Financial Statements, (b)
those liabilities expressly disclosed in this Agreement (including the schedules
hereto), (c) those liabilities incurred in the ordinary course of business since
December 31, 2006, and (d) liabilities that would not, individually or in the
aggregate, exceed $100,000.

      3.8   ABSENCE OF CERTAIN CHANGES. Except as set forth in SECTION 3.8 OF
THE DISCLOSURE SCHEDULE, since December 31, 2006, there has not been (a) any
Material Adverse Effect, (b) any damage, destruction, loss, or casualty to
property or assets of the Company in excess of $50,000 in the aggregate, (c) any
incurrence, assumption or guarantee by the Company of any indebtedness for
borrowed money, (d) any capital expenditure, or commitment for a capital
expenditure, by the Company with an aggregate value in excess of $50,000, or (e)
any sale of assets, loan or contribution, or other intercompany transaction
(other than in the ordinary course of business consistent with past practice)
between or among the Company, on the one hand, and ChoicePoint or any of its
Affiliates, on the other hand. Except as expressly contemplated by this
Agreement, since December 31, 2006, the Company has (i) extended credit to
customers, collected accounts receivable, and paid accounts payable and similar
obligations in the ordinary course of business consistent with past practice and
(ii) conducted the Business in the ordinary course on a basis consistent with
past practice and not engaged in any new line of business or entered into any
agreement, transaction, or activity or made any commitment except those in the
ordinary course of business.

      3.9   LEGAL PROCEEDINGS. Except as set forth in SECTION 3.9 OF THE
DISCLOSURE SCHEDULE, there are no suits, actions, claims, proceedings, or
investigations pending or, or to knowledge of ChoicePoint, threatened against
the Company before any court, arbitrator, or administrative or governmental
body. Except as set forth in SECTION 3.9 OF THE DISCLOSURE SCHEDULE, there is no
judgment, decree, injunction, rule or order of any governmental authority,
arbitrator or mediator outstanding against the Company.

      3.10  LICENSES, PERMITS, AND COMPLIANCE WITH LAW.

            (a) The Company has all authorizations, approvals, licenses,
      permits, and orders of and from all governmental and regulatory offices

                                      -7-

      and bodies necessary to carry on the Business as it is currently being
      conducted, except where the failure to have such authorizations,
      approvals, licenses, permits, and orders would not have a Material Adverse
      Effect. The Company is in compliance in all material respects with all
      applicable laws, regulations, and administrative orders of any country,
      state, province, or municipality or of any subdivision thereof to which it
      is subject.

            (b) ENVIRONMENTAL MATTERS. Except as set forth in SECTION 3.10(B) OF
      THE DISCLOSURE SCHEDULE:

                  (i) The Company possesses, and is in compliance with, in all
            material respects, all material permits, licenses and government
            authorizations relating to protection of the environment, pollution
            control and hazardous materials ("ENVIRONMENTAL LAWS") applicable to
            the Company;

                  (ii) The Company has not received notice that the Company is
            subject to any pending claim incurred or imposed or based upon any
            provision of any Environmental Law and arising out of any act or
            omission of the Company, its employees, agents or representatives
            or, to the knowledge of ChoicePoint, arising out of the ownership,
            use, control or operation by the Company of any plant, facility,
            site, area or property from which any hazardous materials were
            released into the environment;

                  (iii) The Company has not entered into or agreed to enter into
            any consent decree or order, and the Company is not subject to any
            judgment, decree or judicial or administrative order relating to
            compliance with, or the cleanup of hazardous materials under any
            applicable Environmental Law; and

                  (iv) The Company has not paid any fine, penalty or assessment
            within the prior five (5) years with respect to environmental
            matters.

      3.11  COMPANY CONTRACTS. SECTION 3.11 OF THE DISCLOSURE SCHEDULE sets
forth a correct and complete list of all Company Contracts (as hereinafter
defined). Except to the extent prohibited by law, correct and complete copies of
all Company Contracts have been made available to Buyer. To the knowledge of
ChoicePoint, there are no existing material defaults under any Company
Contracts. "COMPANY CONTRACTS" means the following contracts, agreements,
commitments, arrangements, understandings, or other instruments (in each case
whether oral or written, but only to the extent legally binding) to which the
Company is a party (excluding any insurance contracts):

            (a) the Real Property Leases and the Personal Property Leases;

            (b) Indentures, security agreements, or other agreements and
      instruments relating to the borrowing of money, the extension of credit or
      the granting of Liens;

            (c) Management, employment, or consulting agreements, or
      arrangements or agreements related to temporary services of any kind that
      require payments greater than $50,000 annually;

                                      -8-

            (d) Union or other collective bargaining agreements;

            (e) Sales agency, manufacturer's representative, and distributorship
      agreements or other distribution or commission arrangements requiring
      payments in excess of $50,000 per annum;

            (f) Licenses of patent, trademark, software (excluding standard "off
      the shelf" software or software with annual license payments less than
      $25,000 per license), copyrights, know-how, and other intellectual
      property rights requiring payments in excess of $100,000 per annum;

            (g) Agreements, orders, or commitments, not made in the ordinary
      course of business, for the purchase of services, materials, supplies, or
      products from any single supplier for an amount in excess of $100,000 per
      annum;

            (h) Agreements, orders, or commitments, not made in the ordinary
      course of business, for the sale of products or services to any single
      customer for an amount in excess of $100,000 per annum;

            (i) Agreements for capital expenditures in excess of $100,000 for
      any single project;

            (j) Agreements which, by their terms, prohibit or restrict the
      ability of the Company to compete or solicit customers anywhere in the
      world;

            (k) Agreements relating to the acquisition or sale of any company,
      business, division, or other enterprise, whether in the form of stock
      purchase, asset acquisition, or otherwise; or

            (l) Other than as addressed above, other agreements, contracts, and
      commitments that involve payments or receipts of more than $100,000 per
      annum and that were entered into other than in the ordinary course of
      business (but excluding any insurance contracts).

      3.12  TAX RETURNS; TAXES. Except as set forth in SECTION 3.12 OF THE
DISCLOSURE SCHEDULE:

            (a) Either ChoicePoint, its Affiliates, or the Company (i) has
      timely filed or caused to be filed on a timely basis with the appropriate
      taxing authorities all material Tax Returns (as hereinafter defined)
      required to be filed by or with respect to the Company, and (ii) has paid
      or made adequate provision for the payment of all Taxes shown to be due on
      such Tax Returns. Such Tax Returns are correct and complete in all
      material respects.

            (b) There are no liens for Taxes with respect to the assets of the
      Company (except for statutory liens for current taxes not yet delinquent).
      None of the Tax Returns applicable to the Company is currently being
      audited or examined by any taxing authority. There is no material unpaid
      tax deficiency, determination or assessment currently outstanding against

                                      -9-

      the Company. There are no outstanding agreements or waivers extending the
      statute of limitations relating to the assessment of Taxes applicable to
      the Company.

            (c) For purposes of this Agreement:

                  (i) "TAX" means any federal, state, provincial, local, or
            foreign income, gross receipts, license, payroll, employment,
            excise, severance, escheat, stamp, occupation, premium, windfall
            profits, environmental, customs duty, capital stock, franchise,
            profits, withholding, social security, unemployment, workers'
            compensation, disability, real property, personal property, sales,
            use, transfer, registration, value added, alternative or add-on
            minimum, estimated, or other tax of any kind whatsoever, including
            any interest, penalty, or addition thereto, whether disputed or not;
            and

                  (ii) "TAX RETURN" means any return, declaration, report, claim
            for refund, or information return or statement relating to Taxes,
            including any schedule or attachment thereto and any amendment
            thereof.

      3.13  ERISA AND RELATED MATTERS.

            (a) SECTION 3.13 OF THE DISCLOSURE SCHEDULE lists all deferred
      compensation, pension, profit-sharing, and retirement plans, and all
      bonus, welfare, severance pay, and other "employee benefit plans" (as
      defined in Section 3(3) of ERISA), fringe benefit or stock option plans,
      including individual contracts, employee agreements, programs, or
      arrangements, providing the same or similar benefits, whether or not
      written, which are participated in, or maintained by the Company or with
      respect to which contributions are made or obligations assumed by the
      Company in respect of the Company (including health, life insurance, and
      other benefit plans maintained for former employees or retirees). Said
      plans or other arrangements are sometimes individually referred to in this
      Agreement as a "COMPANY BENEFIT PLAN" and sometimes collectively referred
      to in this Agreement the "COMPANY BENEFIT PLANS."

            (b) The Company has fulfilled its obligations, to the extent
      applicable, under the minimum funding requirements of Section 302 of ERISA
      and Section 412 of the Code, with respect to each "employee benefit plan"
      (as defined in Section 3(3) of ERISA) appearing in SECTION 3.13 OF THE
      DISCLOSURE SCHEDULE. Each Company Benefit Plan is in substantial
      compliance with, and has been administered in all material respects
      consistent with, the presently applicable provisions of ERISA, the Code,
      and state law including but not limited to the satisfaction of all
      applicable reporting and disclosure requirements under the Code, ERISA,
      and state law.

            (c) No "prohibited transaction," as defined in Section 406 of ERISA
      and Section 4975 of the Code, has occurred in respect of any such Company
      Benefit Plan which would have a Material Adverse Effect, and no civil or
      criminal action brought pursuant to Part 5 of Title I or ERISA is pending
      or, to the knowledge of ChoicePoint, is threatened in writing or orally
      against any fiduciary of any such plan.

                                      -10-

            (d) Neither the Company nor any entity that is treated as a single
      employer with the Company pursuant to Section 414(b), (c), (m), or (o) of
      the Code currently maintains or contributes to any Company Benefit Plan
      that is subject to Title IV of ERISA, nor has previously maintained or
      contributed to any such plan that has resulted in any liability. As of the
      date hereof, there is no outstanding unpaid minimum funding waiver within
      the meaning of Code Section 412(d).

            (e) Neither the Company nor any employer referred to in Section
      3.13(d) above maintains, or has contributed within the past five (5) years
      to, any multiemployer plan within the meaning of Sections 3(37) or
      4001(a)(3) of ERISA. No such employer currently has any liability to make
      withdrawal liability payments to any multiemployer plan. There is no
      pending dispute between any such employer and any multiemployer plan
      concerning payment of contributions or payment of withdrawal liability
      payments.

For purposes of this Agreement, "ERISA" means the Employee Retirement Income
Security Act of 1974, as amended from time to time, and any regulations or
published rulings promulgated or issued thereunder and "CODE" means the Internal
Revenue Code of 1986, as amended from time to time, and any regulations or
published ruling promulgated or issued thereunder.

      3.14  LABOR MATTERS.

            (a) SECTION 3.14(A) OF THE DISCLOSURE SCHEDULE sets forth a correct
      and complete list, as of the date listed therein, of all employees of the
      Business (each, a "BUSINESS EMPLOYEE" and, collectively, the "BUSINESS
      EMPLOYEES"), together with their respective job titles, dates of hire, and
      current base salary or hourly rate.

            (b) There are no controversies pending or, to the knowledge of
      ChoicePoint, threatened, between the Company and any of its employees,
      which controversies have had or are reasonably likely to have a Material
      Adverse Effect.

      3.15  INTELLECTUAL PROPERTY. SECTION 3.15 OF THE DISCLOSURE SCHEDULE sets
forth a correct and complete list of: (a) all patents, trade secrets,
trademarks, and trade names (including all federal, state, and foreign
registrations pertaining thereto) and all copyright registrations owned by the
Company and material to the operation of the Business (collectively, the
"PROPRIETARY INTELLECTUAL PROPERTY"); and (b) all patents, trademarks, trade
names, copyrights, technology, and processes that are used by the Company
pursuant to a license granted by a third party and material to the operation of
the Business (except for licenses of "off the shelf" software and licenses of
software requiring payments per license of less than $10,000 per year)
(collectively, the "LICENSED INTELLECTUAL PROPERTY", and, together with the
Proprietary Intellectual Property, the "INTELLECTUAL PROPERTY"). To the
knowledge of ChoicePoint, no claims are pending against the Company by any
Person with respect to the use of any Intellectual Property or challenging or
questioning the validity or enforceability of any license or agreement relating
to the same. To the knowledge of ChoicePoint, the current use by the Company of
the Intellectual Property does not infringe in any material respect on the
rights of any third party.

      3.16  CUSTOMERS; SUPPLIERS.

                                      -11-

            (a) SECTION 3.16(A) OF THE DISCLOSURE SCHEDULE sets forth the
      customers of the Business that accounted for billed revenue for calendar
      year 2006 of greater than $250,000. Except as noted in SECTION 3.16(A) OF
      THE DISCLOSURE SCHEDULE, since December 31, 2006, none of such customers
      has canceled or terminated its relationship with the Company or notified
      the Company in writing of any intention to cancel or terminate its
      relationship with the Company.

            (b) SECTION 3.16(B) OF THE DISCLOSURE SCHEDULE sets forth the
      suppliers of the Business that accounted for total net sales to the
      Business for calendar year 2006 of greater than $100,000. Except as noted
      in SECTION 3.16(B) OF THE DISCLOSURE SCHEDULE, since December 31, 2006,
      none of such suppliers has canceled or terminated its relationship with
      the Company or notified the Company in writing of any intention to cancel
      or terminate its relationship with the Company.

      3.17  BROKERS, FINDERS, AND INVESTMENT BANKERS. Other than Genesis
Capital, LLC (whose fees and expenses shall be paid by ChoicePoint), none of
ChoicePoint, Parent, or the Company has engaged any broker, finder, investment
banker, or other intermediary or incurred any liability for any investment
banking fees, financial advisory fees, brokerage fees, finders' fees, or other
similar fees in connection with the transactions contemplated by this Agreement.

      3.18  BOOKS AND RECORDS. The books of account and other financial records
of the Company are materially complete and correct and have been maintained in
accordance with reasonable business practices.

      3.19  PREPAYMENTS AND DEPOSITS. SECTION 3.19 OF THE DISCLOSURE Schedule
sets forth a materially complete and materially accurate list of prepayments or
deposits from customers of the Business for services to be performed after the
Closing that have been received by the Company as of the date hereof.

      SECTION 4.  REPRESENTATIONS AND WARRANTIES OF BUYER.

      Buyer hereby represents and warrants to ChoicePoint as follows:

      4.1   ORGANIZATION. Buyer is a Delaware corporation duly organized,
validly existing, and in good standing under the laws of the jurisdiction of its
organization.

      4.2   AUTHORIZATION. Buyer has the corporate power and authority to
execute and deliver this Agreement and each other certificate, agreement,
document or instrument to be executed and delivered by Buyer in connection with
the transactions contemplated by this Agreement (the "BUYER ANCILLARY
DOCUMENTS"), and to perform its obligations hereunder and thereunder. The
execution and delivery of this Agreement and the Buyer Ancillary Documents and
the performance by Buyer of its covenants and agreements hereunder and
thereunder have been duly and validly authorized by all necessary corporate
action of Buyer. This Agreement and the Buyer Ancillary Documents have been duly
executed and delivered by Buyer and constitute the valid and binding agreements
of Buyer, enforceable against Buyer in accordance with their respective terms,
except that (a) such enforcement may be subject to any bankruptcy, insolvency,
reorganization, moratorium, fraudulent transfer or other laws, now or hereafter

                                      -12-

in effect, relating to or limiting creditors' rights generally and (b) the
remedy of specific performance and injunctive and other forms of equitable
relief may be subject to equitable defenses and to the discretion of the court
before which any proceeding therefor may be brought.

      4.3   ABSENCE OF RESTRICTIONS AND CONFLICTS. The execution, delivery, and
performance of this Agreement and the Buyer Ancillary Documents, the
consummation of the transactions contemplated by this Agreement and the Buyer
Ancillary Documents, and the fulfillment of and compliance with the terms and
conditions of this Agreement and the Buyer Ancillary Documents do not violate or
conflict with, constitute a breach of or default under, or permit the
acceleration of any obligation under, (a) any term or provision of the charter
documents or bylaws of Buyer, (b) any contract, agreement or commitment to which
Buyer is bound, or (c) any judgment, decree, or order of any court or
governmental authority or agency to which Buyer is a party. No consent,
approval, order, or authorization of, or registration, declaration, or filing
with, any governmental agency or public or regulatory unit, agency, body, or
authority with respect to Buyer is required in connection with the execution,
delivery, or performance of this Agreement or the consummation of the
transactions contemplated by this Agreement.

      4.4   BROKERS, FINDERS, AND INVESTMENT BANKERS. Buyer has not engaged any
broker, finder, investment banker, or other intermediary or incurred any
liability for any investment banking fees, financial advisory fees, brokerage
fees, finders' fees, or other similar fees in connection with the transactions
contemplated by this Agreement.

      4.5   PURCHASE FOR INVESTMENT.

            (a) Buyer is acquiring the Shares solely for investment for its own
      account and not with the view to, or for resale in connection with, any
      "distribution" (as such term is used in Section 2(11) of the Securities
      Act of 1933, as amended (the "SECURITIES ACT")) thereof. Buyer understands
      that the Shares have not been registered under the Securities Act or any
      state or foreign securities laws by reason of specified exemptions
      therefrom that depend upon, among other things, the BONA FIDE nature of
      its investment intent as expressed herein and as explicitly acknowledged
      hereby and that under such laws and applicable regulations such securities
      may not be resold without registration under the Securities Act or under
      applicable state or foreign law unless an applicable exemption from
      registration is available.

            (b) Buyer is an "accredited investor" within the meaning of Rule 501
      of Regulation D promulgated under the Securities Act.

