Document:

Exhibit
      10.10

    

    THIRD
      AMENDMENT TO 

    LOAN
      AND SECURITY AGREEMENT

    

    This
      Third Amendment to the Loan and Security Agreement (this “Amendment”)
      is
      dated as of this 21 day of April, 2008, by and among I.C.
      Isaacs & Company, L.P.,
      as
      borrower (“Borrower”),
      I.C. Isaacs & Company, Inc. and
      Isaacs Design, Inc.,
      as
      guarantors (collectively, the “Guarantors”),
      and
Wachovia
      Bank, National Association,
      as
      lender (“Bank”).

    

    BACKGROUND

    

    A. Borrower
      and Bank are parties to a certain Loan and Security Agreement dated as of
      December 30, 2004 (as amended or otherwise modified from time to time, the
      “Loan
      Agreement”),
      and
      the other Loan Documents (as defined in the Loan Agreement). Capitalized terms
      used herein and not otherwise defined shall have the respective meanings set
      forth in the Loan Agreement.

    

    B. Borrower
      has informed Bank that Borrower and certain of its partners are negotiating
      (i)
      an additional cash capital contribution by such partners to Borrower in an
      amount equal to at least $2,000,000, (ii) an additional cash capital
      contribution by Borrower’s management in an amount equal to at least $100,000,
      (iii) the deferral of four (4) months of royalty payments owing to Latitude
      in
      an amount equal to at least $1,500,000 through until no earlier than March
      31,
      2009 (the “Additional
      Deferred Royalties”)
      and
      (iv) the conversion to equity by such partners of at least $2,800,000 of Debt
      owed by Borrower to such partners (collectively, the “Capital
      Infusion”).

    

    C. The
      parties have agreed, subject to the terms and conditions of this Amendment,
      to
      amend the Loan Agreement.

    

    NOW,
      THEREFORE, with the foregoing Background hereinafter deemed incorporated by
      this
      reference, the parties hereto, intending to be legally bound, promise and agree
      as follows:

    

    1. AMENDMENTS
      TO LOAN AGREEMENT

    

    1.1 Definitions.
      The
      following definitions contained in Section 1.1 of the Loan Agreement are amended
      and restated as follows:

    

    “Applicable
      Margin”
means
      (a) prior to January 1, 2009, (i) for any Prime Rate Loan, 0.25% and (ii) for
      any LIBOR Loan, 2.50%; and (b) on and all times after January 1, 2009, the
      per
      annum rate of interest as determined pursuant to Section 2.2.5
      hereof.

    

    “Borrowing
      Base”
means,
      at Borrower’s election, subject to the election limitations contained in this
      Agreement as amended, an amount equal to either Borrowing Base Option A,
      Borrowing Base Option B, Borrowing Base Option AA or Borrowing Base Option
      C.

    

    “Deferred
      Royalties”
means
      the sum of (a) the aggregate sum not to exceed $2,388,000 payable pursuant
      to
      the terms of the License Agreements, and representing deferred 2004 royalty
      payments owing to Latitude and (b) the Additional Deferred Royalties (as defined
      in that certain Third Amendment to Loan and Security Agreement among Borrower,
      Guarantors and Bank dated April 21, 2008).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    1.2 New
      Definitions.
      The
      following new definitions are hereby added to Section 1.1 of the Loan
      Agreement:

    

    “Borrowing
      Base Option AA”
means,
      on any date of determination thereof, an amount equal to:

    

    (i) up
      to 85%
      (or such lesser percentage as Bank may determine from time to time in its
      reasonable discretion) of the total amount of Eligible Accounts; provided that,
      the percentage shall be reduced to the extent Borrower’s Dilution Rate exceeds
      five percent (5%), plus

    

    (ii) the
      least
      of (a) $500,000, and (b) the lesser of (A) up to 45% (or such lesser percentage
      as Bank may determine from time to time in its reasonable
      discretion) of
      the
      total amount of Eligible Inventory and (B) up to 80% of the NOLV of Eligible
      Inventory, minus 

    

    (iii) any
      Reserves.

    

    “Borrowing
      Base Option C”
means,
      on any date of determination thereof, an amount equal to:

    

    (i) up
      to 85%
      (or such lesser percentage as Bank may determine from time to time in its
      reasonable discretion) of the total amount of Eligible Accounts; provided that,
      the percentage shall be reduced to the extent Borrower's Dilution Rate exceeds
      five percent (5%), plus 

    

    (ii) the
      least
      of (a) $8,000,000, and (b) the sum of (i) the lesser of (A) up to 45% (or such
      lesser percentage as Bank may determine from time to time in its reasonable
      discretion) of
      the
      total amount of Eligible Inventory and (B) up to 80% of the NOLV of Eligible
      Inventory; plus
      (ii) the
      lesser of (A) up to 45% (or such lesser percentage as Bank may determine from
      time to time in its reasonable discretion) of the total amount of Eligible
      LC
      Inventory and (B) up to 80% of the NOLV of Eligible LC Inventory, minus 

    

    
      
        
        

      

      
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    (iii) any
      Reserves.

    

    1.3 Adjustment
      of Interest Rate.
      Section
      2.2.5 of the Loan Agreement is amended and restated as follows:

     

    2.2.5 Adjustment
      of Interest Rate.
      Commencing on January 1, 2009, and thereafter on the first day of each
      succeeding Interest Adjustment Period, the interest rate for all Loans for
      each
      applicable Interest Adjustment Period shall be determined based upon the prior
      calendar quarter’s average Excess Availability (as determined by Bank, in its
      reasonable discretion), in accordance with the following matrix:

     

    
      	
               

              Excess
                Availability

               

            	
              Applicable
                Margin for
                Prime Rate Loans

            	
              Applicable
                Margin
                for LIBOR Loans

            
	
              Equal
                to or less than $2,500,000

            	
              0.25%

            	
              2.50%

            
	
              Greater
                than $2,500,000 but equal to or less than $5,000,000

            	
              0%

            	
              2.25%

            
	
              Greater
                than $5,000,000 

            	
              -0.25%

            	
              2.00%

            

    

    

    For
      purposes of the foregoing (i) no downward rate adjustment shall occur if an
      Event of Default has occurred and is continuing on the applicable Interest
      Adjustment Date, such adjustment to take effect only upon the cure or waiver
      in
      writing of such Event of Default and (ii) if Borrower
      fails to
      timely deliver the applicable compliance certificate and monthly financial
      statements to Bank in accordance with this Agreement on the date when due,
      then
      at Bank’s option, the interest rates above shall be increased on such date to
      the highest rate of interest pursuant to the above matrix, which rate of
      interest shall continue in effect until such compliance certificate and
      financial statements shall have been delivered.

    

    
      
        
        

      

      
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    1.4 Letters
      of Credit Sublimit.
      Section
      2.10.1 of the Loan Agreement is amended and restated as follows:

    

    2.10.1 Issuance
      of Letters of Credit.
      Bank
      shall from time to time issue, upon five (5) Business Days prior written notice,
      extend or renew letters of credit for the account of Borrower or its
      Subsidiaries; provided that (i) the aggregate face amount of Letters of Credit
      issued by Bank which are outstanding at any one time shall not exceed $2,000,000
      at all times during which Borrower has elected that the Borrowing Base to be
      determined using Borrowing Base Option A, $8,000,000 at all times during which
      Borrower has elected that the Borrowing Base to be determined using Borrowing
      Base Option B, $2,000,000 at all times during which Borrower has elected that
      the Borrowing Base to be determined using Borrowing Base Option AA and
      $8,000,000 at all times during which Borrower has elected that the Borrowing
      Base to be determined using Borrowing Base Option C (ii) Bank shall have no
      obligation to issue any Letter of Credit if, after giving effect thereto, the
      principal amount of all Revolver Loans and the Letter of Credit Obligations
      would exceed the lesser of the Borrowing Base and the Revolver Commitment,
      and
      (iii) all other conditions precedent to the issuance of each such Letter or
      Credit as set forth herein are satisfied or waived in writing by Bank. All
      payments made by Bank under any such Letters of Credit (whether or not Borrower
      is the account party) and all fees, commissions, discounts and other amounts
      owed or to be owed to Bank in connection therewith, shall be paid on demand,
      unless Borrower instructs Bank to make a Revolver Loan to pay such amount,
      Bank
      agrees to do so, and the necessary amount remains available to be drawn as
      a
      Revolver Loan hereunder. All Letter of Credit Obligations shall be secured
      by
      the Collateral. Borrower shall complete and sign such applications and
      supplemental agreements and provide such other documentation as Bank may
      require. The form and substance of all Letters of Credit, including expiration
      dates, shall be subject to Bank’s approval, and Bank shall have no obligation to
      issue any Letter of Credit which has a maturity date later than ten (10) days
      prior to the Termination Date. Bank may charge certain fees or commissions
      for
      the issuance, handling, renewal or extension of a Letter of Credit. Borrower
      unconditionally guarantees all obligations of any Subsidiary with respect to
      Letters of Credit issued by Bank for the account of such Subsidiary. Upon a
      Default, Borrower shall, on demand, deliver to Bank good funds equal to 105%
      of
      Bank’s maximum liability under all outstanding Letters of Credit, to be held as
      cash Collateral for Borrower’s reimbursement obligations and other
      Obligations.

