Document:

exv4w3

 

Exhibit 4.3
 

 

 

INVESTOR RIGHTS AGREEMENT

by and among

ONLINE RESOURCES CORPORATION,

as the Company

and

THE SHAREHOLDERS PARTY HERETO

Dated as of July 3, 2006

 

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	SECTION 1 CERTAIN DEFINITIONS	 	 	3	 
	1.1
	 	Certain Defined Terms	 	 	3	 
	1.2
	 	Other Definitional Provisions and Rules of Construction	 	 	5	 
	SECTION 2 REPRESENTATIONS AND WARRANTIES	 	 	5	 
	
2.1
	 	Existence; Authority; Enforceability.	 	 	5	 
	2.2
	 	Absence of Conflicts.	 	 	6	 
	2.3
	 	Consents.	 	 	6	 
	SECTION 3 REGISTRATION RIGHTS	 	 	6	 
	3.1
	 	Form S-3 Registration.	 	 	6	 
	3.2
	 	Piggyback Registration.	 	 	7	 
	3.3
	 	Black-out Periods.	 	 	8	 
	3.4
	 	Registration Procedures.	 	 	8	 
	3.5
	 	Underwritten Offerings.	 	 	12	 
	3.6
	 	No Inconsistent Agreements; Additional Rights.	 	 	12	 
	3.7
	 	Registration Expenses.	 	 	12	 
	3.8
	 	Indemnification.	 	 	13	 
	3.9
	 	Rules 144 and 144A and Regulation S.	 	 	16	 
	3.10
	 	Termination.	 	 	16	 
	SECTION 4 GOVERNANCE	 	 	16	 
	4.1
	 	Board Representation	 	 	16	 
	4.2
	 	Expenses	 	 	16	 
	SECTION 5 MISCELLANEOUS	 	 	16	 
	5.1
	 	Waiver by Shareholders	 	 	17	 
	5.2
	 	Assignment; Benefit	 	 	17	 
	5.3
	 	Termination	 	 	17	 
	5.4
	 	Severability	 	 	17	 
	5.5
	 	Entire Agreement; Amendment	 	 	17	 
	5.6
	 	Counterparts	 	 	18	 
	5.7
	 	Notices	 	 	18	 
	5.8
	 	Governing Law	 	 	18	 
	5.9
	 	Jurisdiction.  Submission to Jurisdiction; Waivers	 	 	18	 
	5.10
	 	Waiver of Jury Trial	 	 	19	 
	5.11
	 	Specific Performance	 	 	19	 

 

 

INVESTOR RIGHTS AGREEMENT

     THIS INVESTOR RIGHTS AGREEMENT (as it may be amended from time to time in accordance with the
terms hereof, the “Agreement”), dated as of July 3, 2006, is made by and among ONLINE RESOURCES
CORPORATION, a Delaware corporation (the “Company”), and the shareholders thereof listed on
Schedule A to this Agreement (the “Shareholders”).

Recitals:

     WHEREAS, the Company and the Shareholders are parties to the Equity Purchase Agreement of even
date herewith (the “Equity Purchase Agreement”); and

     WHEREAS, in order to induce the Company to enter into the Equity Purchase Agreement and to
induce the Shareholders to invest funds in the Company pursuant to the Equity Purchase Agreement,
the Shareholders and the Company desire to enter into this Agreement setting forth certain rights
regarding registration of shares issuable to the Shareholders, governance of the Company and
certain other matters as set forth in this Agreement.

     NOW THEREFORE, in consideration of the mutual covenants and agreements set forth herein and
for other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, and intending to be legally bound hereby, the parties agree as follows:

SECTION 1

CERTAIN DEFINITIONS

     1.1 Certain Defined Terms. As used herein, the following terms have the respective
meanings set forth below or set forth in the Section hereof following such term:

          “Board” shall mean the board of directors of the Company.

          “Common Stock” shall mean the (i) Company’s Common Stock, par value $0.0001 per share and (ii)
any other class or series of the Company’s common stock into which the foregoing may be converted
or exchanged pursuant to a recapitalization thereof.

          “Company Public Sale” shall have the meaning given thereto in Section 3.2(a).

          “Conversion Shares” means (i) the shares of Common Stock issued upon conversion of the
Preferred Stock and (ii) any other shares of Common Stock of the Company issued (or issuable upon
the conversion of the Preferred Stock) as a dividend or other distribution with respect to, or in
exchange for or in replacement of, such shares.

          “Equity Purchase Agreement” has the meaning given thereto in the recitals hereof.

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

          “Form S-3” means such form under the Securities Act as in effect on the date hereof or any
successor form under the Securities Act.

 

 

          “Loss” and “Losses” have the meaning given thereto in Section 3.8(a).

          “Majority of Shareholders” means any group of Shareholders representing a majority of the
Preferred Stock then outstanding.

          “Necessary Action” means, with respect to a specified result, all actions (to the extent such
actions are permitted by law) necessary to cause such result, including (i) voting or providing a
written consent or proxy with respect to the Common Stock, (ii) causing the adoption of
shareholders’ resolutions or proxies with respect to the Common Stock, (iii) causing members of the
Board (to the extent such members were nominated or designated by the Person obligated to take such
Necessary Action, and subject to any fiduciary duties that such members may have as directors of
the Company) to act in a certain manner or causing them to be removed in the event that they fail
to act in such a manner, (iv) executing agreements and instruments to effect such result and (v)
making, or causing to be made, with governmental, administrative or regulatory authorities, all
filings, registrations or similar actions that are required to achieve such result.]

          “Participating Shareholder” has the meaning given thereto in Section 3.2(a).

          “Person” means and includes natural persons, corporations, limited partnerships, general
partnerships, limited liability companies, limited liability partnerships, joint stock companies,
joint ventures, associations, companies, trusts, banks, trust companies, land trusts, business
trusts or other organizations, whether or not legal entities, and governments (whether federal,
state or local, domestic or foreign, and including political subdivisions thereof) and agencies or
other administrative or regulatory bodies thereof.

          “Piggyback Registration” has the meaning given thereto in Section 3.2(a).

          “Potential Common Holdings” with respect to any Shareholder, means the aggregate of (i) all
Conversion Shares currently held by such Shareholder and (ii) all Conversion Shares issuable upon
the conversion of all Preferred Stock currently held by such Shareholder.

          “Preferred Stock” means the Company’s Series A-1 Convertible Preferred Stock, par value $0.01
per share.

          “Register,” “registered,” and “registration” refer to a registration effected by preparing and
filing a registration statement or similar document in compliance with the Securities Act, and the
declaration or ordering of effectiveness of such registration statement or document.

          “Registration Effective Period” has the meaning given thereto in Section 3.1(b).

          “Registration Expenses” shall have the meaning given thereto in Section 3.7.

          “Registration Period” shall have the meaning given thereto in Section 3.1(a).

          “Registration Statement” shall mean any registration statement of the Company filed with, or
to be filed with, the SEC under the rules and regulations promulgated under the

4

 

Securities Act,
including the related prospectus, amendments and supplements to such registration statement,
including post-effective amendments, and all exhibits and all material incorporated by reference in
such registration statement other than a registration statement (and related prospectus) filed on
Form S-8 or any successor form thereto.

          “SEC” means the U.S. Securities and Exchange Commission.

          “Securities Act” means the Securities Act of 1933, as amended.