      4.6   LITIGATION. There is no claim, action, suit, proceeding or
governmental investigation pending or, to the knowledge of Buyer, threatened
against Buyer, by or before any court, governmental or regulatory authority or
by any third party which challenges the validity of this Agreement or which
would be reasonably likely to adversely affect or restrict Buyer's ability to
consummate the transactions contemplated hereby.

      4.7   AVAILABILITY OF FUNDS. Buyer has sufficient available funds to pay
the Purchase Price and to pay any other amounts payable by Buyer pursuant to
this Agreement.

      SECTION 5.  ADDITIONAL COVENANTS AND AGREEMENTS.

                                      -13-

      5.1   FEES AND EXPENSES. Except as otherwise set forth in this Agreement,
ChoicePoint will pay all costs and expenses incurred by ChoicePoint, Parent, or
the Company in connection with the transactions contemplated by this Agreement
(including, without limitation, attorneys' and accountants' fees and expenses).
Except as otherwise set forth in this Agreement, Buyer shall bear all such costs
and expenses incurred by Buyer in connection with the transactions contemplated
by this Agreement (including, without limitation, attorneys' and accountants'
fees and expenses).

      5.2   CONFIDENTIALITY. Each of Buyer and ChoicePoint covenants and agrees
that neither it nor any of its respective Affiliates shall at any time disclose,
directly or indirectly, any of the terms or conditions of this Agreement or make
any public announcements regarding this Agreement or the transactions
contemplated by this Agreement to the financial community, government agencies,
employees, or the general public, except (a) with the other party's prior
written consent, (b) as required by the Securities Exchange Act of 1934, as
amended, or any applicable stock exchange rules, (c) as otherwise required by
applicable law, in which case the disclosing party shall give prompt written
notice to the non-disclosing party of such requirement and shall cooperate with
the non-disclosing party so that the non-disclosing party may seek a protective
order or other appropriate remedy, or (d) in connection with the enforcement of
its rights or satisfaction of its obligations hereunder. Buyer and ChoicePoint
shall cause its advisors or other representatives to comply with this Section
5.2.

      5.3   EMPLOYEES; EMPLOYEE BENEFITS.

            (a) For the period beginning on the Effective Date and ending no
      earlier than the first (1st) anniversary of the Effective Date, Buyer
      shall, or shall cause the Company to, provide each Business Employee with
      compensation and benefits that are substantially comparable in the
      aggregate to the compensation and benefits provided to each such Business
      Employee immediately prior to the Closing (excluding special retention and
      other similar bonuses paid or payable with respect to arrangements
      established to ensure continuity of employment arising from this
      transaction), provided that (i) Buyer, in providing such substantially
      comparable compensation and benefits, shall not be required to provide or
      maintain any particular plan or benefit which was provided to or
      maintained for Business Employees prior to the Closing and (ii) nothing
      herein shall be deemed to create anything other than an "at will"
      employment relationship between the Buyer, the Company or any Affiliate
      thereof, on the one hand, and any Business Employee, on the other hand.
      Buyer shall treat all service completed by a Business Employee with the
      Company or any Affiliate thereof, and any predecessor thereto, the same as
      service completed with Buyer for all purposes, including waiting periods
      relating to preexisting conditions under medical plans, vacations,
      severance pay, eligibility to participate in, vesting or payment of
      benefits under, and eligibility for early retirement or any subsidized
      benefit provided for under any employee benefit plan (including, but not
      limited to, any "employee benefit plan" as defined in Section 3(3) of
      ERISA) maintained by Buyer on or after the Effective Date in which a
      Business Employee participates, except for purposes of computing benefits
      under the accrued benefit formula in a pension plan (as defined in Section
      3(2) of ERISA).

                                      -14-

            (b) After the Effective Date, Buyer shall be responsible for, and
      shall indemnify and hold harmless ChoicePoint and its Affiliates and their
      officers, directors, employees, Affiliates and agents and the fiduciaries
      (including plan administrators) of the Company Benefit Plans, from and
      against, any and all claims, losses, damages, costs and expenses
      (including, without limitation, attorneys' fees and expenses) and other
      liabilities and obligations relating to or arising out of (i) all
      salaries, bonuses, commissions, vacation entitlements and other benefits
      accrued by the Company but unpaid as of the Closing to the extent accrued
      for on the Final Closing Statement, and (ii) any claims of, or damages or
      penalties sought by, any Business Employee, or any governmental entity on
      behalf of or concerning any Business Employee, with respect to any act or
      failure to act by Buyer to the extent arising from the employment,
      discharge, layoff or termination of any Business Employee.

            (c) Prior to the Effective Date, ChoicePoint shall be responsible
      for, and shall indemnify and hold harmless Buyer and its Affiliates and
      their officers, directors, employees, Affiliates and agents and the
      fiduciaries (including plan administrators) of the Company Benefit Plans,
      from and against, any and all claims, losses, damages, costs and expenses
      (including, without limitation, attorneys' fees and expenses) and other
      liabilities and obligations relating to or arising out of (i) all
      salaries, bonuses, commissions, vacation entitlements and other benefits
      not accrued by the Company and unpaid as of the Closing to the extent not
      accrued for on the Final Closing Statement, and (ii) any claims of, or
      damages or penalties sought by, any Business Employee, or any governmental
      entity on behalf of or concerning any Business Employee, with respect to
      any act or failure to act by ChoicePoint to the extent arising from the
      employment, discharge, layoff or termination of any Business Employee.

            (d) Notwithstanding anything herein to the contrary, any liabilities
      or obligations relating to the additional compensation to be paid to
      certain employees of the Company pursuant to those certain retention
      agreements executed by ChoicePoint and certain Business Employees (the
      "RETENTION AGREEMENTS") relating to the potential sale of the Business
      will be retained by ChoicePoint. ChoicePoint agrees to perform and
      discharge its obligations under the Retention Agreements, and ChoicePoint
      shall not amend, waive, modify or supplement any provision of the
      Retention Agreements without the prior written consent of Buyer.

      5.4   USE OF CORPORATE NAMES AND TRADEMARKS.

            (a) The parties acknowledge that ChoicePoint is retaining all rights
      with respect to the name "ChoicePoint" and all derivations and logos
      thereof (collectively, the "CHOICEPOINT MARKS"). As soon as reasonably
      practicable after the Effective Date, but in any event within thirty (30)
      days after the Effective Date, Buyer will, at its own expense, (i) remove
      any and all exterior signs and other identifiers located on the Company's
      property or premises that refer or pertain to or that include the
      ChoicePoint Marks, and (ii) remove from all of the Company's letterhead,
      envelopes, invoices, supplies, labels, web site publications and other
      communications media of any kind, all references to the ChoicePoint Marks.

                                      -15-

            (b) The parties acknowledge that as of and after the Closing, Buyer
      shall own all rights of ChoicePoint and its Affiliates with respect to the
      name "Bode" or "Bode Technology" and all derivations and logos thereof
      (collectively, the "BODE MARKS"). After the Closing, ChoicePoint shall not
      use any trade name, trademark, service mark, or domain name that is the
      same as, or is reasonably likely to cause confusion with, the Bode Marks.

      5.5   LEASE GUARANTY. Buyer shall use its commercially reasonable best
efforts to have Parent released from the Real Property Lease guaranty executed
by Parent set forth on SCHEDULE 5.5 (the "LEASE GUARANTY") as promptly as
possible, but in no event later than ninety (90) days after the Effective Date,
and, Buyer shall indemnify and hold harmless Parent from and against any
liability which Parent may have with respect to the Lease Guaranty.

      5.6   RETENTION OF RECORDS. Buyer agrees that it will maintain, for at
least seven (7) years or such longer time as may be required by law (the
"RETENTION PERIOD"), the books, records and documents of the Company existing as
of the Effective Date. During normal business hours, Buyer shall afford
ChoicePoint and its representatives full access, for reasonable purposes, to
such books, record and documents at all times during the Retention Period.
ChoicePoint agrees that it will maintain, for the Retention Period, the books,
records and documents solely relating to the Company existing as of the
Effective Date that are not property of the Company. During normal business
hours, ChoicePoint shall afford Buyer and its representatives full access, for
reasonable purposes, to such books, record and documents at all times during the
Retention Period.

      5.7   AUDITED FINANCIALS. Buyer has engaged Marcum & Kliegman LLP (the
"CPA FIRM"), and ChoicePoint has consented to such engagement, to audit the
Financial Statements, a draft of which is being delivered contemporaneously with
the execution of this Agreement (the "DRAFT AUDITED FINANCIAL Statements"). The
parties acknowledge that Buyer intends to prepare, or cause to be prepared,
final audited balance sheets and related audited annual statements of income of
the Company as of and for the fiscal years ended December 31, 2005 and December
31, 2006 and for the period from January 1, 2007 to the Effective Date (the
"FINAL AUDITED FINANCIAL STATEMENTS"), which shall meet the standards required
by the Securities and Exchange Commission for use in Buyer's Form 8-K and other
filings by Buyer as required by the Securities and Exchange Commission. For a
period of ninety (90) days following the Effective Date, ChoicePoint agrees to
use reasonable efforts to cooperate with and assist Buyer and the CPA Firm in
connection with the preparation of the Final Audited Financial Statements. The
costs of the CPA Firm relating to the Draft Audited Financial Statements and the
Final Audited Financial Statements shall be borne equally by ChoicePoint and
Buyer.

      5.8   LIMITED REPRESENTATIONS AND WARRANTIES.

            (a) Buyer acknowledges that, except as expressly set forth in this
      Agreement, none of ChoicePoint, ChoicePoint's Affiliates, the Company, or
      any other Person has made any representation or warranty, express or
      implied, as to the accuracy or completeness of any information regarding
      the Company or the Business, and further agrees, except as expressly set
      forth in this Agreement, none of ChoicePoint, ChoicePoint's Affiliates,
      the Company, or any other Person will be subject to any liability to Buyer

                                      -16-

      or any other Person resulting from the distribution to Buyer, or Buyer's
      use of, any such information, including, without limitation, any
      information document or material made available to Buyer or its
      representatives in any "data room," management presentations or any other
      form in expectation of the transactions contemplated by this Agreement.

            (b) EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES EXPRESSLY SET
      FORTH IN SECTIONS 3 AND 5, NONE OF CHOICEPOINT, CHOICEPOINT'S AFFILIATES,
      OR THE COMPANY MAKES ANY REPRESENTATION OR WARRANTY EXPRESS OR IMPLIED, AT
      LAW OR IN EQUITY, IN RESPECT OF THE COMPANY OR ANY OF THE ASSETS,
      LIABILITIES OR OPERATIONS OF THE COMPANY.

      SECTION 6.  RESTRICTIVE COVENANTS.

      6.1   DEFINITIONS.  For the purposes of this section:

            (a) "COMPANY ACTIVITIES" means, except as hereinafter provided in
      this Section 6.1(a), the business of providing forensic DNA analysis,
      proprietary DNA collection products, and DNA related research services to
      law enforcement agencies, federal and state governments, crime
      laboratories and disaster management organizations.

            (b) "NONCOMPETITION PERIOD" means the period beginning on the
      Effective Date and ending on the third (3rd) anniversary of the Effective
      Date;

            (c) "NONSOLICITATION PERIOD" means the period beginning on the
      Effective Date and ending on the first (1st) anniversary of the Effective
      Date;

            (d) "PERMITTED ACTIVITIES" means any activities related to any
      business, other than the Business, that ChoicePoint currently conducts or,
      except with respect to activities which would constitute Company
      Activities, may hereafter conduct; and

            (e) "TERRITORY" means the United States of America, such area being
      where customers and actively sought prospective customers of the Business
      are located.

      6.2   NONCOMPETITION.

            (a) ACKNOWLEDGMENT. ChoicePoint acknowledges that the Company
      conducts the Company Activities throughout the Territory and that to
      protect adequately the interest of Buyer in the Business and goodwill of
      the Company, it is essential that any noncompetition covenant with respect
      thereto cover all Company Activities and the entire Territory for the
      duration of the Noncompetition Period.

            (b) NONCOMPETITION COVENANT. ChoicePoint hereby agrees that it, and
      its majority-owned subsidiaries, will not, during the Noncompetition
      Period, directly or indirectly, conduct Company Activities in the
      Territory or otherwise engage in, or have an equity, debt or profit
      interest in, any business that conducts any Company Activities in the
      Territory. Notwithstanding anything in this Agreement to the contrary, (i)

                                      -17-

      ChoicePoint may acquire up to five percent (5%) of any company whose
      common stock is publicly traded on a national securities exchange or in
      the over-the-counter market, and (ii) ChoicePoint may conduct the
      Permitted Activities at any time, including during the Noncompetition
      Period. Buyer acknowledges that in the course of acquiring business
      entities or assets ("ACQUIRED Entities"), ChoicePoint may wish to acquire
      an Acquired Entity that engages in the Company Activities as part of its
      business activities. Buyer agrees that, subject to the remaining
      provisions of this Section 6.2(b), nothing in this Agreement shall prevent
      ChoicePoint from acquiring (and, thereafter, owning and operating) an
      Acquired Entity during the Noncompetition Period that engages in the
      Company Activities in the Territory, provided that the revenues derived
      from the Company Activities in the Territory by the Acquired Entity at the
      time of such acquisition do not exceed thirty percent (30%) of the total
      revenue of the Acquired Entity during the twelve month period immediately
      prior to such acquisition.

      6.3   NONSOLICITATION OF COMPANY EMPLOYEES. ChoicePoint hereby agrees that
it will not, during the Nonsolicitation Period, directly or indirectly, recruit
or solicit or attempt to hire, recruit or solicit, on behalf ChoicePoint or any
other Person, any individual who is an employee of the Company on the date
hereof; PROVIDED, HOWEVER, that nothing in this Section 6.3 shall not prohibit
(a) the placing of any advertisements for positions to members of the public
generally, such as through newspapers or magazines (including industry-specific
magazines), radio, television or direct mail, (b) the recruitment, solicitation
or attempt to hire of any individual whose employment with the Company or its
Affiliates (including Buyer) terminated prior to commencement of employment
discussions, or (c) the recruitment, solicitation or attempt to hire of the
individuals set forth in SECTION 6.3 OF THE DISCLOSURE SCHEDULE.

      6.4   SEVERABILITY. If a judicial determination is made that any of the
provisions of this Section 6 constitutes an unreasonable or otherwise
unenforceable restriction against ChoicePoint, the provisions of this Section 6
shall be rendered void only to the extent that such judicial determination finds
such provisions to be unreasonable or otherwise unenforceable with respect to
ChoicePoint. In this regard, ChoicePoint hereby agrees that any judicial
authority construing this Section 6 shall be empowered to sever any portion of
the Territory, any prohibited business activity or any time period from the
coverage of this Section 6, and to apply the provisions of this Section 6 to the
remaining portion of the Territory, the remaining business activities, and the
remaining time period not so severed by such judicial authority.

      6.5   INJUNCTIVE RELIEF. ChoicePoint hereby agrees that any remedy at law
for any breach of the provisions contained this Section 6 shall be inadequate
and that Buyer shall be entitled to seek injunctive relief in addition to any
other remedy Buyer might have under this Section 6.

      SECTION 7. CONTEMPORANEOUS ACTIONS. Contemporaneously with the execution
of this Agreement, the following actions have been taken:

      7.1   STOCK CERTIFICATES. ChoicePoint has delivered all stock certificates
representing the Shares to Buyer, duly endorsed in blank (or accompanied by duly
executed stock powers).

                                      -18-

      7.2   PURCHASE PRICE. Buyer has paid the Purchase Price to ChoicePoint by
wire transfer of immediately available funds to the account set forth in Section
1.3.

      7.3   RESIGNATIONS OF DIRECTORS AND OFFICERS. The persons holding the
positions of a director or officer of the Company, in office immediately prior
to the Closing, have resigned from such positions in writing effective as of the
Closing.

      7.4   TRANSITION SERVICES AGREEMENT. The Company and ChoicePoint have
executed and delivered the transition services agreement (the "TRANSITION
SERVICES AGREEMENT") in the form attached hereto as EXHIBIT C hereto.

      SECTION 8.  INDEMNIFICATION.

      8.1   INDEMNIFICATION OBLIGATIONS OF CHOICEPOINT. ChoicePoint shall
indemnify, defend, and hold harmless Buyer and its successors and assigns
(collectively, the "BUYER INDEMNIFIED PARTIES") from, against, and in respect of
any and all Losses (as hereinafter defined) arising out of or relating to:

            (a) any breach or inaccuracy of any representation or warranty made
      by ChoicePoint in Sections 3 and 5 hereof (but excluding Section 3.12,
      which is covered in Section 9.7); and

            (b) any breach of any covenant, agreement, or undertaking made by
      ChoicePoint in this Agreement (but excluding Section 9, which is covered
      in Section 9.7).

      For purposes of this Section 8, "LOSS" or "LOSSES" shall mean any and all
claims, liabilities, obligations, losses, costs, expenses, penalties, fines,
judgments, and damages whenever arising or incurred (including, without
limitation, amounts paid in settlement, costs of investigation, and reasonable
attorneys' and accountants' fees and expenses). The Losses described in this
Section 8.1 as to which the Buyer Indemnified Parties are entitled to
indemnification are hereinafter referred to, collectively, as "BUYER LOSSES."

      8.2   INDEMNIFICATION OBLIGATIONS OF BUYER. Buyer shall indemnify, defend
and hold harmless ChoicePoint and its successors and assigns (collectively, the
"CHOICEPOINT INDEMNIFIED PARTIES") from, against, and in respect of any and all
Losses arising out of or relating to:

            (a) any breach or inaccuracy of any representation or warranty made
      by Buyer in Section 4;

            (b) any breach of any covenant, agreement, or undertaking made by
      Buyer in this Agreement; and

            (c) any liabilities relating to the conduct or operation of the
      Business after the Closing.

