Document:

Exhibit 10.41

 

EMPLOYMENT
AGREEMENT

 

This
Employment Agreement (the “Agreement”) is made and entered into as of April 10, 2014 by and between OSL Holdings,
Inc., a Nevada corporation (the “Company”), and Steve Gormley (“Executive”).

 

The
Company is in the business of developing and acquiring business units with the purpose of entering the legal medical and recreational
cannabis market, operate real-time loyalty rewards and transact with buyers in multiple channels (the “Business”)
in North America (the “Territory”). The Company desires to employ Executive, and the Executive desires to accept such
employment, on the terms and subject to the conditions set forth in this Agreement.

 

In
consideration of the mutual promises set forth in this Agreement the parties hereto agree as follows:

 

ARTICLE
I

Term
of Employment

 

1.01
Subject to the provisions of Article V, and upon the terms and subject to the conditions set forth in this Agreement, the Company
will employ Executive for the period beginning on April 11, 2014 (the “Commencement Date”) and ending on April 11,
2015 (the “Initial Term”). The Initial Term shall be automatically renewed for up to two (2) successive consecutive
one (1) year periods (each, a “Renewal Term” and the Initial Term and Renewal Term are collectively referred to as
the “term of employment”) thereafter unless either party sends notice to the other party, not more than 270 days and
not less than 90 days before the end of the then-existing term of employment, of such party’s desire to terminate the Agreement
at the end of the then-existing term, in which case this Agreement will terminate at the end of the then-existing term. The parties
understand and acknowledge that if Executive remains employed by the Company after the end of the last Renewal Term, then such
employment shall be “at-will” unless this Agreement is extended, or different terms are established, by the parties
in writing.

 

    	 

    	 

    

 

ARTICLE
II

Duties

 

2.01(a)
During the term of employment, Executive will:

 

(i)
Promote the interests, within the scope of his duties, of the Company and devote such working time as is required for the Company’s
business and affairs;

 

(ii)
Serve as Chief Business Development Officer of the Company, reporting directly to the CEO and

 

(iii)
Perform the duties and services consistent with the title and function of such office, including without limitation, those, if
any, set forth in the Bylaws of the Company or as specifically set forth from time to time by the Company’s Board of Directors
(the “Board”).

 

(b) Notwithstanding
anything contained herein to the contrary, the Executive has the right to engage in any business or activity outside of the Company
that is non-competitive with the actual business of Company, even if such outside business or activity involves companies or individuals
who have a current, former, or contemplated business relationship with the Company.

 

ARTICLE
III

Base
Compensation

 

3.01
Salary. The Company will compensate Executive for the duties performed by him hereunder by payment of a base salary at
the rate of Three Hundred Thousand Dollars ($300,000.00) per annum (the “Base”), payable in equal semi-monthly installments,
subject to customary withholding for federal, state, and local taxes and other normal and customary withholding items.

 

At
any time during his employment, Executive may convert any or all of the funds owed to him into common shares of the Company at
a 70% discount to the average closing price for the previous five days of trading on the OTCQB.

 

3.02
Stock. The Company will also compensate Executive for the duties performed by him hereunder by payment of Twenty Million
(20,000,000) shares of the Company’s common stock on the Commencement Date. In addition, Executive will receive One Hundred
Thousand (100,000) shares of the Company’s common stock monthly.

 

3.03
Bonus. In addition to the Base, the Company may pay to the Executive a bonus (the “Bonus”) in cash or securities
of any amounts deemed reasonable and appropriate by the Company’s Board of Directors based on the quality and nature of
the Executive’s services and the performance of the Company during such year.

 

    	 

    	 

    

 

ARTICLE
IV

Reimbursement
and Employment Benefits

 

4.01
Health and Other Medical. Executive shall be eligible to participate in all health, medical, dental, and life insurance
employee benefits as are available from time to time to other key executive employees (and their families) of the Company.

 

4.02
Vacation. Executive shall be entitled to four (4) weeks of vacation and five (5) personal days per year, to be taken in
such amounts and at such times as shall be mutually convenient for Executive and the Company. Any time not taken by Executive
in one year shall be forfeited and not carried forward to subsequent years. Executive shall not be entitled to be reimbursed for
any unused vacation or personal time, except as may be required under law.

 

4.03
Reimbursable Expenses. The Company shall in accordance with its standard policies in effect from time to time reimburse
Executive for all reasonable out-of-pocket expenses actually incurred by him in the conduct of the business of the Company provided
that Executive submits all substantiation of such expenses to the Company on a timely basis in accordance with such standard policies
and further provided that Executive receives prior approval for all individual expenditures in excess of $1,000.

 

4.05
Savings Plan. Executive will be eligible to enroll and participate, and be immediately vested, in, all Company savings
and retirement plans, including any 401(k) plans, as are available from time to time to other key executive employees.

 

ARTICLE
V

Termination

 

5.01
General Provisions. Except as otherwise provided in this Article V, at such time as Executive’s employment is terminated
by the Executive or the Company, any and all of the Company’s obligations under this Agreement shall terminate, including
the issuance of any undistributed shares pursuant to section 3.02, other than the Company’s obligation to pay Executive,
within thirty (30) days of Executive’s termination of employment, the full amount of any unpaid Base and accrued but unpaid
benefits, including any vacation pay, earned by Executive pursuant to this Agreement through and including the date of termination
and to observe the terms and conditions of any plan or benefit arrangement which, by its terms, survives such termination of Executive’s
employment. The payments to be

 

    	 

    	 

    

 

made
under this Section 5.01 shall be made to Executive, or in the event of Executive’s death, to such beneficiary as Executive
may designate in writing to the Company for that purpose, or if Executive has not so designated, then to the spouse of Executive,
or if none is surviving, then to the personal representative of the estate of Executive. Notwithstanding the foregoing, termination
of employment shall not affect the obligations of Executive under Article VI hereof that, pursuant to the express provisions of
this Agreement, continue in full force and effect. Upon termination of employment with the Company for any reason, Executive shall
promptly deliver to the Company all Company property including without limitation all writings, records, data, memoranda, contracts,
orders, sales literature, price lists, client lists, data processing materials, and other documents, whether or not obtained from
the Company or any affiliate, which pertain to or were used by Executive in connection with his employment by the Company or which
pertain to any affiliate, including, but not limited to, confidential information, as well as any computers or other furniture,
fixtures or equipment which were purchased by the Company for Executive or otherwise in Executive’s possession or control.