          “Shareholder” has the meaning given thereto in the first paragraph hereof.

          “Shelf
Registration” shall have the meaning given thereto in
Section 3.1(a).

          “Underwritten Offering” has the meaning given thereto in Section 3.1(c).

     1.2 Other Definitional Provisions and Rules of Construction.

          (a) Any of the terms defined herein may, unless the context otherwise requires, be used in the
singular or the plural, depending on the reference.

          (b) References to “Sections” shall be to Sections of this Agreement unless otherwise
specifically provided. References to a “Schedule” or an “Exhibit” shall be to Schedules and
Exhibits, respectively, attached to this Agreement, in each case unless otherwise specifically
provided.

          (c) The use in any of the Equity Documents of the word “include” or “including”, when
following any general statement, term or matter, shall not be construed to limit such statement,
term or matter to the specific items or matters set forth immediately following such word or to
similar items or matters, whether or not non-limiting language (such as “without limitation” or
“but not limited to” or words of similar import) is used with reference thereto, but rather shall
be deemed to refer to all other items or matters that fall within the broadest possible scope of
such general statement, term or matter.

          (d) References to any document, instrument or agreement (i) shall include all exhibits,
schedules and other attachments thereto, (ii) shall include all documents, instruments or
agreements issued or executed in replacement thereof, and (iii) shall mean such document,
instrument or agreement, or replacement or predecessor thereto, as amended, restated, supplemented
or otherwise modified from time to time and in effect at any given time unless specifically
provided otherwise.

SECTION 2

REPRESENTATIONS AND WARRANTIES

     Each of the parties to this Agreement hereby represents and warrants to each other party to
this Agreement that as of the date such party executes this Agreement:

     2.1 Existence; Authority; Enforceability. Such party has the power and authority to
enter into this Agreement and to carry out its obligations hereunder. Such party is duly

5

 

organized
and validly existing under the laws of its jurisdiction of organization, and the execution of this
Agreement, and the consummation of the transactions contemplated hereby, have been authorized by
all necessary action, and no other act or proceeding on its part is necessary to authorize the
execution of this Agreement or the consummation of any of the transactions contemplated hereby.
This Agreement has been duly executed by it and constitutes a legal, valid, binding obligation of
it, enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium, receivership and similar laws affecting the enforcement of creditors’
rights generally, and general equitable principles.

     2.2 Absence of Conflicts. The execution and delivery by such party of this Agreement
and the performance of its obligations hereunder does not and will not (a) conflict with, or result
in the breach of any provision of the constitutive documents of such party; (b) result in any
violation, breach, conflict, default or event of default (or an event that with notice, lapse of
time or both would constitute a default or event of default), or give rise to any right of
acceleration or termination or any additional payment obligation under the terms of any contract,
agreement or permit to which such party is a party or by which such party’s assets or operations
are bound or affected; or (c) violate any law applicable to such party.

     2.3 Consents. Other than any consents that have already been obtained, no consent,
waiver, approval, authorization, exemption, registration, license or declaration is required to be
made or obtained by such party in connection with (a) the execution, delivery or performance of
this Agreement or (b) the consummation of any of the transactions contemplated hereby.

SECTION 3

REGISTRATION RIGHTS

     3.1 Form S-3 Registration.

          (a) Filing of the Registration Statement. Within ninety (90) days of the initial date
of this Agreement set forth above (the “Registration Period”), the Company shall file pursuant to
Rule 415 under the Securities Act or any successor rule providing for offerings of securities on a
continuous or delayed basis (i) a shelf registration statement under the Securities Act (on Form
S-3, if available) with respect to the registration for resale of the Conversion
Shares (the “Shelf Registration”) and (ii) all such qualifications and compliances as may be
so requested and as would permit or facilitate the sale and distribution of the Conversion Shares.
The Company shall use commercially reasonable efforts to cause the SEC to declare such Shelf
Registration effective as soon as practicable after the filing thereof.

          (b) Registration Effective Period. The Company shall use reasonable best efforts to
cause the Shelf Registration to remain effective until such time as (i) none of the Preferred Stock
remains outstanding or (ii) each Shareholder is permitted to sell its Potential Common Holdings to
the market without registration pursuant to Rule 144 under the Securities Act without volume
limitation or other restrictions on transfer thereunder. The period of time referred to in the
immediately preceding sentence is hereinafter referred to as the “Registration Effective Period.”

6

 

          (c) Underwritten Shelf Takedown. The Shareholders may distribute Conversion Shares in
an underwritten offering (an “Underwritten Offering”) pursuant to a Shelf Registration under this
Section 3.1 only with the written consent of the Company, which consent may be delayed, conditioned
or withheld in the sole discretion of the Company.

          (d) Suspension of Shelf Registration. Upon delivery to the Shareholders of a
certificate of the Company signed by its Chief Executive Officer or Chairman of the Board stating
that in the good faith judgment of the Board it would be seriously detrimental to the Company and
its stockholders for offerings to be made pursuant to the Shelf Registration, the Shareholders
shall immediately cease all offerings pursuant to the Shelf Registration for a period of not more
than ninety (90) days after receipt of such certificate; provided, however, the
Company shall not utilize this right more than twice in any twelve (12) month period.

     3.2 Piggyback Registration.

          (a) Participation. If at any time the Shelf Registration is not effective during the
Registration Period or the Registration Effective Period and the Company proposes to file a
Registration Statement under the Securities Act with respect to any shares of Common Stock, whether
for its own account or for the account of any other Persons (other than (i) a Registration on Form
S-4 or S-8 or any successor form to such Forms, or (ii) a Registration of securities solely
relating to an offering and sale to employees or directors of the Company pursuant to any employee
stock plan or other employee benefit plan arrangement) (a “Company Public Sale”), then, as soon as
practicable (but in no event less than thirty (30) days prior to the proposed date of filing such
Registration Statement), the Company shall give written notice of such proposed filing to all
Shareholders, and such notice shall offer the Shareholders the opportunity to Register under such
Registration Statement such number of Conversion Shares as each such Shareholder may request in
writing, not to exceed the aggregate number of Conversion Shares that such Shareholder holds or
would hold upon conversion of its Preferred Stock (a “Piggyback Registration”). Subject to
Section 3.2(b), the Company shall include in such Registration Statement all such
Conversion Shares which are requested to be included therein within fifteen (15) days after the
receipt by such Shareholder of any such written notice of the proposed Company Public Sale;
provided, however, that if at any time after giving written notice of its intention
to Register any securities and prior to the effective date of the Registration Statement filed in
connection with such Registration, the Company shall determine for any
reason not to Register or to delay Registration of such securities, the Company shall give
written notice of such determination to each Shareholder and, thereupon, (i) in the case of a
determination not to Register, shall be relieved of its obligation to Register any Conversion
Shares in connection with such Registration (but not from its obligation to pay the Registration
Expenses in connection therewith) and (ii) in the case of a determination to delay Registering,
shall be permitted to delay Registering any Conversion Shares, for the same period as the delay in
Registering such other securities. If the Company Public Sale pursuant to such Registration
Statement is to be an Underwritten Offering, then each Shareholder making a request for a Piggyback
Registration pursuant to this Section 3.2(a) (a “Participating Shareholder”) must
participate in the underwriting agreement with respect thereto. If the offering pursuant to such
Registration Statement is to be on any other basis, then each Participating Shareholder must, and
the Company shall make such reasonable arrangements so that each Participating Shareholder may,
participate in such offering on such basis. Each Shareholder shall be

7

 

permitted to withdraw all or
part of such Shareholder’s portion of the Conversion Shares from a Piggyback Registration at any
time.

