Document:

exh10-3_082208.htm

    Exhibit
10.3

    
 

    SECURITY
AGREEMENT

    

    This Security Agreement (this “Agreement”) is made
as of this 22nd day of August, 2008, by United eSystems, Inc., a Nevada
corporation, (the “Debtor”), for the
benefit of Robert J. Sorrentino, an individual residing in the State of Florida
(the “Secured
Party”).

    

    WHEREAS,
this Agreement is entered into in connection with the issuance of a certain
Non-Interest Bearing Promissory Note made by the Debtor in favor of the Secured
Party dated August 22, 2008 (the “Note”) in which the
Debtor promises to pay to the Secured Party such sums as may be advanced from
time to time to the Debtor by the Secured Party and pursuant to the Note,
provided that the principal amount under the Note shall not exceed Five Hundred
Thousand Dollars and No Cents.

    

    NOW, THEREFORE, in consideration of the
premises, covenants and agreements set forth below, and the mutual benefits to
be derived from this Agreement, and other good and valuable consideration, the
parties hereto agree as follows:

    

    1.           Definitions.  As
used in this Agreement, the following terms shall have the following
meanings:

    

    “Collateral” has the
meaning set forth in Section 2.

    

    “Event of Default” has
the meaning set forth in Section 7.

    

    “Financing Statement”
has the meaning set forth in Section 3.

    

    

    “Obligations” means
all indebtedness, liabilities and other obligations of the Debtor to the Secured
Party, whether under or in connection with this Agreement, the Note, the
Intercreditor Agreement, or any other documents or instruments related to this
Agreement, the Note and the Intercreditor Agreement, including, without
limitation, all unpaid principal of the Note, all interest (if any) that may
accrue thereon, all fees and all other amounts payable by the Debtor to the
Secured Party thereunder or in connection therewith.

    

    “Subsequent Financing”
has the meaning set forth in Section 4.

    

    “Subsequent
Indebtedness” has the meaning set forth in Section 4.

    

    “Subsequent Lender”
has the meaning set forth in Section 4.

    

    “UCC” means the
Uniform Commercial Code as the same may, from time to time, be in effect in the
State of Mississippi; provided, however, in the event that, by reason of
mandatory provisions of law, any or all of the attachment, perfection or
priority of the security interest in any Collateral is governed by the Uniform
Commercial Code as

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    in
effect in a jurisdiction other than the State of Mississippi, the term “UCC”
shall mean the Uniform Commercial Code as in effect from time to time in such
other jurisdiction for purposes of the provisions hereof relating to such
attachment, perfection or priority and for purposes of definitions related to
such provisions.

    

    2.           Security
Interest.  As security for the payment and performance of the
Obligations, the Debtor hereby pledges, assigns, transfers, hypothecates and
sets over to the Secured Party, and hereby grants to the Secured Party a
security interest in, all of the Debtor’s right, title and interest in, to and
under the following property, wherever located and whether now existing or owned
or hereafter acquired or arising (collectively, the “Collateral”):  all
accounts, accounts receivable, contract rights, rights to payment, chattel
paper, electronic chattel paper, commercial tort claims, letter of credit rights
and proceeds of letters of credit, documents, securities, money and instruments,
and investment property, whether held directly or through a securities
intermediary, and other obligations of any kind owed to the Debtor; all deposit
accounts, and all funds and amounts therein; all inventory; all equipment; all
general intangibles and other personal property of the Debtor; and all proceeds,
including insurance proceeds, and supporting obligations of any and all of the
foregoing.  This Agreement shall create a continuing security interest
in the Collateral that shall remain in effect until terminated in accordance
with this Agreement.

    

    3.           Financing
Statement.  The Debtor will execute one or more financing
statements pursuant to the UCC (and any extensions or modifications thereof)
(each a “Financing
Statement”) and any assignments in form satisfactory to the Secured
Party, and the Debtor hereby appoints the Secured Party its attorney-in-fact to
execute any financing statements and continuation statements, and to do, at the
Secured Party’s option and at the Debtor’s expense, all acts and things that the
Secured Party may deem necessary to perfect and continue perfected the security
interest created by this Agreement.

