Document:

a5534243ex10_1.htm

    Exhibit
      10.1

     

    
      	
              Dyax
                Corp.

              300
                Technology Square 

              Cambridge,
                MA 02139

            	
              

               

            

    

    

     

    CONFIDENTIAL
      DOCUMENT

     

    September
      18, 2007

     

    Dr.
      William Pullman 

    193
      Hutchins Rd 

    Carlisle
      MA 01741

     

    Dear
      Bill,

     

    On
      behalf
      of Dyax Corp., this letter will confirm our offer of employment to you for
      the
      position of Executive Vice President and Chief Development Officer. The terms
      of
      our offer are as follows:

     

    Supervision:

     

    You
      will
      be reporting directly to the Company's Chairman, President and Chief Executive
      Officer, Henry Blair.

     

    Responsibilities:

     

    As
      Executive Vice President and Chief Development Officer, you will be responsible
      for (i) supervising and managing the strategic operation of the Clinical,
      Medical Affairs, Regulatory, Quality and Program Management departments (ii)
      such other duties as the Company's President shall designate. All such duties
      will be performed and discharged, faithfully, diligently and to the best of
      your
      ability and in compliance with all applicable laws and regulations. In
      performing these duties, you agree to devote substantially all of your working
      time and efforts to the business and affairs of Dyax and its
      affiliates.

     

    Salary
      and Bonus:

     

    As
      an
      exempt employee you will receive an annual salary of $325,000 to be paid in
      accordance with Dyax's standard payroll practice. Currently, our payroll is
      paid
      on a bi-weekly basis.

     

    In
      addition to your base salary, you will be eligible for an annual bonus targeted
      at thirty-seven and half percent (37.5%) of your base salary. Bonus eligibility
      and amounts will be subject to (i) the attainment of specific departmental
      objectives (1/2 weight) and corporate objectives (1/2 weight). For exceptional
      performance beyond specified goals, target bonuses can be adjusted up to 120%
      in
      any category (departmental
      and/or corporate). Please note however, that you must be an employee at the
      time
      of the scheduled bonus payment to receive the bonus. For the calendar year
      ending December 31, 2007 your determination of eligibility and amounts for
      this
      bonus will be based on your annual salary of your $325,000 and will not be
      prorated. The actual plan for each year is subject to the approval of the
      Compensation Committee of the Board of Directors.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Additionally,
      Dyax will provide you a sign on bonus of $50,000.00 to be payable in your first
      paycheck in accordance with Dyax's normal payroll procedures. Please note that
      if you are terminated for cause or voluntarily resign your position within
      the
      first year from your start date, you will need to repay the sign on
      bonus.

     

    Stock
      Options:

    

    Effective
      as of the first day of your employment, Dyax will grant you an Incentive Stock
      Option to purchase 100,000
      shares of Dyax common stock at a purchase price equal to the closing price
      of
      Dyax's common stock on the first day of your employment. The option will be
      subject to the provisions of Dyax's 1995 Equity Incentive Plan (the "Plan")
      and
      the Stock Option Award Agreement to be entered into by you and Dyax following
      the grant, which in relevant part will require that such option (i) vests in
      equal monthly installments over four years; (ii) expires 10 years from the
      grant
      date; and (iii) may be exercised (as to the vested portion) for ninety (90)
      days
      following the termination of your employment.

     

    Benefits:

     

    You
      will
      eligible to participate in Dyax's employee benefits in the same manner provided
      generally to Dyax's exempt employees, including health and dental insurance,
      401(k) savings plan, disability insurance and life insurance. A package
      describing these benefits is enclosed.

     

    Vacation:

     

    Over
      the
      first year of your employment, you will accrue 20 days of vacation. Thereafter,
      you will continue to accrue according to the Dyax vacation policy, up to a
      maximum of thirty (30) days of vacation per year. All vacation is to be taken
      in
      accordance with Dyax's vacation policy. In addition, should you become ill,
      you
      will be allowed up to five (5) paid sick days, provided that any unused sick
      days will not to be carried over from year to year and will not to be cashed
      out
      upon termination.

