Document:

exv10w1

Exhibit 10.1

Agreement

     THIS
AGREEMENT (this “Agreement”) is made and entered into
as of October 19, 2009, by and
among SYNERGETICS USA, INC., a Delaware corporation, (“Synergetics”) on the one hand and STEVEN R.
BECKER (“Becker”), BC ADVISORS, LLC, a Texas limited liability company, SRB MANAGEMENT, L.P., a
Texas limited partnership, SRB GREENWAY OPPORTUNITY FUND, L.P., a Texas limited partnership, and
SRB GREENWAY CAPITAL (Q.P.), L.P., a Texas limited partnership (“SRB QP”), on the other. The
persons and entities listed above other than Synergetics are herein referred to as the Becker
Parties.

     On October 7, 2009, the Becker Parties filed a report on Schedule 13D under the Securities
Exchange Act of 1934 reporting that they collectively beneficially own 1,510,444 shares of the
common stock of Synergetics. On October 9, 2009, SRB QP provided notice (the “Notice”) to
Synergetics of its nomination of two (2) candidates for election to the Synergetics Board of
Directors (the “Board”) at the Synergetics 2009 Annual Meeting of Stockholders to be held December
17, 2009 (the “2009 Annual Meeting”). Synergetics and the Becker Parties have engaged in
discussions regarding SRB QP’s nomination of candidates to the Board, and have reached an
understanding with regard to the future composition of the Synergetics Board.

     NOW, THEREFORE, in consideration of the foregoing, and the promises and covenants herein
contained, Synergetics and the Becker Parties agree as follows:

1. IMMEDIATE ACTIONS OF THE PARTIES

Promptly upon execution of this Agreement:

     (a) SRB QP will immediately provide Synergetics with written confirmation reasonably
satisfactory to Synergetics indicating that SRB QP is irrevocably withdrawing the Notice, effective
as of the date hereof.

     (b) The Becker Parties shall, within two (2) business days of the date hereof, file a Schedule
13G with the Securities and Exchange Commission reporting that the provisions of Rule 13d-1(e), (f)
and (g) of the Exchange Act are not applicable to the Becker Partners.

     (c) To the extent permitted by law and the fiduciary duties of the directors of the
Synergetics Board, Synergetics will work with Becker in good faith to appoint only one (1) new
independent Board member who is mutually acceptable to each of Becker and the Nominating and
Governance Committee of the Board, in their reasonable discretion, within the six (6) month time
period following the date of this Agreement (the “Term”).

 

 

2. ACTIONS OF THE PARTIES BETWEEN THE DATE HEREOF AND THE 2009 ANNUAL MEETING

Between the date of this Agreement and the conclusion of the 2009 Annual Meeting:

     (a) The Becker Parties shall not, directly or indirectly, take any action in opposition to the
election at the 2009 Annual Meeting of the director candidates nominated by Synergetics, as such
nominees may be constituted from time to time or solicit, support or encourage the taking of any
such action by any other person.

     (b) To the extent permitted by law and the fiduciary duties of the directors of the
Synergetics Board, Synergetics will not, without the consent of Becker, take any action designed to
prevent this Agreement from becoming and remaining effective.

3. CERTAIN UNDERSTANDINGS OF THE PARTIES

     (a) Each of the Becker Parties appoints Becker as its representative, empowers Becker to agree
to any and all waivers and amendments to this Agreement on behalf of the Becker Parties and agrees
to be bound by Becker’s actions with respect to any such waivers or amendments.

     (b) In the event of any change to the composition of the Synergetics Board involving at least
two (2) directors arising out of a business combination (which shall include a refinancing,
restructuring, merger, sale, acquisition, change in control, material change in equity ownership,
liquidation, governmental intervention, etc.) during the Term, this Agreement shall thereafter be
null and void and of no effect.

     (c) Each member of the Becker Group agrees that until the earlier of: (1) nine months from the
date of this Agreement, or (2) ten days prior to the deadline for giving notice of nominations of
persons for election as directors at the Synergetics 2010 Annual Meeting of Stockholders, he or it
will not, and he or it will cause each of such member’s Affiliates or agents or other persons
acting on his or its behalf not to, and will use commercially reasonable efforts to cause his or
its respective Associates not to:

          (i) submit any stockholder proposal (pursuant to Rule 14a-8 promulgated by the SEC under the
Exchange Act or otherwise) or any notice of nomination or other business for consideration, and
will not nominate any candidate for election to the Board or oppose the directors nominated by the
Board.

          (ii) form, join in or in any other way participate in a “partnership, limited partnership,
syndicate or other group” within the meaning of Section 13(d)(3) of the Exchange Act with respect
to the common stock of Synergetics (the “Common Stock”) or deposit any shares of Common Stock in a
voting trust or similar arrangement or subject any shares of Common Stock to any voting agreement
or pooling arrangement, other than solely with other members of the Becker Group or one or more
Affiliates of a member of the Becker Group with respect to the Common Stock currently owned by the
Becker Group or to the extent such a group may be deemed to result with the Company or any of its
Affiliates as a result of this Agreement;

          (iii) solicit proxies or written consents of stockholders, or otherwise conduct any nonbinding
referendum with respect to Common Stock, or make, or in any way participate in,

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any “solicitation” of any “proxy” within the meaning of Rule 14a-1 promulgated by the SEC
under the Exchange Act to vote, or advise, encourage or influence any person with respect to
voting, any shares of Common Stock with respect to any matter, or become a “participant” in any
contested “solicitation” for the election of directors with respect to the Company (as such terms
are defined or used under the Exchange Act), other than a “solicitation” or acting as a
“participant” in support of all of the nominees of the Board at the 2009 Annual Meeting of
Stockholders;