    

    4.           Subject to Additional
Financing Agreement.  The Secured Party agrees and understands
that the Debtor anticipates obtaining, from Thermo Credit, LLC (collectively,
the “Subsequent
Lender”), additional financing in an amount not to exceed $3,000,000 (the
“Subsequent
Financing”), the proceeds from which will primarily be utilized to
purchase certain assets from NetCom Data Corp of N.Y. and American Timeshare
Associates, Inc.  In connection with the Subsequent Financing, the
Debtor anticipates issuing a promissory note that is secured by a security
interest in the Collateral.  The Secured Party further agrees and
understands that, in the event of such Subsequent Financing, the security
interest in the Collateral granted herein shall, , be subordinated to or placed
in equal priority with the security interest in the Collateral that will be
granted to the Subsequent Lender in connection with the Subsequent
Financing.

    

    5.           Representations and
Warranties.  The Debtor represents and warrants to the Secured
Party that:

    

    (a)           The
Debtor has rights in or the power to transfer the Collateral and its title to
the Collateral is free of all adverse claims, liens, security interests and
restrictions on transfer or pledge except as created by this
Agreement.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    (b)           The
Debtor’s principal place of business is located at 15431 O’Neal Rd., Gulfport,
MS 39503.

    

    6.           Covenants.  So
long as any of the Obligations remain unsatisfied, the Debtor agrees
that:

    

    (a)           The
Debtor shall do and perform all reasonable acts that may be necessary and
appropriate to maintain, preserve and protect the Collateral.

     

    (b)           The
Debtor shall comply in all material respects with all laws, regulations and
ordinances, and all policies of insurance, relating in a material way to the
possession, operation, maintenance and control of the Collateral.

     

    (c)           The
Debtor shall give prompt written notice to the Secured Party of: (i) any
change in the location of the Debtor’s principal place of business;
(ii) any change in its name; (iii) any changes in its identity or
structure in any manner which might make any financing statement filed hereunder
incorrect or misleading; and (iv) any change in its jurisdiction of
organization; provided that the
Debtor shall not locate any of the Collateral outside of the United States nor
shall Debtor change its jurisdiction of organization to a jurisdiction outside
the United States.

    

    (d)           The
Debtor shall not surrender or lose possession of (other than to Secured Party or
to the Subsequent Lender), sell, lease, rent, or otherwise dispose of or
transfer any of the Collateral or any right or interest therein, except in the
ordinary course of business.

    

    (e)           The
Debtor shall carry and maintain in full force and effect, at its own expense and
with financially sound and reputable insurance companies, insurance with respect
to the Collateral in such amounts, with such deductibles and covering such risks
as is customarily carried by companies engaged in the same or similar businesses
and owning similar properties in the localities where the Debtor
operates.

    

    7.           Events of
Default.  Any of the following events which shall occur and be
continuing shall constitute an “Event of
Default”:

    

    (a)           The
failure of the Debtor to pay any payment hereunder on the due date for such
payment, which failure shall continue for five days after written notice from
the Secured Party of such failure to pay, provided, however, that the Debtor
shall not be entitled to receive more than two such notices and cure periods
during any twelve month period;

    

    (b)           The
failure of the Debtor to timely perform or observe any non-monetary term,
covenant, condition or obligation contained in the Note, if such failure remains
uncured upon expiration of ten days after written notice thereof is given by the
Secured Party to the Debtor;

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    (c)           The
appointment of a receiver for the property of the Debtor, the assignment for the
benefit of creditors by the Debtor, or the commencement of any proceedings under
any bankruptcy or insolvency laws by or against the Debtor;

    

    (d)           Any
representation or warranty by the Debtor under or in connection with this
Agreement, the Note or any other document shall prove to have been incorrect in
any material respect when made or deemed made; or

    

    (e)           The
failure of the Debtor to perform or observe any other term, covenant or
agreement contained in this Agreement on its part to be performed or observed
and any such failure shall remain unremedied for a period of 30 days from the
occurrence thereof (unless the Secured Party reasonably determines that such
failure is not capable of remedy).