     

    Termination:

     

    All
      employees at Dyax are employed at will. "Employment at will" refers to the
      traditional relationship between employer and employee, allowing either party
      to
      unilaterally terminate the employment relationship. While we ask that all senior
      executives provide at least ninety (90) days prior notice, you will be free
      to
      resign at any time. Similarly, Dyax reserves the right to terminating your
      employment at any time, with or without cause and with or without prior
      notice.

     

    However,
      in the event you are terminated by the Company without "cause," Dyax agrees
      to
      continue paying you your monthly base salary for six (6) months as severance.
      All accrued vacation time will be paid upon termination.
      Medical and dental benefits will continue during the period when you are
      receiving severance and all accrued vacation time will be paid upon termination.
      Other than these benefits and your rights under COBRA, all other benefits and
      vesting of your stock options will terminate as of your date of
      termination.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    If
      your
      employment is terminated for "cause" by the Company or is terminated by you
      for
      any reason, your compensation, benefits, and stock option vesting will cease
      as
      of the termination date. For purposes of this offer, "cause" will
      mean:

     

    
      
        	 	
                (i)

              	
                the
                  willful and continued failure by you to perform your duties with
                  the
                  Company (other than any such failure resulting from your incapacity
                  due to
                  physical or mental illness), as determined by the Company's CEO;
                  or

              
	 	
                (ii)

              	
                any
                  act of material misconduct (including insubordination) or the commission
                  of any act of dishonesty or moral turpitude in connection with
                  your
                  employment, as determined by the Company's CEO; or

              
	 	
                (iii)

              	
                the
                  conviction of a felony or a crime involving moral
                  turpitude.

              

      

    

     

    Change
      of Control Agreement:

     

    Additionally,
      the company has agreed to provide you with additional benefits in the event
      your
      employment within the company is terminated after a "change in control" on
      the
      same terms as has previously been offered to other senior executives of the
      company. A copy of the letter containing such terms (the `Change of Control
      Agreement") is enclosed for your review.

     

    Confidentiality
      Agreement:

     

    You
      will
      be required to sign Dyax's Standard Employee Confidentiality Agreement on or
      before your first day of work. A copy is enclosed for your review. The
      Confidentiality Agreement obligates you not to disclose confidential information
      you may learn during your employment with Dyax, to assign to Dyax rights in
      inventions or other intellectual property developed in the course of your
      employment and not to solicit employees or business away from, or engage in
      competition against, Dyax for a period of one year following any termination
      of
      your employment.

     

    Additional
      Documents and Company Policies:

     

    You
      will
      also be required to sign a Certificate of Acknowledgment under which you
      acknowledge that you have read and agree to comply with Dyax' s Corporate
      Communications, Disclosure and Insider Trading/Reporting Policy, Dyax' s Code
      of
      Ethics and the Audit Committee Procedures for Handling Complaints. A copy of
      each of these documents is also enclosed. Any failure by you to abide by the
      Company's internal policies shall be considered material
      misconduct.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    If
      this
      offer letter correctly sets forth our agreement on the subject matter hereof,
      kindly sign and return to Dyax the enclosed copy of this letter, along with
      the
      Change of Control Agreement and Confidentiality Agreement referenced above.
      Such
      documents will then constitute the complete agreement with respect to your
      employment by Dyax, and will supercede all prior oral or written agreements
      relating to such matters, including, without limitation, the Consulting
      Agreement.

    
      

      

    

     

    Sincerely,

     

    /s/
      Henry E. Blair

    
      Henry
        E.
        Blair

    

    
      Chairman,
        President and Chief Executive Officer

       

    

     

    I
      acknowledge receipt and agree with the foregoing terms and
      conditions.

     

    /s/
      William Pullman

    William
      Pullman MD

    

     4Exhibit 10.1

                        CONFIDENTIAL TREATMENT REQUESTED

Portions of this exhibits indicated by "[**]" have been omitted pursuant to a
request for confidential treatment and such omitted portions have been filed
separately with the Securities and Exchange Commission.