 

5.02
Automatic Termination. This Agreement shall be automatically terminated upon the first to occur of the following (a) the
expiration of this Agreement in accordance with Section 1.01 hereof, (b) the Company’s termination pursuant to section 5.03,
(c) the Executive’s termination pursuant to section 5.04 or (d) the Executive’s death.

 

5.03
By the Company. This Agreement may be terminated by the Company upon written notice to the Executive upon the first to
occur of the following:

 

(a)
Disability. Upon the Executive’s Disability (as defined herein). The term “Disability” shall mean, in
the sole determination of the Company’s Board, whose determination shall be final and binding, the reasonable likelihood
that the Executive will be unable to perform his duties and responsibilities to the Company by reason of a physical or mental
disability or infirmity for either: (i) a continuous period of four months; or (ii) 180 days during any consecutive twelve (12)
month period.

 

(b)
For Convenience. Commencing at any time after January 1, 2016, upon ninety (90) days’ written notice by the Company,
for any reason or no reason.

 

(c)
Cause. Upon the Executive’s commission of Cause (as defined herein). The term “Cause” shall mean the
following:

 

    	 

    	 

    

 

(i)
Any violation by Executive of any material provision of this Agreement (including without limitation any violation of any provision
of Sections 6.01, 6.02 or 6.03 hereof any and all of which are material in all respects), upon notice of same by the Company describing
in detail the breach asserted and stating that it constitutes notice pursuant to this Section 5.03(b)(i), which breach, if capable
of being cured, has not been cured to the Company’s sole and absolute satisfaction within 30 days after such notice (except
for breaches of any provisions of sections 6.01, 6.02 or 6.03 which are not subject to cure or any notice);

 

(ii)
Embezzlement by Executive of funds or property of the Company;

 

(iii)
Habitual absenteeism, bad faith, fraud, refusal to perform his duties, gross negligence or willful misconduct on the part of Executive
in the performance of his duties as an employee of the Company, provided that the Company has given written notice of and an opportunity
of not less than 30 days to cure such breach, which notice describes in detail the breach asserted and stating that it constitutes
notice pursuant to this Section 5.03(b)(iii), provided that no such notice or opportunity needs to be given if (x) in the judgment
of the Company’s Board of Directors, such conduct is habitual or would unnecessarily or unreasonably expose the Company
to undue risk or harm or (y) one previous notice had already been given under this section or under Section 5.03(b) (i) above;
or

 

(iv)
A felonious act, conviction, or plea of nolo contendere of Executive under the laws of the United States or any state (except
for any conviction or plea based on a vicarious liability theory and not the actual conduct of the Executive).

 

(v)
Failure of the Executive to perform assigned duties adequately, as determined by the affirmative vote of a majority of the Board
of Directors.

 

5.04
By the Executive. This Agreement may be terminated by the Executive with written notice to the Company upon the first to
occur of the following:

 

(a)
Change in Control. Upon a “Change in Control” (as defined herein) of the Company (unless Executive is offered
a position in the buying or succeeding owner with equal or better economic terms as this Agreement). The term “Change in
Control” shall be deemed to have occurred at such time as (i) any person or entity (or person or entities which are affiliated
or acting as a group or otherwise in concert) is or becomes the beneficial owner, directly or indirectly, of securities representing
50% or more of the combined voting power for election of directors of the then outstanding securities of the Company (other than
stockholders which own greater than fifty percent (50%) of the stock of the Company as of the

 

    	 

    	 

    

 

effective
date of this Agreement); (ii) the members of the Company approve any merger or consolidation as a result of which its membership
interests shall be changed, converted, or exchanged (other than a merger with a wholly-owned subsidiary of the Company) or any
liquidation of the Company or any sale or other disposition of all or substantially all of the assets or earning power of the
Company; or (iii) the members of the Company approve any merger or consolidation to which the Company is a party as a result of
which the persons who were members of the Company immediately before the effective date of the merger or consolidation shall have
beneficial ownership of less than 50% of the combined voting power for election of directors or the equivalent of the surviving
corporation following the effective date of such merger or consolidation; provided, however, that no Change in Control shall be
deemed to have occurred as a result of the sale or transfer of membership interests of the Company to an employee benefit plan
sponsored by the Company or an affiliate thereof or if the new employer offers to employ the Executive on substantially the same
terms and conditions as set forth in this Agreement (except that the Base shall not be reduced below the then-existing Base).

 

(b)
Constructive Termination Upon the occurrence of a “Constructive Termination” (as defined herein) by the Company.
The term “Constructive Termination” shall mean any of the following: any breach by the Company of any material provision
of this Agreement, including, without limitation, the assignment to the Executive of duties inconsistent with his position specified
in Section 2.01 hereof or any breach by the Company of such Section, which is not cured within sixty (60) days after written notice
of same by Executive, describing in detail the breach asserted and stating that it constitutes notice pursuant to this Section
5.04.

 

(c)
Voluntary Termination Executive’s resignation for reasons other than as specified in Section 5.04(a) and (b).

 

5.05
Consequences of Termination Upon any termination of Executive’s employment with the Company, except for a termination
by the Company for Cause as provided in Section 5.03(c) hereof or for a termination by the Executive pursuant to Section 5.04(c)
hereof, the Executive shall be entitled to: (a) a payment equal two (2) years of the Base salary (the “Severance”);
(b) the issuance of any undistributed shares pursuant to section 3.02, and (c) retain the benefits set forth in Article IV for
six (6) months. The Severance shall be paid, at Company’s option, either (x) in a lump sum upon termination with such payments
discounted by the U.S. Treasury rate most closely comparable to the applicable time period left in the Agreement or (y) as and
when normal payroll payments are made. Executive expressly acknowledges and agrees that the payment of Severance to Executive
hereunder shall be liquidated damages for and in full satisfaction of any

 

    	 

    	 

    

 

and
all claims Executive may have relating to or arising out of Executive’s employment or termination of Executive’s employment
by the Company or relating to or arising out of this Agreement and the termination thereof, including, without limitation, those
causes of action arising under the Age Discrimination in Employment Act of 1967, as amended, 29 U.S.C. §621 et seq., Title
VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. §2000e et seq., the Americans with Disabilities Act of
1990, as amended, 42 U.S.C. §12101 et seq. , the Fair Labor Standards Act of 1938, as amended, 29 U.S.C. §201
et seq., the Civil Rights Act of April 9, 1866.1 42 U.S.C. §1981 et seq., the National Labor Management Relations
Act, 29 U.S.C. §141 et seq., the Occupational Safety and Health Act, 29 U.S.C. §651 et seq., and the Family
Medical Leave Act of 1993, 29 U.S.C. §2601 et seq. Notwithstanding the foregoing, Executive’s right to receive
Severance Pay is contingent upon Executive not violating any of his on-going obligations under this Agreement.