    

    8.           Remedies; Power of
Attorney. Upon any Event of Default, the Secured Party shall have the
right to pursue any of the following remedies separately, successively or
simultaneously.

    

    (a)           In
such event, the Secured Party may pursue any remedy available at law (including
those available under the provisions of the UCC), or in equity to collect,
enforce or satisfy any Obligations then owing, whether by acceleration or
otherwise.

    

    (b)           In
such event, the Secured Party may file suit and obtain judgment and, in
conjunction with any action, the Secured Party may seek any ancillary remedies
provided by law, including levy of attachment and garnishment.

    

    (c)           In
such event, the Secured Party may take possession of any the Collateral if not
already in its possession without demand and without legal
process.  Upon the Secured Party’s demand, the Debtor will assemble
and make the Collateral available to the Secured Party as they direct, and the
Debtor grants to the Secured Party the right, for this purpose, to peaceably
enter into or on any premises where Collateral may be located.

    

    (d)           In
such event, without taking possession, the Secured Party may sell, lease or
otherwise dispose of the Collateral at public or private sale in accordance with
the UCC.

    

    9.           Proceeds from Sales.,
The cash proceeds actually received from the sale or other disposition or
collection of the Collateral, and any other amounts received in respect of the
Collateral the application of which is not otherwise provided for herein, shall
be applied to the payment of the Obligations.  Any surplus thereof
that exists after payment and performance in full of the Obligations shall be
promptly paid over to the Debtor or otherwise disposed of in accordance with the
UCC or other applicable law.  The Debtor shall remain liable to the
Secured Party for any deficiency which exists after any sale or other
disposition or collection of the Collateral.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    10.           No Waiver. No delay
or omission by the Secured Party to exercise any right or remedy accruing upon
any Event of Default shall: (a) impair any right or remedy; (b) waive any
default or operate as acquiescence to the Event of Default; or (c) affect any
subsequent default of the same or of a different nature.

    

    11.           Termination. Upon
payment and performance in full of all Obligations, the security interests
created by this Agreement shall terminate and the Secured Party shall promptly
execute and deliver to the Debtor such documents and instruments reasonably
requested by the Debtor as shall be necessary to evidence termination of all
such security interests given by the Debtor to the Secured Party
hereunder.

     

    12.           Notices.  The
Secured Party shall give the Debtor such notice of any private or public sale as
may be required by the UCC. All notices or other communications hereunder shall
be in writing (including by facsimile or transmission) and mailed, sent or
delivered to the respective parties hereto at or to their respective addresses
or facsimile numbers set forth below, or at or to such other address or
facsimile number as shall be designated by any party in a written notice to the
other parties hereto.  All such notices and other communications shall
be effective (i) if delivered by hand, when delivered; (ii) if sent by
mail, upon the earlier of the date of receipt or five business days after
deposit in the mail, first class; and (iii) if sent by facsimile
transmission, when sent.

     

    IF TO
DEBTOR:                    United
eSystems, Inc.

                                                   15431
O’Neal Rd.,

                                                   Gulfport,
Mississippi 39503

                                                  
Fax: 800-554-2074

    

    IF TO SECURED
PARTY:     Robert J. Sorrentino

                                                              
3811 Hollow Crossing Drive

                                                              
Orlando, Florida 32817

                                                               Fax:
609-387-8850

    

    13.           Severability.  Should
any provision of this Agreement be found to be void, invalid or unenforceable by
a court or panel of arbitrators of competent jurisdiction, that finding shall
only affect the provisions found to be void, invalid or unenforceable and shall
not affect the remaining provisions of this Agreement

     

    14.           Entire Agreement;
Amendment.  This Agreement contains the entire agreement of the
parties with respect to the subject matter hereof and shall not be amended
except by the written agreement of the parties.