      8.3   INDEMNIFICATION PROCEDURE.

                                      -19-

            (a) Promptly after receipt by a Buyer Indemnified Party or a
      ChoicePoint Indemnified Party (hereinafter referred to as, collectively,
      an "INDEMNIFIED PARTY") of notice by a third party of any claim or the
      commencement of any action or proceeding with respect to which such
      Indemnified Party may be entitled to receive payment from any other party
      for any Losses (ignoring, for this purpose, the Threshold Amount (as
      hereinafter defined)), such Indemnified Party shall, within ten (10) days,
      notify Buyer or ChoicePoint, as the appropriate indemnifying party or
      representative thereof (the "INDEMNIFYING PARTY"), of such claim or of the
      commencement of such action or proceeding; PROVIDED, HOWEVER, that the
      failure to so notify the Indemnifying Party shall relieve the Indemnifying
      Party from liability under this Agreement with respect to such claim only
      if, and only to the extent that, such failure to notify the Indemnifying
      Party results in the forfeiture by the Indemnifying Party of any rights or
      defenses otherwise available to the Indemnifying Party with respect to
      such claim. The Indemnifying Party shall have the right, upon written
      notice delivered to the Indemnified Party within twenty (20) days
      thereafter, to assume the responsibility and defense of such action or
      proceeding, including the engagement of counsel reasonably satisfactory to
      the Indemnified Party and the payment of the fees and disbursements of
      such counsel. In the event, however, that the Indemnifying Party declines
      or fails to assume the responsibility and defense of the action or
      proceeding and to employ counsel reasonably satisfactory to the
      Indemnified Party, in either case within such 20-day period, then such
      Indemnified Party may employ counsel to represent or defend it in any such
      action or proceeding, and the Indemnifying Party shall pay the reasonable
      fees and disbursements of such counsel as incurred; provided, HOWEVER,
      that the Indemnifying Party shall not be required to pay the fees and
      disbursements of more than one counsel for all Indemnified Parties in any
      jurisdiction in any single action or proceeding. In any action or
      proceeding with respect to which indemnification is being sought
      hereunder, the Indemnified Party or the Indemnifying Party, whichever is
      not assuming the defense of such action, shall have the right to
      participate in such litigation and to retain its own counsel at such
      party's own expense. The Indemnifying Party or the Indemnified Party, as
      the case may be, shall at all times use reasonable efforts to keep the
      Indemnifying Party or the Indemnified Party, as the case may be,
      reasonably apprised of the status of the defense of any action, the
      defense of which it is maintaining, and to cooperate in good faith with
      each other with respect to the defense of any such action.

            (b) No Indemnified Party may settle or compromise any claim or
      consent to the entry of any judgment with respect to which indemnification
      is being sought hereunder without the prior written consent of the
      Indemnifying Party, unless such settlement, compromise, or consent
      includes an unconditional release of the Indemnifying Party from all
      liability arising out of such claim and is not conditioned upon the
      payment of any amount by the Indemnifying Party (or for which
      indemnification may be sought hereunder), or does not contain or result in
      any restriction, interference, or condition that would apply to such
      Indemnifying Party or its Affiliates or to the conduct of any of their
      respective businesses (whether through injunctive or equitable relief or
      otherwise). An Indemnifying Party may not, without the prior written
      consent of the Indemnified Party, settle or compromise any claim or
      consent to the entry of any judgment with respect to which indemnification
      is being sought hereunder unless (i) the Indemnifying Party shall pay or
      cause to be paid all amounts arising out of such settlement or judgment

                                      -20-

      concurrently with the effectiveness thereof; (ii) the terms or effect of
      the settlement shall not encumber any of the assets of any Indemnified
      Party or any Affiliate thereof, or contain or result in any restriction,
      interference or condition that would apply to such Indemnified Party or
      its Affiliates or to the conduct of any of their respective businesses;
      and (iii) the Indemnifying Party shall obtain, as a condition of such
      settlement, a complete unconditional release of each Indemnified Party.

            (c) In the event an Indemnified Party shall claim a right to payment
      pursuant to this Agreement, such Indemnified Party shall send written
      notice of such claim to the appropriate Indemnifying Party. Such notice
      shall specify the basis for such claim. As promptly as possible after the
      Indemnified Party has given such notice, such Indemnified Party and the
      appropriate Indemnifying Party shall establish the merits and amount of
      such claim (by mutual agreement or in accordance with Section 10.8 hereof)
      and, within five (5) business days of the final determination of the
      merits and amount of such claim, the Indemnifying Party shall pay to the
      Indemnified Party immediately available funds in an amount, if any, equal
      to such claim as determined hereunder.

      8.4   CLAIMS PERIOD. For purposes of this Agreement, a "CLAIMS PERIOD"
shall be the period during which a claim for indemnification may be asserted
under this Agreement by an Indemnified Party, which period shall (a) begin on
the Effective Date and (b) terminate as follows:

                  (i) with respect to Losses arising under Section 8.1(a) or
            Section 8.2(a) hereof, the Claims Period shall terminate on the
            first (1st) anniversary of the Effective Date; and

                  (ii) with respect to all other Losses, the Claims Period shall
            extend indefinitely, except as limited by law (including by
            applicable statutes of limitations).

      Notwithstanding the foregoing, if prior to the close of business on the
last day of the applicable Claims Period, an Indemnifying Party shall have been
properly notified of a claim for indemnity hereunder and such claim shall not
have been finally resolved or disposed of at such date, such claim shall
continue to survive and shall remain a basis for indemnity hereunder until such
claim is finally resolved or disposed of in accordance with the terms hereof.

      8.5   THRESHOLD AMOUNT; LIMITATION AMOUNT. Notwithstanding anything to the
contrary set forth herein, ChoicePoint shall be liable for Buyer Losses arising
under Section 8.1(a) only to the extent that any such Losses exceed, in the
aggregate, $125,000 (the "THRESHOLD AMOUNT"), and such liability shall be only
for amounts which, in the aggregate, are in excess of the Threshold Amount, and
in no event shall the aggregate liability of ChoicePoint under Section 8.1(a)
exceed $5,000,000 (the "LIMITATION AMOUNT"). Notwithstanding the foregoing,
Losses arising under Section 8.1(b) or pursuant to any matter constituting fraud
under applicable law by ChoicePoint shall not be subject to the Threshold Amount
or the Limitation Amount.

      8.6   LIMITATIONS ON INDEMNIFICATION. Notwithstanding anything contained
herein to the contrary:

                                      -21-

            (a) The amount of Losses to which an Indemnified Party may be
      entitled to be indemnified against and reimbursed for under this Section 8
      shall be (i) reduced by any indemnity or other recovery under any contract
      between an Indemnified Party and any third party, (ii) reduced by any
      insurance proceeds received by an Indemnified Party with respect to such
      Losses, and (iii) reduced by the net present value of any tax benefits
      reasonably expected to be derived by an Indemnified Party as a result of
      such Losses. The parties shall cooperate with each other with respect to
      making claims under any contracts between the Company and any third
      parties, which contracts provide indemnification or similar rights for the
      benefit of the Company. Such cooperation shall include making all
      reasonable claims and demands against any such third parties and pursuing
      such claims and demands in a commercially reasonable and timely manner.

            (b) If the Indemnifying Party makes any payment under this Section 8
      with respect to any Losses, the Indemnifying Party shall be subrogated, to
      the extent of such payment, to the rights of the Indemnified Party against
      any insurer or other party with respect to such Losses, and the
      Indemnified Party shall assign to the Indemnifying Party any and all
      rights with respect to which and to the extent to which indemnification
      shall have been sought or made under this Agreement, and the Indemnified
      Party shall not take any action which directly or indirectly would affect
      such claims that the Indemnifying Party may have with respect thereto and
      shall cooperate fully with the Indemnified Party in pursuing such claims.

            (c) No Indemnifying Party shall be liable hereunder for any special,
      incidental, indirect or consequential damages of any kind or nature,
      including lost profits or loss of opportunity.

            (d) Attorney, consultant, and other professional fees and
      disbursements incurred by an Indemnified Party in connection with this
      Section 8 shall be reasonable and based only on time actually spent which
      shall be charged at no more than such professional's standard hourly rate.

      8.7   EXCLUSIVE REMEDY. Except (a) as provided in Section 9 and (b) for a
breach of any representation, warranty, or covenant as a result of any matter
constituting fraud under applicable law, following the Closing, the
indemnification provisions of this Section 8 shall be the exclusive remedy of
the parties hereto against any other party with respect to matters arising under
or in connection with this Agreement and the transactions contemplated hereby.

      SECTION 9.  TAX MATTERS.

      9.1   PREPARATION AND FILING OF TAX RETURNS. ChoicePoint will prepare and
timely file, or will cause to be prepared and timely filed, all appropriate
Federal, state, provincial, local and foreign Tax Returns in respect of the
Company that (a) are required to be filed on or before the Effective Date or (b)
are required to be filed after the Effective Date and (i) are Consolidated Tax
Returns (as hereinafter defined) or (ii) are with respect to Income Taxes (as
hereinafter defined) and are required to be filed on a separate Tax Return basis
for any Tax period ending on or before the Effective Date. Buyer will prepare or
cause to be prepared and will timely file or cause to be timely filed all other
Tax Returns required of Buyer and its subsidiaries and Affiliates (including the

                                      -22-

Company), or in respect of their assets or activities. Any such Tax Returns that
include periods ending on or before the Effective Date or that include the
activities of the Company prior to the Effective Date will, insofar as they
relate to the Company, be on a basis consistent with the last previous such Tax
Returns filed in respect of the Company, unless ChoicePoint or Buyer, as the
case may be, reasonably concludes, and notifies the other party in writing, that
there is no reasonable basis for such position. None of Buyer or its Affiliates
will file any amended Tax Returns for any periods for or in respect of the
Company (or its assets or activities) with respect to which Buyer is not
obligated to prepare or cause to be prepared the original such Tax Returns
pursuant to this Section 9.1 without the prior written consent of ChoicePoint,
which shall not be unreasonably withheld or delayed.

      9.2   PAYMENT OF TAXES.

            (a) ChoicePoint shall timely pay or cause to be paid (a) all Income
      Taxes, and all Taxes shown as due other than Income Taxes, with respect to
      Tax Returns which ChoicePoint is obligated to prepare and file or cause to
      be prepared and filed pursuant to Section 9.1 and (b) all Taxes other than
      Income Taxes due on or before the Effective Date for which no Tax Return
      is required to be filed, except, in each case, to the extent the liability
      for such Taxes was accrued on the Final Closing Statement. Buyer shall pay
      or cause to be paid (a) all Income Taxes shown as due with respect to Tax
      Returns which Buyer is obligated to prepare and file or cause to be
      prepared and filed pursuant to Section 9.1 and (b) all Taxes owed by the
      Company other than Taxes described in the preceding sentence of this
      Section 9.2.

            (b) With respect to each Tax liability, calculated pursuant to the
      provisions of Section 9.7(d), due for a taxable period that includes (but
      does not end on) the Effective Date (a "STRADDLE Period"), ChoicePoint
      shall, upon receipt of a reasonably documented request from Buyer,
      promptly reimburse Buyer for the amount of any such Tax liability that
      would have been due for the Pre-Closing Tax Period (as hereinafter
      defined) attributable to the Company to the extent, if any, such Tax
      liability exceeds the sum of (i) any estimated payments, deposits or
      credits made or applied prior to the Effective Date and (ii) any amount
      accrued as a liability for Taxes on the Final Closing Statement. Buyer
      shall pay to ChoicePoint the amount, if any, by which the sum of any
      estimated payments, deposits or credits made or applied prior to the
      Effective Date with respect to such Tax for the Straddle Period exceeds
      the amount of such Taxes.

      9.3   TAX SHARING AGREEMENTS. On the Effective Date, all Tax sharing
agreements and arrangements between (a) the Company, on the one side, and (b)
ChoicePoint or any of its subsidiaries or Affiliates, on the other side, will be
terminated and have no further effect for any taxable year or period (whether a
past, present or future year or period), and no additional payments will be made
thereunder on or after the Effective Date in respect of a redetermination of Tax
liabilities or otherwise.

      9.4   CARRYFORWARDS AND CARRYBACKS. Buyer will cause the Company to elect,
where permitted by law, to carry forward any net operating loss, net capital
loss, charitable contribution or other item arising after the Effective Date
that could, in the absence of such an election, be carried back to a taxable
period of the Company ending on or before the Effective Date in which the

                                      -23-

Company was included in a Consolidated Tax Return. Buyer, on its own behalf and
on behalf of its Affiliates, hereby waives any right to use or apply any net
operating loss, net capital loss, charitable contribution or other item of the
Company for any Tax year ending on any date following the Effective Date to any
period of the Company ending on or before the Effective Date with respect to
which the Company was included in a Consolidated Tax Return.

      9.5   REFUNDS. ChoicePoint will be entitled to retain, or receive
immediate payment from Buyer or any of its subsidiaries or Affiliates (including
the Company) of, any refund or credit arising with respect to the Company
(including refunds and credits arising by reason of amended Tax Returns filed
after the Effective Date or otherwise) relating to Taxes with respect to any Tax
period ending on or before the Effective Date. Buyer and the Company will be
entitled to retain, or receive immediate payment from ChoicePoint of, any refund
or credit with respect to Taxes with respect to any taxable period beginning
after the Effective Date relating to the Company. Buyer and ChoicePoint will
equitably apportion any refund or credit with respect to Taxes with respect to
any Straddle Period.

      9.6   TAX COOPERATION. Each of Buyer and ChoicePoint will provide the
other party with such information and records and make such of its
representatives available as may reasonably be requested by such other party in
connection with the preparation of any Tax Return or any audit or other
proceeding that relates to the Company. Buyer will prepare or cause the Company
to prepare, within sixty (60) days after the Effective Date, in a manner
consistent with past practice, the Tax work paper preparation package or
packages necessary to enable ChoicePoint to prepare Tax Returns that ChoicePoint
is obligated to prepare or cause to be prepared pursuant to Section 9.1.

      9.7   TAX INDEMNIFICATION.

            (a) ChoicePoint will indemnify, defend and hold Buyer Indemnified
      Parties harmless from and against (i) all liability for Taxes of the
      Company for any taxable period that ends on or before the Effective Date
      and the portion of any Straddle Period ending on the Effective Date
      (except to the extent accrued as a liability for Taxes on the Final
      Closing Statement), (ii) all liability for any breach of ChoicePoint's
      representations and warranties contained in Section 3.12 or ChoicePoint's
      covenants contained in this Section 9 and (iii) all liability for
      reasonable legal, accounting and appraisal fees and expenses with respect
      to any item described in clause (i) or (ii) above. Notwithstanding the
      foregoing, ChoicePoint will not indemnify, defend or hold harmless any
      Buyer Indemnified Parties from any liability for Taxes attributable to any
      action taken after the Closing by Buyer, any of its subsidiaries or
      Affiliates (including the Company), or any transferee of Buyer or any of
      its subsidiaries or Affiliates (other than any such action expressly
      required or otherwise expressly contemplated by this Agreement) (a "BUYER
      TAX ACT").

            (b) Buyer will indemnify, defend and hold the ChoicePoint
      Indemnified Parties harmless from and against (i) except to the extent
      ChoicePoint is otherwise required to indemnify Buyer for such Tax pursuant
      to Section 9.7(a), all liability for Taxes of the Company for any taxable
      period ending after the Effective Date, (ii) all liability for Taxes
      attributable to a Buyer Tax Act, and (iii) all liability for reasonable

                                      -24-

      legal, accounting and appraisal fees and expenses with respect to any item
      described in clause (i) or (ii) above.

            (c) The obligations of the parties to indemnify, defend and hold
      harmless pursuant to Sections 9.7(a) and 9.7(b) will terminate upon the
      expiration of all applicable statutes of limitations (giving effect to any
      extensions thereof); PROVIDED, HOWEVER, that such obligations to
      indemnify, defend and hold harmless will not terminate with respect to any
      individual item as to which an Indemnified Party shall have, before the
      expiration of the applicable period, previously made a claim by delivering
      a notice (stating in reasonable detail the basis of such claim) to the
      applicable Indemnifying Party.

            (d) In the case of any Straddle Period:

                  (i) The periodic Taxes of the Company that are not based on
            income or receipts (e.g., property Taxes) for the portion of any
            Straddle Period ending on the Effective Date (the "PRE-CLOSING TAX
            PERIOD") shall be computed based on the ratio of the number of days
            in the Pre-Closing Tax Period and the number of days in the entire
            Tax period;

                  (ii) Taxes of the Company for the Pre-Closing Tax Period
            (other than Taxes described in Section 9.7(d)(i) above) will be
            computed as if such taxable period ended as of the close of business
            on the Effective Date, and, if such Taxes are Income Taxes, such
            Income Taxes shall be computed by determining the items of income,
            expense, deduction, loss or credit on a "closing of the books" basis
            as of the end of the Effective Date; and

                  (iii) Income Taxes of the Company for which a Consolidated Tax
            Return is filed will be computed as if separate returns had been
            filed for the Company for such Pre-Closing Tax Period and all prior
            taxable periods.