          (iv) seek to call, or to request the call of, a special meeting of the stockholders of the
Company, or seek to make, or make, a stockholder proposal at any meeting of the stockholders of the
Company or make a request for a list of the Company’s stockholders (or otherwise induce or
encourage any other person to initiate such proposal or request) or otherwise acting alone, or in
concert with others, seek to control or influence the governance or policies of the Company;

          (v) effect or seek to effect (including, without limitation, by entering into any discussions,
negotiations, agreements or understandings with any third person), offer or propose (whether
publicly or otherwise) to effect, or cause or participate in, or in any way assist or facilitate
any other person to effect or seek, offer or propose (whether publicly or otherwise) to effect or
participate in (A) any acquisition, directly or indirectly, of any securities (or beneficial
ownership thereof), or rights or options to acquire any securities (or beneficial ownership
thereof), or any material assets or businesses, of the Company or any of its subsidiaries, (B) any
tender offer or exchange offer, merger, acquisition or other business combination involving the
Company or any of its subsidiaries, or (C) any recapitalization, restructuring, liquidation,
dissolution or other extraordinary transaction with respect to the Company or any of its
subsidiaries;

          (vi) enter into any arrangements, understandings or agreements (whether written or oral) with,
or advise, finance, assist or encourage, any other person that engages, or offers or proposes to
engage, in any of the foregoing; or

          (vii) take or cause or induce others to take any action inconsistent with any of the
foregoing.

     For purposes of this Agreement, the terms “Affiliate” and “Associate” have the respective
meanings set forth in Rule 12b-2 promulgated by the SEC under the Securities Exchange Act of 1934,
as amended (the “Exchange Act”); the terms “beneficial owner” and “beneficial ownership” shall have
the respective meanings as set forth in Rule 13d-3 promulgated by the SEC under the Exchange Act;
and the terms “person” or “persons” shall mean any individual, corporation (including
not-for-profit), general or limited partnership, limited liability company, joint venture, estate,
trust, association, organization or other entity of any kind or nature.

     (d) Notwithstanding anything contained in this Agreement to the contrary, nothing in this
Agreement shall be construed as creating an obligation of Synergetics, its Board or any committee
of the Board to act in derogation of its fiduciary obligations.

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4. MISCELLANEOUS

     (a) ENTIRE AGREEMENT. No representation, warranty, inducement, promise, understanding or
condition not set forth in this Agreement has been made or relied upon by any of the parties to
this Agreement. This Agreement constitutes the entire agreement between the parties hereto with
respect to the subject matter hereof and supersedes all other prior agreements and understandings,
both written and oral, between the parties with respect to the subject matter hereof.

     (b) GOVERNING LAW. This Agreement and all matters arising out of or relating hereto,
including its validity, construction and interpretation, shall be governed by the laws of the State
of Delaware, without regard to the laws as to choice or conflict of laws.

     (c) SPECIFIC PERFORMANCE. The parties hereby acknowledge and agree that the failure of
Synergetics, on the one hand, or any of the Becker Parties, on the other, to perform its agreements
and covenants hereunder, including its failure to take all actions as are necessary on its part, in
accordance with and subject to the terms and conditions of this Agreement, will cause irreparable
injury to the Becker Parties or to Synergetics, respectively, for which damages, even if available,
will not be an adequate remedy. Accordingly, each of Synergetics and the Becker Parties hereby
consents, to the extent that such consent is permitted by law, to the issuance of injunctive relief
by any court of competent jurisdiction to compel performance of their respective obligations and to
the granting by any court of the remedy of specific performance of their obligations hereunder.

     (d) COUNTERPARTS. This Agreement may be executed by facsimile or email in one or more
counterparts, each of which shall be deemed to be an original, but all of which shall constitute
one and the same agreement. This Agreement shall become effective when each party to this
Agreement shall have received counterparts signed by all of the other parties.

The remainder of this page left intentionally blank

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     IN WITNESS WHEREOF, each of the parties has caused this Agreement to be duly executed on its
behalf as of the day and year first above written.

	 	 	 	 	 
	SYNERGETICS USA, INC.

 	 	 
	By:  	/s/ David M. Hable
 	 	 
	 	Name:  	David M. Hable 	 	 
	 	Title:  	President & CEO 	 	 
	 
	 	 	 
	/s/ Steven R. Becker
 	 	 
	Steven R. Becker 	 	 
	 	 	 
	 
	BC ADVISORS, LLC

 	 	 
	By:  	/s/ Steven R. Becker
 	 	 
	 	Steven R. Becker, Member 	 	 
	 	 	 	 
	 
	SRB MANAGEMENT, L.P.

 	 	 
	By:  	BC Advisors, LLC, its General Partner
 	 	 
	 	 	 
	By:  	/s/ Steven R. Becker
 	 	 
	 	Steven R. Becker, Member 	 	 
	 	 	 	 
	 
	SRB Greenway Opportunity Fund, L.P.

 	 	 
	By:  	SRB Management, L.P., General Partner
 	 	 
	 
	By:  	BC Advisors, L.L.C.,  General Partner
 	 	 
	 	 	 
	By:  	/s/ Steven R. Becker
 	 	 
	 	Steven R. Becker , Member	 	 
	 	  	 	 	 
	 
	SRB Greenway Opportunity Fund (QP), L.P.