     

    1.5 Financial
      Covenants.
      Article
      7 of the Loan Agreement is amended and restated as follows:

     

    7. Other
      Covenants of Borrower.
      Borrower covenants and agrees that from the date hereof and until payment in
      full of the Obligations and the termination of this Agreement, Borrower and
      each
      Subsidiary shall comply with the following additional covenants:

     

    7.1 Excess
      Availability.
      At all
      times during which Borrower has elected that the Borrowing Base be determined
      using (a) Borrowing Base Option B, Borrower shall maintain Excess Availability
      of at least $2,000,000; provided, however that such amount shall be reduced
      to
      $1,500,000 for such calendar month at such time as Borrower has maintained
      a
      Fixed Charge Coverage Ratio of not less than 1.20 to 1.00 as of the end of
      a
      calendar month determined for the twelve (12) month period then ending and
      (b)
      Borrowing Base Option C, Borrower shall maintain Excess Availability of at
      least
      $1,000,000; provided, however that such amount shall be increased to $1,500,000
      for such calendar month at such time as Borrower has maintained a Fixed Charge
      Coverage Ratio of not less than 1.20 to 1.00 as of the end of a calendar month
      determined for the twelve (12) month period then ending (the “Option
      C Collateral Block”).
      As
      used herein, “Fixed
      Charge Coverage Ratio”
means
      (i) EBITDA, less
      the sum
      of (A) all unfinanced Capital Expenditures made in the Applicable Fiscal Period,
      and (B) any dividends and distributions paid in the Applicable Fiscal Period,
      and (C) cash taxes paid in the Applicable Fiscal Period (without benefit of
      any
      refunds), and (D) cash payments made in the Applicable Fiscal Period with
      respect to Capital Stock based incentive compensation, and (E) any repurchases
      of Capital Stock made in the Applicable Fiscal Period, divided by (ii) the
      sum
      of (A) the current portion of scheduled principal amortization on Funded Debt
      for the Applicable Fiscal period, plus
      (B) cash
      principal payments paid on Funded Debt for the Applicable Fiscal Period (C)
      cash
      interest payments paid in the Applicable Fiscal Period, plus
      (D) the
      amount of all Deferred Note Payments paid in the Applicable Fiscal Period,
      plus
      (E) the
      amount of all Deferred Royalties paid in the Applicable Fiscal
      Period.
      As used
      herein, (i) “EBITDA”
means
      the sum of (A) consolidated net income of Borrower and its Subsidiaries in
      the
      Applicable Fiscal Period (computed without regard to any extraordinary items
      of
      gain or loss) plus
      (B) to
      the extent deducted from revenue in computing consolidated net income for such
      period, the sum of (1) interest expense, (2) income tax expense, (3)
      depreciation and amortization, and (4) non-cash Capital Stock based incentive
      compensation, (ii)
      “Capital
      Expenditures”
means
      for any period the aggregate cost of all capital assets acquired by Borrower
      and
      its Subsidiaries during such period, as determined in accordance with GAAP;
      (iii) “Applicable
      Fiscal Period”
means
      a
      period of twelve (12) consecutive, trailing calendar months ending at the end
      of
      each prescribed calendar month and (iv) “Funded
      Debt”
means
      (A) debt for borrowed funds, (B) debt for the deferred payment by one (1) year
      or more of any purchase money obligation, and (C) any subordinated
      debt.
      Borrower
      shall calculate its Fixed Charge Coverage Ratio monthly and such calculation
      shall be included in each monthly compliance certificate delivered to Bank
      pursuant to Section 5.6(d) of the Agreement. 

     

    
      
        
        

      

      
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    7.2 Capital
      Expenditures.
      Borrower shall not expend on gross fixed assets (including gross leases to
      be
      capitalized under GAAP and leasehold improvements) (i) during the fiscal year
      ending December 31, 2008 an amount exceeding $250,000 in the aggregate in such
      fiscal year, (ii) during the fiscal year ending December 31, 2009 an amount
      exceeding $300,000 in the aggregate in such fiscal year and (iii) during the
      fiscal year ending December 31, 2010 and during any fiscal year thereafter,
      an
      amount exceeding $500,000 in the aggregate.

    

    7.3 Leases.
      Borrower shall not incur, create, or assume any direct or indirect liability
      for
      the payment of rent or otherwise, under any lease or rental arrangement
      (excluding capitalized leases) if immediately thereafter the sum of such lease
      or rental payments to be made by Borrower during any 12-month period is
      increased by $175,000 in the aggregate.

     

    7.4 Fixed
      Charge Coverage Ratio.
      At all
      times during which Borrower has elected that the Borrowing Base be determined
      using Borrowing Base Option C, Borrower shall maintain a Fixed Charge Coverage
      Ratio (as defined in Section 7.1 of this Agreement) of not less than 1.00 to
      1.00 for the fiscal quarters ending March 31, 2009, June 30, 2009 and September
      30, 2009 and 1.20 to 1.00 for the fiscal quarter ending December 31, 2009 and
      each fiscal quarter thereafter; provided, however, the calculation of Fixed
      Charge Coverage Ratio for the fiscal quarter ending March 31, 2009 shall be
      for
      the one (1) fiscal quarter ending on such date of determination, the calculation
      of Fixed Charge Coverage Ratio for the fiscal quarter ending June 30, 2009
      shall
      be for the two (2) fiscal quarters ending on such date of determination and
      the
      calculation of Fixed Charge Coverage Ratio for the fiscal quarter ending
      September 30, 2009 shall be for the three (3) fiscal quarters ending on such
      date of determination.

    

    1.6 Capital
      Infusion.
      Notwithstanding anything to the contrary contained herein or in the Loan
      Agreement:

    

    (a) Borrower
      may elect to use Borrowing Base Option AA until the earlier of (i) May 30,
      2008,
      (ii) the date on which Borrower consummates the Capital Infusion or (iii) the
      date Borrower is notified that its partners and/or management will not provide
      the Capital Infusion.

    

    (b) Borrower
      may elect to use Borrowing Base Option C solely following the consummation
      of
      the Capital Infusion so long as Borrower consummates the Capital Infusion on
      or
      before May 30, 2008.

    

    (c) Borrower
      shall deliver to Bank any and all documents, instruments and agreements
      evidencing and/or relating to the Capital Infusion at least two (2) Business
      Days prior to the consummation of the Capital Infusion and the form, substance
      and terms thereof shall acceptable to Bank in its sole and absolute
      discretion.

    

    (d) Prior
      to
      the consummation of the Capital Infusion, Borrower and Latitude shall have
      executed and delivered to Bank an amended and restated Licensor Agreement,
      in
      form and substance acceptable to Bank.

    

    1.7 Baltimore
      Real Estate. 

    

    (a) Contemporaneously
      with the disposition of Borrower’s real estate located at 3840 Bank Street,
      Baltimore, Maryland 21224 (the “Maryland
      Real Property”),
      Borrower shall prepay the Loans in an amount equal to 100% of the Net Cash
      Proceeds of such disposition (the “Real
      Estate Prepayment”).
      Borrower and Bank agree and acknowledge that upon such disposition Bank shall
      institute an additional Reserve against the Borrowing Base in an amount equal
      to
      the Real Estate Prepayment (the “Real
      Estate Reserve”);
      provided, however the Real Estate Reserve shall be permanently reduced to $0
      upon Bank’s receipt of the consolidated audited financial statements of Isaacs
      and its Subsidiaries for the fiscal year ending December 31, 2008 so long as
      at
      such time (a) no Event of Default or Default has occurred and is continuing,
      (b)
      Borrower has maintained a monthly Free Cash Flow of at least 85% of the amount
      set forth on Schedule
      A
      attached
      hereto as of the end of each calendar month through and including the calendar
      month ending December 31, 2008 and (c) on such date the Option C Collateral
      Block set forth in Section 7.1 of the Loan Agreement is automatically and
      permanently increased to $1,500,000. Borrower shall calculate its Free Cash
      Flow
      monthly and such calculation shall be included in each monthly compliance
      certificate delivered to Bank pursuant to Section 5.6(d) of the
      Agreement.