 

5.06
Representations. Executive represents, warrants, and covenants to Company that (a) there is no other agreement or relationship
which is binding on him which prevents him from entering into or fully performing under the terms hereof and (b) the Company may
contact any past, present, or future entity with whom he has a business relationship and inform such entity of the existence of
this Agreement and the terms and conditions set forth herein.

 

ARTICLE
VI

Covenants

 

6.01
Competition/Solicitation.

 

(a)
During the period in which Executive performs services for the Company and for a period of twelve (12) months after termination
of Executive’s employment with the Company, regardless of the reason, Executive hereby covenants and agrees that he shall
not, directly or indirectly, except in connection with his duties hereunder or otherwise for the sole account and benefit of the
Company, whether as a sole proprietor, partner, member, shareholder, employee, director, officer, guarantor, consultant, independent
contractor, or in any other capacity as principal or agent, or through any person, subsidiary, affiliate, or employee acting as
nominee or agent, except with the consent of the Company:

(i)
Conduct or engage in, or be interested in or associated with, any person or entity in California, Colorado, Nevada, Rhode Island,
Washington and Oregon;

 

(ii)
Solicit, attempt to solicit, or accept business from, or cause to be solicited or have business accepted from, any then-current
customers of Company, any persons or entities who were customers of the Company within the 180 days preceding the Termination
Date, or any prospective customers of the Company for whom bids were being prepared or had been submitted as of the Termination
Date; or

 

    	 

    	 

    

 

(iii)
Induce, or attempt to induce, hire or attempt to hire, or cause to be induced or hired, any employee of the Company, or persons
who were employees of the Company within the 180 days preceding the Termination Date, to leave or terminate his or her employment
with the Company, or hire or engage as an independent contractor any such employee of the Company.

 

(b)
Notwithstanding the foregoing, Executive shall not be prevented from (i) investing in or owning up to five percent (5%) of the
outstanding stock of any corporation engaged in any business provided that such shares are regularly traded on a national securities
exchange or in any over-the-counter market or (ii) retaining any shares of stock in any corporation which Executive owned before
the date of his employment with the Company.

 

6.02
Confidential Information. Executive acknowledges that in his employment he is or will be making use of, acquiring, or adding
to the Company’s confidential information which includes, but is not limited to, memoranda and other materials or records
of a proprietary nature; technical information regarding the operations of the Company; and records and policy matters relating
to finance, personnel, market research, strategic planning, current and potential customers, lease arrangements, service contracts,
management, and operations. Therefore, to protect the Company’s confidential information and to protect other employees
who depend on the Company for regular employment, Executive agrees that he will not in any way use any of said confidential information
except in connection with his employment by the Company, and except in connection with the business of the Company he will not
copy, reproduce, or take with him the original or any copies of said confidential information and will not directly or indirectly
divulge any of said confidential information to anyone without the prior written consent of the Company.

 

6.03
Inventions. All discoveries, designs, improvements, ideas, and inventions, whether patentable or not, relating to (or suggested
by or resulting from) products, services, or other technology of the Company or any Affiliate or relating to (or suggested by
or resulting from) methods or processes used or usable in connection with the business of the Company or any Affiliate that may
be conceived, developed, or made by Executive during employment with the Company (hereinafter “Inventions”), either
solely or jointly with others, shall automatically become the sole property of the Company or an Affiliate. Executive shall immediately
disclose to the Company all such Inventions and shall, without

 

    	 

    	 

    

 

additional
compensation, execute all assignments and other documents deemed necessary to perfect the property rights of the Company or any
Affiliate therein. These obligations shall continue beyond the termination of Executive’s employment with respect to Inventions
conceived, developed, or made by Executive during employment with the Company. The provisions of this Section 6 shall not apply
to any Invention for which no equipment, supplies, facility, or trade secret information of the Company or any Affiliate is used
by Executive and which is developed entirely on Executive’s own time, unless (a) such Invention relates (i) to the business
of the Company or an Affiliate or (ii) to the actual or demonstrably anticipated research or development of the Company or an
Affiliate, or (b) such Invention results from work performed by Executive for the Company.

 

6.04
Non-Disparagement. For a period commencing on the date hereof and continuing for a period of one year, Executive hereby
covenants and agrees that he shall not, directly or indirectly, defame, disparage, create false impressions, or otherwise put
in a false or bad light the Company, its products or services, its business, reputation, conduct, practices, past or present employees,
financial condition or otherwise.

 

6.05
Blue Penciling If at the time of enforcement of any provision of this Agreement, a court shall hold that the duration,
scope, or area restriction of any provision hereof is unreasonable under circumstances now or then existing, the parties hereto
agree that the maximum duration, scope or area reasonable under the circumstances shall be substituted by the court for the stated
duration, scope, or area.

 

6.06
Remedies. Executive acknowledges that any breach by him of the provisions of this Article VI of this Agreement shall cause
irreparable harm to the Company and that a remedy at law for any breach or attempted breach of Article VI of this Agreement will
be inadequate, and agrees that, notwithstanding section 9.01 hereof, the Company shall be entitled to exercise all remedies available
to it, including specific performance and injunctive and other equitable relief, without the necessity of posting any bond, in
the case of any such breach or attempted breach.

 

ARTICLE
VII

Assignment

 

7.01
This Agreement shall be binding upon and inure to the benefit of the successors and assigns of the Company and shall relieve the
Company of its obligations hereunder if the assignment is pursuant to a Change in Control. Neither this Agreement nor any rights
hereunder shall be assignable by Executive and any such purported assignment by him shall be void.

 

    	 

    	 

    

 

ARTICLE
VIII

Entire
Agreement

 

This
Agreement constitutes the entire understanding between the Company and Executive concerning his employment by the Company or subsidiaries
and supersedes any and all previous agreements between Executive and the Company or any of its affiliates or subsidiaries concerning
such employment, and/or any compensation, bonuses or incentives. Each party hereto shall pay its own costs and expenses (including
legal fees) except as otherwise expressly provided herein incurred in connection with the preparation, negotiation, and execution
of this Agreement. This Agreement may not be changed orally, but only in a written instrument signed by both parties hereto.

 

ARTICLE
IX

Applicable
Law; Miscellaneous

 

9.01
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New York.
All actions brought to interpret or enforce this Agreement shall be brought in federal or state courts located in Rockland County,
New York.