 	 	 
	By:  	SRB Management, L.P., General Partner
 	 	 
	 	 	 
	By:  	BC Advisors, L.L.C., General Partner
 	 	 
	 	 	 
	By:  	/s/ Steven R. Becker
 	 	 
	 	Steven R. Becker, Member 	 	 
	 

5gtirra.htm

 

 

Exhibit 10.1

REGISTRATION RIGHTS AGREEMENT

 

REGISTRATION RIGHTS AGREEMENT (this “Agreement”), dated as of August 27, 2009, by and between GREENCHEK
TECHNOLOGY, INC., a Nevada corporation, (the “Company”), and BODIE INVESTMENT GROUP, INC, a Michigan company (together with it permitted assigns, the “Buyer”). Capitalized terms used herein and not otherwise defined herein shall have the respective meanings set forth
in the Common Stock Purchase Agreement by and between the parties hereto, dated as of the date hereof (as amended, restated, supplemented or otherwise modified from time to time, the "Purchase Agreement”).

 

WHEREAS:

 

A. The Company has agreed, upon the terms and subject to the conditions of the Purchase Agreement, to issue to the Buyer (i) up to Six Million Dollars ($6,000,000) of the Company’s common stock, no par value per share (the “Common Stock”)
(the “Purchase Shares”), and (ii) such number of shares of Common Stock as is required pursuant to Section 4(e) of the Purchase Agreement (the “Commitment Shares"); and Commitment Warrants.

 

B. To induce the Buyer to enter into the Purchase Agreement, the Company has agreed to provide certain registration rights under the Securities Act of 1933, as amended, and the rules and regulations thereunder, or any similar successor statute (collectively, the “1933
Act”), and applicable state securities laws.

 

NOW, THEREFORE, in consideration of the promises and the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Company and the Buyer hereby agree
as follows:

 

1. DEFINITIONS.

 

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

 

a. "Investor” means the Buyer, any transferee or assignee thereof to whom a Buyer assigns its rights under this Agreement and who agrees to become bound by the provisions of this Agreement in accordance with Section 9 and any transferee or assignee
thereof to whom a transferee or assignee assigns its rights under this Agreement and who agrees to become bound by the provisions of this Agreement in accordance with Section 9.

 

b. "Person” means any person or entity including any corporation, a limited liability company, an association, a partnership, an organization, a business, an individual, a governmental or political subdivision thereof or a governmental agency.

 

c. "Register,” “registered,” and “registration” refer to a registration effected by
preparing and filing one or more registration statements of the Company in compliance with the 1933 Act and pursuant to Rule 415 under the 1933 Act or any successor rule providing for offering securities on a continuous basis (“Rule 415”), and the declaration or ordering of effectiveness of such registration statement(s) by the United States Securities and Exchange Commission (the “SEC”).

 

d. "Registrable Securities” means the Purchase Shares which have been, or which may from time to time be, issued or issuable to the Investor upon purchases of the Available Amount under the Purchase Agreement (without regard to any limitation or restriction
on purchases) and the Commitment Shares issued or issuable to the Investor and any shares of capital stock issued or issuable with respect to the Purchase Shares, the Commitment Shares or the Purchase Agreement as a result of any stock split, stock dividend, recapitalization, exchange or similar event or otherwise, without regard to any limitation on purchases under the Purchase Agreement.

 

e. "Registration Statement” means the registration statement of the Company covering only the sale of the Registrable Securities.

 

2. REGISTRATION.

 

a. Mandatory Registration. The Company shall within thirty (30)  Days from the date hereof file with the SEC the Registration Statement. The Registration Statement shall register only the Registrable Securities and no other securities of the Company
without written permission from the Buyer. The Investor and its counsel shall have a reasonable opportunity to review and comment upon such 

 

 

 

 
registration statement or amendment to such registration statement and any related prospectus prior to its filing with the SEC. Investor shall furnish all information reasonably requested by the Company for inclusion therein. The Company shall use its best efforts to have the Registration
Statement or amendment declared effective by the SEC at the earliest possible date. The Company shall use reasonable best efforts to keep the Registration Statement effective pursuant to Rule 415 promulgated under the 1933 Act and available for sales of all of the Registrable Securities at all times until the earlier of (i) the date as of which the Investor may sell all of the Registrable Securities without restriction pursuant to Rule 144 promulgated under the 1933 Act (or successor thereto) or
(ii) the date on which (A) the Investor shall have sold all the Registrable Securities and no Available Amount remains under the Purchase Agreement (the “Registration Period”). The Registration Statement (including any amendments or supplements thereto and prospectuses contained therein) shall not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein, or necessary
to make the statements therein, in light of the circumstances in which they were made, not misleading.

 

b. Rule 424 Prospectus. The Company shall, as required by applicable securities regulations, from time to time file with the SEC, pursuant to Rule 424 promulgated under the 1933 Act, the prospectus and prospectus supplements, if any, to be
used in connection with sales of the Registrable Securities under the Registration Statement. The Investor and its counsel shall have a reasonable opportunity to review and comment upon such prospectus prior to its filing with the SEC. The Investor shall use its reasonable best efforts to comment upon such prospectus within one (1) Business Day from the date the Investor receives the final version of such prospectus.

 

c. Sufficient Number of Shares Registered. In the event the number of shares available under the Registration Statement is insufficient to cover all of the Registrable Securities, the Company shall amend the Registration Statement or file a new registration
statement (a ”New Registration Statement”), so as to cover all of such Registrable Securities as soon as practicable, but in any event not later than ten (10) Business Days after the necessity therefor arises. The Company shall use it reasonable best efforts to cause such amendment and/or New Registration Statement to become effective as soon as practicable following the filing thereof.