     

    
      
        
        

      

      
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    (b) For
      purposes of Section 1.7(a), “Free
      Cash Flow”
shall
      mean the positive difference, if any, between (i) EBITDA, less
      the sum
      of (A) all unfinanced Capital Expenditures made in the Applicable Fiscal Period,
      and (B) any dividends and distributions paid in the Applicable Fiscal Period,
      and (C) cash taxes paid in the Applicable Fiscal Period (without benefit of
      any
      refunds), and (D) cash payments made in the Applicable Fiscal Period with
      respect to Capital Stock based incentive compensation, and (E) any repurchases
      of Capital Stock made in the Applicable Fiscal Period and (ii) the sum of (A)
      the current portion of scheduled principal amortization on Funded Debt for
      the
      Applicable Fiscal period, plus
      (B) cash
      principal payments paid on Funded Debt for the Applicable Fiscal Period (C)
      cash
      interest payments paid in the Applicable Fiscal Period, plus
      (D) the
      amount of all Deferred Note Payments paid in the Applicable Fiscal Period,
      plus
      (E) the
      amount of all Deferred Royalties paid in the Applicable Fiscal Period;
“EBITDA”
has
      the
      meaning set forth in Section 7.1 of the Loan Agreement (provided for purposes
      of
      the calculation thereof, “Applicable Fiscal Period” shall have the meaning set
      forth below); “Capital
      Expenditures”
has
      the
      meaning set forth in Section 7.1 of the Loan Agreement; “Applicable
      Fiscal Period”
means
      the calendar month ending on the date of determination; “Funded
      Debt”
has
      the
      meaning set forth in Section 7.1 of the Loan Agreement; and “Net
      Cash Proceeds”
shall
      mean the aggregate cash proceeds received by Borrower in respect of the
      disposition of the Maryland Real Property, net of (a) direct costs (including,
      without limitation, legal, accounting and investment banking fees, and sales
      commissions), and (b) taxes paid or payable as a result thereof.

    

    1.8 Borrowing
      Base Certificate.
      An
      updated form of Borrowing Base Certificate is attached hereto as Exhibit
      A.
      Each
      Borrowing Base Certificate delivered by Borrower to Bank as required by Section
      5.6(a) of the Loan Agreement shall include (a) the calculations of the Borrowing
      Base determined using each of the Borrowing Base Option A, the Borrowing Base
      Option B, Borrowing Base Option AA and Borrowing Base Option C and (b) notice
      of
      Borrower’s election to use either Borrowing Base Option A, the Borrowing Base
      Option B, Borrowing Base Option AA or Borrowing Base Option C until the delivery
      of the next Borrowing Base Certificate.

    

    2. CONFIRMATION
      OF INDEBTEDNESS

    

    Borrower
      hereby confirms and agrees that, as of April 21, 2008, the total principal
      outstanding Loans under the Loan Agreement is $2,401,683.50 and the total face
      amount of issued and outstanding Letters of Credit is $38,784.20, and that
      Borrower is unconditionally liable to Bank for such amount, together all accrued
      and unpaid interest and expenses through the Amendment Effective Date, without
      any set-off, deduction, counterclaim or defense.

    

    3. FURTHER
      ASSURANCES

    

    Borrower
      hereby agrees to take all such actions and to execute and/or deliver to Bank
      all
      such agreements, instruments, certificates, assignments, financing statements
      and other documents, as Bank may reasonably require from time to time, to
      effectuate and implement the purposes of this Amendment.

     

     

    
      
        
        

      

      
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    4. CONFIRMATION
      OF COLLATERAL

    

    Borrower
      covenants, confirms and agrees that as security for the repayment of the
      Obligations, Bank has, and shall continue to have, and is hereby granted a
      continuing lien on and security interest in the Collateral, all whether now
      owned or hereafter acquired, created or arising, including all proceeds thereof.
      Borrower acknowledges and agrees that nothing herein contained in any way
      impairs Bank’s existing rights and priority in the Collateral.

    

    5. REPRESENTATIONS
      AND WARRANTIES

    

    Borrower
      warrants and represents to Bank that:

    

    (a) By
      execution of this Amendment, Borrower reconfirms all warranties and
      representations made to Bank under the Loan Documents and restates such
      warranties and representations as of the date hereof all of which shall be
      deemed continuing until all of the Obligations are paid and satisfied in
      full;

    

    (b) The
      execution and delivery by Borrower and Guarantors of this Amendment and the
      performance of the transactions herein contemplated (i) are and will be within
      their powers, (ii) have been authorized by all necessary action, and (iii)
      are
      not and will not be in contravention of any order of court or other agency
      of
      government, of law, of any organization document of Borrower or any Guarantor
      or
      of any indenture, agreement or undertaking to which Borrower or any Guarantor
      is
      a party or by which the property of Borrower or any Guarantor is bound, or
      be in
      conflict with, result in a breach of or constitute (with due notice and/or
      lapse
      of time) a default under any such indenture, agreement or undertaking, or result
      in the imposition of any lien, charge or encumbrance of any nature on any of
      the
      properties of Borrower or any Guarantor;

    

    (c) This
      Amendment and any assignment or other instrument, document or agreement executed
      and delivered in connection herewith, will constitute the legal, valid and
      binding obligations of Borrower and Guarantor, enforceable in accordance with
      their respective terms, subject only to bankruptcy and similar laws affecting
      creditors’ rights generally; 

    

    (d) Upon
      the
      effectiveness of this Amendment, there are no outstanding Defaults or Events
      of
      Default under any of the Loan Documents; and

    

    (e) There
      has
      been no change which could have a Material Adverse Effect on Borrower, any
      Subsidiary or any Guarantor since the date of the most recent financial
      statements of such Person delivered to Bank from time to time.

    

    6. CONDITIONS
      PRECEDENT

    

    This
      Amendment shall not be effective until the following conditions have been met
      to
      the sole satisfaction of Bank (all documents to be in form and substance
      satisfactory to Bank):

    

    (a) Borrower
      and each Guarantor shall have executed and delivered to Bank this
      Amendment;

    

    (b) Borrower
      shall have delivered to Bank certified resolutions and written consents
      authorizing the execution and delivery and performance of this Amendment and
      the
      Capital Infusion;

     

    
      
        
        

      

      
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    (c) Borrower
      shall have paid to Bank, in immediately available funds, a non-refundable
      amendment fee in an amount equal to $25,000, which fee is fully earned by Bank
      as of the Amendment Effective Date; and

    

    (d) Borrower
      and each Guarantor shall have executed and delivered, or shall have caused
      to be
      executed and delivered (as applicable), to Bank all other agreements,
      instruments and documents which Bank may reasonably require, each in form and
      substance acceptable to Bank in its sole discretion.

    

    This
      Amendment shall have effect as of the date all conditions precedent in this
      Section 6 shall have been satisfied (the “Amendment
      Effective Date”).

    

    7. PAYMENT
      OF EXPENSES

    

    Borrower
      shall pay or reimburse Bank for all reasonable attorneys’ fees and expenses and
      all reasonable out of pocket costs in connection with the preparation,
      negotiation and execution of this Amendment and all agreements, instruments
      and
      documents provided for herein or related hereto.

    

    8. REAFFIRMATION

    

    This
      Amendment shall be incorporated into and made part of the Loan Agreement. Except
      as expressly modified by the terms hereof, all of the terms and conditions
      of
      the Loan Agreement, and all other of the Loan Documents are hereby reaffirmed
      and shall continue in full force and effect as therein written.

    

    9. GUARANTEES

    

    Execution
      of this Amendment by each Guarantor reflects the approval of such Guarantor
      to
      this Amendment, and the unconditional acknowledgement by such Guarantor that
      such Guarantor’s Guaranty Agreement executed in favor of Bank remains in full
      force and effect in accordance with its terms.

    

    10. RELEASE

    

    As
      further consideration for the agreement of Bank to enter into this Amendment,
      Borrower and each Guarantor hereby waives, releases and discharges Bank, all
      affiliates of Bank and all of the directors, officers, employees, attorneys
      and
      agent of Bank and all affiliates of such Persons, from any and all claims,
      demands, actions or causes of action whether known or unknown existing as of
      the
      date hereof, arising out of or in any way relating to this Amendment, the Loan
      Agreement, the Loan Documents and/or any documents, agreements, instruments,
      dealings or other matters connected with this Amendment, the Loan Agreement,
      the
      Loan Documents or the administration thereof.

    

    11. MISCELLANEOUS

    

    11.1 Integrated
      Agreement.
      The
      Loan Documents and this Amendment shall be construed as integrated and
      complementary of each other, and as augmenting and not restricting Bank’s
      rights, remedies and security. If, after applying the foregoing, an
      inconsistency still exists, the provisions of this Amendment shall control.
      

     

    
      
        
        

      

      
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    11.2 Severability.
      Any
      provision hereof, the Loan Agreement or any other Loan Document that is
      prohibited or unenforceable in any jurisdiction shall be, as to such
      jurisdiction, ineffective to the extent of such prohibition or unenforceability
      without invalidating the remaining provisions hereof, and any such prohibition
      or unenforceability in any jurisdiction shall not invalidate or render
      unenforceable such provision in any other jurisdiction.