                                SUPPLY AGREEMENT

         This Supply Agreement (this "Agreement") is entered into as of
                                      ---------
October 27, 2007 by and between Secured Digital Applications, Inc., a Delaware
corporation ("Supplier"), having its principal place of business at No. 11,
             ----------
Jalan 51A/223, 46100 Petaling Jaya, Selangor, Malaysia (telecopy no. (603)
79578310; email address: valerie.looi@digitalapps.net) and Collier Consulting
Inc., a Tennessee corporation ("Buyer"), having its principal place of business
                               -------
at 2177 Covington Pike, Memphis TN 38128, USA (telecopy no. 901-373 4280; email
address: rcoll91826@aol.com).

                                    RECITALS

         WHEREAS, Supplier desires to sell and Buyer desires to purchase [**]
units of Supplier's EYSTAR-SOS-01 personal and vehicle tracker with the
technical specifications set forth in Attachment 1 (the "Product") on the terms
                                      -----------        --------
and conditions as set forth herein.

         NOW THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Supplier and Buyer agree as
follows:

                                      TERMS

1.       Product; Product Quantity

     1.1  Supplier  agrees  to sell to  Buyer,  and  Buyer  agrees  to buy  from
          Supplier,  up to [**] units of the Product upon the terms set forth in
          this Agreement.  Within 30 days of this Agreement,  Buyer will order a
          minimum of [**] units of the Product from  Supplier.  Thereafter,  the
          remaining  [**]  units  will be  purchased  over a period of 10 months
          following  the  date  hereof  upon  a  mutually  agreeable   timeframe
          determined within 30 days following the date hereof.

2.       Purchase Orders; Pricing and Minimum Orders; Payment Terms; Security
         Interest

     2.1  Purchase Orders.  Purchases of the Product  hereunder shall be made by
          delivery to Supplier of Buyer's written purchase order by fax or email
          signed by an authorized agent of Buyer specifying in reasonable detail
          the quantity  and delivery  date of the number of units of the Product
          ordered.   Subject  to  the  terms  of  Section  2.3,  Supplier  shall
          acknowledge  a purchase  order within five business days of receipt of
          the same and shall use reasonable  efforts to ship the number of units
          of the  Product  ordered  to Buyer  within  30 days of the  Supplier's
          acknowledgment  of  Buyer's  order.  Partial  shipment  of  reasonable
          quantities  is  agreed to by both  parties.  If the  ordered  quantity
          exceeds  Supplier's  inventory,   Supplier  shall  allocate  available
          inventory among its customers,  on a basis Supplier deems equitable in
          its reasonable discretion.

     2.2  Pricing.  The  price  for  the  Product  is  shown  in  Attachment  2.
                                                                  --------------
<PAGE>

     2.3  Payment  Terms.  The purchase  price shall be paid in U.S.  dollars by
          irrevocable letter of credit with the HSBC Bank USA, 425 Fifth Avenue,
          New York,  NY  10018,  which  letter  of  credit  shall be in form and
          substance  satisfactory  to  Supplier.  The letter of credit  shall be
          established (and  supplemented  from time to time as necessary) in the
          amount of the total  purchase price for orders placed with Supplier in
          accordance  with  Sections  1.1 and 2.2.  Prior to  making  any  valid
          purchase order with Supplier,  the amount of the letter of credit must
          cover the full amount of such purchase order and any  outstanding  but
          unpaid  purchase  orders.  Supplier  shall  have  the sole  right  and
          authority to apply the letter of credit and make deductions  therefrom
          for the payment of the  purchase  price for the  Product  simultaneous
          with  Supplier's  instructions  to its  manufacturer  to commence  the
          manufacture  of  such  Product.  The  making  of any  deductions  from
          payments by Buyer to Supplier without  Supplier's prior  authorization
          for such deduction as evidenced by a valid credit  memorandum shall be
          grounds for immediate  cessation of further  shipments to Buyer and/or
          termination  of  this  Agreement  by  Supplier  without  liability  to
          Supplier therefor.