 

3. RELATED OBLIGATIONS.

 

With respect to the Registration Statement and whenever any Registrable Securities are to be registered pursuant to Section 2(b) including on any New Registration Statement, the Company shall use its reasonable best efforts to effect the registration of the Registrable Securities in accordance with the intended method of disposition thereof
and, pursuant thereto, the Company shall have the following obligations:

 

a. The Company shall prepare and file with the SEC such amendments (including post-effective amendments) and supplements to any registration statement and the prospectus used in connection with such registration statement, which prospectus is to be filed pursuant to Rule 424 promulgated under the 1933 Act, as may be necessary
to keep the Registration Statement or any New Registration Statement effective at all times during the Registration Period, and, during such period, comply with the provisions of the 1933 Act with respect to the disposition of all Registrable Securities of the Company covered by the Registration Statement or any New Registration Statement until such time as all of such Registrable Securities shall have been disposed of in accordance with the intended methods of disposition by the seller or sellers thereof as
set forth in such registration statement.

 

b. The Company shall permit the Investor to review and comment upon the Registration Statement or any New Registration Statement and all amendments and supplements thereto at least two (2) Business Days prior to their filing with the SEC, and not file any document in a form to which Investor reasonably objects. The Investor shall
use its reasonable best efforts to comment upon the Registration Statement or any New Registration Statement and any amendments or supplements thereto within two (2) Business Days from the date the Investor receives the final version thereof. The Company shall furnish to the Investor, without charge, any correspondence from the SEC or the staff of the SEC to the Company or its representatives relating to the Registration Statement or any New Registration Statement.

 

c. Upon request of the Investor, the Company shall furnish to the Investor, (i) promptly after the same is prepared and filed with the SEC, at least one copy of such registration statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated therein by reference and all exhibits,
(ii) upon the effectiveness of any registration statement, a copy of the prospectus included in such registration statement and all amendments and supplements thereto (or such other number of copies as the Investor may reasonably request) and (iii) such other documents, including copies of any preliminary or final prospectus, as the Investor may reasonably request from time to time in order to facilitate the disposition of the Registrable Securities owned by the Investor.

 

 

 

 

d. The Company shall use reasonable best efforts to (i) register and qualify the Registrable Securities covered by a registration statement under such other securities or “blue sky” laws of such jurisdictions in the United States as the Investor reasonably requests, (ii) prepare and file in those jurisdictions,
such amendments (including post-effective amendments) and supplements to such registrations and qualifications as may be necessary to maintain the effectiveness thereof during the Registration Period, (iii) take such other actions as may be necessary to maintain such registrations and qualifications in effect at all times during the Registration Period, and (iv) take all other actions reasonably necessary or advisable to qualify the Registrable Securities for sale in such jurisdictions; provided, however,
that the Company shall not be required in connection therewith or as a condition thereto to (x) qualify to do business in any jurisdiction where it would not otherwise be required to qualify but for this Section 3(d), (y) subject itself to general taxation in any such jurisdiction, or (z) file a general consent to service of process in any such jurisdiction. The Company shall promptly notify the Investor who holds Registrable Securities of the receipt by the Company of any notification with
respect to the suspension of the registration or qualification of any of the Registrable Securities for sale under the securities or “blue sky” laws of any jurisdiction in the United States or its receipt of actual notice of the initiation or threatening of any proceeding for such purpose.

 

e. As promptly as practicable after becoming aware of such event or facts, the Company shall notify the Investor in writing of the happening of any event or existence of such facts as a result of which the prospectus included in any registration statement, as then in effect, includes an untrue statement of a material fact or omits
to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, and promptly prepare a supplement or amendment to such registration statement to correct such untrue statement or omission, and deliver a copy of such supplement or amendment to the Investor (or such other number of copies as the Investor may reasonably request). The Company shall also promptly notify the Investor in writing (i) when
a prospectus or any prospectus supplement or post-effective amendment has been filed, and when a registration statement or any post-effective amendment has become effective (notification of such effectiveness shall be delivered to the Investor by facsimile on the same day of such effectiveness and by overnight mail), (ii) of any request by the SEC for amendments or supplements to any registration statement or related prospectus or related information, and (iii) of the Company’s reasonable determination
that a post-effective amendment to a registration statement would be appropriate.

 

f. The Company shall use its reasonable best efforts to prevent the issuance of any stop order or other suspension of effectiveness of any registration statement, or the suspension of the qualification of any Registrable Securities for sale in any jurisdiction and, if such an order or suspension is issued, to obtain the withdrawal
of such order or suspension at the earliest possible moment and to notify the Investor of the issuance of such order and the resolution thereof or its receipt of actual notice of the initiation or threat of any proceeding for such purpose.

 

g. The Company shall (i) cause all the Registrable Securities to be listed on each securities exchange on which securities of the same class or series issued by the Company are then listed, if any, if the listing of such Registrable Securities is then permitted under the rules of such exchange, or (ii) secure designation
and quotation of all the Registrable Securities on the Principal Market. The Company shall pay all fees and expenses in connection with satisfying its obligation under this Section.

 

h. The Company shall cooperate with the Investor to facilitate the timely preparation and delivery of certificates (not bearing any restrictive legend) representing the Registrable Securities to be offered pursuant to any registration statement and enable such certificates to be in such denominations or amounts as the Investor may
reasonably request and registered in such names as the Investor may request.

 

i. The Company shall at all times provide a transfer agent and registrar with respect to its Common Stock.