    

    11.3 Non-Waiver.
      No
      omission or delay by Bank in exercising any right or power under this Amendment,
      or the Loan Documents or any related agreement will impair such right or power
      or be construed to be a waiver of any Default or Event of Default or an
      acquiescence therein, and any single or partial exercise of any such right
      or
      power will not preclude other or further exercise thereof or the exercise of
      any
      other right, and no waiver will be valid unless in writing and signed by Bank
      and then only to the extent specified. Bank’s rights and remedies are cumulative
      and concurrent and may be pursued singly, successively or together.

    

    11.4 Headings.
      The
      headings of any paragraph of this Amendment are for convenience only and shall
      not be used to interpret any provision of this Amendment.

    

    11.5 Survival.
      All
      warranties, representations and covenants made by Borrower herein, or in any
      agreement referred to herein or on any certificate, document or other instrument
      delivered by it or on its behalf under this Amendment, shall be considered
      to
      have been relied upon by Bank. All statements in any such certificate or other
      instrument shall constitute warranties and representations by Borrower
      hereunder. All warranties, representations, and covenants made by Borrower
      hereunder or under any other agreement or instrument shall be deemed continuing
      until the Obligations are indefeasibly paid and satisfied in full.

    

    11.6 Successors
      and Assigns.
      This
      Amendment shall be binding upon and shall inure to the benefit of Borrower
      and
      Bank, and their respective successors and assigns; provided, that Borrower
      may
      not assign any of its rights hereunder without the prior written consent of
      Bank, and any such assignment made without such consent will be
      void.

    

    11.7 Governing
      Law. This
      Amendment, the Loan Agreement and the Loan Documents shall be deemed contracts
      made under the laws of the State of the Jurisdiction and shall be governed
      by
      and construed in accordance with the laws of said state (excluding its conflict
      of laws provisions if such provisions would require application of the laws
      of
      another jurisdiction) except insofar as the laws of another jurisdiction may,
      by
      reason of mandatory provisions of law, govern the perfection, priority and
      enforcement of security interests in the Collateral.

    

    11.8 WAIVER
      OF JURY TRIAL.
      TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH OF BORROWER BY EXECUTION HEREOF
      AND BANK BY ACCEPTANCE HEREOF, KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES
      ANY RIGHT EACH MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED
      ON, OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AMENDMENT, THE LOAN
      AGREEMENT, THE LOAN DOCUMENTS OR ANY AGREEMENT CONTEMPLATED TO BE EXECUTED
      IN
      CONNECTION WITH THIS AMENDMENT OR THE LOAN AGREEMENT OR ANY COURSE OF CONDUCT,
      COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF ANY
      PARTY WITH RESPECT HERETO. THIS PROVISION IS A MATERIAL INDUCEMENT TO BANK
      TO
      ENTER INTO AND ACCEPT THIS AGREEMENT. 

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    11.9 Counterparts.
      This
      Amendment may be executed in any number of counterparts and by different parties
      hereto in separate counterparts, each of which when so executed and delivered
      shall be deemed an original and all of which when taken together shall
      constitute but one and the same instrument. Any signature delivered by a party
      by facsimile transmission shall be deemed to be an original signature
      hereto.

    

    [SIGNATURES
      ON FOLLOWING PAGE]

    

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the parties have caused this Amendment to be executed and
      delivered by their duly authorized officers as of the date first above
      written.

     

    
      
        	
                BORROWER:

              	I.
                C. ISAACS & COMPANY, L.P.
	 	By:
                I.C. Isaacs & Company, Inc., general partner
	 	 	 
	 	 	 
	
                 

              	
                By:

              	
                /s/
                  Robert S. Stec

              
	 	 	
                Robert
                  S. Stec, Chief Executive Officer

              
	 	 	 
	 	 
	
                BANK:

              	WACHOVIA
                BANK, NATIONAL ASSOCIATION
	 	 	 
	 	 	 
	 	
                By:

              	
                /s/
                  Georgios Kyvernitis

              
	 	 	
                Georgios
                  Kyvernitis, Director

              
	 	 	 
	 	 
	
                GUARANTORS:

              	I.
                C. ISAACS & COMPANY, L.P.
	 	 	 
	 	 	 
	 	
                By:

              	
                
                  /s/
                    Robert S. Stec

                

              
	 	 	
                Robert
                  S. Stec, Chief Executive Officer

              
	 	 	 
	 	 
	 	ISAACS
                DESIGN, INC.
	 	 	 
	 	 	 
	 	
                By:

              	
                
                  /s/
                    Robert S. Stec

                

              
	 	 	
                Robert
                  S. Stec, Chief Executive
                  Officer

              

      

    

     

     

    
      
        
        

      

      
        
          [SIGNATURE
            PAGE TO THIRD AMENDMENT 

          TO
            LOAN AND SECURITY AGREEMENT]

          S-1Unassociated Document

    SECURITIES
      PURCHASE AGREEMENT

     

    THIS
      SECURITIES PURCHASE AGREEMENT (this “Agreement”)
      is
      made as of ____________,2008 by and between GTX Corp, a Nevada corporation
      (the
“Company”),
      and
      the undersigned (“Subscriber”).

     

    RECITALS

     

    WHEREAS,
      pursuant
      to that certain Subscription Application of Subscriber of even date hereof
      (the
“Subscription
      Application”),
      an
      executed copy of which is attached hereto as Exhibit
      A,
      the
      Company desires to sell to Subscriber and Subscriber desires to purchase
      securities from the Company as set forth herein, subject to the terms and
      conditions of this Agreement and the other documents or instruments contemplated
      hereby.

     

    NOW,
      THEREFORE,
      the
      parties hereto hereby agree as follows:

     

    AGREEMENT

     

    1. Sale
      and Issuance of Units.
      At the
      Closing (as defined in Section
      2.1)
      and
      subject to the terms and conditions of this Agreement, the Company shall sell
      to
      Subscriber, and Subscriber shall purchase from the Company, that number of
      units
      of the Company's securities (each a “Unit”)
      set
      forth on the Subscription Application at a purchase price of $1.00 per Unit.
      Each Unit consists of one share of restricted common stock (the “Common
      Stock”)
      and
      one warrant (“Warrant”)
      to
      purchase one share of Common Stock (“Warrant
      Share”),
      in
      accordance with the terms and conditions of the warrant attached hereto as
      Exhibit
      B.
      The
      Common Stock and Warrant are collectively referred to herein as the
“Securities”.
      Subject to the terms and conditions of this Agreement, the Company has
      authorized the sale and issuance of the Securities to Subscriber.

     

    This
      offering of the Securities (the “Offering”)
      is
      being made to “accredited investors” only, as that term is defined in Regulation
      D promulgated under the Securities Act of 1933, as amended (the “Securities
      Act”).
      The
      Company is offering the Securities for the consideration set forth herein.
      The
      Company may sell less than all of the Securities offered hereby, and shall
      be
      entitled to accept subscriptions and receive the subscription price for each
      subscription prior to the entire Offering being subscribed for. The Offering
      is
      being made on a “best efforts” basis. The minimum subscription amount per
      investor is $10,000. The maximum offering by the Company is $2,000,000.

     

    2. The
      Closing.

     

    2.1 The
      closing of the issuance and sale of the Securities to Subscriber (the
“Closing”)
      shall
      take place simultaneously with the execution and delivery of this Agreement
      at
      the offices of the Company. 

     

    2.2 At
      the
      Closing, the Company shall deliver to Subscriber this Agreement duly executed
      by
      the Company. At or prior to the Closing, Subscriber shall deliver to the Company
      the complete and duly executed Subscription Application and a check or wire
      transfer in an aggregate amount equal to the purchase price set forth on the
      Subscription Application. The wire transfer shall be sent pursuant to the
      following instructions:

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    [banking
      information details deleted]

    

    3. Representations
      and Warranties of the Company.
      The
      Company hereby represents and warrants to Subscriber as of the Closing as
      follows:

     

    3.1 Organization.
       The
      Company is duly organized, validly existing and in good standing under the
      laws
      of the State of Nevada and is qualified to conduct its business as a foreign
      corporation in each jurisdiction where the failure to be so qualified would
      have
      a material adverse effect on the Company. 

     

    3.2 Authorization
      of Agreement, Etc.
      The
      execution, delivery and performance by the Company of this Agreement have been
      duly authorized by all requisite corporate action by the Company; and this
      Agreement has been duly executed and delivered by the Company. This Agreement,
      when executed and delivered by the Company, constitutes the valid and binding
      obligation of the Company, enforceable against the Company in accordance with
      its terms, subject to applicable bankruptcy, insolvency, reorganization,
      fraudulent conveyance, moratorium or other similar laws affecting creditors'
      rights and remedies generally, and subject as to enforceability to general
      principles of equity (regardless of whether enforcement is sought in a
      proceeding at law or in equity).