3.       Shipment Term; Acceptance and Rejection; Credits; Loss of Shipment

     3.1  Shipment  Term.  Supplier  shall  ship the  Product  via the  shipping
          method,  freight  carrier  and to the  designated  delivery  point  as
          designated  in Buyer's  purchase  order.  All products will be shipped
          Free On Board, (INCOTERMS 2000), Port of Kaohsiung, Taiwan.

     3.2  Acceptance and Rejection. Buyer shall inspect all units of the Product
          promptly  upon  receipt  thereof to determine if any unit fails in any
          material respect to meet the specifications set forth in Attachment 1.
                                                                   -------------
          Buyer shall notify  Supplier in writing within five days after receipt
          of any defective or damaged unit (a "Defective Unit"). Defective Units
                                              ----------------
          not  rejected by Buyer  within  five  business  days after  receipt by
          Buyer,  shall be  deemed  accepted  by  Buyer.  Upon  notification  of
          rejection of any Defective  Unit,  Supplier will replace  defective or
          nonfunctional  parts.  Supplier shall issue to Buyer a Return Material
          Authorization  number  (a  "RMA")  for  any  Defective  Unit  properly
                                     -----
          rejected  pursuant  to the terms of this  Section  3.2 (a  "Rightfully
                                                    ------------      ----------
          Rejected  Unit")  within five days of  receiving  a request  therefor.
          ---------------
          Supplier shall pay all shipping and handling costs for shipment of any
          Rightfully Rejected Unit and any replacement thereof. This Section 3.2
                                                                     -----------
          does not apply to products damaged by the freight  carrier,  accident,
          alteration  or abuse.  The  title and risk of loss for any  Rightfully
          Rejected Unit or replacement  thereof shall pass upon receipt  thereof
          of a party at such  party's  business  location.  If Buyer  refuses or
          rejects units of the Products that meet the  specifications  set forth
          in  Attachment 1 and that are not  defective  or damaged  ("Conforming
              ------------                                           -----------
          Units"),  then Buyer shall pay all  shipping  and  handling  costs for
          ------
          shipment  of any  Conforming  Units from Buyer to  Supplier  and shall
          immediately  pay to Supplier a sum equal to 20% of the purchase  order
          price  as  a  restocking  fee.  All  Rightfully   Rejected  Units  and
          Conforming  Units  returned by Buyer to Supplier  shall be returned in
          the original packaging or in packaging adequate to protect such units.

                                       2
<PAGE>

     3.3  Credits. The amount of the credit for any returned unit of the Product
          shall be equal to the original  purchase  price  charged to Buyer less
          any credit granted  pursuant to this Agreement.  Any approved  credits
          shall  first be  applied  by  Supplier  to any  amounts  Buyer owes to
          Supplier.  In the event that any amount of credit remains  thereafter,
          Supplier shall, upon Buyer's request, promptly pay to Buyer the amount
          of the  remaining  credit.  Supplier  shall not accept any debit memos
          issued to Supplier by Buyer unless expressly  authorized in writing by
          Supplier.  Buyer shall not be entitled to any credit taken pursuant to
          any unauthorized debit memo issued by Buyer.

     3.4  Loss of Shipment.  Supplier and Buyer shall  cooperate to recover lost
          shipment and/or insurance proceeds from carrier where applicable.