            (e) Any indemnity payment required to be made pursuant to this
      Section 9.7 will be paid within thirty (30) days after the Indemnified
      Party makes written demand upon the Indemnifying Party, but in no case
      earlier than five (5) business days prior to the date on which the
      relevant Taxes are required to be paid (or would be required to be paid if
      no such Taxes are due) to the relevant taxing authority (including
      estimated Tax payments).

            (f) The limitations described in Section 8.6 shall apply to tax
      indemnification under this Section 9.7.

      9.8   TAX CONTESTS.

            (a) If a claim is made by any taxing authority which, if successful,
      might result in an indemnity payment to any member of Buyer Indemnified
      Parties or the ChoicePoint Indemnified Parties pursuant to Section 9.7,
      the Indemnified Party will promptly notify the Indemnifying Party of such
      claim (a "TAX CLAIM"); PROVIDED, HOWEVER, that the failure to give such

                                      -25-

      notice will not affect the indemnification provided hereunder except to
      the extent the Indemnifying Party has actually been prejudiced as a result
      of such failure.

            (b) With respect to any Tax Claim relating to Taxes and relating to
      a taxable period ending on or before the Effective Date or to any other
      taxable period in which the Company joined in filing any Consolidated Tax
      Return, ChoicePoint will control all proceedings and may make all
      decisions in connection with such Tax Claim (including selection of
      counsel) and, without limiting the foregoing, may in its sole discretion
      pursue or forego any and all administrative appeals, proceedings, hearings
      and conferences with any taxing authority with respect thereto, and may,
      in its sole discretion, either pay the Tax claimed and sue for a refund
      where applicable law permits such refund suits or contest the Tax Claim in
      any permissible manner. Buyer will control all proceedings and may make
      all decisions in connection with any Tax Claim other than a Tax Claim
      described in the first sentence of this Section 9.8(b) or a Tax Claim
      described in Section 9.8(c) (including selection of counsel).

            (c) ChoicePoint and Buyer will jointly control and participate in
      all proceedings taken in connection with any Tax Claim relating to Taxes
      of the Company for any Straddle Period. Neither ChoicePoint nor Buyer will
      settle any such Tax Claim without the prior written consent of the other
      (which consent shall not be unreasonably withheld).

            (d) Each of Buyer, the Company and their respective Affiliates, on
      the one hand, and ChoicePoint and its Affiliates, on the other, will
      cooperate in contesting any Tax Claim, which cooperation will include the
      retention and (upon request) the provision to the requesting party of
      records and information which are reasonably relevant to such Tax Claim,
      and making employees available on a mutually convenient basis to provide
      additional information or explanation of any material provided hereunder
      or to testify at proceedings relating to such Tax Claim.

      9.9   DEFINITIONS.  As used in this Agreement:

            (a) "CONSOLIDATED TAX RETURNS" means Tax Returns which include the
      Company, on the one hand, and ChoicePoint or any of its subsidiaries or
      Affiliates (other than the Company), on the other hand; and

            (b) "INCOME TAXES" means all Taxes based upon, measured by, or
      calculated with respect to (i) net income or profits (including any
      capital gains, minimum taxes and any Taxes on items of tax preference, but
      not including sales, use, real property gains, real or personal property,
      gross or net receipts, transfer or other similar Taxes) or (ii) multiple
      bases (including corporate franchise, doing business or occupation Taxes)
      if one or more of the bases upon which such Tax may be based upon,
      measured by, or calculated with respect to is described in clause (i) of
      this definition.

      SECTION 10. MISCELLANEOUS.

      10.1  NOTICES. All notices, communications and deliveries hereunder shall
be made in writing signed by the party making the same, shall specify the
section hereunder pursuant to which it is given or being made, and shall be

                                      -26-

delivered personally or sent by registered or certified mail or by any express
mail or courier delivery service (with postage and other fees prepaid) as
follows:

      To ChoicePoint or Parent:

      ChoicePoint Services Inc.
      1000 Alderman Drive
      Alpharetta, Georgia  30005
      Attention:  General Counsel

      with a copy to:

      King & Spalding LLP
      1180 Peachtree Street, N.E.
      Atlanta, Georgia  30309
      Attention:  Russell B. Richards

      To Buyer:

      GlobalOptions Group, Inc.
      75 Rockefeller Plaza
      27th Floor
      New York, NY 10019
      Attention:  Jeff Nyweide, CFO

      with a copy to:

      Morton S. Taubman, Esq.
      1201 15th Street N.W.
      Second Floor
      Washington, D.C. 20005

or to such other representative or at such other address of a party as such
party hereto may furnish to the other parties in writing. Such notice shall be
effective upon the date of delivery or refusal of delivery, if sent by personal
delivery, registered, certified, or express mail, or courier delivery.

      10.2  ATTACHMENTS. All schedules, annexes and exhibits attached hereto are
hereby incorporated into this Agreement and are hereby made a part hereof as if
set out in full in this Agreement.

      10.3  SUCCESSORS IN INTEREST. This Agreement shall be binding upon and
shall inure to the benefit of the parties hereto and each of their respective
successors and permitted assigns. No party may assign this Agreement or its
rights hereunder without the consent of all parties; PROVIDED THAT, each of
ChoicePoint and Buyer shall, without the obligation to obtain the consent of any

                                      -27-

other party, be entitled to assign this Agreement or all or any part of its
rights hereunder to any one (1) or more of its respective Affiliates; PROVIDED
FURTHER THAT, no such assignment shall relieve or discharge ChoicePoint or Buyer
of its obligations hereunder.

      10.4  NUMBER; GENDER; CURRENCY. Whenever the context so requires, the
singular number shall include the plural and the plural shall include the
singular, and the gender of any pronoun shall include the other genders. Unless
otherwise expressly noted to the contrary, all references in this Agreement to
"dollars" or "$" shall mean United States dollars.

      10.5  CAPTIONS. The titles, captions, and table of contents contained in
this Agreement are inserted herein only as a matter of convenience and for
reference and in no way define, limit, extend, or describe the scope of this
Agreement or the intent of any provision hereof. Unless otherwise specified to
the contrary, all references to sections are references to sections of this
Agreement and all references to exhibits, annexes and schedules are references
to exhibits, annexes and schedules to this Agreement.

      10.6  KNOWLEDGE. "TO THE KNOWLEDGE OF CHOICEPOINT" or any similar phrase
contained in this Agreement shall mean to the actual knowledge of those
individuals listed in SECTION 10.6 OF THE DISCLOSURE SCHEDULE.

      10.7  CONTROLLING LAW; INTEGRATION; AMENDMENT. This Agreement shall be
governed by and construed and enforced in accordance with the internal laws of
the State of New York without reference to New York choice of law rules (other
than Section 5-1401 of the New York General Obligations Law). This Agreement
supersedes all negotiations, agreements, and understandings among the parties
with respect to the subject matter hereof. This Agreement, together with any
agreements entered into on or subsequent to the Effective Date, constitute the
entire agreement among the parties hereto. This Agreement may not be amended,
modified, or supplemented except by written agreement of Buyer, ChoicePoint and
Parent. No provision of this Agreement shall be construed against or interpreted
to the disadvantage of any party hereto by any court or other governmental or
judicial authority by reason of such party or its counsel having or being deemed
to have structured or drafted such provision.

      10.8  SUBMISSION TO JURISDICTION. Each of the parties hereto agrees that
any suit, action or proceeding arising out of or relating to this Agreement, the
ChoicePoint Ancillary Documents or the Buyer Ancillary Documents, their subject
matter, the performance by the parties of their respective obligations with
respect to this Agreement, the ChoicePoint Ancillary Documents or the Buyer
Ancillary Documents or the claimed breach thereof, whether brought at law or in
equity and whether based in tort, contract or otherwise, or for recognition and
enforcement of any judgment in respect thereof, shall be brought by any of such
parties or any of their respective successors or permitted assigns in any
federal or state court located in Atlanta, Georgia, and each of such parties
hereby submits with regard to any such suit, action or proceeding for itself and
in respect to its property, generally and unconditionally, to the exclusive
jurisdiction of the aforesaid courts. Each of the parties hereto hereby
irrevocably waives, and agrees not to assert, by way of motion, as a defense,
counterclaim or otherwise, in any such suit, action or proceeding (a) any claim
that it is not personally subject to the jurisdiction of such courts for any
reason other than the failure to lawfully serve process, (b) that it or its
property is exempt or immune from jurisdiction of any such court or from any
legal process commenced in such courts (whether through service of notice,
attachment prior to judgment, attachment in aid of execution of judgment,

                                      -28-

execution of judgment or otherwise), (c) that the suit, action or proceeding in
any such court is brought in an inconvenient forum, (d) that the venue of such
suit, action or proceeding is improper, (e) that this Agreement, the ChoicePoint
Ancillary Documents or the Buyer Ancillary Documents or the subject matter
hereof or thereof may not be enforced in or by such courts or (f) any right to a
trial by jury. Each of the parties hereto irrevocably consents to the service of
process in any such proceeding by the mailing of copies thereof by certified
mail, postage prepaid, to such party's address for notices under this Agreement.

      10.9  SEVERABILITY. Any provision hereof which is prohibited or
unenforceable in any jurisdiction will, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the
remaining provisions hereof, and any such prohibition or unenforceability in any
jurisdiction will not invalidate or render unenforceable such provision in any
other jurisdiction. To the extent permitted by law, the parties hereto waive any
provision of law which renders any such provision prohibited or unenforceable in
any respect.

      10.10 COUNTERPARTS. This Agreement may be executed in counterparts each of
which shall be deemed an original and all of which together shall constitute one
and the same agreement.

      10.11 ENFORCEMENT OF CERTAIN RIGHTS. Nothing expressed or implied in this
Agreement is intended, or shall be construed, to confer upon or give any person,
firm or corporation other than the parties hereto, and their successors or
permitted assigns, any rights, remedies, obligations, or liabilities under or by
reason of this Agreement, or result in such person, firm, or corporation being
deemed a third-party beneficiary of this Agreement.

      10.12 GUARANTY. Parent hereby unconditionally guarantees to Buyer the due
and punctual payment and/or performance of all liabilities, obligations or
undertakings of ChoicePoint under this Agreement.

                        [SIGNATURES FOLLOW ON NEXT PAGE.]

                                      -29-

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

                                    CHOICEPOINT GOVERNMENT SERVICES INC.

                                    By: /s/ J. Michael de James
                                        --------------------------------
                                    Name: Michael de James
                                    Title: Chief Data Officer

                                    CHOICEPOINT INC.

                                    By: /s/ J. Michael de James
                                        --------------------------------
                                    Name: Michael de James
                                    Title: Chief Data Officer

                                    GLOBALOPTIONS GROUP, INC.

                                    By: /s/ Harvey W. Schiller
                                        --------------------------------
                                    Name: Harvey W. Schiller, Ph.D.
                                    Title: Chairman and Chief Executive Officersec document

                                                                    Exhibit 10.1

                            ASSET PURCHASE AGREEMENT

                                  BY AND AMONG

                            GLOBALOPTIONS GROUP, INC.

                                       AND

                                 FACTICON, INC.

                                FEBRUARY 28, 2007

                            ASSET PURCHASE AGREEMENT

      THIS ASSET  PURCHASE  AGREEMENT  (the  "AGREEMENT"),  is made February 28,
2007, by and among GLOBALOPTIONS GROUP, INC., a Delaware corporation  ("Buyer"),
Facticon, Inc., a Pennsylvania corporation ("SELLER").

                                    RECITALS

      Seller  desires to sell,  and Buyer  desires to  purchase,  the Assets (as
defined  below) of Seller  for the  consideration  and on the terms set forth in
this Agreement.

                                    AGREEMENT

      The parties, intending to be legally bound, hereby agree as follows:

                                    ARTICLE I
                      SALE AND TRANSFER OF ASSETS; CLOSING

      SECTION  1.1  ASSETS  TO BE  SOLD.  Upon  the  terms  and  subject  to the
conditions  set forth in this  Agreement,  at the Closing (as defined in Section
1.6 below),  Seller shall sell, convey,  assign,  transfer and deliver to Buyer,
and Buyer shall purchase and acquire from Seller,  free and clear of any charge,
claim, equitable interest,  lien, option, pledge,  security interest,  mortgage,
encroachment,  or  restriction  of any kind (an  "ENCUMBRANCE"),  other than any
Encumbrance  identified  on  ANNEX  A  as  acceptable  to  Buyer  (a  "PERMITTED
ENCUMBRANCE"),  all of Seller's property and assets, personal or mixed, tangible
and intangible,  of every kind and description,  wherever located,  belonging to
Seller  and used in the  conduct  of the  Seller's  private  investigations  and
security  consulting  business (the  "BUSINESS"),  including the following  (but
excluding the Excluded Assets):

            (a)   all equipment, furniture, office equipment, computer hardware,
supplies,  materials,  vehicles,  and other items of tangible  personal property
(other than  inventory)  of every kind owned or leased by Seller (the  "TANGIBLE
PERSONAL PROPERTY"), including those items described in SCHEDULE 2.7(B);

            (b)   all trade accounts  receivable and all other accounts or notes
receivable of Seller (the "ACCOUNTS RECEIVABLE");

            (c)   any oral or written  contracts  or  agreement  (i) under which
Seller has or may acquire any rights or benefits, (ii) under which Seller has or
may become subject to any  obligation or liability,  or (iii) by which Seller or
any of the Assets is or may become  bound (any such  contract  or  agreement,  a
"SELLER CONTRACT"), including those Seller Contracts listed on SCHEDULE 2.14;

            (d)   all  Governmental   Authorizations   (as  defined  in  SECTION
2.11(B)) and all pending applications therefor or renewals thereof, in each case
to the extent transferable to Buyer;

                                      -2-

            (e)   all data and records related to the operations of Seller,  and
copies of all records referenced in SECTION 1.2(E) below;

            (f)   all of the intangible rights and property of Seller, including
the  Intellectual   Property  Assets  (as  defined  in  SECTION  2.16)  and  the
Proprietary Assets (as defined in SECTION 2.16), going concern value,  goodwill,
telephone,  telecopy, and e-mail addresses, websites, domain names, and listings
including the name "Facticon," abbreviations thereof, and Facticon, Inc., or any
previous name or names utilized by the Seller;

            (g)   all insurance benefits, including rights and proceeds, arising
from or relating to the Assets prior to the Closing Date;

            (h)   all claims of Seller  against  third  parties  relating to the
Assets;

            (i)   all cash and cash  equivalents  and all  securities  and short
term investments,  provided however, the parties agree that any such cash and/or
cash  equivalents  will be used to satisy  any State  tax liens  filed  upon the
Seller priot to Closing;

            (j)   all  rights  of  Seller   relating  to  deposits  and  prepaid
expenses,  claims for refunds and rights to offset in respect  thereof which are
not excluded under SECTION 1.2(F); and

            (k)   all other  properties and assets of every kind,  character and
description,  tangible or intangible,  of every kind and  description,  owned by
Seller, whether or not similar to the items specifically set forth above.

All of the property and assets to be transferred to Buyer hereunder are referred
to collectively as the "ASSETS".  Notwithstanding the foregoing, the transfer of
the Assets  pursuant to this  Agreement  will not include the  assumption of any
liability or obligation in respect  thereof unless the Buyer  expressly  assumes
such liability or obligation pursuant to SECTION 1.4(A).

      SECTION 1.2  EXCLUDED  ASSETS.  Notwithstanding  anything to the  contrary
contained in Section 1.1 or elsewhere in this  Agreement,  the  following  items
(collectively,  the  "EXCLUDED  ASSETS")  are not part of the sale and  purchase
contemplated  hereunder,  are  excluded  from the  Assets,  and will  remain the
property of Seller after the Closing:

            (a)   the minute  book,  membership  records,  and  company  seal of
Seller;

            (b)   the   equity   of  Seller   and/or   loan   receivables   from
stockholders;

            (c)   all of Seller's life insurance  policies and rights thereunder
(except to the extent specified in Sections 1.1(h) and (i));

            (d)   all  personnel  records  and  other  records  that  Seller  is
required by law to retain in its possession;

                                      -3-

            (e)   all claims for refund of taxes and other governmental  charges
of whatever nature;

            (f)   all  rights in  connection  with and  assets  of any  Employee
Benefit Plans (as defined in Section 2.10 below);

           (g)   all  rights  of  Seller in  connection  with the  transactions
contemplated hereby; and

            (h)   the property and assets expressly  designated in and including
the five real  estate  leases not being  assumed by the Buyer  SCHEDULE  2.7(A).
Provided,  however,  the Buyer  shall  reimburse  the Seller for the use of real
estate leases located in Boston, Philadelphia,  Pittsburg and New Jersey for the
remainder of the respective lease terms (5/15/07,  5/31/07, 7/31,07 and 4/30/07,
respectively), and for the period of use for the Dallas lease, subsequent to the
Closing Date, and such  reimbursement  shall be equal to the respective  monthly
lease cost for such leased  property  including any common area cost and utility
cost.  The  reimbursement  shall  be paid in  advance  for  each  month  for the
anticipated use of said leased property.

      SECTION  1.3  PURCHASE  PRICE.  The  consideration  for  the  Assets  (the
"PURCHASE  PRICE") will be Two Million Eight Hundred Thousand and No/100 Dollars
($2,800,000) wherein the Purchase Price shall include: (i) cash in the amount of
One Million Four Hundred Thousand and No/ Dollars ($1,400,000) ("Cash Portion");
and (ii) Buyer's  stock in the amount of One Million  Four Hundred  Thousand and
No/ Dollars  ($1,400,000)  ("Stock Portion"),  and the assumption of the Assumed
Liabilities (as defined in Section 1.4 below).