 

9.02
Attorneys’ Fees. In addition to all other rights and benefits under this Agreement, each party agrees to reimburse
the other for, and indemnify and hold harmless such party against, all costs and expenses (including reasonable attorney’s
fees) incurred by such party (whether or not during the term of this Agreement or otherwise), if and to the extent that such party
prevails on or is otherwise successful on the merits with respect to any action, claim or dispute relating in any manner to this
Agreement or to any termination of this Agreement or in seeking to obtain or enforce any right or benefit provided by or claimed
under this Agreement, taking into account the relative fault of each of the parties and any other relevant considerations.

 

9.03
Indemnification of Executive. The Company shall indemnify and hold harmless Executive to the full extent authorized or
permitted by law with respect to any claim, liability, action, or proceeding instituted or threatened against or incurred by Executive
or his legal representatives and arising in connection with Executive’s conduct or position at any time as a director, officer,
employee, or agent of the Company or any subsidiary thereof. The Company shall not change, modify, alter, or in any way limit
the existing indemnification and reimbursement provisions relating to and for the benefit of its directors and officers without
the prior written consent of the Executive, including any modification or limitation of any directors and officers liability insurance
policy.

 

    	 

    	 

    

 

9.04
Waiver. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any
condition or provision of this Agreement to be performed by such other party shall be deemed a continuing waiver or a waiver of
any similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. No agreements or representations,
oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party hereto which are
not set forth expressly in this Agreement.

 

9.05
Unenforceability. The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect
the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect.

 

9.06
Counterparts. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original and
all of which together shall constitute one and the same instrument.

 

9.07
Section Headings. The section headings contained in this Agreement are inserted for reference purposes only and shall not
affect the meaning or interpretation of this Agreement.

 

[THE
BALANCE OF THIS PAGE INTENTIONALLY LEFT BLANK.]

 

    	 

    	 

    

 

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

 

	OSL
    Holdings, Inc.	
	 	 	
	By:	/s/ Robert
    Rothenberg	
	Its:	Chief Executive
    Officer	

 

	Executive	/s/ Steve GormleyEX 10-1 Amended and Restated 2011 Equity Incentive Plan 20140416

EXHIBIT 10.1

2011 EQUITY INCENTIVE PLAN
As Amended and Restated April 16, 2014

1.    Purpose of the Plan.
This 2011 Equity Incentive Plan (the “Plan”) is intended as an incentive, to retain in the employ of and as directors, officers, consultants, advisors and employees to Izea, Inc., a Nevada corporation (the “Company”), and any Subsidiary of the Company, within the meaning of Section 424(f) of the United States Internal Revenue Code of 1986, as amended (the “Code”), persons of training, experience and ability, to attract new directors, officers, consultants, advisors and employees whose services are considered valuable, to encourage the sense of proprietorship and to stimulate the active interest of such persons in the development and financial success of the Company and its Subsidiaries.
It is further intended that certain options granted pursuant to the Plan shall constitute incentive stock options within the meaning of Section 422 of the Code (the “Incentive Options”) while certain other options granted pursuant to the Plan shall be nonqualified stock options (the “Nonqualified Options”).  Incentive Options and Nonqualified Options are hereinafter referred to collectively as “Options.”
The Company intends that the Plan meet the requirements of Rule 16b-3 (“Rule 16b-3”) promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and that transactions of the type specified in subparagraphs (c) to (f) inclusive of Rule 16b-3 by officers and directors of the Company pursuant to the Plan will be exempt from the operation of Section 16(b) of the Exchange Act.  Further, the Plan is intended to satisfy the performance-based compensation exception to the limitation on the Company’s tax deductions imposed by Section 162(m) of the Code with respect to those Options for which qualification for such exception is intended.  In all cases, the terms, provisions, conditions and limitations of the Plan shall be construed and interpreted consistent with the Company’s intent as stated in this Section 1.
2.    Administration of the Plan.
The Board of Directors of the Company (the “Board”) shall appoint and maintain as administrator of the Plan a Committee (the “Committee”) consisting of two or more directors who are (i) “Independent Directors” (as such term is defined under the rules of the NASDAQ Stock Market), (ii) “Non-Employee Directors” (as such term is defined in Rule 16b-3) and (iii) “Outside Directors” (as such term is defined in Section 162(m) of the Code), which shall serve at the pleasure of the Board.  The Committee, subject to Sections 3, 5 and 6 hereof, shall have full power and authority to designate recipients of Options and restricted stock (“Restricted Stock”) and to determine the terms and conditions of the respective Option and Restricted Stock agreements (which need not be identical) and to interpret the provisions and supervise the administration of the Plan.  The Committee shall have the authority, without limitation, to designate which Options granted under the Plan shall be Incentive Options and which shall be Nonqualified Options.  To the extent any Option does not qualify as an Incentive Option, it shall constitute a separate Nonqualified Option.
Subject to the provisions of the Plan, the Committee shall interpret the Plan and all Options and Restricted Stock granted under the Plan, shall make such rules as it deems necessary for the proper administration of the Plan, shall make all other determinations necessary or advisable for the administration of the Plan and shall correct any defects or supply any omission or reconcile any inconsistency in the Plan or in any Options or Restricted Stock granted under the Plan in the manner and to the extent that the Committee deems desirable to carry into effect the Plan or any Options or Restricted Stock.  The act or determination of a majority of the Committee shall be the act or determination of the Committee and any decision reduced to writing and signed by all of the members of the Committee shall be fully effective as if it had been made by a majority of the Committee at a meeting duly held for such purpose.  Subject to the provisions of the Plan, any action taken or determination made by the Committee pursuant to this and the other Sections of the Plan shall be conclusive on all parties.
In the event that for any reason the Committee is unable to act or if the Committee at the time of any grant, award or other acquisition under the Plan does not consist of two or more Non-Employee Directors, or if there shall be no such Committee, or if the Board otherwise determines to administer the Plan, then the Plan shall be 