     

    15.           Governing Law. This
Agreement shall be governed by, and construed in accordance with, the law of the
State of Mississippi, except as required by mandatory provisions of law and to
the extent the validity or perfection of the security interests hereunder, or
the remedies hereunder, in respect of any Collateral are governed by the law of
a jurisdiction other than Mississippi.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    16.           Counterparts.  This
Agreement may be executed in any number of counterparts and by different parties
hereto in separate counterparts, each of which when so executed shall be deemed
to be an original and all of which taken together shall constitute but one and
the same agreement.

     

    

    

    [Signatures
on the next page.]

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

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

     

     

    

     

    DEBTOR:

    United
eSystems, Inc.

     

     

    

    

    By:
/s/ Walter R. Green, Jr.    

    Walter R. Green, Jr.

    Secretary and Treasurer

    

    

    

    SECURED
PARTY:

    

    

    

    /s/ Robert J. Sorrentino      

    Robert
J. Sorrentinowellentech_8k-ex1001.htm

     

    Exhibit
10.1

    

    IMPLEX
CORPORATION

    

    2008
EMPLOYEES COMPENSATION AND STOCK OPTION PLAN

    

    THIS EMPLOYEES COMPENSATION AND STOCK
OPTION PLAN,adopted by the Board of Directors of Implex Corporation (the
“Company”) this  25th day of
August, 2008,

    

    WITNESSETH
THAT:

    

    WHEREAS, the Company needs to conserve
its cash and working capital and it is desirable to have a plan which will
permit the Company to (a) compensate employees with shares of the Company’s
Common Stock in lieu of cash, and (b) incentivize and compensate employees with
stock options;

    

    WHEREAS, the Company desires to give
its Board of Directors the flexibility to compensate employees with either
shares of the Company’s Common Stock or with stock options (Common Stock
Purchase Options);

    

    WHEREAS, the Company desires to provide
employees with stock options in order to form a relationship with the option
grantees and tie their compensation to the Company and its business and its
profitability;

    

    NOW,
THEREFORE, in order to carry out the foregoing purposes, the Board of Directors
of the Company hereby adopts this Employees Compensation and Stock Option Plan,
as follows:

    

    ARTICLE
I

    THE
PLAN

    

    1.  General.  This
Plan encompasses the grant, by the Company’s Board of Directors, of either (A)
shares of the Company’s Common Stock, or (B) options for the purchase of shares
of the Company’s Common Stock.  As such, this Plan includes a Stock
Option Plan as set forth in Article II and a Common Stock Compensation Plan, as
set forth in Article III.  In each case, the Board of Directors shall
determine, in its discretion, whether to issue shares of Common Stock or to
issue Common Stock Purchase Options, or a combination thereof.  If the
Board of Directors shall determine to issue shares of Common Stock, it shall do
so within the terms and conditions of Part II.  If the Board of
Directors shall determine to issue Common Stock Purchase Options, it shall do so
within the terms and conditions of Part III.  Finally, in the event of
a combination of compensation, the Board of Directors shall apply the applicable
portion of each Part.

    

    2.  Total
Number of Shares under Plan.  The total number of shares
issuable, either directly or upon the exercise of options granted pursuant to
this Plan, shall be limited to Two Million Five Hundred Thousand
(2,500,000).

    

    
      
         

      

      
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    3.  Term
of Plan.  The term of this Plan shall commence upon the date
adopted by the Board of Directors of the Company and shall end on that day five
(5) years from the commencement date.  Termination of the Plan shall
not, however, terminate Common Stock Purchase Options granted under Part II,
provided nevertheless that all such options shall terminate on the earlier of
(A) that day five (5) years from the date of grant or (B) that day ten (10)
years from the commencement date.

    

    4. Amendment of the Plan. The
Board of Directors of the Company may from time to time alter, amend, suspend or
discontinue this Plan, or any part hereof, and make rules for its
administration, except that the Board of Directors shall not amend the Plan in
any manner which would have the effect of preventing options issued under the
Plan from being "incentive stock options" as defined in Section 422A of the
Internal Revenue Code of 1986.