          (b) Priority of Piggyback Registration. If the managing underwriter or underwriters
of any proposed Underwritten Offering of Conversion Shares included in a Piggyback Registration
informs the Company and the Shareholders in writing that, in its or their opinion, the number of
securities which the Participating Shareholders and any other Persons intend to include in such
offering exceeds the number which can be sold in such offering without being likely to have a
significant adverse effect on the price, timing or distribution of the securities offered or the
market for the securities offered, then the securities to be included in such Registration shall be
(i) first, 100% of the securities that the Company seeks to include in such offering, and (ii)
second, and only if all the securities referred to in clause (i) have been included, the number of
Conversion Shares and all other securities proposed to be included in the offering that, in the
reasonable opinion of such managing underwriter or underwriters, can be sold without having a
materially adverse effect on the Underwritten Offering, with such number to be allocated pro
rata among the Participating Shareholders and holders of such other securities based on the
relative number of Conversion Shares and such other securities requested to be included therein
then held by each such Participating Shareholder or other holder (subject to Section 3.6
below).

     3.3 Black-out Periods.

          (a) Black-out Periods for Holders. In the event of a Company Public Sale of the
Company’s equity securities in an Underwritten Offering, the Shareholders agree, if and to the
extent requested by the managing underwriter or underwriters in such Underwritten Offering, not to
directly or indirectly sell, offer to sell, contract to sell (including any short sale), grant any
option to purchase or otherwise transfer or dispose of (other than to donees who agree to be
similarly bound) (except, in each case, as part of the applicable Registration, if permitted) that
are the same as or similar to those being Registered in connection with such Company Public Sale,
or any securities convertible into or exchangeable or exercisable for such securities, during the
period beginning seven (7) days before and ending ninety (90) days (or such lesser period as may be
permitted by the Company or such managing underwriter or underwriters) after, the effective date of
the Registration Statement filed in connection with such Registration, to the extent timely
notified in writing by the Company or the managing underwriter or
underwriters. Notwithstanding the foregoing, if any Shareholder or any other person who is
bound by obligations similar to those set forth in this Section 3.3 is released in whole or
in part from the obligation not to effect any public sale or distribution, then the Shareholders
shall be similarly released from such obligations at the same time on a pro rata basis.

     3.4 Registration Procedures.

          (a) In connection with the Company’s Registration obligations under Sections 3.1 and
3.2, the Company shall as expeditiously as reasonably practicable:

               (i) prepare the required Registration Statement including all exhibits and financial
statements required under the Securities Act to be filed therewith, and before filing a
Registration Statement or prospectus, or any amendments or supplements thereto, (x) furnish to

8

 

the
underwriters, if any, and to the Shareholders, copies of all documents prepared to be filed, which
documents shall be subject to the review of such underwriters and such Shareholders and their
respective counsel and (y) except in the case of a Registration under Section 3.2, not file
any Registration Statement or prospectus or amendments or supplements thereto to which the
Shareholders or the underwriters, if any, shall reasonably object;

               (ii) prepare and file with the SEC such amendments and post-effective amendments to such
Registration Statement and supplements to the prospectus as may be (x) reasonably requested by the
Majority of Shareholders, (y) reasonably requested by any Shareholder (to the extent such request
relates to information relating to such Shareholder), or (z) necessary to keep such Registration
effective for the period of time required by this Agreement, and comply with provisions of the
applicable security laws with respect to the sale or other disposition of all securities covered by
such Registration Statement during such period in accordance with the intended method or methods of
disposition by the sellers thereof set forth in such Registration Statement;

               (iii) notify the Shareholders and the managing underwriter or underwriters, if any, and (if
requested) confirm such advice in writing and provide copies of the relevant documents, as soon as
reasonably practicable after notice thereof is received by the Company (a) when the applicable
Registration Statement or any amendment thereto has been filed or becomes effective, and when the
applicable prospectus or any amendment or supplement to such prospectus has been filed, (b) of any
written comments by the SEC or any request by the SEC or any other federal or state governmental
authority for amendments or supplements to such Registration Statement or such prospectus or for
additional information, (c) of the issuance by the SEC of any stop order suspending the
effectiveness of such Registration Statement or any order by the SEC or any other regulatory
authority preventing or suspending the use of any preliminary or final prospectus or the initiation
or threatening of any proceedings for such purposes, (d) if, at any time, the representations and
warranties of the Company in any applicable underwriting agreement cease to be true and correct in
all material respects, and (e) of the receipt by the Company of any notification with respect to
the suspension of the qualification of the Conversion Shares for offering or sale in any
jurisdiction or the initiation or threatening of any proceeding for such purpose;

               (iv) promptly notify each Shareholder and the managing underwriter or underwriters, if any,
when the Company becomes aware of the happening of any event as a result of which the applicable
Registration Statement or the prospectus included in such Registration Statement (as then in
effect) contains any untrue statement of a material fact or omits to state a material fact
necessary to make the statements therein (in the case of such prospectus and any preliminary
prospectus, in light of the circumstances under which they were made) not misleading or, if for any
other reason it shall be necessary during such time period to amend or supplement such Registration
Statement or prospectus in order to comply with the Securities Act and, in either case as promptly
as reasonably practicable thereafter, prepare and file with the SEC, and furnish without charge to
the selling holders and the managing underwriter or underwriters, if any, an amendment or
supplement to such Registration Statement or prospectus which shall correct such misstatement or
omission or effect such compliance;

9

 

               (v) use its reasonable best efforts to prevent or obtain the withdrawal of any stop order or
other order suspending the use of any preliminary or final prospectus;

               (vi) promptly incorporate in a prospectus supplement or post-effective amendment such
information as the managing underwriter or underwriters and the Majority of Shareholders reasonably
request in writing should be included therein relating to the plan of distribution with respect to
the Conversion Shares; and make all required filings of such prospectus supplement or
post-effective amendment as soon as reasonably practicable after being notified of the matters to
be incorporated in such prospectus supplement or post-effective amendment;

               (vii) furnish to each Shareholder and each underwriter, if any, without charge, as many
conformed copies as such Shareholder or underwriter may reasonably request of the applicable
Registration Statement and any amendment or post-effective amendment thereto, including financial
statements and schedules, all documents incorporated therein by reference and all exhibits
(including those incorporated by reference);

               (viii) deliver to each Shareholder and each underwriter, if any, without charge, as many
copies of the applicable prospectus (including each preliminary prospectus) and any amendment or
supplement thereto as such Shareholder or underwriter may reasonably request (it being understood
that the Company consents to the use of such prospectus or any amendment or supplement thereto by
each of the Shareholders and the underwriters, if any, in connection with the offering and sale of
the Conversion Shares covered by such prospectus or any amendment or supplement thereto) and such
other documents as such Shareholder or underwriter may reasonably request in order to facilitate
the disposition of the Conversion Shares by such Shareholder or underwriter;