In accordance with SECTION 1.7(B),  at the Closing,  the Purchase Price shall be
delivered by Buyer to Seller,  as follows:  (A) the payment of One Million Three
Hundred  Thousand and No/100 Dollars  ($1,300,000) by wire to an escrow account,
wherein the Seller's and Buyer's  legal  counsels  will jointly  agree as to the
distribution,  anticipated as follows: (i) Seller's creditors, including but not
limited to (x) the Internal Revenue Service; (y) various States to satisfy State
tax liens; and (z) Seller's  financial  institution for its line of credit;  and
(ii) any  remaining  cash  shall be  delivered  to the Law  Offices of Morton S.
Taubman and  McNichol,  Byrne &  Matlawski,  P.C.,  as a joint escrow agent (the
"ESCROW AGENT") under the Escrow Agreement (as defined in SECTION 1.7(A) below),
(B) at Closing,  an amount equal to Seven Hundred and Fifty  Thousand and No/100
Dollars ($750,000) of the Stock Portion of the Purchase Price shall be delivered
to the  Escrow  Agent  under the  Escrow  Ageement,  as such  Stock  Portion  is
determined in accordance with SECTION 1.3(B);  (C) at Closing, a promissory note
in the amount of One Hundred Thousand and No/100 Dollars ($100,000) (in the form
of Exhibit 1.3(a),  the "Promissory Note 1") of the Cash Portion of the Purchase
Price to be delivered to the the Escrow Agent under the Escrow Agreement; (D) at
Closing,  stock in an amount  equal to Two  Hundred  Fifty  Thousand  and No/100
Dollars ($250,000) of the Stock Portion of the Purchase price to the Seller, (in
the form of Exhibit 1.3 (b),  the  "Promissory  Note 2") to be  delivered to the
Escrow Agent under the Escrow Agreement; and (E) at Closing, the remaining Stock
Portion  ($400,000) shall be placed in escrow by the Buyer and held by the Buyer
for the benefit of the Seller (the "Escrowed  Stock"),  and said Escrowed Stock,
subject to the last sentence of this Section 1.3(a), shall be distributed to the
Seller as follows: (i) one year from the date of Closing, an amount equal to Two
Hundred  Thousand and No/100 Dollars  ($200,000) of the Escrowed Stock , as such
Stock Portion is determined in accordance with SECTION  1.3(B),  of the Purchase
Price ; and (ii) two years  from the date of  Closing,  an  amount  equal to Two

                                      -4-

Hundred  Thousand and No/100 Dollars  ($200,000) of the Escrowed  Stock, as such
Stock Portion is determined in accordance with SECTION  1.3(B),  of the Purchase
Price Any Escrowed Stock not yet distributed shall be forfeited by the Buyer, if
the  Employment of Messrs.  Bullock and Jensen are terminated for cause (as that
term is defined in the Employment  Agreements) and/or Messrs. Bullock and Jensen
terminate their Employment  prior to the term of said Employment  Agreement (the
"Termination of Employment").

(b)   The number of shares of Buyer Common Stock  comprising  the Stock  Portion
shall be equal to number of shares  resulting  from  $1,400,000  divided  by the
higher of: (i) the Fair Market  Value of a Share at the  Closing  Date or $2.00.
"FAIR MARKET  VALUE OF A SHARE" shall mean the average of the closing  prices of
the sales of Buyer  Common  Stock on all  securities  exchanges  on which  Buyer
Common  Stock may at the time be listed,  or, if there have been no sales on any
such exchange on any day, the average of the highest bid and lowest asked prices
on all such  exchanges  at the end of such day,  or, if on any day Buyer  Common
Stock are not so listed,  the average of the representative bid and asked prices
quoted in the NASDAQ  System as of 4:00 P.M.,  New York time,  or, if on any day
Buyer  Common  Stock are not quoted in the  NASDAQ  System,  the  average of the
highest bid and lowest asked prices on such day in the domestic over-the-counter
market as reported by the National Quotation Bureau Incorporated, or any similar
successor organization,  in each such case averaged over a period of 180 trading
days  consisting of the trading day as of which the Fair Market Value of a Share
is being determined and the 180 consecutive  trading days prior to such day. All
Shares  issued  herein  will  be  subject  to Rule  144  promulgated  under  the
Securities Act of 1933, as amended.

      SECTION 1.4 LIABILITIES.

            (a)   At  the  Closing,  Buyer  shall  assume  and be  obligated  to
discharge only the following specifically enumerated liabilities and obligations
of Seller (the "ASSUMED LIABILITIES"):

                  (i) any trade  account  payable  that is incurred by Seller in
the Ordinary  Course of Business at the Closing Date, in each case which remains
unpaid as of the Closing, providing such account payables are described and aged
in Schedule 1.4(a)(i);

                  (ii) any liability  arising after the Closing under any Seller
Contract  included  in the Assets  (other than any  liability  arising out of or
relating to a breach which occurred prior to the Closing); and

                  (iii)  any   liability   of  Seller   described   in  SCHEDULE
1.4(A)(III),  including  an  amount  up to Fifty  Thousand  and  No/100  Dollars
($50,000)  for : (i) an accrual  for  accounting  services  required  to provide
audited financial statements as required under SECTION 2.4 of this Agreement and
(ii) any legal fees incurred in the review, negotiation or preparation hereof.

            (b)   All  liabilities  and  obligations of Seller,  whether arising
prior to the Closing Date, other than the Assumed  Liabilities,  are referred to
as the "RETAINED  LIABILITIES".  All of the Retained Liabilities will remain the
sole  responsibility  of  and  will  be  retained  solely  by  Seller.  Retained
Liabilities include, but not limited to: (i) subject to Section 1.2(h), the five
real  estate  leases ; (ii)  subject  to  Section  1.4(a)  (iii),  the legal and

                                      -5-

accounting  fees  incurred  by  the  Seller  as  a  result  of  the  anticipated
transaction under this Agreement, whether such fees are incurred before or after
the Closing Date; and (iii) any tax liabilities not disclosed herein.

      SECTION 1.5 ALLOCATION.  The Purchase Price will be allocated as set forth
in EXHIBIT 1.5. After the Closing,  the parties shall make consistent use of the
allocation  specified in EXHIBIT 1.5 for all tax purposes and in any tax returns
filed with the Internal Revenue Service in respect  thereof,  including IRS Form
8594.

      SECTION 1.6 CLOSING.  The  consummation  of the purchase and sale provided
for in this Agreement (the  "CLOSING") will take place at Buyer's offices at New
York  City,  at 10:00  a.m.  (local  time) on a date  mutually  agreed to by the
parties but not later than  February 28, 2007 (the  "CLOSING  DATE").  Provided,
however,  the Closing Date shall be automatically  extended to permit the Seller
sufficient time to provide the audited financial  statements  required in a form
in  compliance  with Section 2.4 of this  Agreement,  but in no event later than
March 31,  2007.  Delivery of documents  at the Closing may be  accomplished  by
facsimile  and/or PDF electronic  files, to be followed by delivery of originals
by overnight courier, of national reputation, the day after Closing.

      SECTION 1.7 CLOSING OBLIGATIONS.

            (a)   At the Closing, Seller shall deliver to Buyer:

                  (i) a bill  of  sale  for  all of the  Assets  in a form to be
agreed upon (the "BILL OF SALE"), executed by Seller;

                  (ii) an assignment  of all of the Assets which are  intangible
personal property in the form of EXHIBIT 1.7(A)(II), which assignment shall also
contain  Buyer's  undertaking  and  assumption of the Assumed  Liabilities  (the
"ASSIGNMENT AND ASSUMPTION AGREEMENT"), executed by Seller;

                  (iii) releases from the Internal  Revenue  Service for its tax
lien and any States with their respective tax liens or soon thereafter;

                  (iv) copies of any other consent (excluding  consents relating
to the Non-Material  Contracts (as defined in SECTION 1.8 below)) required to be
obtained in connection with the execution and delivery of this Agreement and the
consummation of the  transactions  contemplated  hereby as disclosed on SCHEDULE
2.2(C);

                  (v) an  escrow  agreement  in the form of  EXHIBIT  1.7(A)(V),
executed by Seller, Buyer and the Escrow Agent (the "ESCROW AGREEMENT");

                  (vi)  the  employment   agreements  in  the  form  of  EXHIBIT
1.7(A)(VI),   executed  by  John   Bullock  and  Jim  Jensen  (the   "EMPLOYMENT
AGREEMENTS");

                                      -6-

                  (vii) the  noncompetition,  nondisclosure and  nonsolicitation
agreements that have been  previously  executed by employees and assigned to the
Seller, listed on SCHEDULE 1.7.(A)(VII);

                  (viii) a certificate of the Secretary of Seller certifying, as
complete  and  accurate as of the  Closing,  attached  copies of the Articles of
Incorporation  and the bylaws of Seller,  certifying and attaching all requisite
resolutions  or actions of Seller's  shareholders  approving  the  execution and
delivery of this Agreement and the consummation of the transactions contemplated
hereby and the change of name  contemplated by SECTION 4.5 and certifying to the
incumbency  of the officers of Seller  executing  this  Agreement  and any other
document relating to the transactions contemplated hereby and accompanied by the
requisite  documents  for  amending  the  Articles  of  Incorporation  of Seller
required to effect such  change of name in form  sufficient  for filing with the
State of Pennsylvania;

                  (ix) an opinion of counsel of the  Seller,  dated the  Closing
Date, in a form customary for a similar transactions;

                  (x) the Articles of Incorporation  and all amendments  thereto
of Seller,  duly  certified as of a recent date by the Secretary of State of the
Commonweath of Pennsylvania;

                  (xi)  certificates  as to the  good  standing  of  Seller  and
payment of all  applicable  state taxes by Seller,  executed by the  appropriate
officials of the jurisdiction of Seller's incorporation and each jurisdiction in
which Seller is licensed or qualified to do business as a foreign corporation as
specified  in  SCHEDULE  2.1 To the  extent  that  such  certificates  cannot be
provided  prior to Closing,  seller agrees to indemnify and hold harmless  Buyer
for the  non-payment of sales and income taxes for any of the  jurisdictions  in
which Seller is licensed and qualified to do business as a foreign  corporation;
and

                  (xii)  such   other   deeds,   bills  of  sale,   assignments,
certificates  of  title,   documents  and  other  instruments  of  transfer  and
conveyance as may  reasonably be requested by Buyer,  each in form and substance
reasonably  satisfactory to Buyer and its counsel and executed by Seller for the
purpose of  facilitating  the  consummation  or performance of the  transactions
contemplated hereby.

            (b)   At the Closing, Buyer shall deliver to Seller:

                  (i) The Cash Portion and the Stock Portion in accordance  with
Section 1.3 of this  Agreement,  by wire transfer to Seller's  counsel's  escrow
account;

                  (ii) the  Assignment  and  Assumption  Agreement,  executed by
Buyer;

                  (iii) the Escrow  Agreement,  executed by Buyer and the Escrow
Agent,  together with the delivery of an amount equal Seven Hundred Thousand and
Fifty Thousand and No/100 Dollars  ($750,000.00)  of Stock; One Hundred Thousand
and No/100 Dollars  ($100,000)  Promissory  Note; and Two Hundred Fifty Thousand
and No/100 Dollars ($250,000) of Stock to the Escrow Agent;

                                      -7-

                  (iv) the Employment Agreements, executed by Buyer;

                  (v) the Noncompetition Agreements, executed by Buyer;

                  (vi) a certificate  of the Secretary of Buyer  certifying,  as
complete and accurate as of the Closing,  attached copies of the bylaws of Buyer
and  certifying  and attaching all requisite  resolutions  or actions of Buyer's
board of directors  approving the  execution and delivery of this  Agreement and
the consummation of the transactions  contemplated  hereby and certifying to the
incumbency  of the  officers of Buyer  executing  this  Agreement  and any other
document relating to the transactions contemplated hereby; and

                  (vii) a stock option plan for the  executives and employees of
the Seller to be available to said employees subsequent to the Closing Date, and
said option plan will contain in part:  (x) stock  options  priced at the end of
the  Closing  Date at the market  value of $420,000 as of the end of the Closing
Date; (y) with a vesting schedule of three years;  and (z) distribution  list of
said stock options to employees determined by the Seller.

      SECTION 1. 8 CONSENTS.  Buyer may waive the requirement that Seller obtain
consents to assignment with respect to any of the Seller Contracts  disclosed on
SCHEDULE  2.2(C) (the  contracts with respect to which Buyer grants such waiver,
the "NON-MATERIAL  CONTRACTS"),  in which case any such  Non-Material  Contracts
will be identified as such on SCHEDULE 2.2(C).  Notwithstanding  anything to the
contrary  in this  Agreement,  if any  consents  to  assignment  relating to the
Non-Material  Contracts have not been obtained at or prior to the Closing,  this
Agreement  will not  constitute  an assignment or an agreement to assign if such
assignment or attempted assignment would constitute a breach of the Non-Material
Contract or result in the loss or diminution thereof; PROVIDED, HOWEVER, that in
each such  case,  Seller  shall take  commercially  reasonable  steps  after the
Closing to obtain the consent of such other party to the  Non-Material  Contract
to the assignment of such Non-Material Contract to the Buyer. If such consent is
not  obtained,  Seller  shall  cooperate  with the Buyer to the  extent  legally
permissible and feasible in any reasonable  arrangement  designed to provide for
Buyer the benefits of any Non-Material Contract,  including, without limitation,
the enforcement, for the account and benefit of the Buyer, of any and all rights
of Seller against any other person with respect to a Non-Material Contract.

                                   ARTICLE II
                    REPRESENTATIONS AND WARRANTIES OF SELLER

      Seller represents and warrants to Buyer as follows:

      SECTION 2.1 ORGANIZATION AND GOOD STANDING.

            (a)   Seller is a corporation duly organized,  validly existing, and
in  good  standing  under  the  laws  of  the  State  of  the   Commonwealth  of
Pennsylvania, with full corporate power and authority to conduct its business as

                                      -8-

it is now being  conducted,  to own or use its  properties  and  assets,  and to
perform all its obligations under its contracts.  Seller is duly qualified to do
business as a foreign corporation and is in good standing under the laws of each
state or other jurisdiction set forth in SCHEDULE 2.1.

            (b)   Complete and accurate copies of the articles of  incorporation
and bylaws of Seller (collectively,  the "GOVERNING DOCUMENTS"), as currently in
effect, have been delivered to Buyer.

            (c)   Seller does not own and has not entered into any  agreement or
contract to acquire,  any equity securities or other securities of any person or
any direct or indirect equity ownership interest in any other business.

      SECTION 2.2 AUTHORITY; NO CONFLICT.

            (a)   This  Agreement  constitutes  the legal,  valid,  and  binding
obligation  of Seller.  Upon the execution and delivery by Seller of each of the
documents  and  instruments  to be executed  and  delivered by Seller at Closing
pursuant to SECTION 1.7(A)  (collectively,  the "SELLER'S  CLOSING  DOCUMENTS"),
each of Seller's Closing Documents will constitute the legal, valid, and binding
obligation  of  Seller,  enforceable  against  Seller in  accordance  with their
respective  terms.  Seller has the right,  power,  authority,  and  capacity  to
execute and deliver this Agreement and Seller's Closing Documents and to perform
its obligations  under this Agreement and Seller's Closing  Documents,  and such
action has been duly authorized by all necessary action by Seller's Members.

            (b)   Neither the execution  and delivery of this  Agreement nor the
consummation or performance of any of the transactions  contemplated hereby will
(with or without  notice or lapse of time):  (i)  contravene,  conflict with, or
result in a violation  of any  provision  of any of the  Governing  Documents of
Seller,  (ii)  contravene,  conflict with, or result in a violation of any Legal
Requirement  (as  defined  in  SECTION  2.11(A)  below) or Order (as  defined in
SECTION 2.12(B) below) of any court or governmental authority to which Seller or
any of the Assets are subject, or (iii) breach any provision of, give any person
the right to declare a default or  exercise  any remedy  under,  accelerate  the
maturity  or  performance  of or  payment  under,  result  in  the  creation  or
imposition  of any  Encumbrance  upon  any  of  the  Assets  under,  or  cancel,
terminate, or modify, any contract to which Seller is a party or by which Seller
or the Assets are bound.

            (c)   Except as set forth in SCHEDULE 2.2(C), Seller is not and will
not be required  to give any notice to or obtain any consent  from any person in
connection with the execution and delivery of this Agreement or the consummation
or performance of the transactions contemplated hereby (including the assignment
of the Seller Contracts hereunder).

      SECTION 2.3  CAPITALIZATION.  The  authorized  equity of Seller consist of
common stock held entirely by the parties listed on SCHEDULE 2.3.

      SECTION 2.4 FINANCIAL STATEMENTS.  Attached hereto as SCHEDULE 2.4 are the
Seller's  unaudited  Balance Sheets and unaudited  profit and loss statement for
the twelve  months ended  December 31, 2004,  December 31, 2005 and December 31,
2006 (the "FINANCIAL  STATEMENTS").  The Financial Statements fairly present the

                                      -9-

financial condition and the results of operations of Seller as at the respective
dates of and for the periods  referred to in such financial  statements,  all in
accordance with generally accepted accounting  principals ("GAAP") except as set
forth on SCHEDULE 2.4. The Financial  Statements have been prepared from and are
in accordance with the books and records of Seller.  Seller shall provide to the
Buyer, on or before Closing, a draft audited financial  statements for the years
ended December 31, 2004,  December 31, 2005, December 31, 2006, and within forty
five (45) days of the Closing  Date the  audited  financial  statements  for the
years ended  December  31, 2005 and December 31, 2006 and for the stub period up
to  the  Closing  Date,  and  such  financial  statements  shall  be  materially
consistent with the previously  submitted  unaudited Financial  Statements.  The
aforementioned  audited financial  statements must be in the form and an opinion
of an independent  certified  public  accountant  attached to meet the standards
required  by  the  Securities  and  Exchange  Commission,  and  the  independent
certified public  accountant must provide its consent to the use of the Seller's
audited financial  statements in the Buyer's 8-K and other registration  filings
with the Securities and Exchange  Commission.  Further, the Seller's independent
public  accountant  shall  make  all of its work  papers  and  other  supporting
documents it utilized in proving its opinion available,  if needed for review by
the Buyer's independent public accountant.