4.       Limitation of Liability and Warranty

     4.1  Limitation of Liability.  The warranty set forth in this Section 4 and
                                                                   ---------
          the  obligations  and  liabilities  hereunder are in lieu of any other
          expressed or implied  warranties,  whether written or oral,  including
          warranties of  merchantability  and fitness for a particular  purpose.
          The  warranty  set  forth  in this  Section  4 shall  be the  sole and
                                              ----------
          exclusive  remedy of Buyer.  SUPPLIER SHALL NOT BE LIABLE TO BUYER, TO
          ITS  CUSTOMERS OR ANY OTHER PERSON FOR ANY INJURY OR DAMAGE TO PERSONS
          OR  PROPERTY,  OR FOR ANY LOSS OF OR  INJURY  TO  BUSINESS,  EARNINGS,
          PROFITS OR GOODWILL  SUFFERED BY ANY PERSON,  INCLUDING  BUYER AND ITS
          CUSTOMERS,  CAUSED  DIRECTLY OR INDIRECTLY BY ANY UNITS OF THE PRODUCT
          PURCHASED  PURSUANT TO THIS  AGREEMENT.  IN NO EVENT SHALL SUPPLIER BE
          LIABLE FOR ANY  CONSEQUENTIAL,  INDIRECT  (INCLUDING  LOST PROFITS) OR
          PUNITIVE  DAMAGES SUFFERED BY BUYER, ITS CUSTOMERS OR ANY OTHER PARTY,
          EVEN IF SUPPLIER  SHALL HAVE BEEN  ADVISED OF THE  POSSIBILITY  OF THE
          SAME.

     4.2  Warranty. The only warranty made by Supplier with respect to the units
          of the Product supplied is a warranty that such units shall be in full
          working order and free from material defects in material,  workmanship
          and  design  under  normal use and  service  for a period of 12 months
          measured from the date of receipt by Buyer or its designated addressee
          at Buyer's or such  addressee's  business  location as  specified in a
          purchase  order.  Supplier's  obligation  under this warranty shall be
          limited to the repair or exchange at Supplier's plant of any defective
          parts or whole unit of the Product which, after Supplier's examination
          and to its  satisfaction,  is found to be materially  defective.  This
          warranty  shall  not apply to any unit of the  Product  which has been
          subject to  accident,  alteration  or abuse or if damage is due to the
          acts or  omissions  of Buyer or any  party to whom  Buyer  has sold or
          delivered such unit. The warranty does not cover expendable  component
          parts  such as media  and the  like.  On the  terms  set forth in this
          Section 4.2, Supplier warrants any repair or exchange made pursuant to
          -----------
          this  Section 4.2 for the longer of three  months  following  the date
                -----------
          Supplier  shipped the repaired or exchanged unit to Buyer or the party
          to whom Buyer has sold or delivered  such unit,  or the balance of the
          original 12-month warranty period.  Buyer shall be responsible for all
          costs  associated  with  de-installing  defective units and installing
          repaired or replacement units.

                                       3
<PAGE>

     4.3  Out of  Warranty.  Out of  warranty,  defective  units of the  Product
          returned  by Buyer to  Supplier  must be  returned  in the same manner
          described above and are subject to Supplier  standard  out-of-warranty
          terms, conditions and pricing in effect at the time of return.

     4.4  Indemnification  by Buyer.  Buyer  shall  not make any  representation
          about  the  Product  not  authorized  by  Supplier.  Buyer  agrees  to
          indemnify and hold Supplier and its officers, directors, employees and
          agents  harmless  from  any  losses,   damages,   costs  and  expenses
          (including  attorney's fees and costs) or other liability arising from
          claims by any other party resulting from Buyer'  representation of the
          Products in a manner  inconsistent with Supplier Product  descriptions
          and warranties.

5.       Sales Efforts; Technical Support and Training; Integration Services;
         Sales Data

     5.1  Sales Efforts. Buyer agrees to use its commercially reasonable efforts
          to sell and  support  the  Product.  Supplier  will,  at its own cost,
          provide personnel to assist Buyer to promote the Product at road shows
          and  tradeshows  that  Buyer  will  be  participating,  including  the
          National  Automotive  Dealers  Association  Convention and Expo in San
          Francisco, CA scheduled on February 8, 2008.

     5.2  Technical  Support  and  Training.   Supplier  shall  promptly  answer
          questions and provide  remote  assistance  (via telephone or email) to
          Buyer in connection with the installation,  operation, maintenance and
          troubleshooting  of  the  Product.  Any  personnel  or  other  on-site
          training  requested by Buyer shall be  conducted  at Buyer's  business
          location in Memphis,  Tennessee,  USA.  Supplier shall arrange to send
          its  engineer to Memphis to assist in the  installation,  training and
          troubleshooting  of the  Product up to a maximum of 45  calendar  days
          provided that such visits to Memphis shall be limited to two (2) trips
          per year from Supplier's home office in Malaysia.  Buyer shall, at its
          own cost,  provide local  transportation  and assistance to Supplier's
          engineer.  Supplier shall bear the costs and expenses  associated with
          such personnel and on-site training, such as salaries, airfare, living
          and other expenses excluding local transportation cost.