 

j. If reasonably requested by the Investor, the Company shall (i) immediately incorporate in a prospectus supplement or post-effective amendment such information as the Investor believes should be included therein relating to the sale and distribution of Registrable Securities, including, without limitation, information with
respect to the number of Registrable Securities being sold, the purchase price being paid therefor and any other terms of the offering of the Registrable Securities; (ii) make all required filings of such prospectus supplement or post-effective amendment as soon as notified of the matters to be incorporated in such prospectus supplement or post-effective amendment; and (iii) supplement or make amendments to any registration statement.

 

k. The Company shall use its reasonable best efforts to cause the Registrable Securities covered by the registration statement to be registered with or approved by such other governmental agencies or authorities as may be necessary to consummate the disposition of such Registrable Securities.

 

 

 

 

l. Within one (1) Business Day after any registration statement which includes the Registrable Securities is ordered effective by the SEC, the Company shall deliver, and shall cause legal counsel for the Company to deliver, to the transfer agent for such Registrable Securities (with copies to the Investor) confirmation that such
registration statement has been declared effective by the SEC in the form attached hereto as Exhibit A. Thereafter, if requested by the Buyer at any time, the Company shall require its counsel to deliver to the Buyer a written confirmation whether or not the effectiveness of such registration statement has lapsed at any time for any reason (including, without limitation, the issuance of a stop order) and whether or not the
registration statement is current and available to the Buyer for sale of all of the Registrable Securities.

 

m. The Company shall take all other reasonable actions necessary to expedite and facilitate disposition by the Investor of Registrable Securities pursuant to any registration statement.

 

4. OBLIGATIONS OF THE INVESTOR.

 

a. The Company shall notify the Investor in writing of the information the Company reasonably requires from the Investor in connection with any registration statement hereunder. The Investor shall furnish to the Company such information regarding itself, the Registrable Securities held by it and the intended method of disposition
of the Registrable Securities held by it as shall be reasonably required to effect the registration of such Registrable Securities and shall execute such documents in connection with such registration as the Company may reasonably request.

 

b. The Investor agrees to cooperate with the Company as reasonably requested by the Company in connection with the preparation and filing of any registration statement hereunder.

 

c. The Investor agrees that, upon receipt of any notice from the Company of the happening of any event or existence of facts of the kind described in Section 3(f) or the first sentence of 3(e), the Investor will immediately discontinue disposition of Registrable Securities pursuant to any registration statement(s) covering such Registrable
Securities until the Investor’s receipt of the copies of the supplemented or amended prospectus contemplated by Section 3(f) or the first sentence of 3(e). Notwithstanding anything to the contrary, the Company shall cause its transfer agent to promptly deliver shares of Common Stock without any restrictive legend in accordance with the terms of the Purchase Agreement in connection with any sale of Registrable Securities with respect to which an Investor has entered into a contract for sale prior to the
Investor’s receipt of a notice from the Company of the happening of any event of the kind described in Section 3(f) or the first sentence of 3(e) and for which the Investor has not yet settled.

 

5. EXPENSES OF REGISTRATION.

 

All reasonable expenses, other than sales or brokerage commissions, incurred in connection with registrations, filings or qualifications pursuant to Sections 2 and 3, including, without limitation, all registration, listing and qualifications fees, printers and accounting fees, and fees and disbursements of counsel for the Company,
shall be paid by the Company.

 

6. INDEMNIFICATION.

 

a. To the fullest extent permitted by law, the Company will, and hereby does, indemnify, hold harmless and defend the Investor, each Person, if any, who controls the Investor, the members, the directors, officers, partners, employees, agents, representatives of the Investor and each Person, if any, who controls the Investor within
the meaning of the 1933 Act or the Securities Exchange Act of 1934, as amended (the “1934 Act”) (each, an “Indemnified Person”), against any losses, claims, damages, liabilities, judgments, fines, penalties, charges, costs, attorneys’ fees, amounts paid in settlement or expenses, joint or several, (collectively, “Claims”)
incurred in investigating, preparing or defending any action, claim, suit, inquiry, proceeding, investigation or appeal taken from the foregoing by or before any court or governmental, administrative or other regulatory agency, body or the SEC, whether pending or threatened, whether or not an indemnified party is or may be a party thereto (“Indemnified Damages”), to which any of them may become subject insofar as such Claims
(or actions or proceedings, whether commenced or threatened, in respect thereof) arise out of or are based upon: (i) any untrue statement or alleged untrue statement of a material fact in the Registration Statement, any New Registration Statement or any post-effective amendment thereto or in any filing made in connection with the qualification of the offering under the securities or other “blue sky” laws of any jurisdiction in which Registrable Securities are offered (“Blue
Sky Filing”), or the omission or alleged omission to state a material fact required to be stated therein or necessary to make the statements therein not misleading, (ii) any untrue statement or alleged untrue statement of a material fact contained in the final prospectus (as amended or supplemented, if the Company files any amendment thereof or supplement thereto with the SEC) or the omission or alleged omission to state therein any material fact necessary to make the statements made therein,
in light of the circumstances under which the statements therein were made, not misleading, (iii) any violation or alleged violation by the Company of the 1933 Act, the 1934 Act, any 

 

 