1

administered by the Board, and references herein to the Committee (except in the proviso to this sentence) shall be deemed to be references to the Board, and any such grant, award or other acquisition may be approved or ratified in any other manner contemplated by subparagraph (d) of Rule 16b-3; provided, however, that grants to the Company’s Chief Executive Officer or to any of the Company’s other four most highly compensated officers that are intended to qualify as performance-based compensation under Section 162(m) of the Code may only be granted by the Committee.  
3.    Designation of Optionees and Grantees.
The persons eligible for participation in the Plan as recipients of Options (the “Optionees”) or Restricted Stock (the “Grantees” and together with Optionees, the “Participants”) shall include directors, officers and employees of, and consultants and advisors to, the Company or any Subsidiary; provided that Incentive Options may only be granted to employees of the Company and any Subsidiary. In selecting Participants, and in determining the number of shares to be covered by each Option or award of Restricted Stock granted to Participants, the Committee may consider any factors it deems relevant, including, without limitation, the office or position held by the Participant or the Participant’s relationship to the Company, the Participant’s degree of responsibility for and contribution to the growth and success of the Company or any Subsidiary, the Participant’s length of service, promotions and potential. A Participant who has been granted an Option or Restricted Stock hereunder may be granted an additional Option or Options, or Restricted Stock if the Committee shall so determine.
4.    Stock Reserved for the Plan.
Subject to adjustment as provided in Section 8 hereof, a total of 20,000,000 shares of the Company’s common stock, par value $0.0001 per share (the “Stock”), shall be subject to the Plan.  The shares of Stock subject to the Plan shall consist of unissued shares, treasury shares or previously issued shares held by any Subsidiary of the Company, and such number of shares of Stock shall be and is hereby reserved for such purpose.  Any of such shares of Stock that may remain unissued and that are not subject to outstanding Options at the termination of the Plan shall cease to be reserved for the purposes of the Plan, but until termination of the Plan the Company shall at all times reserve a sufficient number of shares of Stock to meet the requirements of the Plan.  Should any Option or award of Restricted Stock expire or be canceled prior to its exercise or vesting in full or should the number of shares of Stock to be delivered upon the exercise or vesting in full of an Option or award of Restricted Stock be reduced for any reason, the shares of Stock theretofore subject to such Option or Restricted Stock may be subject to future Options or Restricted Stock under the Plan, except where such reissuance is inconsistent with the provisions of Section 162(m) of the Code where qualification as performance-based compensation under Section 162(m) of the Code is intended.
5.    Terms and Conditions of Options.
Options granted under the Plan shall be subject to the following conditions and shall contain such additional terms and conditions, not inconsistent with the terms of the Plan, as the Committee shall deem desirable:
(a)    Option Price.  The purchase price of each share of Stock purchasable under an Incentive Option shall be determined by the Committee at the time of grant, but shall not be less than 100% of the Fair Market Value (as defined below) of such share of Stock on the date the Option is granted; provided, however, that with respect to an Optionee who, at the time such Incentive Option is granted, owns (within the meaning of Section 424(d) of the Code) more than 10% of the total combined voting power of all classes of stock of the Company or of any Subsidiary, the purchase price per share of Stock shall be at least 110% of the Fair Market Value per share of Stock on the date of grant.  The purchase price of each share of Stock purchasable under a Nonqualified Option shall not be less than 100% of the Fair Market Value of such share of Stock on the date the Option is granted.  The exercise price for each Option shall be subject to adjustment as provided in Section 8 below.  “Fair Market Value” means the closing price per share of the Common Stock on the grant date or, if not available, the final trading day immediately prior to the grant date on the principal securities exchange on which shares of Stock are listed (if the shares of Stock are so listed), or on the NASDAQ Stock Market or OTC Bulletin Board (if the shares of Stock are regularly quoted on the NASDAQ Stock Market or OTC Bulletin Board, as the case may be), or, if not so listed, the mean between the closing bid and asked prices of publicly traded shares of Stock in the over the counter market, or, if such bid and asked prices shall not be available, as reported by any nationally recognized quotation service selected by the Company, or as determined by the Committee in a manner consistent with the provisions of the Code.  Anything in this Section 5(a) to the contrary 

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notwithstanding, in no event shall the purchase price of a share of Stock be less than the minimum price permitted under the rules and policies of any national securities exchange on which the shares of Stock are listed.
(b)    Option Term.  The term of each Option shall be fixed by the Committee, but no Option shall be exercisable more than ten years after the date such Option is granted and in the case of an Incentive Option granted to an Optionee who, at the time such Incentive Option is granted, owns (within the meaning of Section 424(d) of the Code) more than 10% of the total combined voting power of all classes of stock of the Company or of any Subsidiary, no such Incentive Option shall be exercisable more than five years after the date such Incentive Option is granted.
(c)    Exercisability.  Subject to Section 5(j) hereof, Options shall be exercisable at such time or times and subject to such terms and conditions as shall be determined by the Committee at the time of grant; provided, however, that in the absence of any Option vesting periods designated by the Committee at the time of grant, Options shall vest and become exercisable as to 25% of the shares thereunder one year after the date of grant and as to the remaining 75% of such shares thereunder in equal monthly installments over the following 36 months, and provided further that no Options shall be exercisable until such time as any vesting limitation required by Section 16 of the Exchange Act, and related rules, shall be satisfied if such limitation shall be required for continued validity of the exemption provided under Rule 16b-3(d)(3).
Upon the occurrence of a “Change in Control” (as hereinafter defined), the Committee may accelerate the vesting and exercisability of outstanding Options, in whole or in part, as determined by the Committee in its sole discretion.  In its sole discretion, the Committee may also determine that, upon the occurrence of a Change in Control, each outstanding Option shall terminate within a specified number of days after notice to the Optionee thereunder, and each such Optionee shall receive, with respect to each share of Company Stock subject to such Option, an amount equal to the excess of the Fair Market Value of such shares immediately prior to such Change in Control over the exercise price per share of such Option; such amount shall be payable in cash, in one or more kinds of property (including the property, if any, payable in the transaction) or a combination thereof, as the Committee shall determine in its sole discretion.
For purposes of the Plan, unless otherwise defined in an employment agreement between the Company and the relevant Optionee, a Change in Control shall be deemed to have occurred if:
(i)    a tender offer (or series of related offers) shall be made and consummated for the ownership of 50% or more of the outstanding voting securities of the Company, unless as a result of such tender offer more than 50% of the outstanding voting securities of the surviving or resulting corporation shall be owned in the aggregate by the stockholders of the Company (as of the time immediately prior to the commencement of such offer), any employee benefit plan of the Company or its Subsidiaries, and their affiliates;
(ii)    the Company shall be merged or consolidated with another corporation, unless as a result of such merger or consolidation more than 50% of the outstanding voting securities of the surviving or resulting corporation shall be owned in the aggregate by the stockholders of the Company (as of the time immediately prior to such transaction), any employee benefit plan of the Company or its Subsidiaries, and their affiliates;
(iii)    the Company shall sell substantially all of its assets to another corporation that is not wholly owned by the Company, unless as a result of such sale more than 50% of such assets shall be owned in the aggregate by the stockholders of the Company (as of the time immediately prior to such transaction), any employee benefit plan of the Company or its Subsidiaries and their affiliates; or
(iv)    a Person (as defined below) shall acquire 50% or more of the outstanding voting securities of the Company (whether directly, indirectly, beneficially or of record), unless as a result of such acquisition more than 50% of the outstanding voting securities of the surviving or resulting corporation shall be owned in the aggregate by the stockholders of the Company (as of the time immediately prior to the first acquisition of such securities by such Person), any employee benefit plan of the Company or its Subsidiaries, and their affiliates.