      SECTION 2.5  SUFFICIENCY  OF ASSETS.  The Assets (a) constitute all of the
assets,  tangible and intangible,  necessary to conduct Seller's business in the
manner  presently  operated by Seller,  and (b)  constitute all of the operating
assets of Seller, other than certain real estate leased.

      SECTION 2.6 REAL  PROPERTY  LEASES.  SCHEDULE 2.6 sets forth all leases of
real  property  to which the  Seller is a party  (the  "LEASES").  Complete  and
accurate  copies of the Leases,  as amended or modified,  have been delivered to
Buyer.  The Buyer will not assume any of the Leases.  Seller enjoys peaceful and
undisturbed possession of all such real property.

      SECTION 2.7 PERSONAL PROPERTY.

            (a)   Except as set forth on SCHEDULE  2.7(A),  Seller owns good and
transferable  title to all of its Assets  (excluding  its  interest  in the real
property  described in SCHEDULE 2.6), free and clear of any  Encumbrances  other
than Permitted Encumbrances.

            (b)   SCHEDULE  2.7(B)  sets  forth all items of  Tangible  Personal
Property with an initial,  nondepreciated  book value in excess of $2,500.  Each
item  of  Tangible  Personal  Property  is in good  repair  and  good  operating
condition, ordinary wear and tear excepted, and is suitable for immediate use in
the ordinary  course of business,  No item of Tangible  Personal  Property is in
need of repair or replacement  other than as part of routine  maintenance in the
ordinary course of business. All Tangible Personal Property is in the possession
of Seller.

      SECTION 2.8 TAXES.  Except as set forth in Schedule  2.8,  Seller,  to the
best of its  knowledge,  has timely  filed all tax  returns  (federal,  state or
local)  required  to  be  filed  by  it  in  accordance  with  applicable  Legal
Requirements  (AS  DEFINED  IN SECTION  2.11(A)).  All of such tax  returns  are
accurate  and  complete  in all  material  respects.  Seller  has  paid  or made
provision  for the  payment  of all taxes  that have or may  become  due for all
periods  covered by the tax returns or otherwise,  or pursuant to any assessment
received by Seller.  There is no dispute or claim concerning any taxes of Seller
either claimed or raised by any  governmental  authority in writing.  Seller has
not  requested or been given any  extension of time within which to file returns
in respect of any taxes for which Seller may be liable. All taxes that Seller is

                                      -10-

or was required by Legal  Requirements to withhold,  deduct or collect have been
duly  withheld,  deducted and collected and, to the extent  required,  have been
paid to the proper governmental authority.

      SECTION 2.9  EMPLOYEES.  SCHEDULE  2.9 sets forth a complete  and accurate
list, giving name, job title,  current  compensation  paid or payable,  sick and
vacation leave that is accrued but unused, and services credited for purposes of
vesting and  eligibility  to  participate  under any  Employee  Benefit Plan (as
defined below) (in each case, to the extent  applicable),  (a) for each employee
of Seller,  including  each  employee on leave of absence or layoff  status (the
"EMPLOYEES"),  and (b) for any independent  contractors who render services on a
regular basis to, or are under contract with, Seller. Seller has not experienced
any  organized  slowdown,  work  interruption  strike,  or work  stoppage by its
employees,  and, to the knowledge of Seller,  and the stockholders,  there is no
strike, labor dispute, or union organization activity pending or threatened that
affects  Seller's  Employees.  None of the  Employees  belongs  to any  union or
collective  bargaining unit applicable to his employment with the Seller. Except
as set  forth  on  SCHEDULE  2.9,  no  Employee  of  Seller  is bound by (a) any
employment or similar contract or agreement with Seller,  or (b) any contract or
agreement that purports to limit or restrict the ability of such Employee to (i)
perform  his duties as an employee  of Seller,  or (ii)  engage in any  conduct,
activity, or practice relating to Seller's business.

      SECTION  2.10  EMPLOYEE  BENEFITS.  SCHEDULE  2.10 sets  forth all  plans,
programs,  or arrangements that Seller has maintained,  sponsored,  adopted,  or
obligated itself under with respect to employees' benefits, including pension or
retirement  plans,  medical  or  dental  plans,  life  or  long-term  disability
insurance,   bonus  or  incentive  compensation,   or  stock  option  or  equity
participation  plans (the "EMPLOYEE BENEFIT PLANS").  Seller has no liability or
obligation  with respect to any Employee  under any Employee  Benefit Plan other
than normal salary or wage accruals and paid vacation,  sick leave,  and holiday
accruals in accordance with Seller's  practice and policy.  Seller has performed
all obligations  required to be performed under, and has complied with all Legal
Requirements in connection  with, all such Employee  Benefit Plans and is not in
arrears under any of the terms thereof.

      SECTION   2.11   COMPLIANCE   WITH   LEGAL   REQUIREMENTS,    GOVERNMENTAL
AUTHORIZATIONS.

            (a)   Except as set forth on SCHEDULE  2.11(A),  Seller, to the best
of its  knowledge,  is, and at all times  since  January 1, 2002,  has been,  in
compliance  in all  material  respects  with any federal,  state,  or local law,
ordinance or regulation  (including with respect to  environmental,  disposal of
hazardous substances, or public health or safety) (a "LEGAL REQUIREMENT"),  that
is or was applicable to the operation of its business or the ownership or use of
any of its assets.  Seller has not received,  at any time since January 1, 2002,
any  notice  or  other   communication   (whether  oral  or  written)  from  any
governmental  authority  or any other  person  regarding  any  actual or alleged
violation  of,  or  failure  to comply  with,  any  Legal  Requirement  with the
exception of the Potential Tax Audit.

            (b)   SCHEDULE 2.11(B) contains a complete and accurate list of each
approval, license or permit (the "GOVERNMENTAL  AUTHORIZATIONS") that is held by
Seller or that  otherwise  relates to the Seller's  business or the Assets.  The
Governmental  Authorizations listed in SCHEDULE 2.11(B) collectively  constitute

                                      -11-

all of the  approvals,  licenses  and  permits  necessary  to  permit  Seller to
lawfully  conduct and operate its business in the manner it  currently  conducts
and operates such business and to permit Seller to own and use its assets in the
manner in which it currently  owns and uses such  assets.  The Buyer will review
each Government Authorization with the corresponding  jurisdiction and determine
the  necessity to submit new  applications  if needed to qualify to continue the
operation of the Seller in such jurisdiction.

      SECTION 2.12 LEGAL PROCEEDINGS, ORDERS.

            (a)   Except as set forth in SCHEDULE 2.12(A),  there are no actions
or proceedings  pending by or against Seller or that otherwise  relate to or may
affect the business of, or any of the assets  owned or used by,  Seller.  To the
knowledge of Seller,  no such action or proceeding has been  threatened,  and no
event has  occurred  or  circumstance  exists  that may serve as a basis for the
commencement of any such action or proceeding.

            (b)   There are no orders,  injunctions,  judgments  or decrees  (an
"ORDER")  outstanding  against Seller or that otherwise  relate to or may affect
the business of, or any of the assets owned or used by, Seller.

      SECTION  2.13  INSURANCE.  SCHEDULE  2.13 sets  forth (a) a  complete  and
accurate  list of all  insurance  under which any of the assets or properties of
Seller is covered or otherwise  relating to the business of Seller,  and (b) all
life insurance  policies  covering the life of any Employee for which Seller has
paid any premiums.  Such  policies are in full force and effect,  and Seller has
paid all premiums due, and has otherwise performed all of its obligations under,
each such policy of insurance.

      SECTION 2.14  CONTRACTS;  NO DEFAULTS.  SCHEDULE 2.14 contains an accurate
and  complete  list of each  Seller  Contract.  Seller  has  delivered  to Buyer
accurate and complete copies of each written Seller  Contract,  and has provided
Buyer with a true and accurate written description of each oral Seller Contract.
To the best of Seller's knowledge, each Seller Contract is valid and binding and
in full  force and  effect,  Seller and each  other  person  that has or had any
obligation  or liability  under any Seller  Contract is in  compliance  with all
material  terms  and  requirements  of each  Seller  Contract,  and no event has
occurred or  circumstance  exists that (with or without notice or lapse of time)
may  contravene,  conflict  with, or result in a violation or breach of, or give
Seller or any other person the right to declare a default or exercise any remedy
under, or to accelerate the maturity or performance of, or to cancel, terminate,
or modify, any Seller Contract.

      SECTION 2.15 INTELLECTUAL PROPERTY. SCHEDULE 2.15 lists any names, assumed
names,   registered  or  unregistered  trade  names,   patents,   inventions  or
discoveries  that may be  patentable,  registered  or  unregistered  trademarks,
registered or unregistered service marks, registered or unregistered copyrights,
applications for any of the foregoing, computer software, rights in internet web
sites and internet domain names owned, used or licensed by Seller (collectively,
the "INTELLECTUAL  PROPERTY  ASSETS").  The  documentation  relating to (a) such
Intellectual Property Assets and (b) any trade secrets,  know-how,  confidential
or proprietary  information  and customer lists (the items  referenced in clause
(b), the "PROPRIETARY  ASSETS") is current,  accurate,  and sufficient in detail
and  content to allow its full and proper use.  Seller has taken all  reasonable
precautions to protect the secrecy, confidentiality, and value of the all of the

                                      -12-

Intellectual  Property Assets and Proprietary  Assets,  and has the right to use
all of the  Intellectual  Property  Assets and Proprietary  Assets.  None of the
Intellectual  Property  Assets or  Proprietary  Assets is subject to any adverse
claim or has been  challenged or threatened in any way or infringes or conflicts
with  any  patent  or  copyright   application  or  registration  or  any  other
intellectual  property  right of any other person.  The ownership and use of the
Intellectual  Property  Assets and  Proprietary  Assets by Buyer  following  the
Closing will not infringe upon or conflict with the intellectual property rights
of any person.

      SECTION 2.16  RELATIONSHIPS  WITH RELATED PERSONS.  Except as set forth in
SCHEDULE 2.16, no stockholder in Seller or any Related Person (as defined below)
of a stockholder has any interest in any property  (whether real,  personal,  or
mixed and whether  tangible or  intangible),  used in or  pertaining to Seller's
business.  To the knowledge of the Seller,  no stockholder or any Related Person
of any stockholder  owns an equity  interest or any other financial  interest in
any person that has (a) had business dealings or a material  financial  interest
in any  transaction  with Seller other than  business  dealings or  transactions
disclosed  in SCHEDULE  2.16,  each of which has been  conducted in the ordinary
course  of  business  at   substantially   prevailing   market   prices  and  on
substantially prevailing market terms, or (b) engaged in competition with Seller
with respect to the Seller's business. Except as set forth on SCHEDULE 2.16, the
Seller is not indebted, directly or indirectly, to any person who is an officer,
director or stockholder of the Seller or any Affiliate of any such person in any
amount other than for salaries for services  rendered or  reimbursable  business
expenses, and no such officer, director, stockholder or Affiliate is indebted to
the Seller,  except for advances made to employees of the Seller in the ordinary
course of business to meet  reimbursable  business  expenses  anticipated  to be
incurred by such person. For the purposes of this SECTION 2.16, "RELATED PERSON"
means,  with respect to any individual:  (i) an individual's  spouse,  siblings,
siblings'  children,  children,  grandchildren  or  parents;  or  (ii) a  trust,
corporation,  partnership  or other  entity,  the  beneficiaries,  stockholders,
partners,  or owners, or persons holding a controlling interest of which consist
of  such  individuals  referred  to in the  immediately  preceding  clause  (i).
Affiliate for purposes of this Agreement shall mean a wholly owned subsidiary of
the Seller.

      SECTION 2.17 NO  UNDISCLOSED  LIABILITIES.  Seller has no  liabilities  or
obligations except for liabilities or obligations  reflected or reserved against
in the unaudited balance sheet as of December 31, 2006 (the "BALANCE SHEET") and
current liabilities  incurred in the ordinary course of business of Seller since
December 31, 2006.

      SECTION  2.18  NO  MATERIAL  ADVERSE  CHANGE.  Between  the  date  of this
Agreement  and the  Closing  Date (a)  there has not been any  material  adverse
change in the business, properties,  prospects, assets, results of operations or
condition  (financial  or  otherwise)  of Seller,  and no event has  occurred or
circumstance exists that may result in such a material adverse change; (b) there
has not been any sale,  lease, or other  disposition of any asset or property of
Seller other than in the ordinary course of business,  or any Encumbrance on any
asset or property of Seller;  and (c) Seller has  conducted its business only in
the ordinary course of business so as to preserve its business  intact,  to keep
available to its business  the services of Seller's  employees,  and to preserve
its business  and the goodwill of its  suppliers,  customers  and others  having
business relations with it.

      SECTION 2.19 BROKERS OR FINDERS.  Neither  Seller nor any of its officers,
directors,  employees or agents have incurred any  liability or  obligation  for
brokerage or finders' fees or agents'  commissions  or other similar  payment in
connection with the sale of the Assets or the transactions contemplated hereby.

                                      -13-

      SECTION  2.20  ACCOUNTS  RECEIVABLE.  All  Accounts  Receivable  that  are
reflected on the Balance Sheet or on the accounting  Records of Seller as of the
Closing Date represent or will represent valid obligations arising from services
actually  performed by Seller in the ordinary course of business.  Except to the
extent paid prior to the Closing Date,  such Accounts  Receivable are or will be
as of the Closing Date  collectible net of the respective  reserves shown on the
Balance Sheet (which  reserves are adequate and calculated  consistent with past
practice). Subject to such reserves, each of such Accounts Receivable either has
been or will be  collected in full,  without any set-off,  within 365 days after
the day on which it first  becomes due and  payable.  SCHEDULE  2.20  contains a
complete and  accurate  list of all  Accounts  Receivable  as of the date of the
Balance Sheet, which list sets forth the aging of each such Account Receivable.

      SECTION 2.21 CUSTOMERS AND SUPPLIERS.  Since December 31, 2006,  there has
been no adverse change in the business  relationship of Seller with any material
customer or  supplier.  Seller has not  received  any notice  that any  material
customer or  supplier  has any  intention  to  terminate  or  materially  reduce
purchases  from or  supplies  to Seller on  account of the  consummation  of the
transactions contemplated hereby or otherwise.

      SECTION 2.22 BOOKS AND RECORDS.  The books of account and other  financial
records of Seller are  complete  and correct in all  material  respects and have
been  maintained in accordance  with sound business  practices and in accordance
with applicable laws and regulations.

      SECTION 2.23 BANK ACCOUNTS. SCHEDULE 2.23 contains a complete and accurate
list of all bank accounts and safe deposit boxes in the name of or controlled by
the Seller, and the person or persons authorized to act or sign on behalf of the
Seller in respect of any of the foregoing.

      SECTION 2.24 PREPAYMENTS AND DEPOSITS. SCHEDULE 2.24 sets forth a complete
and accurate list of all  prepayments or deposits from customers for services to
be performed after the Closing Date which have been received by Seller as of the
date hereof.

      SECTION 2.25 DISCLOSURE.  No representation or warranty or other statement
made by Seller or the  Members in this  Agreement  or in any  certificate  to be
delivered hereunder, contains or will contain any untrue statement of a material
fact or omits,  or will omit, to state a material fact  necessary to make any of
them, not misleading.  There does not now exist any event,  condition,  or other
matter,  individually  or in the aggregate,  adversely  affecting  Seller or the
Seller's business, prospects,  financial condition, or results of its operations
that has not been set forth this Agreement or the Schedules hereto.

      SECTION  2.26  BROKERS.  No brokers have been hired or  contracted  by the
Seller for the transaction contemplated under this Agreement.

                                      -14-

                                   ARTICLE III
                     REPRESENTATIONS AND WARRANTIES OF BUYER

      Buyer represents and warrants to Seller as follows:

      SECTION 3.1  ORGANIZATION  AND GOOD STANDING.  Buyer is a corporation duly
organized, validly existing, and in good standing under the laws of the State of
Delaware,  with full corporate power and authority to conduct its business as it
is now being conducted.

      SECTION 3.2 AUTHORITY, NO CONFLICT.

            (a)   This  Agreement  constitutes  the legal,  valid,  and  binding
obligation of Buyer,  enforceable  against it in accordance with its terms. Upon
the execution and delivery by Buyer of each of the documents and  instruments to
be  executed  and  delivered  by Buyer at Closing  pursuant  to  SECTION  1.7(B)
(collectively,  the "BUYER'S  CLOSING  DOCUMENTS"),  each of the Buyer's Closing
Documents will  constitute the legal,  valid,  and binding  obligation of Buyer,
enforceable  against it in  accordance  with its terms.  Buyer has the  absolute
right, power and authority to execute and deliver this Agreement and the Buyer's
Closing  Documents and to perform its  obligations  under this Agreement and the
Buyer's  Closing  Documents,  and such  action has been duly  authorized  by all
necessary corporate action.