 

 
other law, including, without limitation, any state securities law, or any rule or regulation thereunder relating to the offer or sale of the Registrable Securities pursuant to the Registration Statement or any New Registration Statement or (iv) any material violation by the Company
of this Agreement (the matters in the foregoing clauses (i) through (iv) being, collectively, “Violations”). The Company shall reimburse each Indemnified Person promptly as such expenses are incurred and are due and payable, for any reasonable legal fees or other reasonable expenses incurred by them in connection with investigating or defending any such Claim. Notwithstanding anything to the contrary contained herein,
the indemnification agreement contained in this Section 6(a): (i) shall not apply to a Claim by an Indemnified Person arising out of or based upon a Violation which occurs in reliance upon and in conformity with information furnished in writing to the Company by such Indemnified Person expressly for use in connection with the preparation of the Registration Statement, any New Registration Statement or any such amendment thereof or supplement thereto, if such prospectus was timely made available by the
Company pursuant to Section 3(c) or Section 3(e); (ii) with respect to any superceded prospectus, shall not inure to the benefit of any such person from whom the person asserting any such Claim purchased the Registrable Securities that are the subject thereof (or to the benefit of any person controlling such person) if the untrue statement or omission of material fact contained in the superceded prospectus was corrected in the revised prospectus, as then amended or supplemented, if such revised prospectus
was timely made available by the Company pursuant to Section 3(c) or Section 3(e), and the Indemnified Person was promptly advised in writing not to use the incorrect prospectus prior to the use giving rise to a violation and such Indemnified Person, notwithstanding such advice, used it; (iii) shall not be available to the extent such Claim is based on a failure of the Investor to deliver or to cause to be delivered the prospectus made available by the Company, if such prospectus was timely made available
by the Company pursuant to Section 3(c) or Section 3(e); and (iv) shall not apply to amounts paid in settlement of any Claim if such settlement is effected without the prior written consent of the Company, which consent shall not be unreasonably withheld. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Indemnified Person and shall survive the transfer of the Registrable Securities by the Investor pursuant to Section 9.

 

b. In connection with the Registration Statement or any New Registration Statement, the Investor agrees to severally and not jointly indemnify, hold harmless and defend, to the same extent and in the same manner as is set forth in Section 6(a), the Company, each of its directors, each of its officers who signs the Registration
Statement or any New Registration Statement, each Person, if any, who controls the Company within the meaning of the 1933 Act or the 1934 Act (collectively and together with an Indemnified Person, an “Indemnified Party”), against any Claim or Indemnified Damages to which any of them may become subject, under the 1933 Act, the 1934 Act or otherwise, insofar as such Claim or Indemnified Damages arise out of or are based upon any
Violation, in each case to the extent, and only to the extent, that such Violation occurs in reliance upon and in conformity with written information about the Investor set forth on Exhibit B attached hereto and furnished to the Company by the Investor expressly for use in connection with such registration statement; and, subject to Section 6(d), the Investor will reimburse any legal or other expenses reasonably incurred
by them in connection with investigating or defending any such Claim; provided, however, that the indemnity agreement contained in this Section 6(b) and the agreement with respect to contribution contained in Section 7 shall not apply to amounts paid in settlement of any Claim if such settlement is effected without the prior written consent of the Investor, which consent shall not be unreasonably withheld; provided, further, however, that the Investor shall be liable under this Section 6(b) for only that
amount of a Claim or Indemnified Damages as does not exceed the net proceeds to the Investor as a result of the sale of Registrable Securities pursuant to such registration statement. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such Indemnified Party and shall survive the transfer of the Registrable Securities by the Investor pursuant to Section 9.

 

c. Promptly after receipt by an Indemnified Person or Indemnified Party under this Section 6 of notice of the commencement of any action or proceeding (including any governmental action or proceeding) involving a Claim, such Indemnified Person or Indemnified Party shall, if a Claim in respect thereof is to be made against any
indemnifying party under this Section 6, deliver to the indemnifying party a written notice of the commencement thereof, and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume control of the defense thereof with counsel mutually satisfactory to the indemnifying party and the Indemnified Person or the Indemnified Party, as the case may be; provided, however, that an Indemnified
Person or Indemnified Party shall have the right to retain its own counsel with the fees and expenses to be paid by the indemnifying party, if, in the reasonable opinion of counsel retained by the indemnifying party, the representation by such counsel of the Indemnified Person or Indemnified Party and the indemnifying party would be inappropriate due to actual or potential differing interests between such Indemnified Person or Indemnified Party and any other party represented by such counsel in such proceeding.
The Indemnified Party or Indemnified Person shall cooperate fully with the indemnifying party in connection with any negotiation or defense of any such action or claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably 

 

 

 

 
available to the Indemnified Party or Indemnified Person which relates to such action or claim. The indemnifying party shall keep the Indemnified Party or Indemnified Person fully apprised at all times as to the status of the defense or any settlement negotiations with respect thereto.
No indemnifying party shall be liable for any settlement of any action, claim or proceeding effected without its written consent, provided, however, that the indemnifying party shall not unreasonably withhold, delay or condition its consent. No indemnifying party shall, without the consent of the Indemnified Party or Indemnified Person, consent to entry of any judgment or enter into any settlement or other compromise which does not include as an unconditional term thereof the giving by the claimant or plaintiff
to such Indemnified Party or Indemnified Person of a release from all liability in respect to such claim or litigation. Following indemnification as provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnified Party or Indemnified Person with respect to all third parties, firms or corporations relating to the matter for which indemnification has been made. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any
such action shall not relieve such indemnifying party of any liability to the Indemnified Person or Indemnified Party under this Section 6, except to the extent that the indemnifying party is prejudiced in its ability to defend such action.

 

d. The indemnification required by this Section 6 shall be made by periodic payments of the amount thereof during the course of the investigation or defense, as and when bills are received or Indemnified Damages are incurred.

 

e. The indemnity agreements contained herein shall be in addition to (i) any cause of action or similar right of the Indemnified Party or Indemnified Person against the indemnifying party or others, and (ii) any liabilities the indemnifying party may be subject to pursuant to the law.