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Notwithstanding the foregoing, if Change of Control is defined in an employment agreement between the Company and the relevant Optionee, then, with respect to such Optionee, Change of Control shall have the meaning ascribed to it in such employment agreement.
For purposes of this Section 5(c), ownership of voting securities shall take into account and shall include ownership as determined by applying the provisions of Rule 13d-3(d)(I)(i) (as in effect on the date hereof) under the Exchange Act.  In addition, for such purposes, “Person” shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof; provided, however, that a Person shall not include (A) the Company or any of its Subsidiaries; (B) a trustee or other fiduciary holding securities under an employee benefit plan of the Company or any of its Subsidiaries; (C) an underwriter temporarily holding securities pursuant to an offering of such securities; or (D) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportion as their ownership of stock of the Company.
(d)    Method of Exercise.  Options to the extent then exercisable may be exercised in whole or in part at any time during the option period, by giving written notice to the Company specifying the number of shares of Stock to be purchased, accompanied by payment in full of the purchase price, in cash, or by check or such other instrument as may be acceptable to the Committee.  As determined by the Committee, in its sole discretion, at or after grant, payment in full or in part may be made at the election of the Optionee (i) in the form of Stock owned by the Optionee (based on the Fair Market Value of the Stock which is not the subject of any pledge or security interest, (ii) in the form of shares of Stock withheld by the Company from the shares of Stock otherwise to be received with such withheld shares of Stock having a Fair Market Value equal to the exercise price of the Option, or (iii) by a combination of the foregoing, such Fair Market Value determined by applying the principles set forth in Section 5(a), provided that the combined value of all cash and cash equivalents and the Fair Market Value of any shares surrendered to the Company is at least equal to such exercise price and except with respect to (ii) above, such method of payment will not cause a disqualifying disposition of all or a portion of the Stock received upon exercise of an Incentive Option.  An Optionee shall have the right to dividends and other rights of a stockholder with respect to shares of Stock purchased upon exercise of an Option at such time as the Optionee (i) has given written notice of exercise and has paid in full for such shares, and (ii) has satisfied such conditions that may be imposed by the Company with respect to the withholding of taxes.
(e)    Non‐transferability of Options.  Options are not transferable and may be exercised solely by the Optionee during his lifetime or after his death by the person or persons entitled thereto under his will or the laws of descent and distribution.  The Committee, in its sole discretion, may permit a transfer of a Nonqualified Option to (i) a trust for the benefit of the Optionee, (ii) a member of the Optionee’s immediate family (or a trust for his or her benefit) or (iii) pursuant to a domestic relations order.  Any attempt to transfer, assign, pledge or otherwise dispose of, or to subject to execution, attachment or similar process, any Option contrary to the provisions hereof shall be void and ineffective and shall give no right to the purported transferee.
(f)    Termination by Death.  Unless otherwise determined by the Committee, if any Optionee’s employment with or service to the Company or any Subsidiary terminates by reason of death, the Option may thereafter be exercised, to the extent then exercisable (or on such accelerated basis as the Committee shall determine at or after grant), by the legal representative of the estate or by the legatee of the Optionee under the will of the Optionee, for a period of one (1) year after the date of such death (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or until the expiration of the stated term of such Option as provided under the Plan, whichever period is shorter.
(g)    Termination by Reason of Disability.  Unless otherwise determined by the Committee, if any Optionee’s employment with or service to the Company or any Subsidiary terminates by reason of Disability (as defined below), then any Option held by such Optionee may thereafter be exercised, to the extent it was exercisable at the time of termination due to Disability (or on such accelerated basis as the Committee shall determine at or after grant), but may not be exercised after one (1) year after the date of such termination of employment or service (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or the expiration of the stated term of such Option, whichever period is shorter; provided, however, that, if the Optionee dies within such ninety (90) day period, any unexercised Option held by such Optionee shall thereafter be exercisable to the extent to which it was exercisable at the time of death for a period of one (1) year after the date of such death (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or for the stated term of such Option, whichever period is shorter.  “Disability” shall mean an Optionee’s total and permanent disability; provided, that if Disability is defined in 

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an employment agreement between the Company and the relevant Optionee, then, with respect to such Optionee, Disability shall have the meaning ascribed to it in such employment agreement
(h)    Termination by Reason of Retirement.  Unless otherwise determined by the Committee, if any Optionee’s employment with or service to the Company or any Subsidiary terminates by reason of Normal or Early Retirement (as such terms are defined below), any Option held by such Optionee may thereafter be exercised to the extent it was exercisable at the time of such Retirement (or on such accelerated basis as the Committee shall determine at or after grant), but may not be exercised after ninety (90) days after the date of such termination of employment or service (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or the expiration of the stated term of such Option, whichever date is earlier; provided, however, that, if the Optionee dies within such ninety (90) day period, any unexercised Option held by such Optionee shall thereafter be exercisable, to the extent to which it was exercisable at the time of death, for a period of one (1) year after the date of such death (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or for the stated term of such Option, whichever period is shorter.
For purposes of this paragraph (h), “Normal Retirement” shall mean retirement from active employment with the Company or any Subsidiary on or after the normal retirement date specified in the applicable Company or Subsidiary pension plan or if no such pension plan, age 65, and “Early Retirement” shall mean retirement from active employment with the Company or any Subsidiary pursuant to the early retirement provisions of the applicable Company or Subsidiary pension plan or if no such pension plan, age 55.
(i)    Other Terminations.  Unless otherwise determined by the Committee upon grant, if any Optionee’s employment with or service to the Company or any Subsidiary is terminated by such Optionee for any reason other than death, Disability, Normal or Early Retirement or Good Reason (as defined below), the Option shall thereupon terminate, except that the portion of any Option that was exercisable on the date of such termination of employment or service may be exercised for the lesser of ninety (90) days after the date of termination (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or the balance of such Option’s term, whichever period is shorter.  The transfer of an Optionee from the employ of or service to the Company to the employ of or service to a Subsidiary, or vice versa, or from one Subsidiary to another, shall not be deemed to constitute a termination of employment or service for purposes of the Plan.
(i)    In the event that the Optionee’s employment or service with the Company or any Subsidiary is terminated by the Company or such Subsidiary for “cause” any unexercised portion of any Option shall immediately terminate in its entirety.  For purposes hereof, unless otherwise defined in an employment agreement between the Company and the relevant Optionee, “Cause” shall exist upon a good-faith determination by the Board, following a hearing before the Board at which an Optionee was represented by counsel and given an opportunity to be heard, that such Optionee has been accused of fraud, dishonesty or act detrimental to the interests of the Company or any Subsidiary of Company or that such Optionee has been accused of or convicted of an act of willful and material embezzlement or fraud against the Company or of a felony under any state or federal statute; provided, however, that it is specifically understood that “Cause” shall not include any act of commission or omission in the good-faith exercise of such Optionee’s business judgment as a director, officer or employee of the Company, as the case may be, or upon the advice of counsel to the Company.  Notwithstanding the foregoing, if Cause is defined in an employment agreement between the Company and the relevant Optionee, then, with respect to such Optionee, Cause shall have the meaning ascribed to it in such employment agreement.
(ii)    In the event that an Optionee is removed as a director, officer or employee by the Company at any time other than for “Cause” or resigns as a director, officer or employee for “Good Reason” the Option granted to such Optionee may be exercised by the Optionee, to the extent the Option was exercisable on the date such Optionee ceases to be a director, officer or employee.  Such Option may be exercised at any time within one (1) year after the date the Optionee ceases to be a director, officer or employee (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof), or the date on which the Option otherwise expires by its terms; which ever period is shorter, at which time the Option shall terminate; provided, however, if the Optionee dies before the Options terminate and are no longer exercisable, the terms and provisions of Section 5(f) shall control.  