     5.3  Integration Services. Supplier shall provide to Buyer such integration
          service as Buyer requests.  Buyer shall pay any and all costs for such
          services or any equipment  needed therefor.  In addition,  Buyer shall
          promptly  reimburse  Supplier for all of Supplier's costs and expenses
          associated with Supplier's personnel providing such services,  such as
          salaries and transportation, living and other expenses.

6.       Governmental Approvals

                                       4
<PAGE>

     6.1  Notification of Necessary Governmental  Approvals.  Buyer shall notify
          Supplier in writing about any franchise,  consent, license,  marketing
          right,  permit,  authorization,  approval or other operating authority
          ("Governmental  Approval")  that from time to time may be  required by
           -----------------------
          any  Governmental  Authority.   For  purposes  of  this  Section  6.1,
          "Governmental Authority" means any (i) state, commonwealth,  province,
          -----------------------
          territory, county, municipality, district or other jurisdiction of any
          nature, or any political  subdivision  thereof,  (ii) federal,  state,
          local,  municipal  or  other  government,  or  (iii)  governmental  or
          quasi-governmental authority of any nature (including any governmental
          division,  department,  bureau, agency,  commission,  instrumentality,
          official, organization, body or other entity and any court, arbitrator
          or other tribunal).

     6.2  Supplier   Cooperation.   Supplier  shall  assist  Buyer,  at  Buyer's
          expenses,  to obtain  any  required  Governmental  Approval  and shall
          provide such assistance within 10 business days of receiving a written
          request  therefor from Buyer.  All costs and expenses  associated with
          obtaining Governmental Approvals shall be borne by Buyer.

7.       General Provisions.

     7.1  Notices.  Notices under this  Agreement  shall be  sufficient  only if
          personally  delivered,  delivered by telecopy,  email,  delivered by a
          major commercial rapid delivery courier service or mailed by certified
          or registered mail, return receipt requested to a party at its address
          and  telecopy  number  first set forth  herein or as amended by notice
          pursuant to this subsection.  If not received  sooner,  notice by mail
          shall be deemed  received  five days after  deposit in the U.S.  mail.
          Notice by telecopy and by a major  commercial  rapid delivery  courier
          service  shall be  deemed  received  on the  next  business  day.  All
          telecopy and email  notices must be followed by written  notice,  sent
          within three business days.

     7.2  Non-Solicitation  of  Personnel.  Buyer  agrees  not to  engage in any
          attempt whatsoever,  to hire, or to engage as independent contractors,
          Supplier's  employees or  independent  contractors  during the term of
          this Agreement and for a period of two years  following  expiration or
          termination  of this  Agreement  except as may be  mutually  agreed in
          writing.

     7.3  Taxes, Duties and Import and Licenses. All prices described herein are
          exclusive of federal,  state and local excise,  sales, use and similar
          taxes.  Buyer shall be solely  responsible  for paying any  applicable
          federal,  state,  municipal  or other  government  taxes,  all  custom
          duties,  imports and similar  charges and all personal  property taxes
          assessable  on the  shipped  products  and any other taxes of any sort
          Buyer may be liable for. Buyer shall provide to Supplier copies of all
          applicable sales tax exception certificates that apply to Buyer. Buyer
          shall obtain,  at Buyer's  cost,  all  necessary  import  licenses and
          permits.

     7.4  Governing  Law. This  Agreement  shall be governed by and construed in
          accordance  with  the  internal  laws of the U.S.  State of  Colorado,
          without  giving  effect  to  any  choice  of law  or  conflict  of law
          provision or rule (whether of the U.S.  State of Colorado or any other
          jurisdiction)  that  would  cause the  application  of the laws of any
          jurisdiction other than the U.S. State of Colorado.