 

7. CONTRIBUTION.

 

To the extent any indemnification by an indemnifying party is prohibited or limited by law, the indemnifying party agrees to make the maximum contribution with respect to any amounts for which it would otherwise be liable under Section 6 to the fullest extent permitted by law; provided, however, that: (i) no seller of Registrable
Securities guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution from any seller of Registrable Securities who was not guilty of fraudulent misrepresentation; and (ii) contribution by any seller of Registrable Securities shall be limited in amount to the net amount of proceeds received by such seller from the sale of such Registrable Securities.

 

8. REPORTS AND DISCLOSURE UNDER THE SECURITIES ACTS.

 

With a view to making available to the Investor the benefits of Rule 144 promulgated under the 1933 Act or any other similar rule or regulation of the SEC that may at any time permit the Investor to sell securities of the Company to the public without registration (“Rule 144”),
the Company agrees, at the Company’s sole expense, to:

 

a. make and keep public information available, as those terms are understood and defined in Rule 144;

 

b. file with the SEC in a timely manner all reports and other documents required of the Company under the 1933 Act and the 1934 Act so long as the Company remains subject to such requirements and the filing of such reports and other documents is required for the applicable provisions of Rule 144; and

 

c. furnish to the Investor so long as the Investor owns Registrable Securities, promptly upon written request, (i) a written statement by the Company that it has complied with the reporting and or disclosure provisions of Rule 144, the 1933 Act and the 1934 Act, (ii) a copy of the most recent annual or quarterly report
of the Company and such other reports and documents so filed by the Company, and (iii) such other information as may be reasonably requested to permit the Investor to sell such securities pursuant to Rule 144 without registration.

 

d. take such additional action as is requested by the Investor to enable the Investor to sell the Registrable Securities pursuant to Rule 144, including, without limitation, delivering all such legal opinions, consents, certificates, resolutions and instructions to the Company’s Transfer Agent as may be requested from time
to time by the Investor and otherwise fully cooperate with Investor and Investor’s broker to effect such sale of securities pursuant to Rule 144.

 

The Company agrees that damages may be an inadequate remedy for any breach of the terms and provisions of this Section 8 and that Investor shall, whether or not it is pursuing any remedies at law, be entitled to equitable relief in the form of a preliminary or permanent injunctions, without having to post any bond or other security,
upon any breach or threatened breach of any such terms or provisions.

 

 

 

 

   9.  ASSIGNMENT OF REGISTRATION RIGHTS.

 

The Company shall not assign this Agreement or any rights or obligations hereunder without the prior written consent of the Investor. The Investor may not assign its rights under this Agreement without the written consent of the Company, other than to an affiliate of the Investor controlled by Jack Bodenstein.

 

10. AMENDMENT OF REGISTRATION RIGHTS.

 

Provisions of this Agreement may be amended and the observance thereof may be waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Company and the Investor.

 

11. MISCELLANEOUS.

 

a. A Person is deemed to be a holder of Registrable Securities whenever such Person owns or is deemed to own of record such Registrable Securities. If the Company receives conflicting instructions, notices or elections from two or more Persons with respect to the same Registrable Securities, the Company shall act upon the basis of
instructions, notice or election received from the registered owner of such Registrable Securities.

 

b. Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement must be in writing and will be deemed to have been delivered: (i) upon receipt, when delivered personally; (ii) upon receipt, when sent by facsimile (provided confirmation of transmission is mechanically
or electronically generated and kept on file by the sending party); or (iii) one (1) Business Day after deposit with a nationally recognized overnight delivery service, in each case properly addressed to the party to receive the same. The addresses and facsimile numbers for such communications shall be:

 

	
If to the Company:
	  	  
	
 

Greenchek Technology, Inc

	
California Street, Suite 2450

San Francisco, CA 94111

	
Telephone: (888) 775-7579

Facsimile: (647) 350-6859

Attention: Lincoln Parke, Chief Executive Officer
	  	  

 

	
With a copy to:

 

Conrad C. Lysiak

Telephone: (509) 624-1475

Facsimile: (509) 747-1770

 
	  	  

 

	
If to the Investor:

 
	  	  
	
Bodie Investment Group, Inc.

	
25900 Greenfield Road, Suite 102

	
Oak Park, MI 48237

Telephone:

Facsimile:

Attention:
	  	
 

248-569-9174

248-569-9176

Jack Bodenstein

 

or at such other address and/or facsimile number and/or to the attention of such other person as the recipient party has specified by written notice given to each other party three (3) Business Days prior to the effectiveness of such change. Written confirmation of receipt (A) given by the recipient of such notice, consent, waiver
or other communication, (B) mechanically or electronically generated by the 

 

 

 

 

sender’s facsimile machine containing the time, date, recipient facsimile number and an image of the first page of such transmission or (C) provided by a nationally recognized overnight delivery service, shall be rebuttable evidence of personal service, receipt by facsimile or receipt from a nationally recognized overnight delivery
service in accordance with clause (i), (ii) or (iii) above, respectively.

 

c. Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a party in exercising such right or remedy, shall not operate as a waiver thereof.