    

    5. Grants of Shares and/or Options
discretionary.  The granting of shares of Common Stock or
Common Stock Purchase Options under this Plan shall be entirely discretionary
with the Company’s Board of Directors (or any committee appointed by the Board
of Directors as provided in this Plan and nothing in this Plan shall be deemed
to give any employee any right to participate in this Plan or to receive shares
or options.

    

    

    PART
II

    COMMON
STOCK PURCHASE OPTIONS

    

    1.  Purpose.  The
purpose of this Part II of this Plan is to secure for the Company and its
stockholders the benefits which flow from providing corporate officers,
executives, and managerial employees ("key employees") with the incentive
inherent in common stock ownership.  It is generally recognized that
stock option plans aid in retaining competent executives and employees and
furnish a device to attract executives and employess of exceptional ability to
the Company because of the opportunity offered to acquire a proprietary interest
in the business.

    

    2. Amount of
stock.  The total number of shares of Common Stock to be
subject to options granted pursuant to this Plan on and after the commencement
date of the Plan shall not exceed 2,500,000 shares of the Company's Common
Stock.  This total number of shares shall be reduced, from time to
time, upon the issuance of shares of Common Stock under Part III of this Plan or
upon the reservation of shares for issuance upon the exercise of options granted
under this Part II of this Plan.  This total number of shares shall
also be subject to appropriate increase or decrease in the event of a stock
dividend upon, or a subdivision, split-up, combination or reclassification of,
the shares purchasable under such options.  In the event that options
granted under this Plan shall lapse without being exercised in whole or in part,
other options may be granted covering the shares not purchased under such lapsed
options or the shares may be issued in grants under Part III.

    

    
      
         

      

      
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    3.  Stock Option
Committee.  The Board of Directors may, from time to time,
appoint a Stock Option Committee (hereinafter called the "Committee"), to serve
under this Plan.  The Committee shall consist of three or more
directors.  In the absence of such a committee, the entire Board of
Directors shall serve as the Stock Option Committee, and all references in this
Plan to the Committee" shall refer to the entire Board of
Directors.

    

    4.  Eligibility and
participation.  Options may be granted pursuant to this Plan to
corporate officers, executives, and managerial employees of the Company and any
subsidiaries which may exist from time to time (hereinafter called
"employees").  From time to time the Committee shall select the
employees to whom options may be granted by the Board of Directors and shall
determine the number of shares to be covered by each option so
granted.  Future as well as present employees (including officers,
executives, and managerial employees who are directors) shall be eligible to
participate in the Plan.  Directors who are not officers, executives,
or managerial employees of the Company or a subsidiary are not eligible to
participate in the Plan.  No option may be granted under the Plan
after that day which is five (5) years from the commencement date.  No
individual or entity shall be granted options having a value of more than
$100,000 under this Plan in any one fiscal year.

    

    5.  Option
agreement.  The terms and provisions of options granted
pursuant to the Plan shall be set forth in an agreement, herein called Option
Agreement, between the Company and the employee receiving the
same.  The Option may be in such form, not inconsistent with the terms
of this Plan, as shall be approved by the Board of Directors.

    

    6.  Price.  The
purchase price per share of Common Stock purchasable under options granted
pursuant to the Plan shall not be less than 100 percent of the fair market value
at the time the options are granted.  The purchase price per share of
Common Stock purchasable under options granted pursuant to this Plan to a person
who owns more than 10 percent of the voting power of the Company's voting stock
shall not be less than 110 percent of the fair market value of such shares, at
the time the options are granted.  For the purposes of the preceding
sentence (a) the employee shall be considered as owning the stock owned directly
or indirectly by or for himself, the stock which the employee may purchase under
outstanding options and the stock owned, directly or indirectly, by or for his
brothers and sisters (whether of the whole or half blood), spouse, ancestors,
and lineal descendants and (b) stock owned directly or indirectly, by or for a
corporation, partnership, estate, or trust shall be considered as being owned
proportionately by or for its shareholders, partners, or
beneficiaries.  For all purposes of this Plan, the fair market value
of the Common Stock of the Company shall be determined in good faith at the time
of the grant of any option by decision of the Stock Option
Committee.  In making such determination, the Stock Option Committee
shall not take into account the effect of any restrictions on the Common Stock
other than restrictions which, by their terms, will never lapse.  The
full purchase price of shares purchased shall be paid upon exercise of the
option.  Under certain circumstances such purchase price per share
shall be subject to adjustment as referred to in Section 10 of this
Plan.