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For purposes of this Section 5(i), and unless otherwise defined in an employment agreement between the Company and the relevant Optionee, Good Reason shall exist upon the occurrence of the following:
		
	(A)
	the assignment to Optionee of any duties inconsistent with the position in the Company that Optionee held immediately prior to the assignment;

		
	(B)
	a Change of Control resulting in a significant adverse alteration in the status or conditions of Optionee’s participation with the Company or other nature of Optionee’s responsibilities from those in effect prior to such Change of Control, including any significant alteration in Optionee’s responsibilities immediately prior to such Change in Control; and

		
	(C)
	the failure by the Company to continue to provide Optionee with benefits substantially similar to those enjoyed by Optionee prior to such failure.

Notwithstanding the foregoing, if Good Reason is defined in an employment agreement between the Company and the relevant Optionee, then, with respect to such Optionee, Good Reason shall have the meaning ascribed to it in such employment agreement.
(j)    Limit on Value of Incentive Option.  The aggregate Fair Market Value, determined as of the date the Incentive Option is granted, of Stock for which Incentive Options are exercisable for the first time by any Optionee during any calendar year under the Plan (and/or any other stock option plans of the Company or any Subsidiary) shall not exceed $100,000.
6.    Terms and Conditions of Restricted Stock.
Restricted Stock may be granted under this Plan aside from, or in association with, any other award and shall be subject to the following conditions and shall contain such additional terms and conditions (including provisions relating to the acceleration of vesting of Restricted Stock upon a Change of Control), not inconsistent with the terms of the Plan, as the Committee shall deem desirable:
(a)    Grantee rights.  A Grantee shall have no rights to an award of Restricted Stock unless and until Grantee accepts the award within the period prescribed by the Committee and, if the Committee shall deem desirable, makes payment to the Company in cash, or by check or such other instrument as may be acceptable to the Committee.  After acceptance and issuance of a certificate or certificates, as provided for below, the Grantee shall have the rights of a stockholder with respect to Restricted Stock subject to the non-transferability and forfeiture restrictions described in Section 6(d) below.
(b)    Issuance of Certificates.  The Company shall issue in the Grantee’s name a certificate or certificates for the shares of Common Stock associated with the award promptly after the Grantee accepts such award.
(c)    Delivery of Certificates.  Unless otherwise provided, any certificate or certificates issued evidencing shares of Restricted Stock shall not be delivered to the Grantee until such shares are free of any restrictions specified by the Committee at the time of grant.
(d)    Forfeitability, Non-transferability of Restricted Stock.  Shares of Restricted Stock are forfeitable until the terms of the Restricted Stock grant have been satisfied.  Shares of Restricted Stock are not transferable until the date on which the Committee has specified such restrictions have lapsed.  Unless otherwise provided by the Committee at or after grant, distributions in the form of dividends or otherwise of additional shares or property in respect of shares of Restricted Stock shall be subject to the same restrictions as such shares of Restricted Stock.
(e)    Change of Control.  Upon the occurrence of a Change in Control as defined in Section 5(c), the Committee may accelerate the vesting of outstanding Restricted Stock, in whole or in part, as determined by the Committee, in its sole discretion.

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(f)    Termination of Employment.  Unless otherwise determined by the Committee at or after grant, in the event the Grantee ceases to be an employee or otherwise associated with the Company for any other reason, all shares of Restricted Stock theretofore awarded to him which are still subject to restrictions shall be forfeited and the Company shall have the right to complete the blank stock power.  The Committee may provide (on or after grant) that restrictions or forfeiture conditions relating to shares of Restricted Stock will be waived in whole or in part in the event of termination resulting from specified causes, and the Committee may in other cases waive in whole or in part restrictions or forfeiture conditions relating to Restricted Stock.
7.    Term of Plan.
No Option or award of Restricted Stock shall be granted pursuant to the Plan on or after the date which is ten years from the effective date of the Plan, but Options and awards of Restricted Stock theretofore granted may extend beyond that date.
8.    Capital Change of the Company.
In the event of any merger, reorganization, consolidation, recapitalization, stock dividend, or other change in corporate structure affecting the Stock, the Committee shall make an appropriate and equitable adjustment in the number and kind of shares reserved for issuance under the Plan and in the number and option price of shares subject to outstanding Options granted under the Plan, to the end that after such event each Optionee’s proportionate interest shall be maintained (to the extent possible) as immediately before the occurrence of such event.  The Committee shall, to the extent feasible, make such other adjustments as may be required under the tax laws so that any Incentive Options previously granted shall not be deemed modified within the meaning of Section 424(h) of the Code.  Appropriate adjustments shall also be made in the case of outstanding Restricted Stock granted under the Plan.
The adjustments described above will be made only to the extent consistent with continued qualification of the Option under Section 422 of the Code (in the case of an Incentive Option) and Section 409A of the Code.
9.    Purchase for Investment/Conditions.
Unless the Options and shares covered by the Plan have been registered under the Securities Act of 1933, as amended (the “Securities Act”), or the Company has determined that such registration is unnecessary, each person exercising or receiving Options or Restricted Stock under the Plan may be required by the Company to give a representation in writing that he is acquiring the securities for his own account for investment and not with a view to, or for sale in connection with, the distribution of any part thereof.  The Committee may impose any additional or further restrictions on awards of Options or Restricted Stock as shall be determined by the Committee at the time of award.
10.    Taxes.
(a)    The Company may make such provisions as it may deem appropriate, consistent with applicable law, in connection with any Options or Restricted Stock granted under the Plan with respect to the withholding of any taxes (including income or employment taxes) or any other tax matters.
(b)    If any Grantee, in connection with the acquisition of Restricted Stock, makes the election permitted under Section 83(b) of the Code (that is, an election to include in gross income in the year of transfer the amounts specified in Section 83(b)), such Grantee shall notify the Company of the election with the Internal Revenue Service pursuant to regulations issued under the authority of Code Section 83(b).
(c)    If any Grantee shall make any disposition of shares of Stock issued pursuant to the exercise of an Incentive Option under the circumstances described in Section 421(b) of the Code (relating to certain disqualifying dispositions), such Grantee shall notify the Company of such disposition within ten (10) days hereof.