 

d. The corporate laws of the State of New York shall govern all issues concerning the relative rights of the Company and its stockholders. All other questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be governed by the internal laws of the State of
Illinois, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Illinois or any other jurisdictions) that would cause the application of the laws of any jurisdictions other than the State of Illinois. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts sitting the City of Chicago, for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein,
and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is improper. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof to such party at the address for such
notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law. If any provision of this Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity or unenforceability shall not affect the validity or enforceability of the remainder of this Agreement in that jurisdiction or the validity or enforceability
of any provision of this Agreement in any other jurisdiction. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

e. This Agreement and the Purchase Agreement constitute the entire agreement among the parties hereto with respect to the subject matter hereof and thereof. There are no restrictions, promises, warranties or undertakings, other than those set forth or referred to herein and therein. This Agreement and the Purchase Agreement supersede
all prior agreements and understandings among the parties hereto with respect to the subject matter hereof and thereof.

 

f. Subject to the requirements of Section 9, this Agreement shall inure to the benefit of and be binding upon the permitted successors and assigns of each of the parties hereto.

 

g. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof.

 

h. This Agreement may be executed in identical counterparts, each of which shall be deemed an original but all of which shall constitute one and the same agreement. This Agreement, once executed by a party, may be delivered to the other party hereto by facsimile transmission of a copy of this Agreement bearing the signature of the
party so delivering this Agreement.

 

i. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the
consummation of the transactions contemplated hereby.

 

j. The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent and no rules of strict construction will be applied against any party.

 

k. This Agreement is intended for the benefit of the parties hereto and their respective permitted successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other Person.

 

* * * * * *

 

 

 

 

IN WITNESS WHEREOF, the parties have caused this Registration Rights Agreement to be duly executed as of day and year first above written.

 

	

	THE COMPANY:  	  
	 	 	 
	 	GREENCHEK TECHNOLOGY. INC. 	 
	 	 	 
	 	By: LINCOLN PARKE.	 
	 	Name: Lincoln Parke 	 
	 	Title:   President 	 

 

 

	

	BUYER: 	  
	 	 	 
	 	BODIE INVESTMENT GROUP, INC.	 
	 	 	 
	 	By: JACK BODENSTEIN.	 
	 	Name: Jack Bodenstein	 
	 	Title:   President 	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EXHIBIT A

 

TO REGISTRATION RIGHTS AGREEMENT

 

FORM OF NOTICE OF EFFECTIVENESS

OF REGISTRATION STATEMENT

 

 

[Date]

 

Empire Stock Transfer

Attention: Matthew J. Blevins

2470 St. Rose Pkwy., Ste. 304

Henderson, NV 89074-7775

Telephone: (702) 818-5898

Facsimile: (702) 974-1444

 

Re: [GreenChek Technology Inc.]

 

 

Ladies and Gentlemen:

 

We are counsel to Greenchek Technology, Inc., a Nevada corporation (the “Company”), and have represented the Company in connection with that certain Common Stock Purchase Agreement,
dated as of August 27, 2009 (the “Purchase Agreement”), entered into by and between the Company and Bodie Investment Group, Inc. (the “Buyer”) pursuant to which the Company has agreed to issue to the Buyer shares of the Company’s Common Stock, no par value per share (the “Common
Stock”), in an amount up to Six Million Dollars ($6,000,000) (the “Purchase Shares”), in accordance with the terms of the Purchase Agreement. In connection with the transactions contemplated by the Purchase Agreement, the Company has registered with the U.S. Securities & Exchange Commission the following shares of Common Stock:

 

	  	
(1)
	
23,000,000shares of Common Stock to be issued upon purchase from the Company by the Buyer from time to time (the “Purchase Shares.”);

 

	  	
(2)
	
3,000,000 shares of Common Stock which have been issued to the Buyer as a commitment fee (the “Initial Commitment Shares”);

 

	 	
(3)
	
9,000,000 cashless warrants which have been issued as a commitment fee (the “Warrants”).

 

Pursuant to the Purchase Agreement, the Company also has entered into a Registration Rights Agreement, dated as of August 27, 2009, with the Buyer (the “Registration Rights Agreement”) pursuant to which the Company agreed, among other things, to register
the Purchase Shares, and the Commitment Shares under the Securities Act of 1933, as amended (the “1933 Act”). In connection with the Company’s obligations under the Purchase Agreement and the Registration Rights Agreement, on      , 2009, the Company filed a Registration Statement (File No. 333-      )
(the “Registration Statement”) with the Securities and Exchange Commission (the “SEC”) relating to the sale of the Purchase Shares, and the Commitment Shares.

 

In connection with the foregoing, we advise you that a member of the SEC’s staff has advised us by telephone that the SEC has entered an order declaring the Registration Statement effective under the 1933 Act at        P.M.
on       , 200       and we have no knowledge, after telephonic inquiry of a member of the SEC’s staff, that any stop order suspending its effectiveness has been issued or that any proceedings for that purpose are pending before, or threatened by, the SEC and the Purchase Shares, and
the Commitment Shares are available for sale under the 1933 Act pursuant to the Registration Statement and may issued without any restrictive legend.

 

Very truly yours,

 

 

CC: Bodie Investment Group, Inc.

 

 

 

 

 

 

 

EXHIBIT B

 

TO REGISTRATION RIGHTS AGREEMENT

 

Information About The Investor Furnished To The Company By The Investor

Expressly For Use In Connection With The Registration Statement

 

As of the date of the Purchase Agreement, Bodie Investment Group, Inc. beneficially owned 3,000,000 shares of common stock of the Company. Jack Bodenstein is the beneficial owner of all of the shares of common stock owned by Bodie Investment Group. Mr. Bodenstein has voting and investment power over the shares being offered under the prospectus
filed with the SEC in connection with the transactions contemplated under the Purchase Agreement. Bodie Investment Group, Inc. is not a licensed broker dealer or an affiliate of a licensed broker dealer.

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