                                       5
<PAGE>

     7.5  Additional  Covenants.  Buyer will:  (i) conduct  business in a manner
          that will  enhance  the  image  and  reputation  of  Supplier  and the
          Product;  (ii) comply with  applicable  laws and regulations and avoid
          deceptive,  misleading,  unethical or other illegal  practices;  (iii)
          make no  representations,  warranties  or  guarantees  to anyone  with
          respect  to the  Products  that are  inconsistent  with  those made by
          Supplier;   and  (iv)  not  sell  the   Product  to  any   individual,
          corporation, entity, agency or other party residing outside the USA or
          to any  individual,  corporation,  entity,  agency or other  party for
          sale, distribution,  transfer, export or other disposition outside the
          USA.

     7.6  Publicity.  The terms of this Agreement  shall be treated by Buyer and
          by  Supplier as each treats its own  confidential  information  and no
          press release or other like publicity  regarding this Agreement may be
          made without the other party's  approval,  which  approval will not be
          unreasonably  withheld or delayed,  except as required by law or legal
          process.

     7.7  Proprietary  Rights.  Supplier shall retain all of its rights or title
          to  and  ownership  of  all  copyrights,  trademarks,  trace  secrets,
          patents,  mask works and all other  intellectual  property embodied in
          the Product including any improvements or enhancements to the Product.
          Buyer  has  no  right,  title  or  interest  in  the  Product  or  any
          intellectual  property  relating  to the  Product  and shall not copy,
          reproduce, reverse engineer, decompile,  disassemble or otherwise use,
          in whole or in part,  the  Product.  All units of the Product  sold by
          Buyer shall be distributed  only in the form shipped by Supplier,  and
          Buyer shall not alter,  modify or change the Product.  Notwithstanding
          the  foregoing,  solely for  purposes of  carrying  out its rights and
          obligations under this Agreement,  Supplier grants to Buyer a limited,
          non-exclusive,   non-transferable,   revocable  license  to  sell  the
          Product, including all intellectual property contained therein.

     7.8  Force  Majeure.  Supplier  shall not be liable to Buyer for Supplier's
          failure to perform any of its obligations  hereunder during any period
          in which  such  performance  is delayed  by  circumstances  beyond its
          reasonable control,  including,  but not limited to earthquake,  fire,
          flood, war, embargo,  strike,  riot,  inability to secure materials or
          transportation  facilities,  or the  intervention  of  any  Government
          Authority.

     7.9  Severability.  In the event that any provision of this  Agreement,  or
          the  application  of such  provision  to any  party  hereto  or set of
          circumstances,  shall be determined to be invalid,  unlawful,  void or
          unenforceable to any extent, the remainder of this Agreement,  and the
          application  of such  provision to any party  hereto or  circumstances
          other than those as to which it is determined to be invalid, unlawful,
          void or unenforceable,  shall not be affected and shall continue to be
          valid and enforceable to the fullest extent permitted by law.

                                       6
<PAGE>

     7.10 Entire  Agreement.  This Agreement  constitutes  the entire  Agreement
          between the parties and supersedes  any and all prior  contemporaneous
          oral or written understandings and agreements as to the subject matter
          thereof. This Agreement may be amended only by written amendment fully
          signed by  authorized  representatives  of both  parties.  All  terms,
          conditions, or provisions, which may appear as pre-printed language or
          otherwise  be inserted  within any  purchase  order,  for any products
          shall be of no force and effect.

     7.11 No Agency,  No Joint Venture - Independent  Contractors.  Both parties
          shall  act  as  independent   contractors  under  the  terms  of  this
          Agreement.  Neither  party is, nor shall be deemed to be, an employee,
          agent,  co-venturer or legal representative of the other party for any
          purpose. Neither party shall be entitled to enter into any contract in
          the name of or on behalf of the other party, nor shall either party be
          entitled  to pledge the  credit of the other  party in any way or hold
          itself out as having authority to do so.