    

    
      
         

      

      
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    7.  Option period.  No
option granted pursuant to this Plan shall be exercisable after (A) the
expiration of five (5) years from the date the option is first granted or (B)
the expiration of ten (10) years from the commencement date of this
Plan.  The expiration date stated in the Option Agreement is
hereinafter called the Expiration Date.

    

    8. Termination of
employment.  The Option Agreement shall provide
that:

    

    (a) If
prior to the Expiration Date the employee shall for any reason whatever, other
than (1) his authorized retirement as defined in (b) below, or (2) his death,
cease to be employed by the Company or a subsidiary, any unexercised portions of
the option granted shall automatically terminate;

    

    (b) If
prior to the Expiration Date the employee shall (1) retire upon or after
reaching the age which at the time of retirement is established as the normal
retirement age for employees of the Company (such normal retirement age now
being 65 years) or (2) with the written consent of the Company retire prior to
such age on account of physical or mental disability (such retirement pursuant
to (1) or (2) being deemed an "authorized retirement") any unexercised portion
of the option shall expire at the end of three (3) months after such authorized
retirement, and during such three months' period the employee may exercise all
or any part of the then unexercised portion of the option; and

    

    (c) If
prior to the Expiration Date the employee shall die (at a time when he is an
officer, executive, or managerial employee the Company or a subsidiary or within
three months after his authorized retirement), the legal representatives of his
estate or a legatee or legatees shall have the privilege, for a period of six
(6) months after his death, of exercising all or any part of the then
unexercised portion of the option.

    

    Nothing
in (b) or (c) shall extend the time for exercising any option granted pursuant
to the Plan beyond the Expiration Date.

    

    9. Assignability.  The
Option Agreement shall provide that the option granted thereby shall not be
transferable or assignable by the employee otherwise than by will or by the laws
of descent and distribution and during the lifetime of the employee shall be
exercisable only by him.

    

    10. Adjustment in case of stock splits,
stock dividends, etc. The Option Agreement may contain such provisions as
the Board of Directors may approve as equitable concerning the effect upon the
option granted thereby and upon the per share or per unit option price, of (a)
stock dividends upon, or subdivisions, split-ups, combinations or
reclassifications of, the securities purchasable under the option, or (b)
proposals to merge or consolidate the Company or to sell all or substantially
all of its assets, or to liquidate or dissolve the Company.

    

    
      
         

      

      
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    11. Stock for
investment.  In the absence of registration of the shares
issuable upon exercise of the Options granted hereunder, the Option Agreement
shall provide that the employee shall upon each exercise of a part of all of the
option granted represent and warrant that his purchase of stock pursuant to such
option is for investment only, and not with a view to distribution involving a
public offering.

    

    

    PART
III

    COMMON
STOCK COMPENSATION PLAN

    

    1.  Purpose.  The
purpose of this Plan is to provide compensation  in the form of
Common  Stock of the Company, in lieu of cash, to  eligible
employees who have previously  rendered  services or that
will render  services during the term of this 2008 Employees
Compensation and Stock Option Plan.