     

    3.3 Outstanding
      Stock.
      All
      issued and outstanding shares of capital stock of the Company and each of its
      subsidiaries have been duly authorized and validly issued and are fully paid
      and
      nonassessable. The Securities upon issuance: are, or will be, free and clear
      of
      any security interests, liens, claims or other encumbrances, subject to
      restrictions upon transfer under the Securities Act and any applicable state
      securities laws; have been, or will be, duly and validly authorized and on
      the
      date of issuance of the Common Stock and upon exercise of the Warrants, the
      Common Stock and Warrant Shares will be duly and validly issued, fully paid
      and
      nonassessable; and will not subject the holders thereof to personal liability
      by
      reason of being such holders.

     

    3.4 Capitalization.
      As of
      April 10, 2008, the authorized capital stock of the Company consists of (i)
      2,071,000,000 authorized shares of Common Stock, of which as of the date hereof,
      36,520,963 shares are issued and outstanding, 4,075,000 are reserved for
      issuance pursuant to outstanding warrant agreements and 7,000,000 shares are
      reserved for issuance pursuant to the Company's stock option plan, of which
      approximately 2,575,000 shares remain available for future grants; and (ii)
      10,000,000 shares of preferred stock, of which none are issued and
      outstanding.

     

    3.5 Consents.
      No
      consent, approval, authorization or order of any court, governmental agency
      or
      body or arbitrator having jurisdiction over the Company, or any of its
      affiliates, the Financial Industry Regulatory Authority, the OTC Bulletin Board
      nor the Company’s shareholders is required for the execution by the Company of
      the Agreement and compliance and performance by the Company of its obligations
      under the Agreement, including, without limitation, the issuance and sale of
      the
      Securities.

     

    3.6 Litigation.
      There
      is no pending or, to the best knowledge of the Company, threatened action,
      suit,
      proceeding or investigation before any court, governmental agency or body,
      or
      arbitrator having jurisdiction over the Company, or any of its affiliates that
      would materially affect the execution by the Company or the performance by
      the
      Company of its obligations under this Agreement. 

     

    3.7 No
      Integrated Offering.
      Neither
      the Company, nor any of its affiliates, nor any person acting on its or their
      behalf, has directly or indirectly made any offers or sales of any security
      or
      solicited any offers to buy any security under circumstances that would cause
      the offer of the Securities pursuant to this Agreement to be integrated with
      prior offerings by the Company for purposes of the Act or any applicable
      stockholder approval provisions, including, without limitation, under the rules
      and regulations of the OTC Bulletin Board which if so integrated would eliminate
      the exemption for the sale of the Securities pursuant to this Agreement. The
      Company will not conduct any offering other than the transactions contemplated
      hereby that will be integrated with the offer or issuance of the Securities
      which if so integrated would eliminate the exemption for the sale of the
      Securities pursuant to this Agreement.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    3.8 No
      General Solicitation.
      Neither
      the Company, nor any of its affiliates, nor to its knowledge, any person acting
      on its or their behalf, has engaged in any form of general solicitation or
      general advertising (within the meaning of Regulation D under the Act) in
      connection with the offer or sale of the Securities.

     

    3.9 Listing.
      The
      Company's common stock is quoted on the OTC Bulletin Board. The Company has
      not
      received any oral or written notice that its common stock is not eligible nor
      will become ineligible for quotation on the OTC Bulletin Board nor that its
      common stock does not meet all requirements for the continuation of such
      quotation and the Company satisfies and as of the Closing, the Company will
      satisfy all the requirements for the continued quotation of its common stock
      on
      the OTC Bulletin Board.

     

    3.10 Survival.
      The
      foregoing representations and warranties shall survive the Closing for a period
      of two years.

     

    4. Representations
      and Warranties of Subscriber.
      Subscriber hereby represents and warrants to the Company as of the Closing
      as
      follows:

     

    4.1 Authorization
      of the Agreement.
      Subscriber has all requisite power and authority (corporate or otherwise) to
      execute, deliver and perform the Subscription Application and this Agreement
      (sometimes referred to hereinafter collectively as the “Financing
      Documents”)
      and
      the transactions contemplated thereby and hereby, and the execution, delivery
      and performance by Subscriber of the Financing Documents have been duly
      authorized by all requisite action by Subscriber and each such Financing
      Document, when executed and delivered by Subscriber, constitutes a valid and
      binding obligation of Subscriber, enforceable against Subscriber in accordance
      with its terms, subject to applicable bankruptcy, insolvency, reorganization,
      fraudulent conveyance, moratorium or other similar laws affecting creditors'
      rights and remedies generally, and subject, as to enforceability, to general
      principles of equity (regardless of whether enforcement is sought in a
      proceeding at law or in equity). 

     

    4.2 Investment
      Representations.
      All of
      the representations, warranties and information of Subscriber provided in the
      Subscription Application are incorporated herein and made a part hereof by
      this
      reference and shall be true at the Closing with the same effect as though made
      at the Closing. 

     

    5. Covenants
      of the Company.
      The
      Company covenants and agrees with Subscriber as follows:

     

    5.1 Listing.
      The
      Company will maintain the listing of its Common Stock on the OTC Bulletin
      Board.

     

    5.2 Reservation.
      Prior
      to the Closing, the Company undertakes to reserve, pro rata, on behalf of
      Subscriber and holder of a Warrant, from its authorized but unissued common
      stock, a number of common shares equal to the amount of Warrant Shares issuable
      upon exercise of the Warrants.

     

    5.3 Non-Public
      Information.
      The
      Company covenants and agrees that neither it nor any other person acting on
      its
      behalf will provide Subscriber or its agents or counsel with any information
      that the Company believes constitutes material non-public information, unless
      prior thereto, Subscriber shall have agreed in writing to receive such
      information. The Company understands and confirms that Subscriber shall be
      relying on the foregoing representations in effecting transactions in securities
      of the Company.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    6. Brokers
      and Finders.
      The
      Company may pay up to 7% of the maximum offering amount plus up to 7% warrant
      coverage (warrants to purchase up to 140,000 shares of Common Stock) in
      commissions, brokerage fees or finder’s fees to finders or brokers. The Company
      shall not be obligated to pay any commission, brokerage fee or finder's fee
      based on any alleged agreement or understanding between Subscriber and a third
      person in respect of the transactions contemplated hereby. Subscriber hereby
      agrees to indemnify the Company against any claim by any third person for any
      commission, brokerage or finder's fee or other payment with respect to this
      Agreement or the transactions contemplated hereby based on any alleged agreement
      or understanding between Subscriber and such third person, whether express
      or
      implied from the actions of Subscriber. 

     

    7. Indemnification.
      Subscriber hereby agrees to indemnify and defend (with counsel acceptable to
      the
      Company) the Company and its officers, directors, employees and agents and
      hold
      them harmless from and against any and all liability, loss, damage, cost or
      expense, including costs and reasonable attorneys' fees, incurred on account
      of
      or arising from:

     

    Any
      breach of or inaccuracy in Subscriber's representations, warranties or
      agreements herein or in the Subscription Application; and

     

    Any
      action, suit or proceeding based on a claim that any of Subscriber's
      representations and warranties in the Subscription Application were inaccurate
      or misleading, or otherwise cause for obtaining damages or redress from the
      Company or any officer, director, employee or agent of the Company under the
      Act.

     

    8. Registration
      Rights.
      If the
      Company at any time proposes to register any of its securities under the Act
      for
      sale to the public, whether for its own account or for the account of other
      security holders or both, except with respect to registration statements on
      Forms S-4 or S-8 (or another form not available for registering the securities
      for sale to the public), provided the Registrable Securities are not otherwise
      subject to an effective registration statement, the Company will cause such
      Registrable Securities to be included with the securities to be covered by
      the
      registration statement proposed to be filed by the Company, subject to
      underwriter cutbacks and/or SEC limitations. “Registrable
      Securities”
means
      the number of shares of the Company's Common Stock and Common Stock issuable
      upon exercise of the Warrants purchased by Subscriber hereunder.

    

    9. Successors
      and Assigns.
      This
      Agreement shall bind and inure to the benefit of the Company, Subscriber and
      their respective successors and assigns. 

    

    10. Entire
      Agreement.
      This
      Agreement and the other writings and agreements referred to in this Agreement
      or
      delivered pursuant to this Agreement contain the entire understanding of the
      parties with respect to the subject matter hereof and supersedes all prior
      agreements and understandings among the parties with respect
      thereto.