               (ix) on or prior to the date on which the applicable Registration Statement is declared
effective, use its reasonable best efforts to register or qualify, and cooperate with the
Shareholders, the managing underwriter or underwriters, if any, and their respective counsel, in
connection with the registration or qualification of such Conversion Shares for offer and sale
under the securities or “Blue Sky” laws of each state and other jurisdiction of the United States
as any Shareholder or managing underwriter or underwriters, if any, or their respective counsel
reasonably request in writing and do any and all other acts or things
reasonably necessary or advisable to keep such registration or qualification in effect for
such period as required by Section 3.1(b), provided that the Company shall not be
required to qualify generally to do business in any jurisdiction where it is not then so qualified
or to take any action which would subject it to taxation or general service of process in any such
jurisdiction where it is not then so subject;

               (x) cooperate with the Shareholders and the managing underwriter or underwriters, if any, to
facilitate the timely preparation and delivery of certificates representing Conversion Shares to be
sold and not bearing any restrictive legends; and enable such Conversion Shares to be in such
denominations and registered in such names as the managing underwriters may request at least two
business days prior to any sale of Conversion Shares to the underwriters;

10

 

               (xi) use its reasonable best efforts to cause the Conversion Shares covered by the applicable
Registration Statement to be registered with or approved by such other governmental agencies or
authorities as may be necessary to enable the seller or sellers thereof or the underwriter or
underwriters, if any, to consummate the disposition of such Conversion Shares;

               (xii) not later than the effective date of the applicable Registration Statement, provide a
CUSIP number for all Conversion Shares and provide the applicable transfer agent with printed
certificates for the Conversion Shares which are in a form eligible for deposit with The Depository
Trust Company;

               (xiii) enter into such customary agreements (including underwriting and indemnification
agreements);

               (xiv) obtain for delivery to the Shareholders and to the underwriter or underwriters, if any,
an opinion or opinions from counsel for the Company dated the effective date of the Registration
Statement or, in the event of an Underwritten Offering, the date of the closing under the
underwriting agreement, in customary form, scope and substance, which opinions shall be reasonably
satisfactory to such Shareholders or underwriters, as the case may be, and their respective
counsel;

               (xv) cooperate with each Shareholder and each underwriter, if any, participating in the
disposition of Conversion Shares and their respective counsel in connection with any filings
required to be made with the relevant stock exchange or similar governing body;

               (xvi) use its reasonable best efforts to comply with all applicable securities laws and make
available to its security holders, as soon as reasonably practicable, an earnings statement
satisfying the provisions of Section 11(a) of the Securities Act and the rules and regulations
promulgated thereunder;

               (xvii) provide and cause to be maintained a transfer agent and registrar for all Conversion
Shares covered by the applicable Registration Statement from and after a date not later than the
effective date of such Registration Statement;

               (xviii) cause all Conversion Shares covered by the applicable Registration Statement to be
listed on each securities exchange on which any similar securities of the Company are then listed
or quoted and on each inter-dealer quotation system on which any similar securities of the
Company’s are then quoted; and

               (xix) make available upon reasonable notice at reasonable times and for reasonable periods for
inspection by a representative appointed by a Majority of Shareholders, by any underwriter
participating in any disposition to be effected pursuant to such Registration Statement and by any
attorney, accountant or other agent retained by such Shareholders or any such underwriter, all
pertinent financial and other records, pertinent corporate documents and properties of the Company,
and cause all of the Company’s officers, directors and employees and the independent public
accountants who have certified its financial statements to make themselves available to discuss the
business of the Company and to supply all information reasonably requested by any such Person in
connection with such Registration Statement as shall

11

 

be necessary to enable them to exercise their
due diligence responsibility; provided, however, that any such Person gaining
access to information regarding the Company pursuant to this Section 3.4(a)(xxi) shall
agree to hold in strict confidence and shall not make any disclosure or use any information
regarding the Company which the Company determines in good faith to be confidential, and of which
determination such Person is notified, unless (w) the release of such information is requested or
required (by deposition, interrogatory, requests for information or documents by a governmental
entity, subpoena or similar process), (x) such information is or becomes publicly known without a
breach of this or any other agreement of which such Person has knowledge, (y) such information is
or becomes available to such Person on a non-confidential basis from a source other than the
Company or (z) such information is independently developed by such Person.

          (b) The Company may require each Shareholder to furnish to the Company such information
regarding the distribution of such securities and such other information relating to such
Shareholder and its ownership of Conversion Shares as the Company may from time to time reasonably
request in writing. Each Shareholder agrees to furnish such information to the Company and to
cooperate with the Company as reasonably necessary to enable the Company to comply with the
provisions of this Agreement.

          (c) The Shareholders holding a majority of the Conversion Shares shall have the right to
select one legal counsel to review and comment upon any registration undertaken pursuant to this
Agreement. The reasonable expenses incurred by such counsel in connection with such review shall
be paid promptly by the Company upon receipt of invoice for such services in accordance with
Section 3.7 below.

     3.5 Underwritten Offerings.

          (a) Piggyback Registrations. If the Company proposes to register any of its
securities under the Securities Act as contemplated by Section 3.2 and such securities are
to be distributed in an Underwritten Offering through one or more underwriters, the Participating
Shareholders shall be parties to the underwriting agreement between the Company and such
underwriters on the same terms and conditions that apply to the other sellers in such Registration
(other than the Company).

     3.6 No Inconsistent Agreements; Additional Rights. The Company shall not hereafter
enter into, and is not currently a party to, any agreement with respect to its securities that is
inconsistent with the rights granted to the Shareholders by this Agreement. Without the consent of
a Majority of Shareholders, the Company shall not enter into any agreement granting registration or
similar rights to any Person superior to the rights of the Shareholders pursuant to this Agreement.

     3.7 Registration Expenses.
 Subject to the last sentence of this Section 3.7, all expenses incident to the Company’s
 performance of or compliance with this Agreement shall be paid by the Company, including (i) all registration and filing fees, and any other fees and expenses associated with filings required to be made with the SEC or the applicable stock exchange or similar governing body, (ii) all fees and expenses in connection with compliance with any securities or “Blue Sky” laws, (iii) all printing, duplicating, word processing,

12

 

messenger, telephone, facsimile and delivery expenses (including expenses of printing
certificates for the Conversion Shares in a form eligible for deposit with The Depository Trust
Company and of printing prospectuses), (iv) all fees and disbursements of counsel for the Company
and of all independent certified public accountants of the Company (including the expenses of any
special audit and cold comfort letters required by or incident to such performance), (v) Securities
Act liability insurance or similar insurance if the Company so desires or the underwriters so
require in accordance with then-customary underwriting practice, (vi) all fees and expenses
incurred in connection with the listing of the Conversion Shares on any securities exchange or
quotation of the Conversion Shares on any inter-dealer quotation system, (vii) all applicable
rating agency fees with respect to the Conversion Shares, (viii) all reasonable fees and
disbursements of one law firm or other counsel selected by a Majority of Shareholders, (ix) all
fees and expenses of accountants selected by a Majority of Shareholders, (x) any reasonable fees
and disbursements of underwriters customarily paid by issuers of securities, (xi) all fees and
expenses of any special experts or other Persons retained by the Company in connection with any
Registration, and (xii) all of the Company’s internal expenses (including all salaries and expenses
of its officers and employees performing legal or accounting duties). All such expenses are
referred to herein as “Registration Expenses.” The Company shall not be required to pay
underwriting discounts or commissions attributable to the sale of any Conversion Shares, fees and
disbursements of more than one law firm or other counsel selected by a Majority of Shareholders, or
any fees and disbursements to underwriters not customarily paid by the issuers of securities in a
an offering by selling stockholders or transfer taxes, if any, attributable to the sale of any
Conversion Shares.