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11.    Effective Date of Plan.
The Plan shall be effective on May 12, 2011; provided, however, that if, and only if, certain options are intended to qualify as Incentive Stock Options, the Plan must subsequently be approved by majority vote of the Company’s stockholders no later than May 12, 2012, and further, that in the event certain Option grants hereunder are intended to qualify as performance-based compensation within the meaning of Section 162(m) of the Code, the requirements as to stockholder approval set forth in Section 162(m) of the Code are satisfied.
12.    Amendment and Termination.
The Board may amend, suspend, or terminate the Plan, except that no amendment shall be made that would impair the rights of any Participant under any Option or Restricted Stock theretofore granted without the Participant’s consent, and except that no amendment shall be made which, without the approval of the stockholders of the Company would:
(a)    materially increase the number of shares that may be issued under the Plan, except as is provided in Section 8;
(b)    materially increase the benefits accruing to the Participants under the Plan;
(c)    materially modify the requirements as to eligibility for participation in the Plan;
(d)    decrease the exercise price of an Incentive Option to less than 100% of the Fair Market Value per share of Stock on the date of grant thereof or the exercise price of a Nonqualified Option to less than 100% of the Fair Market Value per share of Stock on the date of grant thereof; or
(e)    extend the term of any Option beyond that provided for in Section 5(b).
(f)    except as otherwise provided in Sections 5(d) and 8 hereof, reduce the exercise price of outstanding Options or effect repricing through cancellations and re-grants of new Options.
Subject to the forgoing, the Committee may amend the terms of any Option theretofore granted, prospectively or retrospectively, but no such amendment shall impair the rights of any Optionee without the Optionee’s consent.
It is the intention of the Board that the Plan comply strictly with the provisions of Section 409A of the Code and Treasury Regulations and other Internal Revenue Service guidance promulgated thereunder (the “Section 409A Rules”) and the Committee shall exercise its discretion in granting awards hereunder (and the terms of such awards), accordingly.  The Plan and any grant of an award hereunder may be amended from time to time (without, in the case of an award, the consent of the Participant) as may be necessary or appropriate to comply with the Section 409A Rules.
13.    Government Regulations.
The Plan, and the grant and exercise of Options or Restricted Stock hereunder, and the obligation of the Company to sell and deliver shares under such Options and Restricted Stock shall be subject to all applicable laws, rules and regulations, and to such approvals by any governmental agencies, national securities exchanges and interdealer quotation systems as may be required.
14.    General Provisions.
(a)    Certificates.  All certificates for shares of Stock delivered under the Plan shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the rules, regulations and other requirements of the Securities and Exchange Commission, or other securities commission having jurisdiction, any applicable Federal or state securities law, any stock exchange or interdealer quotation system upon which the Stock 

8

is then listed or traded and the Committee may cause a legend or legends to be placed on any such certificates to make appropriate reference to such restrictions.
(b)    Employment Matters.  Neither the adoption of the Plan nor any grant or award under the Plan shall confer upon any Participant who is an employee of the Company or any Subsidiary any right to continued employment or, in the case of a Participant who is a director, continued service as a director, with the Company or a Subsidiary, as the case may be, nor shall it interfere in any way with the right of the Company or any Subsidiary to terminate the employment of any of its employees, the service of any of its directors or the retention of any of its consultants or advisors at any time.
(c)    Limitation of Liability.  No member of the Committee, or any officer or employee of the Company acting on behalf of the Committee, shall be personally liable for any action, determination or interpretation taken or made in good faith with respect to the Plan, and all members of the Committee and each and any officer or employee of the Company acting on their behalf shall, to the extent permitted by law, be fully indemnified and protected by the Company in respect of any such action, determination or interpretation.
(d)    Registration of Stock.  Notwithstanding any other provision in the Plan, no Option may be exercised unless and until the Stock to be issued upon the exercise thereof has been registered under the Securities Act and applicable state securities laws, or are, in the opinion of counsel to the Company, exempt from such registration in the United States.  The Company shall not be under any obligation to register under applicable federal or state securities laws any Stock to be issued upon the exercise of an Option granted hereunder in order to permit the exercise of an Option and the issuance and sale of the Stock subject to such Option, although the Company may in its sole discretion register such Stock at such time as the Company shall determine.  If the Company chooses to comply with such an exemption from registration, the Stock issued under the Plan may, at the direction of the Committee, bear an appropriate restrictive legend restricting the transfer or pledge of the Stock represented thereby, and the Committee may also give appropriate stop transfer instructions with respect to such Stock to the Company’s transfer agent.
15.    Non-Uniform Determinations.
The Committee’s determinations under the Plan, including, without limitation, (i) the determination of the Participants to receive awards, (ii) the form, amount and timing of such awards, (iii) the terms and provisions of such awards and (ii) the agreements evidencing the same, need not be uniform and may be made by it selectively among Participants who receive, or who are eligible to receive, awards under the Plan, whether or not such Participants are similarly situated.
16.    Governing Law.
The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall be determined in accordance with the internal laws of the State of Nevada, without giving effect to principles of conflicts of laws, and applicable federal law.

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