     

    11. Notices.
      All
      notices, demands and requests of any kind to be delivered to any party in
      connection with this Agreement shall be in writing and shall be deemed to have
      been duly given if personally delivered or if sent by internationally-recognized
      overnight courier or by registered or certified mail, return receipt requested
      and postage prepaid, addressed as follows:

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    
      	
              if
                to the Company, to:

            	
              GTX
                CORP

            
	 	
              Attention:
                Murray Williams, CFO

            
	 	
              117
                W. 9th Street, # 1214

            
	 	
              Los
                Angeles, CA 90014

            
	 	
              Fax:
                (888) 886-1305

            
	 	 
	
              with
                a courtesy copy to:
                  

            	
              Richardson
                & Patel LLP

            
	 	
              10900
                Wilshire Boulevard, Suite 500

            
	 	
              Los
                Angeles, California 90024

            
	 	
              Attn.
                Mark Abdou

            
	 	
              Fax:
                (310) 208-1154

            
	 	 
	
              if
                to Subscriber, to:

            	 
	
                                          the
                address of Subscriber set forth on the Subscription
                Application;

            

    

     

    or
      to
      such other address as the party to whom notice is to be given may have furnished
      to the other parties to this Agreement in writing in accordance with the
      provisions of this Section. Any such notice or communication shall be deemed
      to
      have been received (i) in the case of personal delivery, on the date of such
      delivery, (ii) in the case of internationally-recognized overnight courier,
      on
      the next business day after the date when sent and (iii) in the case of mailing,
      on the third business day following that on which the piece of mail containing
      such communication is posted.

     

    12. Amendments.
      This
      Agreement may not be modified or amended, or any of the provisions of this
      Agreement waived, except by written agreement of the Company and a majority
      of
      the Subscribers participating in the Offering.

     

    13. Governing
      Law.
      All
      questions concerning the construction, interpretation and validity of this
      Agreement shall be governed by and construed and enforced in accordance with
      the
      domestic laws of the State of California without giving effect to any choice
      or
      conflict of law provision or rule (whether in the State of California or any
      other jurisdiction) that would cause the application of the laws of any
      jurisdiction other than the State of California. In furtherance of the
      foregoing, the internal law of the State of California will control the
      interpretation and construction of this Agreement, even if under such
      jurisdiction's choice of law or conflict of law analysis, the substantive law
      of
      some other jurisdiction would ordinarily or necessarily apply. 

     

    14. Submission
      to Jurisdiction.
      Any
      legal action or proceeding with respect to this Agreement shall be brought
      in
      the Federal and state courts located in the City of Los Angeles, California,
      U.S.A. and, by execution and delivery of this Agreement. Subscriber hereby
      irrevocably waives, in connection with any such action or proceeding, any
      objection, including, without limitation, any objection to the venue or based
      on
      the grounds of forum non conveniens, which it may now or hereafter have to
      the
      bringing of any such action or proceeding in such respective jurisdictions.
      Subscriber hereby irrevocably consents to the service of process of any of
      the
      aforementioned courts in any such action or proceeding by the mailing of copies
      thereof by registered or certified mail, postage prepaid, to it at its address
      as set forth herein.

     

    15. Severability.
      It is
      the desire and intent of the parties that the provisions of this Agreement
      be
      enforced to the fullest extent permissible under the law and public policies
      applied in each jurisdiction in which enforcement is sought. Accordingly, in
      the
      event that any provision of this Agreement would be held in any jurisdiction
      to
      be invalid, prohibited or unenforceable for any reason, such provision, as
      to
      such jurisdiction, shall be ineffective, without invalidating the remaining
      provisions of this Agreement or affecting the validity or enforceability of
      such
      provision in any jurisdiction. Notwithstanding the foregoing, if such provision
      could be more narrowly drawn so as not to be invalid, prohibited or
      unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so
      narrowly drawn, without invalidating the remaining provisions of this Agreement
      or affecting the validity or enforceability of such provision in any other
      jurisdiction.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    16. Independence
      of Agreements, Covenants, Representations and Warranties.
      All
      agreements and covenants hereunder shall be given independent effect so that
      if
      a certain action or condition constitutes a default under a certain agreement
      or
      covenant, the fact that such action or condition is permitted by another
      agreement or covenant shall not affect the occurrence of such default, unless
      expressly permitted under an exception to such covenant. In addition, all
      representations and warranties hereunder shall be given independent effect
      so
      that if a particular representation or warranty proves to be incorrect or is
      breached, the fact that another representation or warranty concerning the same
      or similar subject matter is correct or is not breached will not affect the
      incorrectness of or a breach of a representation and warranty hereunder. The
      exhibits attached hereto are hereby made part of this Agreement in all respects.
      

     

    17. Counterparts.
      This
      Agreement may be executed in any number of counterparts, and each such
      counterpart of this Agreement shall be deemed to be an original instrument,
      but
      all such counterparts together shall constitute but one agreement. Facsimile
      counterpart signatures to this Agreement shall be acceptable and
      binding.

     

    18. Headings.
      The
      section and paragraph headings contained in this Agreement are for reference
      purposes only and shall not affect in any way the meaning or interpretation
      of
      this Agreement.

     

    19. Expenses.
      Subscriber shall pay Subscriber's own fees and expenses incurred in connection
      with the preparation, negotiation, execution and delivery of the Financing
      Documents, the Warrant and any other documents contemplated thereby.

     

    20. Preparation
      of Agreement.
      Each
      party to this Agreement acknowledges that: (i) the party had the advice of,
      or
      sufficient opportunity to obtain the advice of, legal counsel separate and
      independent of legal counsel for any other party hereto; (ii) the terms of
      the
      transactions contemplated by this Agreement are fair and reasonable to such
      party; and (iii) such party has voluntarily entered into the transactions
      contemplated by this Agreement without duress or coercion. Each party further
      acknowledges that such party was not represented by the legal counsel of any
      other party hereto in connection with the transactions contemplated by this
      Agreement, nor was he or it under any belief or understanding that such legal
      counsel was representing his or its interests. Each party agrees that no
      conflict, omission or ambiguity in this Agreement, or the interpretation
      thereof, shall be presumed, implied or otherwise construed against any other
      party to this Agreement on the basis that such party was responsible for
      drafting this Agreement.

     

    
      *
        * * *
        *

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF,
      each of
      the undersigned has duly executed this Securities Purchase Agreement as of
      the
      date first written above.

     

    
      	
              COMPANY:

            
	 	 
	
              GTX
                Corp

            
	 	 
	
              By:

            	
               

            
	
              Name:
                Murray Williams

            
	
              Title:
                Chief Financial Officer

            

    

    

    SUBSCRIBER:

    

    
      	
              By:

            	 

    

    Name:
      

    Title:
      

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      A

     

    FORM
      OF
      SUBSCRIPTION APPLICATION

    

      

      GTX
        CORP

      SUBSCRIPTION
        APPLICATION

      

      

      (for
        Accredited Investors Only)

      

      
        	
                Name
                  of Subscriber

              	
                 
                  

              
	 	 
	
                Name
                  of Co-Subscriber, if any

              	
                 
                  

              
	 	 
	
                Address
                  of Subscriber(1)

              	
                  
                  

              
	 	 
	 	  

	
                Address
                  of Co-Subscriber (if different)(1)

              	
                 
                  

              
	 	 
	 	  

	
                Aggregate
                  number of Units subscribed to purchase

              	 
	 	 
	
                Check
                  enclosed (or wire transfer) in the amount of

              	
                $

              
	 	 

      

      

      
        	
                (1)

              	
                Permanent
                  legal residence and domicile (other than Post Office Box) if the
                  Subscriber is an individual, or permanent principal legal executive
                  offices and place of business (other than Post Office Box) if the
                  Subscriber is an entity.

              

      

       

       

      Personal
        and Confidential

      

      The
        undersigned (the “Subscriber”)
        hereby
        makes application to purchase from GTX Corp, a Nevada
        corporation
        (the “Company”),
        the
        number of Units of the Company’s securities set forth above (the “Subscribed
        Units”),
        for a
        purchase price of $1.00 per Unit, pursuant to the Securities Purchase Agreement
        of even date herewith. The Subscriber understands and agrees that this
        Subscription Application to purchase the Subscribed Units is binding
        and
irrevocable
        on the
        Subscriber’s part, and that acceptance by the Company shall be in its sole
        discretion and otherwise in accordance with the terms set forth in this
        Subscription Application and the Securities Purchase Agreement (the Securities
        Purchase Agreement and this Subscription Application are sometimes referred
        to
        collectively herein as the “Financing
        Documents”).