     3.8 Indemnification.

          (a) Indemnification by the Company. The Company agrees to indemnify and hold
harmless, to the full extent permitted by law, each Shareholder, each member, limited or general
partner thereof, each member, limited or general partner of each such member, limited or general
partner, each of their respective Affiliates, officers, directors, shareholders, employees,
advisors, and agents and each Person who controls (within the meaning of the Securities Act or the
Exchange Act) such Persons and each of their respective Representatives from and against any and
all losses, penalties, judgments, suits, costs, claims, damages, liabilities and expenses, joint or
several (including reasonable costs of investigation and legal expenses) (each, a “Loss” and
collectively “Losses”) arising out of or are based upon (i) any untrue or alleged untrue statement
of a material fact contained in any Registration Statement under which any of the Conversion Shares
were Registered under the Securities Act (including any final, preliminary or summary prospectus
contained therein or any amendment thereof or supplement thereto or any documents incorporated by
reference therein), or any other disclosure document produced by or on behalf of the Company or any
of its subsidiaries including, without limitation, reports and other documents filed under the
Exchange Act, (ii) any omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein (in the case of a prospectus or
preliminary prospectus, in light of the circumstances under which they were made) not misleading or
(iii) any actions or inactions or proceedings in respect of the foregoing whether or not such
indemnified party is a party thereto; provided, however, that the Company shall not
be liable to any particular indemnified party to the extent that any such Loss arises out of or is
based upon an untrue statement or alleged untrue statement or omission or alleged omission made (x)
in any such Registration

13

 

Statement or other document in reliance upon and in conformity with written information
furnished to the Company by such indemnified party expressly for use in the preparation thereof or
(y) in a preliminary prospectus, if a prospectus (as then amended or supplemented) that would have
cured the defect was furnished to such indemnified party from whom the Person asserting the claim
giving rise to such Loss purchased the Conversion Shares at least five (5) days prior to the
written confirmation of the sale of the Conversion Shares to such Person, and a copy of such
prospectus (as amended and supplemented) was not sent or given by or on behalf of such indemnified
party to such Person at or prior to the written confirmation of the sale of the Conversion Shares
to such Person. This indemnity shall be in addition to any liability the Company may otherwise
have. Such indemnity shall remain in full force and effect regardless of any investigation made by
or on behalf of such Shareholder or any indemnified party and shall survive the transfer of such
securities by such Shareholder.

          (b) Indemnification by the Shareholders. Each Shareholder agrees (severally and not
jointly) to indemnify and hold harmless, to the fullest extent permitted by law, the Company, its
directors, officers, legal counsel and accountants and each Person who controls the Company (within
the meaning of the Securities Act or the Exchange Act) from and against any Losses resulting from
(i) any untrue statement of a material fact in any Registration Statement under which any
Conversion Shares were Registered under the Securities Act (including any final, preliminary or
summary prospectus contained therein or any amendment thereof or supplement thereto or any
documents incorporated by reference therein), or (ii) any omission to state therein a material fact
required to be stated therein or necessary to make the statements therein (in the case of a
prospectus or preliminary prospectus, in light of the circumstances under which they were made) not
misleading, in each case to the extent, but only to the extent, that such untrue statement or
omission is contained in any information furnished in writing by such Shareholder to the Company
specifically for inclusion in such Registration Statement. In no event shall the liability of any
Shareholder hereunder be greater in amount than the dollar amount of the net proceeds received by
such Shareholder under the sale of the Conversion Shares giving rise to such indemnification
obligation.

          (c) Conduct of Indemnification Proceedings. Any Person entitled to indemnification
hereunder shall (i) give prompt written notice to the indemnifying party of any claim with respect
to which it seeks indemnification (provided that any delay or failure to so notify the
indemnifying party shall relieve the indemnifying party of its obligations hereunder only to the
extent, if at all, that it is actually and materially prejudiced by reason of such delay or
failure) and (ii) permit such indemnifying party to assume the defense of such claim with counsel
reasonably satisfactory to the indemnified party; provided, however, that any
Person entitled to indemnification hereunder shall have the right to select and employ separate
counsel and to participate in the defense of such claim, but the fees and expenses of such counsel
shall be at the expense of such Person unless (i) the indemnifying party has agreed in writing to
pay such fees or expenses, (ii) the indemnifying party shall have failed to assume the defense of
such claim within a reasonable time after receipt of notice of such claim from the Person entitled
to indemnification hereunder and employ counsel reasonably satisfactory to such Person, (iii) the
indemnified party has reasonably concluded (based upon advice of its counsel) that there may be
legal defenses available to it or other indemnified parties that are different from or in addition
to those available to the indemnifying party, or (iv) in the reasonable judgment of any such Person
(based upon advice of its counsel) a conflict of interest may exist

14

 

between such Person and the indemnifying party with respect to such claims (in which case, if
the Person notifies the indemnifying party in writing that such Person elects to employ separate
counsel at the expense of the indemnifying party, the indemnifying party shall not have the right
to assume the defense of such claim on behalf of such Person). No indemnifying party in the
defense of any claim or litigation shall, except with the consent of the indemnified party, consent
to entry of any judgment or enter into any settlement that does not include as an unconditional
term thereof the giving by the claimant or plaintiff to such indemnified party of an unconditional
release from all liability in respect to such claim or litigation. If such defense is not assumed
by the indemnifying party, the indemnifying party will not be subject to any liability for any
settlement made without its prior written consent, but such consent may not be unreasonably
withheld. It is understood that the indemnifying party or parties shall not, in connection with
any proceeding or related proceedings in the same jurisdiction, be liable for the reasonable fees,
disbursements or other charges of more than one separate firm admitted to practice in such
jurisdiction at any one time unless (x) the employment of more than one counsel has been authorized
in writing by the indemnifying party or parties, (y) an indemnified party has reasonably concluded
(based on the advice of counsel) that there may be legal defenses available to it that are
different from or in addition to those available to the other indemnified parties or (z) a conflict
or potential conflict exists or may exist (based upon advice of counsel to an indemnified party)
between such indemnified party and the other indemnified parties, in each of which cases the
indemnifying party shall be obligated to pay the reasonable fees and expenses of such additional
counsel or counsels.