            (b)   Neither the execution and delivery of this  Agreement by Buyer
nor the  consummation  or  performance of any of the  transactions  contemplated
hereby by Buyer will (with or without notice or lapse of time):  (i) contravene,
conflict with or result in a violation of any  provision of Buyer's  certificate
of  incorporation  or  bylaws;  (ii)  contravene,  conflict  with or result in a
violation  of any  Legal  Requirement  or  Order of any  court  or  governmental
authority to which Buyer or its assets are subject,  or (iii)  conflict  with or
result in the breach or termination of any term or provision of, or constitute a
default under,  or cause any  acceleration  under,  or cause the creation of any
Encumbrance  upon the  properties  or  assets  of the  Buyer  pursuant  to,  any
indenture, mortgage, deed of trust or other agreement or instrument to which the
Buyer is a party or by which  the  Buyer or any of its  properties  is or may be
bound.

      SECTION 3.3 CONSENTS AND APPROVALS. SCHEDULE 3.3 sets forth a complete and
accurate  list of all consents and  approvals of third parties that are required
in  connection  with  the   consummation  by  the  Buyer  of  the   transactions
contemplated by this Agreement,  all of which consents and approvals either have
been obtained or will be obtained prior to the Closing Date.

      SECTION 3.4 REGULATORY APPROVALS. All consents, approvals,  authorizations
or other  requirements  prescribed by any law,  rule or regulation  that must be
obtained or satisfied by the Buyer and that are necessary  for the  consummation
of the  transactions  contemplated by this Agreement have been, or will be prior
to the Closing Date, obtained and satisfied.

                                      -15-

                                   ARTICLE IV
                      COVENANTS OF SELLER PRIOR TO CLOSING

      SECTION 4.1 ACCESS AND  INVESTIGATION.  Between the date of this Agreement
and the Closing Date, and upon  reasonable  advance notice  received from Buyer,
Seller shall (a) afford Buyer and its  Representatives  and prospective  lenders
and  their  Representatives  (collectively,  the  "BUYER  Group")  full and free
access,  during normal business hours, to Seller's management personnel offices,
properties offices, and books and records, such rights of access to be exercised
in a manner that does not unreasonably  interfere with the operations of Seller,
(b)  furnish the Buyer  Group with  copies of all such  Contracts,  Governmental
Authorizations,  books  and  records,  and  other  existing  data as  Buyer  may
reasonably request, (c) furnish the Buyer Group with such additional  financial,
operating,  and other  relevant  data and  information  as Buyer may  reasonably
request,  and (d)  otherwise  cooperate  and  assist,  to the extent  reasonably
requested by Buyer, with Buyer's  investigation of the properties,  assets,  and
financial condition of the Seller.

      SECTION 4.2 OPERATION OF THE BUSINESS OF SELLER.  Between the date of this
Agreement and the Closing Date, Seller shall:

            (a)   conduct the business of the Seller only in the Ordinary Course
of Business (as defined below);

            (b)   use its commercially reasonable efforts to preserve intact the
current business  organization of the Seller, keep available the services of the
Seller's  officers,  employees,  and agents, and maintain the Seller's relations
and good  will  with  suppliers,  customers,  landlords,  creditors,  employees,
agents, and others having business relationships with it;

            (c)   confer with Buyer prior to implementing  operational decisions
of a material nature; and

            (d)   otherwise  report  periodically to Buyer concerning the status
of the business, operations, and finances of the Seller.

      "ORDINARY COURSE OF BUSINESS" means an action that is consistent in nature
and scope with  Seller's  past  practices,  taken in the ordinary  course of the
normal  day-to-day  operations  of  Seller  and that does not  require  specific
authorization by the stockholders of Seller.

      SECTION 4.3 NEGATIVE  COVENANT.  Except in the Ordinary Course of Business
or as otherwise expressly  permitted herein,  between the date of this Agreement
and the Closing Date,  Seller shall not,  without the prior  written  Consent of
Buyer:

            (a)   pay or increase any bonuses,  salaries,  or other compensation
to any stockholder,  director,  officer, or employee or enter into any severance
or similar contract with any director, officer, or employee;

            (b)   adopt,  amend or increase the  payments to or benefits  under,
any Employee Benefit Plan with respect to the Employees;

            (c)   mortgage,  pledge,  or impose any  Encumbrance on any Asset of
the Seller;

                                      -16-

            (d)   modify  any   material   Seller   Contract   or   Governmental
Authorization;

            (e)   cancel or waive any claims or rights with a value to Seller in
excess of $10,000; or

            (f)   agree,  whether  orally  or in  writing,  to  do  any  of  the
foregoing.

      SECTION  4.4.  NOTIFICATION.  Between the date of this  Agreement  and the
Closing Date,  Seller shall promptly notify Buyer in writing if it becomes aware
of (a) any fact or  condition  that  causes  or  constitutes  a breach of any of
Seller's  representations  and warranties made as of the date of this Agreement,
or (b) the occurrence  after the date of this Agreement of any fact or condition
that would or be reasonably likely to (except as expressly  contemplated by this
Agreement)  cause  any such  representation  or  warranty  to be  inaccurate  or
incomplete in any material  respect,  had that  representation  or warranty been
made as of the time of the occurrence of, or Seller's discovery of, such fact or
condition.  Should  any  such  fact  or  condition  require  any  change  to the
Schedules,  Seller shall promptly deliver to Buyer a supplement to the Schedules
specifying such change.

      SECTION  4.5  NO  NEGOTIATION.  Until  such  time  as  this  Agreement  is
terminated  pursuant to SECTION 9.1,  Seller  shall not  directly or  indirectly
solicit,  initiate,  encourage or  entertain  any  inquiries or proposals  from,
discuss or negotiate  with,  provide any non-public  information to, or consider
the merits of any  inquiries or proposals  from,  any person  (other than Buyer)
relating to any business combination transaction involving Seller, including the
sale by the  shareholders  of Seller's  stock,  the merger or  consolidation  of
Seller,  or the sale of the  Business  or any of the Assets  (other  than in the
Ordinary  Course of Business).  Seller shall  promptly  notify Buyer of any such
inquiry or proposal.

      SECTION 4.6 BEST EFFORTS. Seller and the stockholders shall use their best
efforts to cause the conditions in Article VI and Article VII to be satisfied.

      SECTION 4.7 PAYMENT OF LIABILITIES.  Seller shall pay or otherwise satisfy
in the Ordinary Course of Business all of its liabilities and obligations. Buyer
and Seller  hereby waive  compliance  with the bulk  transfer  provisions of the
Uniform  Commercial  Code (or any similar law) ("BULK SALES LAWS") in connection
with the contemplated transactions.

      SECTION  4.8 CHANGE OF NAME.  On or soon after the  Closing  Date,  Seller
shall take all other actions  necessary to amend its certificate of organization
and change its name to one  sufficiently  dissimilar to Seller's present name to
avoid confusion.

                                    ARTICLE V
                       COVENANTS OF BUYER PRIOR TO CLOSING

      SECTION 5.1 REQUIRED APPROVALS.  As promptly as practicable after the date
of this  Agreement,  Buyer shall obtain all consents and approvals as identified
in SCHEDULE 3.3.  Buyer also shall fully  cooperate with Seller in obtaining all
consents identified in SCHEDULE 2.2(C).

                                      -17-

      SECTION 5.2 BEST  EFFORTS.  Buyer shall use its best  efforts to cause the
conditions in Article VI and Article VII to be satisfied.

      SECTION  5.3  NOTIFICATION.  Between  the date of this  Agreement  and the
Closing Date,  Buyer shall promptly notify Seller in writing if it becomes aware
of the occurrence after the date of this Agreement of any fact or condition that
would or be  reasonably  likely to (except  as  expressly  contemplated  by this
Agreement) cause any  representation  or warranty to be inaccurate or incomplete
in any material respect, had that representation or warranty been made as of the
time of the  occurrence  of, or Buyer's  discovery  of, such fact or  condition.
Should any such fact or  condition  require any change to the  Schedules,  Buyer
shall promptly  deliver to Seller a supplement to the Schedules  specifying such
change.

                                   ARTICLE VI
               CONDITIONS PRECEDENT TO BUYER'S OBLIGATION TO CLOSE

      Buyer's  obligation  to purchase the Assets and to take the other  actions
required to be taken by Buyer at the Closing is subject to the satisfaction,  at
or prior to the Closing,  of each of the following  conditions (any of which may
be waived by Buyer, in whole or in part):

      SECTION  6.1  ACCURACY  OF   REPRESENTATIONS.   The   representations  and
warranties  of  Seller  in this  Agreement  shall be  accurate  in all  material
respects as of the Closing Date as if made on the Closing  Date,  except for any
changes consented to in writing by Buyer.

      SECTION 6.2 SELLER'S  PERFORMANCE.  All of the covenants  and  obligations
that Seller is required to perform or to comply with pursuant to this  Agreement
at or prior to the Closing  shall have been duly  performed and complied with in
all material respects.

      SECTION 6.3 CONSENTS.  Each of the consents identified in EXHIBIT 6.3 (the
"MATERIAL  CONSENTS")  must have  been  obtained  and must be in full  force and
effect.

      SECTION  6.4 TAX LIENS.  Seller  shall make  every  effort to resolve  the
Federal and State tax liens and Buyer shall be  satisfied  that such effort will
result in full releases of such liens.

      SECTION 6.5  ADDITIONAL  DOCUMENTS.  Seller must have caused the documents
and  instruments  required by SECTION  1.7(A) and the following  documents to be
delivered (or tendered subject only to Closing) to Buyer:

            (a)   A  statement  from the holder of each note  listed on SCHEDULE
1.4(A)(III),  if any, dated the Closing Date, setting forth the principal amount
then outstanding on the indebtedness represented by such note, the interest rate
thereon,  and a statement to the effect that Seller, as obligor under such note,
is not in default under any of the provisions thereof;

            (b)   releases  of  all  Encumbrances  on  the  Assets,  other  than
Permitted Encumbrances;

                                      -18-

            (c)   certificates dated as of a recent date prior to the Closing as
to the good  standing  of Seller and  payment of all  applicable  state Taxes by
Seller,  from the  appropriate  officials  of the State of the  Commonwealth  of
Pennsylvania  and each  jurisdiction in which Seller is licensed or qualified to
do business as a foreign corporation as specified in SCHEDULE 2.L. To the extent
that such  certificates  cannot be provided  prior to Closing,  seller agrees to
indemnify and hold harmless Buyer for the  non-payment of sales taxes for any of
the  jurisdictions in which Seller is licensed and qualified to do business as a
foreign corporation; and

            (d)   such other  documents  as Buyer may  reasonably  request  with
reasonable  notice for the purpose of (i)  evidencing  the  satisfaction  of any
condition  referred to in this Article VI, or (ii)  otherwise  facilitating  the
consummation or performance of any of the Contemplated Transactions.

      SECTION 6.6 NO PROCEEDINGS.  Since the date of this  Agreement,  there has
not been  commenced  or  threatened  proceeding  or  action  (a)  involving  any
challenge to, or seeking damages or other relief in connection  with, any of the
contemplated transactions, or (b) that may have the effect of preventing, making
illegal,  imposing limitations or conditions on, or otherwise interfering,  with
any of the contemplated transactions.

      SECTION 6.7  GOVERNMENTAL  AUTHORIZATIONS.  Buyer must have  received such
Governmental  Authorizations  as are  necessary  or  desirable to allow Buyer to
operate the Assets from and after the Closing.

                                   ARTICLE VII
              CONDITIONS PRECEDENT TO SELLER'S OBLIGATION TO CLOSE

      Seller's  obligation  to sell the  Assets  and to take the  other  actions
required to be taken by Seller at the Closing is subject to the satisfaction, at
or prior to the Closing,  of each of the following  conditions (any of which may
be waived by Seller, in whole or in part):

      SECTION 7.1 ACCURACY OF  REPRESENTATIONS.  All of Buyer's  representations
and warranties in this Agreement must be accurate in all material respects as of
the Closing Date as if made on the Closing Date.

      SECTION 7.2 BUYER'S PERFORMANCE. All of the covenants and obligations that
Buyer is required to perform or to comply with pursuant to this  Agreement at or
prior to the Closing must have been  performed and complied with in all material
respects.

      SECTION 7.3 CONSENTS.  Each of the Consents identified in EXHIBIT 6.3 must
have been obtained and must be in full force and effect.

      SECTION 7.4 ADDITIONAL DOCUMENTS. Buyer must have caused the documents and
instruments  required  by  SECTION  1.7(B)  and the  following  documents  to be
delivered (or tendered subject only to Closing) to Seller:

                                      -19-

            (a)   an opinion of the Law Offices of Morton S. Taubman,  dated the
Closing Date, in a form customary for similar transactions; and

            (b)   such other documents as Seller may reasonably  request for the
purpose of evidencing  the  satisfaction  of any  condition  referred to in this
Article VII.

      SECTION  7.5  NO  INJUNCTION.  There  must  not  be in  effect  any  Legal
Requirement or any injunction or other Order that (a) prohibits the consummation
of the  Contemplated  Transactions,  and (b) has been adopted or issued,  or has
otherwise become effective, since the date of this Agreement.

                                  ARTICLE VIII
                              ADDITIONAL COVENANTS

      SECTION 8.1 EMPLOYEES AND EMPLOYEE BENEFITS.

            (a)   Effective  immediately  before the Closing Date,  Seller shall
novate  any  employment  agreements  it may have to the  Buyer  (the  "AVAILABLE
EMPLOYEES")  and shall release such  Available  Employees from the provisions of
any restrictive covenants and/or agreements with Seller with respect to Buyer so
as to enable Buyer to employ such individuals.

            (b)   It is  understood  and agreed that (i) any offer of employment
made by Buyer as  referenced  in SECTION  8.1(A) above will not  constitute  any
commitment,  contract or understanding  (expressed or implied) of any obligation
on the part of Buyer to a post-Closing Date employment relationship of any fixed
term or duration or upon any terms or conditions other than those that Buyer may
establish  pursuant to  individual  offers of  employment;  and (ii)  employment
offered by Buyer is "at will" and may be  terminated  by Buyer or by an employee
at anytime for any reason  (subject to any written  commitments  to the contrary
made by Buyer).

            (c)   Seller  will be  responsible  for (i) the payment of all wages
and other  remuneration  due to its Employees  with respect to their services as
employees of Seller through the close of business on the Closing Date,  provided
however,  the Buyer shall be responsible  for any salaries  accrued for a period
not to exceed ten working  days prior to the Closing  Date for any  employees of
the Seller  that become  employees  of the Buyer  immediately  after the Closing
Date.

      SECTION  8.2  PAYMENT  OF TAXES  RESULTING  FROM SALE OF ASSETS BY SELLER.
Seller shall pay in a timely manner all taxes (other than income taxes)  imposed
on it  resulting  from or  payable  in  connection  with the sale of the  Assets
pursuant to this Agreement.

      SECTION 8.3 PAYMENT OF OTHER RETAINED LIABILITIES.  In addition to payment
of taxes pursuant to SECTION 8.2,  Seller shall pay, or make adequate  provision
for the  payment,  in  full  of all of the  Retained  Liabilities.  If any  such
Retained  Liabilities  are not so paid or provided  for, or if Buyer  reasonably
determines  that  failure  to make  any  payments  will  impair  Buyer's  use or
enjoyment  of the  Assets or conduct of the  business  of the Seller  previously
conducted  using the Assets,  Buyer may at any time after the Closing Date elect
to make all such  payments  directly  or through  the escrow  (but shall have no
obligation to do so) and will be promptly reimbursed therefor by Seller.

                                      -20-

      SECTION 8.4 COVENANT NOT TO COMPETE.

            (a)   In  consideration  of the Purchase  Price to be received under
this  Agreement,  Seller agrees that,  for a period of three (3) years after the
Closing Date, it shall not directly or indirectly, do any of the following:

                  (i) engage in, or invest in, own,  manage,  operate,  finance,
control,  be employed by,  associated  with or in any manner  connected with, or
render  services or advice or other aid to, any person engaged in or planning to
become engaged in, or any other business whose products or activities compete in
whole or in part with,  the  business of Buyer,  or any  business  carried on by
Buyer utilizing the Assets, anywhere within the continental United States;

                  (ii)  induce or  attempt to induce  any  employee  of Buyer to
leave the employ of Buyer,  in any way interfere with the  relationship  between
Buyer and any employee of Buyer,  or solicit,  offer  employment  to,  otherwise
attempt  to hire,  employ,  or  otherwise  engage  as an  employee,  independent
contractor, or otherwise, any such employee; or

                  (iii)  induce or  attempt  to  induce  any  person  that was a
customer,  client or  business  relation of Buyer at any time during the one (1)
year period  preceding the Closing Date to cease doing  business with Buyer,  in
any way interfere  with the  relationship  between Buyer and any such  customer,
client or  business  relation,  or solicit the  business  of any such  customer,
client or business relation.

            (b)   Seller  acknowledges that all of the foregoing  provisions are
reasonable and are necessary to protect and preserve the value of the Assets and
to prevent  any  unfair  advantage  being  conferred  on  Seller.  If any of the
covenants set forth in this SECTION 8.4 are held to be unreasonable,  arbitrary,
or against public policy,  the restrictive  time period herein will be deemed to
be the  longest  period  permissible  by law  under  the  circumstances  and the
restrictive  geographical  area herein  will be deemed to  comprise  the largest
territory permissible by law under the circumstances.