      

      

      [SUBSCRIBER
        QUESTIONNAIRE FOLLOWS]

      
        
           

        

        
          1

          
            

          

        

        
           

        

      

      1. CONFIDENTIAL
        SUBSCRIBER INFORMATION

      

      
        	
                 
                  

              
	
                Name
                  of Subscriber 

              	 	 
	 	 	 
	 	 	 
	
                If
                  Subscriber is an Entity Provide Name 

              	
                Year
                  Formed

              	
                State
                  of Formation

              
	 	 	 
	
                 
                  

              
	
                Street
                  Address 

              	
                City

              	
                Zip

              
	 	 	 
	
                 
                  

              
	
                Subscriber
                  SS# or EIN/TIN         Cell
                  Phone Number     Work Phone
                  Number         Home
                  Phone
                  Number

              

      

       

      
        
          	  

	
                  Subscriber’s
                    Age 

                	
                  Date
                    of Birth

                	
                  Married
                    (Y/N)/Divorced

                	
                  #
                    of Dependants

                

        

      

       

      
        	 	 	 
	
                  
                  

              
	
                Name
                  and Address of Subscriber’s Current Employer

              	 	 
	 	 	 
	
                 
                  

              
	
                Type
                  of Business of Subscriber 

              	
                Position/Title

              	
                Number
                  of Years

              
	 	 	 
	
                 
                  

              
	
                College/Degree
                  

              	
                Graduate
                  School/Degree

              	
                Professional
                  Licenses

              
	 	 	 
	
                 
                  

              
	
                List
                  Previous Investment Experience 

              	
                 

              	
                Number
                  of Years 

              
	 	 	 
	
                 
                  

              
	
                List
                  Previous Private Placement Investments 

              	
                 

              	
                Total
                  Invested

              
	 	 	 
	
                 
                  

              
	
                List
                  any Securities Currently Owned 

              	
                 

              	
                Total
                  Value 

              
	 	 	 
	
                 
                  

              
	
                How
                  does Subscriber Know the Company?

              	 	 
	 	 	 
	
                 
                  

              
	
                Name
                  of Primary Financial Institution 

              	
                Address

              	
                Phone
                  Number

              
	 	 	 
	 	 
	  
	 

      

      Name
        in
        which Subscribed Units will be Held. (check one below)

      q
        Individually q
        A
        married man(woman) as his(her) separate property q
        Community property

      q
        JTWROS
q
        Tenants
        in common q
        Other
        (Describe): ____________________________________

      

      
        	
                 
                  

              
	
                Aggregate
                  Number of Subscribed Units 

              	
                Amount
                  Invested ($) 

              
	 	 
	  
	 
	
                Subscriber’s
                  Signature 

              	
                Date

              

      

      

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      

      2. SUBSCRIBER’S
        ACCREDITED STATUS

      

      (a) Accredited
        Investor (Regulation D).
        The
        Subscriber is an “Accredited
        Investor”
as
        that
        term is defined in Rule 501 of Regulation D promulgated under the Securities
        Act
        of 1933, as amended (the “Securities
        Act”),
        as
        follows: [Please
        initial one or more of the following provisions describing the Subscriber’s
        Accredited Investor status as may be applicable.]

      

      (b) Individuals.
        (Check all that apply) 

      

      q
        The
        Subscriber's individual net worth* or combined net worth* with his or her
        spouse
        exceeds $1,000,000;

      

      q
        The
        Subscriber's individual income,** exclusive of any income attributable to
        his or
        her spouse, was in excess of $200,000 for the two most recent calendar years
        preceding the calendar year of this Subscription Application, and the Subscriber
        reasonably expects an income,** exclusive of any income attributable to his
        or
        her spouse, in excess of $200,000 in the current calendar year; and/or the
        Subscriber's combined income** with his or her spouse was in excess of $300,000
        for the two most recent calendar years preceding the calendar year of this
        Subscription Application and the Subscriber and his or her spouse reasonably
        expect a combined income** in excess of $300,000 in the current calendar
        year.

      

      *
        For
        purposes of this Subparagraph, the term “net
        worth”
        means
        the excess of total value (including principal residence, home furnishings
        and
        automobiles at fair market value) over total liabilities. In computing net
        worth, the fair market value of the principal residence of the Subscriber
        shall
        be valued at cost, including cost of improvements, or at recently appraised
        value by an institutional lender making a secured loan, net of encumbrances.
        

      

      **
        The
        Subscriber may determine income by adding to his, her or its adjusted gross
        income any amounts attributable to tax exempt income received, losses claimed
        as
        a limited partner in any limited partnership, deductions or claims for
        depletion, contributions to an IRA or Keogh retirement plan, alimony payments
        and any amount by which income from long-term capital gains has been reduced
        in
        arriving at adjusted gross income.

      

      (c) Entities.
        (Check all that apply) 

      

      (i) q Entity
        With Value Exceeding $5 Million.
        The
        Subscriber is a corporation, partnership (general or limited), limited liability
        company, limited liability partnership or Massachusetts or similar business
        trust which: (1) was not formed for the specific purpose of acquiring the
        Subscribed Units, and (2) has total assets in excess of $5,000,000.

      

      (ii) q Entity
        Comprised of Accredited Investors.
        The
        Subscriber is a corporation, partnership (general or limited), limited liability
        company, limited liability partnership or Massachusetts or similar business
        trust in which all of the Subscriber's equity owners are Accredited Investors.
        

      

      (iii) q Revocable
        Trust.
        The
        Subscriber is a revocable trust (also commonly known as a family or living
        trust) established to facilitate the distribution of the estate of the settlors
        (grantors): (1) which may be revoked or amended at any time by the settlors
        (grantors); (2) which passes all tax benefits of investments made by such
        trust
        through to the settlors (grantors) individually; and (3) in which all of
        the
        settlors (grantors) are Accredited Investors.

      

      (iv) q Trust
        Whose Assets Exceed $5 Million.
        The
        Subscriber is a trust that has total assets in excess of $5,000,000, and
        the
        person making the investment decision on behalf of the trust has such knowledge
        and experience in financial and business matters that such person is capable
        of
        evaluating the merits and risks of an investment in the Subscribed
        Units.

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

      

      

      (v) q Financial
        Institution as Trustee.
        The
        Subscriber is a financial institution which: (1) is a bank, savings and loan
        association, or other regulated financial institution; (2) is acting in its
        fiduciary capacity as trustee; and (3) is subscribing for the purchase of
        the
        Subscribed Units on behalf of the subscribing trust.

      

      (vi) q Employee
        Benefit Plan (including Keogh Plan) With Self-Directed Investments and
        Segregated Accounts.
        The
        Subscriber is an employee benefit plan within the meaning of the Employee
        Retirement Income Security Act of 1974, as amended (“ERISA”),
        and:
        (1) such plan is self directed and provides for segregated accounts; (2)
        the
        investment decision to purchase the Subscribed Units is being made by a plan
        participant who is an Accredited Investor; and (3) the investment in the
        Subscribed Units is being made solely on behalf of such Accredited Investor.
        

      

      (vii) q Employee
        Benefit Plan (including Keogh Plan) With Financial Institution As
        Trustee.
        The
        Subscriber is an employee benefit plan within the meaning of ERISA, and the
        decision to invest in the Subscribed Units was made by a plan fiduciary (as
        defined in Section 3(21) of ERISA), which is either a bank, savings and loan
        association, insurance company, or registered investment adviser. 

      

      (viii) q Employee
        Benefit Plan (including Keogh Plan) With Assets Exceeding $5
        Million.
        The
        Subscriber is an employee benefit plan within the meaning of ERISA and has
        total
        assets in excess of $5,000,000.

      

      (ix) q Tax
        Exempt 501(c)(3) Organization.
        The
        Subscriber is an organization described in Section 501(c)(3) of the Internal
        Revenue Code of 1986, as amended, which organization was not formed for the
        specific purpose of acquiring the Subscribed Units, and which organization
        has
        total assets in excess of $5,000,000.

      

      (x) q Bank.
        The
        Subscriber is a bank as defined in Section 3(a)(2) of the Securities
        Act.

      

      (xi) q Savings
        and Loan Association.
        The
        Subscriber is a savings and loan association or other institution as defined
        in
        Section 3(a)(5)(i) of the Securities Act.

      

      (xii) q Insurance
        Company.
        The
        Subscriber is an insurance company as defined in Section 2(14) of the Securities
        Act.

      

      (xiii) q Investment
        Company.
        The
        Subscriber is an investment company registered under the Investment Company
        Act
        of 1940.

      

      (xiv) q Business
        Development Company.
        The
        Subscriber is a business development company as defined in Section 2(a)(48)
        of
        the Investment Company Act of 1940.

      

      (xv) q Small
        Business Investment Company.
        The
        Subscriber is a small business investment company licensed by the U.S. Small
        Business Administration under Section 301(c) or (d) of the Small Business
        Investment Act of 1958.

      

      (xvi) q Private
        Business Development Company.
        The
        Subscriber is a private business development company as defined in Section
        202(a)(22) of the Investment Advisors Act of 1940. 

      

      (xvii) q Registered
        Broker or Dealer.
        The
        Subscriber is a broker or dealer registered pursuant to Section 15 of the
        Securities Exchange Act of 1934.

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

      

      3. REPRESENTATIONS
        AND WARRANTIES OF SUBSCRIBER

      

      The
        Subscriber and, if the Subscriber is an entity, each of its officers, directors,
        partners, managers, members, trustees, beneficial owners, principals and/or
        agents, hereby represent and warrant to the Company, each of which is deemed
        to
        be a separate representation and warranty, as follows:

      

      (a)
         Residence.
        The
        Subscriber's permanent legal residence and domicile, if the Subscriber is
        an
        individual, or permanent legal executive offices and principal place of
        business, if the Subscriber is an entity, was and is at the address designated
        on the cover page of this Subscription Application at both the time of the
        “offer”
and
        the
        time of the “sale”
of
        the
        Subscribed Units to the Subscriber.