          (d) Contribution. If for any reason the indemnification provided for in paragraphs
(a) and (b) of this Section 3.8 is unavailable to an indemnified party or insufficient in
respect of any Losses referred to therein, then the indemnifying party shall contribute to the
amount paid or payable by the indemnified party as a result of such Loss in such proportion as is
appropriate to reflect the relative fault of the indemnifying party on the one hand and the
indemnified party or parties on the other hand in connection with the acts, statements or omissions
that resulted in such losses, as well as any other relevant equitable considerations. In
connection with any Registration Statement filed with the SEC by the Company, the relative fault of
the indemnifying party on the one hand and the indemnified party on the other hand shall be
determined by reference to, among other things, whether any untrue or alleged untrue statement of a
material fact or the omission or alleged omission to state a material fact relates to information
supplied by the indemnifying party or by the indemnified party and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission.
The parties hereto agree that it would not be just or equitable if contribution pursuant to this
Section 3.8(d) were determined by pro rata allocation or by any other method of
allocation that does not take account of the equitable considerations referred to in the
immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from any Person
who was not guilty of such fraudulent misrepresentation. For purposes of this Section
3.8(d), the amount paid or payable by an indemnified party as a result of the Losses referred
to in Sections 3.8(a) and 3.8(b) shall be deemed to include, subject to the
limitations set forth above, any legal or other expenses reasonably incurred by such indemnified
party in connection with investigating or defending any such action or claim. Notwithstanding the
provisions of this Section 3.8(d), in connection with any Registration Statement filed by
the Company, a Shareholder shall not be required to contribute any amount in excess of the dollar

15

 

amount of the net proceeds received by such Shareholder under the sale of the Conversion
Shares giving rise to such contribution obligation. If indemnification is available under this
Section 3.8, the indemnifying parties shall indemnify each indemnified party to the full
extent provided in Sections 3.8(a) and 3.8(b) hereof without regard to the
provisions of this Section 3.8(c). The remedies provided for in this Section 3.8
are not exclusive and shall not limit any rights or remedies that may otherwise be available to any
indemnified party at law or in equity.

     3.9 Rules 144 and 144A. (a) The Company covenants that it will file the reports required to
be filed by it under the Securities Act and the Exchange Act and the rules and regulations adopted
by the SEC thereunder (or, if the Company is not required to file such reports, it will, upon the
request of any Shareholder, make publicly available such necessary information for so long as
necessary to permit sales pursuant to Rules 144 or 144A under the Securities Act), and it will take
such further action as any Shareholder may reasonably request, all to the extent required from time
to time to enable such Shareholder to sell Conversion Shares and Preferred Shares without
Registration under the Securities Act within the limitation of the exemptions provided by (i) Rules
144 or 144A under the Securities Act, as such Rules may be amended from time to time, or (ii) any
similar rule or regulation hereafter adopted by the SEC. Upon the request of any Shareholder, the
Company will deliver to such Shareholder a written statement as to whether it has complied with
such requirements and, if not, the specifics thereof.

     3.10 Termination. Except for the provisions of Sections 3.8 and 3.9, the
registration rights provided for in this Section 3 shall terminate upon the earlier of (i)
the date as of which none of the Preferred Stock remains outstanding or (ii) the date as of which
each Shareholder is permitted to sell its Potential Common Holdings to the market without
registration pursuant to Rule 144 under the Securities Act without volume limitation or other
restrictions on transfer thereunder. The provisions of Sections 3.8 and 3.9 shall
survive any such termination.

SECTION 4

GOVERNANCE

     4.1 Board Representation.

          (a) The Company shall take all Necessary Action to cause the Board to have at least one
director who shall be designated by the holders of the Preferred Stock in accordance with the terms
of the Certificate of Designation governing the rights, preferences and privileges of the Preferred
Stock (the “Certificate of Designation”).

     4.2 Expenses. The Company shall reimburse any director designated by the Preferred Stock
pursuant to the terms of the Certificate of Designation for all reasonable and documented
out-of-pocket expenses incurred in connection with such director’s attendance at and participation in meetings of the
Board, including without limitation, travel, lodging and meal expenses.

SECTION 5

MISCELLANEOUS

16

 

     5.1 Waiver by Shareholders. The rights and obligations contained in this Agreement are in
addition to the relevant provisions of the Certificate of Incorporation and bylaws of the Company
in force from time to time and shall be construed to comply with such provisions. To the extent
that this Agreement is determined to contravene the Certificate of Incorporation and bylaws of the
Company, this Agreement shall constitute a waiver by each Shareholder, to the fullest extent
permissible under applicable laws, of any right such Shareholder may have pursuant to the
Certificate of Incorporation and bylaws of the Company that is inconsistent with this Agreement.

     5.2 Assignment; Benefit. Prior to consummating any transfer of any Preferred Stock from any
Shareholder to any Person (other than in connection with a registered sale pursuant to Section
3 hereof), the transferring Shareholder shall cause each prospective transferee thereof to
execute and deliver to the Company a Joinder Agreement, the form of which is attached to this
Agreement as Exhibit A. Any assignment of rights or obligations in violation of this
Section 5.2 shall be null and void. This Agreement shall be binding upon and shall inure
to the benefit of the parties hereto, and their respective successors and permitted assigns, and
there shall be no third-party beneficiaries to this Agreement other than the indemnitees under
Section 3.8.

     5.3 Termination. This Agreement shall terminate as to any Shareholder at such time as such
Shareholder ceases to own any Preferred Stock. Notwithstanding anything to the contrary contained
herein, Sections 3.8, 4.1, 4.2, 5.2, 5.3, 5.4,
5.5, 5.6, 5.7, 5.8, 5.9, 5.10 and 5.11
shall survive the termination of this agreement.

     5.4 Severability. In the event that any provision of this Agreement shall be invalid, illegal
or unenforceable such provision shall be construed by limiting it so as to be valid, legal and
enforceable to the maximum extent provided by law and the validity, legality and enforceability of
the remaining provisions shall not in any way be affected or impaired thereby.

     5.5 Entire Agreement; Amendment. This Agreement sets forth the entire understanding and
agreement between the parties with respect to the transactions contemplated herein and supersedes
and replaces any prior understanding, agreement or statement of intent, in each case written or
oral, of any kind and every nature with respect hereto. No provision of this Agreement may be amended, modified or
waived in whole or in part at any time without an agreement in writing executed by the Company and
a Majority of Shareholders. No waiver of any breach of any of the terms of this Agreement shall be
effective unless such waiver is expressly made in writing and executed and delivered by the party
against whom such waiver is claimed. The waiver by any party hereto of a breach of any provision
of this Agreement shall not operate or be construed as a further or continuing waiver of such
breach or as a waiver of any other or subsequent breach. Except as otherwise expressly provided
herein, no failure on the part of any party to exercise, and no delay in exercising, any right,
power or remedy hereunder, or otherwise available in respect hereof at law or in equity, shall
operate as a waiver thereof, nor shall any single or partial exercise of such right, power or
remedy by such party preclude any other or further exercise thereof or the exercise of any other
right, power or remedy.

17

 

     5.6 Counterparts. This Agreement may be executed in any number of separate counterparts each
of which when so executed shall be deemed to be an original and all of which together shall
constitute one and the same agreement.

     5.7 Notices. Unless otherwise specified herein, all notices, consents, approvals, reports,
designations, requests, waivers, elections and other communications authorized or required to be
given pursuant to this Agreement shall be in writing and shall be given, made or delivered (and
shall be deemed to have been duly given, made or delivered upon receipt) by personal hand-delivery,
by facsimile transmission, by electronic mail, by mailing the same in a sealed envelope, registered
first-class mail, postage prepaid, return receipt requested, or by air courier guaranteeing
overnight delivery, addressed to the Shareholders at the following addresses (or at such other
addresses for Shareholders as shall be specified by like notice):

if to a Shareholder, the address specified for such communications in Schedule A,
with a copy to:

Milbank, Tweed, Hadley & McCloy LLP

601 S. Figueroa St, 30th Floor

Los Angeles, California 90017

Attention: Melainie Mansfield

Fax: (213) 892-4711

if to the Company, to:

Online Resources Corporation

4795 Meadow Wood Lane

Suite 300

Chantilly, VA 20151

Attn: Mr. Matthew Lawlor

Fax: (610) 995-2697

with a copy to:

Greenburg Traurig LLP

1750 Tysons Boulevard, Suite 1200

Mclean, Virginia 22102

Attention: Mark Wishner

Fax: (703) 714-8359

     5.8 Governing Law. This Agreement shall be governed by and construed in accordance with the
laws of the State of New York applicable to a contract executed and performed in such State,
without giving effect to the conflicts of laws principles thereof.