     7.12 Assignment.  Except for  assignments  and delegations to the acquiring
          company or entity in connection  with a disposition  of  substantially
          all the assets or  business  of a party  (whether  by merger,  sale or
          otherwise),  any  attempted  assignment of the rights or delegation of
          the duties under this Agreement will be void without the prior written
          consent of the non-assigning or non-delegating party.

     7.13 Interpretation.   Each   party   hereto   acknowledges   that  it  has
          participated  in the drafting of this  Agreement,  and any  applicable
          rule of construction to the effect that ambiguities are to be resolved
          against the drafting party shall not be applied in connection with the
          construction or interpretation of this Agreement.

     7.14 Confidential  Information.  The parties acknowledge and agree that the
          terms of the  Non-Disclosure  Agreement  dated August 21, 2007 between
          the parties  applies to all  confidential  information,  including all
          trade  secrets,  proprietary  data  or  other  confidential  material,
          learned or received by the parties in connection with the transactions
          contemplated by this Agreement.

     7.15 Counterpart.   This  Agreement  may  be  executed  in  any  number  of
          counterpart  originals,  each of which  shall be  deemed  an  original
          instrument  for all purposes,  but all of which shall comprise one and
          the same instrument.  This Agreement may be delivered by facsimile and
          a facsimile of this Agreement shall be binding as an original.

SECURED DIGITAL APPLICATIONS, INC.        COLLIER CONSULTING INC.

By:  /s/ Patrick Soon-Hock Lim            By: /s/ Ron Collier
   ----------------------------              ----------------------------

Title: Chairman & Chief Executive         Title: Vice President
       Officer

Date:  October 27, 2007                   Date:  October 27, 2007
     --------------------------                --------------------------

                                       7
<PAGE>

                                  ATTACHMENT 1
                                  ------------

================================================================================

                     EYSTAR SOS-01 Technical Specifications
================================================================================
Weight                     80 grams (battery included)
================================================================================
Dimensions                 79.50 x 47.50 x 25.00 (mm)
================================================================================
                           EGSM900: TX880-915MHz, RX 925-960MHz
                           DCS1800: TX 1710-1785MHz, RX 1805-1880MHz
Bandwidth                  GSM850: TX824-849MHz, RX 869-894MHz
                           GSM1900: TX1850-1910MHz, RX 1930-1990MHz
================================================================================
Maximum                    EGSM900, GSM850: 33 dBm(2W)
RF Output Power            GSM1800, GSM1900: 30 dBm(1W)
================================================================================
Resistance                 50_
================================================================================
Transmission Speed         Circuit switched 4.8/ 9.6 kbps
================================================================================
GPS Module                 SiRF Star III
================================================================================
Frequency                  L1, 1575.42mhz
================================================================================
Channels                   20
================================================================================
Position Accuracy          10 meters CEP without SA
================================================================================
Speed Accuracy             0.1 meters/second, without SA
================================================================================
Coordinate System          WGS-84
================================================================================
Hot Start                  < 6 Seconds average
================================================================================
Warm Start                 < 38 Seconds average
================================================================================
Cold Start                 < 60 Seconds average
================================================================================
Speed                      Max. 515meters / second _1000 knots_
================================================================================
Buttons                    6 Buttons: Answer, Quick Dial * 2, Park, SOS, Power
================================================================================
LED                        5 LED: Charging, GPS, GSM, Park, SOS
================================================================================
USB                        Mini USB PORT for charge and connect to PC.
================================================================================
Working Voltage            Rechargeable Li-ion battery3.7V 1000mAh ,5 V Input
================================================================================
Standby Mode               12 hours
================================================================================
Operating Mode             8 hours
================================================================================
Housing                    Plastic
================================================================================
Operation Temperature      -20(degree)C to +55(degree)C
================================================================================
Storage Temperature        -30(degree)C to +70(degree)C
================================================================================
Humidity                   0~95%, non-condensing
================================================================================

                                       8
<PAGE>

                                  ATTACHMENT 2
                                  ------------

                                      Price

Unit Price                                  :        US$[**]

Total Purchase Price for [**] Units         :        US$16,000,000.00

                                       9

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