      SECTION 8.5 CUSTOMER AND OTHER BUSINESS RELATIONSHIPS.  After the Closing,
Seller shall use its  reasonable  efforts to cooperate with Buyer in its efforts
to continue and maintain for the benefit of Buyer those  business  relationships
of Seller  existing  prior to the  Closing and  relating  to the  business to be
operated by Buyer  after the  Closing,  including  relationships  with  lessors,
employees,  regulatory authorities,  licensors, customers, suppliers and others,
and Seller  will  satisfy  the  Retained  Liabilities  in a manner  which is not
detrimental  to any of such  relationships.  Seller  will  refer  to  Buyer  all
inquiries  relating to the Business.  Neither  Seller nor any of its officers or
employees,  shall take any action  which would tend to diminish the value of the
Assets after the Closing or which would  interfere with the business of Buyer to
be engaged in after the Closing.

      SECTION 8.6 RETENTION AND ACCESS TO RECORDS. After the Closing Date, Buyer
shall retain for a period of seven (7) years those  records of Seller  delivered
to Buyer.  Buyer also shall provide Seller and a representative  of the Seller's

                                      -21-

stockholders  reasonable access thereto,  during normal business hours and on at
least three (3) days' prior written notice,  to enable them to prepare financial
statements  or tax  returns or deal with tax  audits.  After the  Closing  Date,
Seller shall  provide  Buyer and Buyer's  representatives  reasonable  access to
records that are Excluded  Assets,  during normal business hours and on at least
three (3) days'  prior  written  notice,  for any  reasonable  business  purpose
specified by Buyer in such notice.

                                   ARTICLE IX
                                   TERMINATION

      SECTION 9.1  TERMINATION  EVENTS.  This  Agreement  may be  terminated  by
written  notice  given  prior to or at the  Closing,  subject to SECTION  9.2 as
follows:

            (a)   by Buyer or Seller if a material  breach of any  provision  of
this  Agreement  has been  committed  by the other party and such breach has not
been waived by the non-breaching party;

            (b)   by Buyer if any condition in Article VI has not been satisfied
as of the  date  specified  for  Closing  Date;  or if  satisfaction  of  such a
condition by such date is or becomes  impossible (other than through the failure
of Buyer to comply with its obligations under this Agreement).

            (c)   by  Seller,  if any  condition  in  Article  VII has not  been
satisfied as of the date specified for Closing Date or if satisfaction of such a
condition by such date is or becomes  impossible (other than through the failure
of Seller to comply with its  obligations  under this  Agreement) and Seller has
not waived such condition on or before such date;

            (d)   by mutual consent of Buyer and Seller; or

            (e)   by Buyer or  Seller  if the  Closing  has not  occurred  on or
before  March 15,  2007 or such later date as the  parties  may agree upon or as
provided  herein,  unless the party giving notice of  termination is in material
breach of this Agreement.

      SECTION 9.2 EFFECT OF TERMINATION. Each party's right of termination under
SECTION 9.1 is in addition to any other rights it may have under this  Agreement
or  otherwise,  and the  exercise  of such right of  termination  will not be an
election of remedies.  If the Agreement is  terminated  pursuant to SECTION 9.1,
subject to Article X, all  obligations  of the parties under this Agreement will
terminate.

                                      -22-

                                    ARTICLE X
                                 INDEMNIFICATION

      SECTION 10.1 SURVIVAL.  All representations,  warranties,  covenants,  and
obligations  in  this  Agreement,   the  Schedules   attached  hereto,  and  the
certificates delivered pursuant to SECTION 1.7, will survive the Closing and the
consummation  of the  transactions  contemplated  hereby for a period of two (2)
years.  Except  as  otherwise  provided  herein  the  right to  indemnification,
reimbursement,  or  other  remedy  based  on such  representations,  warranties,
covenants,  and obligations will not be affected by any investigation  conducted
with respect to, or any knowledge acquired (or capable of being acquired) about,
the accuracy or  inaccuracy  of or  compliance  with,  any such  representation,
warranty,  covenant  or  obligation.   Buyer  is  not  aware  of  any  facts  or
circumstances  that would serve as the basis for a claim by Buyer against Seller
based upon a breach of any of the  representations  and warranties of the Seller
contained in this Agreement or breach of any of Seller's covenants or agreements
to be performed  at or prior to Closing.  Buyer will be deemed to have waived in
full any breach of any of Seller's  representations  and warranties and any such
covenants and agreements of which Buyer has awareness at the Closing.

      SECTION 10.2  INDEMNIFICATION  AND REIMBURSEMENT BY SELLER..  Seller shall
indemnify and hold harmless  Buyer,  and its directors,  stockholders,  members,
partners,  employees,  representatives,  and  agents  (collectively,  the "BUYER
INDEMNIFIED  PERSONS"),  and shall reimburse the Buyer Indemnified  Persons, for
any loss, liability,  claim, damage or expense (including costs of investigation
and  defense  and  reasonable  attorneys'  fees  and  expenses)  whether  or not
involving a third-party claim (collectively,  "DAMAGES"),  arising,  directly or
indirectly, from or in connection with:

            (a)   any breach of any representation or warranty made by Seller in
this Agreement, or the certificates delivered pursuant to SECTION 1.7;

            (b)   any breach of any  covenant  or  obligation  of Seller in this
Agreement;

            (c)   any Retained Liabilities;

            (d)   any  liabilities  that arise after  Closing and are in any way
related to the Assets or the conduct of Seller's business; and

            (e)   any Federal and State tax liens

      SECTION  10.3  INDEMNIFICATION  AND  REIMBURSEMENT  BY BUYER.  Buyer shall
indemnify and hold harmless  Seller and its directors,  stockholders,  partners,
employees,  representatives,  and agents (collectively,  the "SELLER INDEMNIFIED
PERSONS"),  and shall reimburse the Seller  Indemnified  Persons for any Damages
arising, directly or indirectly, from or in connection with:

            (a)   any breach of any  representation or warranty made by Buyer in
this Agreement or in any certificate or document  delivered by Buyer pursuant to
this Agreement;

            (b)   any  breach of any  covenant  or  obligation  of Buyer in this
Agreement or in any other document,  writing,  or instrument  delivered by Buyer
pursuant to this Agreement; and

            (c)   the Assumed Liabilities.

                                      -23-

      SECTION 10.4 TIME LIMITATIONS.

            (a)   Seller will have no  indemnification  liability for the breach
of any  representation  or warranty set forth in Article II, unless on or before
the second  anniversary of the Closing Date,  Buyer notifies  Seller of a breach
specifying  the factual basis of that breach in reasonable  detail to the extent
then known by Buyer and providing a reasonable  opportunity  to cure;  PROVIDED,
HOWEVER,  that any claim  with  respect  to Section  2.8  taxes,  2.10  employee
benefits,  or 2.11 environmental matters may be made at any time, subject to the
applicable period of statute of limitations.

            (b)   Buyer will have no indemnification liability for the breach of
any representation or warranty set forth in Article III, unless on or before the
second  anniversary  of the  Closing  Date,  Seller  notifies  Buyer of a breach
specifying  the factual basis of that breach in reasonable  detail to the extent
then known by Seller.

      SECTION 10.5 PROCEDURE FOR INDEMNIFICATION - THIRD PARTY CLAIMS. If, after
the  Closing  Date,  either a Buyer  Indemnified  Person or  Seller  Indemnified
Person,  as  the  case  may  be  (the  "INDEMNITEE"),  receives  notice  of  any
third-party  claim or alleged  third-party  claim asserting the existence of any
matter of a nature as to which the  Indemnitee  is  entitled  to be  indemnified
under this Agreement,  the Indemnitee shall promptly notify Seller, or Buyer, as
the case may be (the  "INDEMNITOR"),  in writing with respect  thereto,  but the
failure  to  notify  the  Indemnitor  will not  relieve  the  Indemnitor  of any
liability  that it may have to an  Indemnitee,  except  to the  extent  that the
Indemnitor  demonstrates  that the defense of such action has been prejudiced by
the Indemnitee's failure to give such notice. The Indemnitor will have the right
to defend  against any such claim provided (a) that the  Indemnitor,  within ten
(10) days after the giving of such notice by Indemnitee,  notifies Indemnitee in
writing that (i) Indemnitor disputes such claim and gives reasons therefor,  and
(ii) Indemnitor will, at its own cost and expense, defend the same, and (b) such
defense is instituted and  continuously  maintained in good faith by Indemnitor.
Indemnitee  may,  if it so  elects,  designate  and pay for its own  counsel  to
participate  with the  counsel  selected  by  Indemnitor  in the conduct of such
defense.  Indemnitor  will not  permit  any lien or  execution  to attach to the
assets of Indemnitee as a result of such claim, and the Indemnitor shall provide
such bonds or  deposits  as are  necessary  to prevent  the same.  In any event,
Indemnitor will keep Indemnitee  fully advised as to the status of such defense.
If  Indemnitor  is given  notice  of a claim as  aforesaid  and  fails to notify
Indemnitee  of its  election  to defend  such claim  within the time  prescribed
herein,  or after  having  elected to defend such claim fails to  institute  and
maintain such defense as prescribed  herein,  or if such defense is unsuccessful
then, in any such event,  the  Indemnitor  shall fully satisfy and discharge the
claim  within  ten  (10)  days  after  notice  from  the  Indemnitee  requesting
Indemnitor  to do so. If the  Indemnitor  assumes  the  defense of any action or
proceeding (y) no compromise or settlement of such claims may be effected by the
Indemnitor  without the  Indemnitee's  consent unless (A) there is no finding or
admission of any  violation  of any legal  requirement  or any  violation of the
rights of any person and no effect on any other  claims that may be made against
the Indemnitee,  and (B) the sole relief  provided is monetary  damages that are
paid in full by the  Indemnitor;  and (z) the Indemnitee  will have no liability
with respect to any compromise or settlement of such claims effected without its
consent.

                                      -24-

      SECTION 10.6  PROCEDURE FOR  INDEMNIFICATION  - OTHER CLAIMS.  A claim for
indemnification for any matter not involving a third-party claim may be asserted
by notice to the party from whom indemnification is sought.

                                   ARTICLE XI
                               GENERAL PROVISIONS

      SECTION  11.1  EXPENSES.  Except as otherwise  expressly  provided in this
Agreement,  each  party to this  Agreement  shall bear its  respective  expenses
incurred in connection with the preparation,  execution, and performance of this
Agreement  and the  transactions  contemplated  hereby,  including  all fees and
expenses of its representatives.

      SECTION  11.2  NOTICES.   All  notices,   consents,   waivers,  and  other
communications  under this  Agreement  must be in writing  and will be deemed to
have been duly given when (a)  delivered by hand (with written  confirmation  of
receipt),  (b)  sent by  facsimile  with  confirmation  of  transmission  by the
transmitting  equipment,  (c)  received by the  addressee,  if sent by certified
mail,  return  receipt  requested,  (d) sent by email;  or (e)  received  by the
addressee,  if sent by a nationally  recognized  overnight delivery service,  in
each case to the appropriate  addresses or facsimile numbers set forth below (or
to such other addresses or facsimile  numbers as a party may designate by notice
to the other parties):

            Buyer:            GlobalOptions Group, Inc.
                              75 Rockefeller Plaza, 27th Floor
                              New York, NY  10019
                              Attn:  Jeff Nyweide
                              Fax:  212-445-0054
                              Email:  jnyweide@globaloptions.com

            with a copy to:   Morton S. Taubman, Esq.
                              1201 15th Street, N.W., Second Floor
                              Washington, D.C. 20005
                              Fax: 202-659-2679
                              Email:  mtaubman@isiwdc.com

            Seller            Facticon, Inc.

            with a copy to:   James J. Byrne, Esq.
                              606 East Baltimore Pike
                              Media, PA 19063
                              Fax: 610-565-9531
                              Email:  jjbyrne@mbmlawoffice.com

      SECTION 11.3  JURISDICTION.  The parties  agree that the state and federal
courts located in New York City, New York,  will be the sole venue and will have
sole jurisdiction for the resolution of all disputes arising hereunder.  Process
in any action or proceeding  referred to in the preceding sentence may be served
on any party anywhere in the world.

                                      -25-

      SECTION 11.4 WAIVER.  No failure to exercise,  and no delay in exercising,
on the part of  either  party,  any right  hereunder  will  operate  as a waiver
thereof, nor will any single or partial exercise of any right hereunder preclude
further exercise of any other right hereunder.

      SECTION 11.5 ENTIRE AGREEMENT AND MODIFICATION.  This Agreement,  together
between  Seller  and  Buyer and the  Schedules,  Exhibits,  and other  documents
delivered  pursuant to this  Agreement,  constitutes  a complete  and  exclusive
statement of the terms of the agreement  between the parties with respect to its
subject  matter and supersedes all prior  agreements,  whether  written or oral,
between the parties with respect to its subject  matter.  This Agreement may not
be amended except by a written agreement signed on behalf of each of the parties
hereto. Provided,  however, the Buyer shall have a right to waive any conditions
contained  in Article 6 to  accomplish  the  Closing  without the consent of the
Seller,  and Seller  shall  have a right to waive any  conditions  contained  in
Article 7 to accomplish the Closing without consent of the Buyer.

      SECTION 11.6 ASSIGNMENTS,  SUCCESSORS, AND NO THIRD-PARTY RIGHTS. No party
may assign  any of its  rights or  delegate  any of its  obligations  under this
Agreement  without the prior written  consent of the other parties,  except that
Buyer may assign any of its rights and  delegate  any of its  obligations  under
this  Agreement (i) to any affiliate of Buyer,  and (ii) in connection  with the
sale of all or substantially  all of the assets of Buyer,  provided that no such
assignment  or  delegation  will  relieve  Buyer  from  any of  its  obligations
hereunder.  Subject to the preceding sentence,  this Agreement will apply to, be
binding in all respects  upon,  and inure to the benefit of the  successors  and
permitted assigns of the parties. Nothing in this Agreement will be construed to
give any person other than the parties to this  Agreement any legal or equitable
right  under  or  with  respect  to  this  Agreement  or any  provision  of this
Agreement,  except  such  rights  as shall  inure to a  successor  or  permitted
assignee pursuant to this SECTION 11.6.

      SECTION 11.7  SEVERABILITY.  If any  provision  of this  Agreement is held
invalid  or  unenforceable  by any court of  competent  jurisdiction,  the other
provisions of this Agreement  will remain in full force and effect.  The parties
agree that if any provision  contained herein is, to any extent, held invalid or
unenforceable in any respect under the laws governing this Agreement, they shall
take any actions necessary to render the remaining  provisions of this Agreement
valid and enforceable to the fullest extent  permitted by law and, to the extent
necessary,  shall  amend or  otherwise  modify  this  Agreement  to replace  any
provision  contained herein that is held invalid or  unenforceable  with a valid
and enforceable provision giving effect to the intent of the parties.

      SECTION 11.8 SECTION HEADINGS,  CONSTRUCTION. The headings of Articles and
Sections in this Agreement are provided for convenience only and will not affect
its construction or interpretation. All Exhibits and Schedules to this Agreement
are  incorporated  into and  constitute an integral part of this Agreement as if
fully set forth herein. All words used in this Agreement will be construed to be
of such  gender or number as the  context  requires.  The  language  used in the
Agreement shall be construed,  in all cases,  according to its fair meaning, and
not for or against any party hereto. The parties acknowledge that each party has
reviewed this  Agreement and that rules of  construction  to the effect that any

                                      -26-

ambiguities are to be resolved  against the drafting party will not be available
in the interpretation of this Agreement.

      SECTION  11.9  GOVERNING  LAW.  This  Agreement  will be  governed  by and
construed under the laws of the State of New York without regard to conflicts of
laws principles that would require the application of any other law.

      SECTION 11.10 COUNTERPARTS.  This Agreement may be executed in one or more
counterparts,  each of  which  will be  deemed  to be an  original  copy of this
Agreement and all of which,  when taken  together,  will be deemed to constitute
one and the same agreement.

      SECTION 11.11 FURTHER ASSURANCES.  The parties shall cooperate  reasonably
with each other and with their respective representatives in connection with any
steps required to be taken as part of their  respective  obligations  under this
Agreement,  and the parties agree (a) to furnish upon request to each other such
further  information,  (b) to  execute  and  deliver  to each  other  such other
documents,  and (c) to do such other acts and things, all as the other party may
reasonably  request for the purpose of carrying out the intent of this Agreement
and the transactions contemplated hereby.

      SECTION  11.12  LEGAL  FEES.  In the  event  that  legal  proceedings  are
commenced by Buyer against  Seller,  or by Seller against  Buyer,  in connection
with  this  Agreement  or the  transactions  contemplated  hereby,  the party or
parties  that  do not  prevail  in such  proceedings  shall  pay the  reasonable
attorneys'  fees  and  expenses   incurred  by  the  prevailing  party  in  such
proceedings  in the event of a ruling by a court of  competent  jurisdiction  in
favor of the prevailing party.

                              REMAINING PAGE BLANK

                                      -27-

                            ASSET PURCHASE AGREEMENT
                                 SIGNATURE PAGE

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

                                       BUYER:

                                       GLOBALOPTIONS GROUP, INC.

                                       By: /s/ Harvey W. Schiller
                                           -------------------------------------
                                       Name: Harvey W. Schiller, Ph.D.
                                             -----------------------------------
                                       Its: Chairman and Chief Executive Officer
                                            ------------------------------------

                                       SELLER:

                                       FACTICON, INC.

                                       By: /s/ James A. Jensen
                                           -------------------------------------
                                       Name: James A. Jensen
                                             -----------------------------------
                                       Its: President
                                            ------------------------------------

                            ASSET PURCHASE AGREEMENT
                                 SIGNATURE PAGE

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