     5.9 Jurisdiction. Submission to Jurisdiction; Waivers. Each party hereto irrevocably agrees
that any proceeding with respect to this Agreement or for recognition and enforcement of any
judgment in respect thereof brought by the other party hereto or its successors or assigns, may be
brought and determined in the Supreme Court of the State of New

18

 

York in New York County or in the United States District Court for the Southern District of New York, and each party hereto hereby
irrevocably submits with regard to any such Proceeding for itself and in respect to its properties,
generally and unconditionally, to the exclusive jurisdiction of the aforesaid courts, provided,
however, that such consent to jurisdiction is solely for the purpose referred to in this
Section 5.9 and shall not be deemed to be a general submission to the jurisdiction of said
courts or in the State of New York other than for such purpose.

     5.10 Waiver of Jury Trial. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW THAT CANNOT BE
WAIVED, EACH PARTY HERETO WAIVES, AND COVENANTS THAT SUCH PARTY WILL NOT ASSERT (WHETHER AS
PLAINTIFF, DEFENDANT OR OTHERWISE), ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY
ISSUE, CLAIM OR PROCEEDING ARISING OUT OF THIS AGREEMENT OR THE SUBJECT MATTER HEREOF OR IN ANY WAY
CONNECTED WITH THE DEALINGS OF ANY PARTY HERETO IN CONNECTION WITH ANY OF THE ABOVE, IN EACH CASE
WHETHER NOW EXISTING OR HEREAFTER ARISING AND WHETHER IN CONTRACT, TORT OR OTHERWISE. ANY PARTY
HERETO MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION 5.10 WITH ANY COURT AS
WRITTEN EVIDENCE OF THE CONSENT OF THE PARTIES HERETO THE WAIVER OF THEIR RIGHTS TO TRIAL BY JURY.

     5.11 Specific Performance. It is hereby agreed and acknowledged that it will be impossible to
measure in money the damages that would be suffered if the parties fail to comply with any of the
obligations herein imposed on them by Sections 3.1 and 3.2 of this Agreement and
that, in the event of any such failure, an aggrieved party will be irreparably damaged and will not
have an adequate remedy at law. Any such party shall, therefore, be entitled (in addition to any
other remedy to which such party may be entitled at law or in equity) to injunctive relief, including specific performance, to
enforce such obligations, without the posting of any bond, and if any action should be brought in
equity to enforce any of the provisions of this Agreement, none of the parties hereto shall raise
the defense that there is an adequate remedy at law.

[Signature Pages Follow]

19

 

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

	 	 	 	 	 
	 	THE COMPANY: 

ONLINE RESOURCES CORPORATION

 	 
	 	By:  	/s/
 	 
	 	 	 	 
	 	 	 	 
	 

[Signature Page to Investor Rights Agreement]

 

 

	 	 	 	 	 
	 	THE SHAREHOLDERS: 

SPECIAL VALUE EXPANSION FUND, LLC

 	 
	 	By:  	/s/
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	SPECIAL VALUE OPPORTUNITIES FUND, LLC 

 	 
	 	By:  	/s/
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

[Signature Page to Investor Rights Agreement]

 

 

SCHEDULE A

INFORMATION RELATING TO PURCHASERS

	 	 	 
	 	 	Amount of
	Name and Address of Purchaser	 	the Preferred Stock held
	 
	 	 
	SPECIAL VALUE EXPANSION FUND, LLC

	 	22,255.19288 shares of Series A-1 Preferred Stock
	 
	 	 
	All communications:
	 	 
	 
	 	 
	2951 28th Street
	 	 
	Suite 1000
	 	 
	Santa Monica, CA 90405
	 	 
	Attn: Steve Chang and General Counsel
	 	 
	Fax:
	 	 
	 
	 	 
	SPECIAL VALUE OPPORTUNITIES FUND, LLC

	 	52,744,80712 shares of Series A-1 Preferred Stock
	 
	 	 
	All communications:
	 	 
	 
	 	 
	2951 28th Street
	 	 
	Suite 1000
	 	 
	Santa Monica, CA 90405
	 	 
	Attn: Steve Chang and General Counsel
	 	 
	Fax:
	 	 

A-1

 

EXHIBIT A

Form of Joinder Agreement

     THIS JOINDER AGREEMENT TO THE INVESTOR RIGHTS AGREEMENT is made as of [___], 20[___]
(the “Agreement”), by and among ONLINE RESOURCES CORPORATION, a Delaware corporation (the
“Company”), a Majority of Shareholders under the Investor Rights Agreement (as defined below) and [          ], a [                    ] organized under the laws of [        ] (the “New Shareholder”).
Capitalized terms not otherwise defined herein have the meanings assigned thereto in the Investor
Rights Agreement (as defined below).

     WHEREAS, the Company has entered into the attached Investor Rights Agreement (as the same may
be amended from time to time, the “Investor Rights Agreement”), dated as of July [___], 2006, with
the Shareholders party thereto;

     WHEREAS, New Shareholder wishes to acquire                      shares of Preferred Stock (the “Acquired
Stock”); and

     WHEREAS, the Company and the Shareholders require that, in connection with and as condition to
New Shareholder’s acquisition of the Acquired Stock, New Shareholder execute and deliver this
Agreement.

     NOW THEREFORE, in consideration of the foregoing and the mutual promises, covenants and
agreements of the parties hereto, and for other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties hereto agree as follows:

          1. New Shareholder and the Company hereby agree that New Shareholder shall become and does
become a party to the Investor Rights Agreement and assumes the rights and obligations of a
Shareholder with respect to the Acquired Stock under the Investor Rights Agreement and all other
rights, obligations, and duties granted to or imposed on it as a Shareholder under the Investor
Rights Agreement. New Shareholder and the Company hereby further agree to perform, observe and
discharge promptly and fully all of their covenants, agreements, terms and conditions under the
Investor Rights Agreement on and after the date of this Agreement in the same manner and with the
same force and effect as if New Shareholder had originally executed the Investor Rights Agreement.

          2. New Shareholder represents and warrants, as of the date hereof, as follows:

               (a) Existence; Authority; Enforceability. New Shareholder has the power and authority
to enter into this Agreement and to carry out its obligations hereunder. New Shareholder is duly
organized and validly existing under the laws of its jurisdiction of organization, and the
execution of this Agreement, and the consummation of the transactions contemplated hereby, have
been authorized by all necessary action, and no other act or

 

 

proceeding on its part is necessary to authorize the execution of this Agreement or the
consummation of any of the transactions contemplated hereby. This Agreement has been duly executed
by it and constitutes a legal, valid, binding obligation of New Shareholder, enforceable in
accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization,
moratorium, receivership and similar laws affecting the enforcement of creditors’ rights generally,
and general equitable principles.