    

    2.  Administration.  (a)  This
Plan shall be administered by the Board of Directors which may from time to time
issue orders or adopt resolutions, not inconsistent with the provisions of this
Plan, to interpret the provisions and supervise the administration of this Plan.
The Company’s President and Chief Financial Officer shall make initial
determinations as to which employees will be considered to receive shares under
this Plan, and will provide a list to the Board of Directors. All final
determinations shall be by the affirmative vote of a majority of the members of
the Board of Directors at a meeting called for such purpose, or reduced to
writing and signed by a majority of the members of the Board. Subject to the
Company’s Bylaws, all decisions made by the Directors in selecting eligible
employees, establishing the number of shares, and construing the provisions of
this Plan shall be final, conclusive and binding on all persons including the
Corporation, its shareholders and employees.

    

    (b)  The
Board of Directors may from time to time appoint a Part III Compensation
Committee, consisting of at least one Director  and one officer, none
of whom shall be eligible to participate in the Plan while members of the
Committee. The Board of Directors may delegate to such Committee the power to
select the particular employees who are to receive shares, and to determine the
number of shares to be allocated to each such recipient.

    

    (c)  If
the SEC Rules and or regulations relating to the issuance of Common Stock under
a Form S-8 should change during the term of this Plan, the Board of Directors
shall have the power to alter  this Plan to conform to such
changes.

    

    3. Eligibility.  (a)  Shares
shall be granted only to employees that are within those classes for which Form
S-8 is applicable.

    

    
      
         

      

      
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    (b)  No
individual or entity shall be granted more than $100,000 in value under this
Plan in any one fiscal year.

    

    4. Shares
Subject to the Plan.  The total number of shares of Common Stock to be
subject to options granted pursuant to this Plan on and after the commencement
date of the Plan shall not exceed 2,500,000 shares of the Company's Common
Stock.  This total number of shares shall be reduced, from time to
time, upon the reservation of shares for issuance upon the exercise of options
granted under Part II of this Plan or upon the issuance of shares under this
Part III.  This total number of shares shall also be subject to
appropriate increase or decrease in the event of a stock dividend upon, or a
subdivision, split-up, combination or reclassification of, the shares
purchasable under such options.  In the event that options granted
under Part II of this Plan shall lapse without being exercised in whole or in
part, other options may be granted covering the shares not purchased under such
lapsed options or the shares may be issued in grants under this Part
III.

    

    

    ARTICLE
IV

    GENERAL

    

    1.  Governing
Law.  All grants of Common Stock Purchase Options and/or shares
of Common Stock under this Plan shall be deemed to be made in Nevada and all
disputes arising hereunder shall be governed and controlled by the laws of
Nevada.  In the event of any litigation arising from any Common Stock
Purchase Options granted under this Plan or any shares of Common Stock issued
under this Plan, jurisdiction and venue of any such litigation shall be in the
state and/or federal courts in Nevada.  Any person receiving shares or
options hereunder shall be deemed to have agreed to such
provisions.

    

    2.  Benefits.  This
Plan shall be for the benefit of the Company and its stockholders and no
potential grantee or his/her/its personal representatives, successors and, where
applicable, assigns, shall have any rights, powers, licenses, claims or other
interest herein.

    

    3.  Paragraph
Headings.  The paragraph headings in this Plan are inserted for
convenience and identification only and are in no way intended to define or
limit the scope, extent, or intent of this Plan or any of the provisions
hereof.

    

    4.  Interpretation.  It
is the intent of the parties that this Agreement shall be construed and
interpreted, and that all questions arising hereunder shall be determined in
accordance with the provisions of the laws of the State of Nevada.

    

    

    

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

    CERTIFICATION
OF ADOPTION

    (by Board
of Directors)

     

     

    The undersigned, being respectively the
Chairman of the Board of Directors and the Secretary of the Board of Directors
of Implex Corporation hereby certify that the foregoing Plan was adopted by a
unanimous vote of the Board of Directors on August 25, 2008.

    

    

    
      	 
      	/s/
      James D.
      Beatty                                       
      
	 
      	
              James
      D. Beatty, Chairman

            
	 
      	 
      
	 
      	 
      
	 
      	/s/
      Richard C.
      Fox                                         
      
	 
      	
              Richard
      C. Fox, Secretary

            

    

    

     

     

     

     

     

     

    7

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