               (b) Absence of Conflicts. The execution and delivery by New Shareholder of this
Agreement and the performance of its obligations hereunder does not and will not (a) conflict with,
or result in the breach of any provision of the constitutive documents of New Shareholders; (b)
result in any violation, breach, conflict, default or event of default (or an event that with
notice, lapse of time or both would constitute a default or event of default), or give rise to any
right of acceleration or termination or any additional payment obligation under the terms of any
contract, agreement or permit to which such party is a party or by which New Shareholder’s assets
or operations are bound or affected; or (c) violate any law applicable to New Shareholder.

               (c) Consents. Other than any consents that have already been obtained, no consent,
waiver, approval, authorization, exemption, registration, license or declaration is required to be
made or obtained by New Shareholder in connection with (i) the execution, delivery or performance
of this Agreement or (ii) the consummation of any of the transactions contemplated hereby.

          3. Each of the parties hereto shall, at any time and from time to time on and after the date
hereof, upon request by any other party hereto and without further consideration, take or cause to
be taken such actions and execute, acknowledge and deliver, or cause to be executed, acknowledged
and delivered, such instruments, documents, transfers and conveyances as may be required for
effectuating the purposes of this Agreement.

          4. This Agreement may be executed in any number of counterparts, each of which when so
executed and delivered shall be an original, but all of which shall together constitute one and the
same instrument.

          5. This Agreement may not be amended or modified, and no waiver hereof shall be granted,
except pursuant to a written agreement or instrument executed by the parties hereto.

          6. All notices, requests and other communications hereunder must be in writing and will be
deemed to have been duly given only if delivered personally or by facsimile transmission or mailed
(first class postage prepaid) to the parties at the following addresses or facsimile numbers:

     if to the Company, to the address specified in Section 5.7 of the Investor Rights
Agreement:

     if to New Shareholder:

X-2

 

[                    ]

[                    ]

[                    ]

          7. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE
STATE OF NEW YORK APPLICABLE TO A CONTRACT EXECUTED AND PERFORMED IN SUCH STATE, WITHOUT GIVING
EFFECT TO THE CONFLICTS OF LAWS PRINCIPLES THEREOF. NEW SHAREHOLDER HEREBY AGREES THAT IT HAS READ
AND UNDERSTANDS, IS BOUND BY, AND SHALL COMPLY FULLY WITH THE PROVISIONS OF THE INVESTOR RIGHTS
AGREEMENT.

[Remainder of this page intentionally left blank.]

X-3

 

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

	 	 	 	 	 
	 	THE COMPANY: 

ONLINE RESOURCES CORPORATION

 	 
	 	By:  	/s/
 	 
	 	 	 	 
	 	 	 	 

X-4

 

	 	 	 	 	 

Acknowledged and agreed:

	 	 	 	 	 
	 	A MAJORITY OF SHAREHOLDERS: 

[                    ]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	[                    ]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

X-5exv4w1

 

     

Exhibit 4.1

	GT            GLOBAL TELECOM & TECHNOLOGY, INC.
INCORPORATED UNDER THE LAWS OF THE STATE OF DELAWARE
COMMON STOCK SEE REVERSE FOR
CERTAIN DEFINITIONS
CUSIP 378979 10 8
This certifies that
is the owner of AMERI BY:
FULLY PAID AND NON-ASSESSABLE SHARES OF THE COMMON STOCK, PAR VALUE $.0001 PER SHARE, OF CAN
(hereinafter called the “Corporation”), transferable upon the books of the Corporation by the holder hereof in person or by duly authorized attorney upon (N GLOBAL TELECOM & TECHNOLOGY, INC. STOCK T
surrender of this certificate properly endorsed. This certificate and the shares represented hereby are issued under and shall be subject to all the provisions of            EW RA
the Certificate of Incorporation and By-Laws of the Corporation (copies of which are on file at the office of the Transfer Agent of the Corporation), to all of which            YORK, N.Y.) N
the holder by acceptance hereof assents. SFE
This certificate is not valid unless countersigned by the Transfer Agent. TR R
Witness the facsimile seal of the Corporation and the facsimile signatures of its duly authorized officers. ANSF & TR
Dated: ER AGE UST AUTH
••• • • ••• ROCP O RATE            NT AND            By: By: COMPAN ORIZED
SEAL Y, REGISIGN
2005 STRARATURE
DELA WAER            CHIEF EXECUTIVE OFFICER EXECUTIVE CHAIRMAN ••••••••••••• • ••••••••••••< B>••••••••••••••• •••••••••••••••• ? ? ? ?? ?? ?? ????????????????????????????????????????????????????????? OCELETL ABO&M TECHNOLOGY,I

 

Global Telecom & Technology, Inc.

     The Corporation will
furnish without charge to each stockholder who so
requests, a statement of the powers, designations, preferences and relative,
participating, optional, or other special rights of each class of stock or
series thereof and the qualifications, limitations or restrictions of such
preferences and/or rights.

     The
following abbreviations, when used in the inscription on the face of this
certificate, shall be construed as though they were written out in full
according to applicable laws or regulations:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	TEN COM	 	–	 	as tenants in common	 	UNIF GIFT MIN ACT-	 	 	Custodian	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 
	TEN ENT

	 	–
	 	as tenants by the entireties
	 	 	 	 	 	(Cust)
	 	 	 	(Minor)
	JT TEN	 	–	 	as joint tenants with right of survivorship	 	under Uniform Gifts to Minors
	 

	 	 	 	and not as tenants in common
	 	Act	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	(State)

Additional abbreviations may also be used though not in the above list.

     For value received, 
                                                            
hereby sell, assign and transfer unto

PLEASE INSERT SOCIAL SECURITY OR OTHER

IDENTIFYING NUMBER OF ASSIGNEE

 

 

	 	 	 
	 
	(PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE)
	 
	 	 
	 
	 
	 	 
	 
	 
	 	 
	 
	 
	 	 
	 

	 	 shares
	 
	 	 
	of the capital stock represented by the within Certificate, and do hereby irrevocably constitute and appoint
	 
	 	 
	 

	 	 Attorney
	 
	 	 
	to transfer the said stock on the books of the within named Corporation with full power of substitution
in the premises.

	 	 	 	 	 
	Dated
	 	 	 	 
	 

	 	 

	 	 	 	 	 
	 	 	 
	 

	 	NOTICE:
	 	THE SIGNATURE TO THIS
ASSIGNMENT MUST CORRESPOND WITH THE NAME AS WRITTEN UPON THE FACE OF THE
CERTIFICATE IN EVERY PARTICULAR, WITHOUT ALTERATION OR ENLARGEMENT OR ANY
CHANGE WHATEVER.

	 	 	 	 	 
	 

	 	 	 	 
	The signature(s) must be guaranteed by an eligible guarantor institution
(Banks, Stockbrokers,
Savings and Loan Associations and Credit Unions with membership in an approved
signature
guarantee Medallion Program), pursuant to S.E.C. Rule 17Ad-15.
	 	 	 	 

KEEP THIS CERTIFICATE IN A SAFE PLACE. IF IT IS LOST, STOLEN, MUTILATED OR DESTROYED,
THE CORPORATION
WILL REQUIRE A BOND OF INDEMNITY AS A CONDITION TO THE ISSUANCE OF A REPLACEMENT CERTIFICATE.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}]]