      

      (b) Age.
        The
        Subscriber, if a natural person, is age eighteen (18) or over.

       

      (c) Knowledge
        and Experience; Sophistication (Regulation D; Blue Sky).
        The
        Subscriber (together with his, her and/or its Advisors (as defined in subsection
        (f) below)) has such knowledge and experience in business, financial and
        tax
        matters including, in particular, investing in private placements of securities
        in companies similar to the Company, so as to enable them to utilize the
        information made available to them in connection with this Offering to: (i)
        evaluate the merits and risks of an investment in the Company and to make
        an
        informed investment decision with respect thereto; and (ii) to reasonably
        be
        assumed to have the capacity to protect the Subscriber's own interests in
        connection with the transaction contemplated by this Subscription Application.
        

      

      (d) Receipt
        and Review of Financing Documents.
        The
        Subscriber: (i) has received the Financing Documents; and (ii) has read each
        of
        the Financing Documents in its entirety and fully understands the matters
        discussed therein and the terms of thereof.

      

      (e) Independent
        Review of Investment Merits; Due Diligence.
        During
        the course of the transactions contemplated by this Offering,
        and
        before purchasing the Subscribed Units: (i) the Subscriber had
        the
        opportunity to engage such investment professionals and advisors including,
        without limitation, accountants, appraisers, investment, tax and legal advisors
        (collectively, the “Advisors”),
        each of
        whom are independent of the Company and its advisors and agents (including
        its
        legal counsel) to: (1)
        review
the
        terms
        and conditions of this Subscription Application, the Securities Purchase
        Agreement, and the information and disclosures contained herein and therein;
        (2)
conduct
        such due diligence review as the Subscriber and/or such Advisors deemed
        necessary or advisable, and (3) to provide such opinions as to (A) the
        investment merits of a proposed investment in the Subscribed Units; (B) the
        tax
        consequences of the purchase of the Subscribed Units and the subsequent
        disposition of the Subscribed Units; and (C) the effect of same upon the
        Subscriber’s personal financial circumstances,
        as the
        Subscriber and/or such Advisors may deem advisable; and
        (ii) to
        the extent the Subscriber availed himself, herself or itself of this
        opportunity, received satisfactory information and answers from such Advisors.
        

      

      (f) Opportunity
        to Ask Questions and to Review Documents, Books and Records; Opportunity
        to Meet
        with Representatives of the Company; Full Satisfaction.
        Without
        limiting the generality of Subsection
        (e)
        above,
        during the course of the transaction contemplated by this Subscription
        Application, and before purchasing the Subscribed Units, the Subscriber and/or
        his, her or its Advisors had the opportunity, to the extent they determined
        to
        be necessary or relevant in order to verify the accuracy of the information
        contained in the Financing Documents and/or to evaluate the merits of an
        investment in the Subscribed Units: (i) to be provided with financial and
        other
        written information about the Company (in addition to that contained in the
        Financing Documents) to the extent the Company has such information in its
        possession or could acquire it without unreasonable effort or expense; (ii)
        to
        meet with representatives of the Company and to ask questions and receive
        answers concerning the terms and conditions of the Financing Documents, an
        investment in the Subscribed Units, and the business of the Company and its
        finances; (iii) to review all documents, books and records of the Company;
        and
        (iv) to the extent the Subscriber and/or his, her or its Advisors availed
        themselves of this opportunity, received satisfactory information and
        answers.

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

      

      

      (g) Risk
        Factors.
        The
        Subscriber understands and acknowledges that the purchase of the Subscribed
        Units involves a number of significant risks and that the Subscriber may
        lose
        the Subscriber’s entire investment in the Subscribed Units. 

       

      (h) Acceptance
        of Investment Risks.
        The
        Subscriber understands and acknowledges that: (i) an investment in the
        Subscribed Units: (1) is a speculative investment with a high degree of risk
        of
        loss and the Subscriber must, therefore, be able to presently afford a complete
        loss of this investment; (2) the Subscriber must be able to hold the Subscribed
        Units indefinitely;
        and (3)
        it may not be possible for the Subscriber to liquidate the Subscribed Units
        in
        the case of emergency and/or other need and the Subscriber must, therefore,
        have
        adequate means of providing for the Subscriber's current and future needs
        and
        personal contingencies, and have no need for liquidity in this investment;
        and
        (ii) the Subscriber has evaluated the Subscriber's financial resources and
        investment position in view of the foregoing, and is able to bear the economic
        risk of an investment in the Subscribed Units. 

      

      (i) Shares
        Purchased For Subscriber's Own Account.
        The
        Subscriber is purchasing the Subscribed Units: (i) as principal and not by
        any
        other person; (ii) with the Subscriber's own funds and not with the funds
        of any
        other person; and (iii) for the account of the Subscriber, and not as a nominee
        or agent and not for the account of any other person. The Subscriber is
        purchasing the Subscribed Units for investment purposes only for an indefinite
        period, and not with a view to the sale or distribution of any part or all
        thereof, by public or private sale or other disposition. No person other
        than
        the Subscriber will have any interest, beneficial or otherwise, in the
        Subscribed Units, and the Subscriber is not obligated to transfer the Subscribed
        Units to any other person nor does the Subscriber have any agreement or
        understanding to do so. The Subscriber understands that the Company is relying
        in material part upon the Subscriber's representations as set forth in the
        Securities Purchase Agreement and herein for purposes of claiming the Federal
        Exemptions or state Blue Sky exemptions, and that the basis for such exemptions
        may not be presented if, notwithstanding the Subscriber’s representations, the
        Subscriber has in mind merely acquiring the Subscribed Units for resale of
        such
        Subscribed Units upon the occurrence or nonoccurrence of some predetermined
        event, and the Subscriber has no such intention.

      

      (j) Compliance
        With Investment Laws.
        The
        Subscriber has complied with all applicable investment laws and regulations
        in
        force relating to the legality of an investment in the Subscribed Units by
        the
        Subscriber in any jurisdiction in which he, she or it purchases the Subscribed
        Units or is otherwise subject, and has obtained any consent, approval or
        permission required of him, her or it for the purchase of the Subscribed
        Units
        under such investment laws and regulations. 

      

      (k) Subscribed
        Units Not Registered.
        The
        Subscriber understands and acknowledges that: (i) the Subscribed Units have
        not
        been, and when issued will not be, registered under the Securities Act in
        reliance upon one or more exemptions afforded by the Securities Act and/or
        rules
        promulgated by the SEC pursuant thereto which may be selected by the Company
        in
        its sole discretion including; and (ii) the Subscribed Units have not been,
        and
        when issued will not be, registered or qualified with any applicable state
        or
        territorial securities regulatory agency in reliance upon one or more exemptions
        afforded from registration or qualification afforded under the securities
        laws
        of such state or territory.

      

      (l) Resale
        Restrictions On Subscribed Units Pursuant to Securities
        Laws.
        The
        Subscriber understands and acknowledges that: (i) should the Company elect
        to
        rely upon the exemptions afforded by Rule 506 under Regulation D, the Subscribed
        Units will be classified, pursuant to Rule 502(d) of Regulation D of the
        Securities Act, as “restricted
        securities”
        acquired
        in a transaction under Section 4(2) of the Securities Act, which cannot be
        sold
        without registration under the Securities Act or an exemption therefrom;
        (ii) if
        the Subscriber is an affiliate of the Company, he, she or it generally will
        not
        be able to sell, transfer, assign, or otherwise dispose of the Subscribed
        Units
        except under Rule 144; and (iii) the Subscribed Units will also be subject
        to
        applicable state securities laws that may require registration or qualification
        of the Subscribed Units in connection with their resale, unless an exemption
        from such registration or qualification is available. 

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

      

      

      (m) Satisfaction
        of Counsel of Company As to Transfers of Subscribed
        Units.
        The
        Subscriber understands and acknowledges that: (i) prior to any sale, transfer,
        assignment, pledge, hypothecation or other disposition of the Subscribed
        Units,
        the Subscriber must either: (1) furnish the Company with a detailed explanation
        of the circumstances surrounding the proposed disposition; furnish the Company
        with an opinion of legal counsel (which may be the Company’s), in form and
        substance reasonably satisfactory to the Company and its legal counsel, to
        the
        effect that such disposition is exempted from the registration and prospectus
        delivery requirements under the Securities Act and the securities laws of
        the
        state in which the Subscriber is then resident; and legal counsel for the
        Company shall have concurred in such opinion and the Company shall have advised
        the Subscriber of such concurrence; or
        (2)
        satisfy the Company that a registration statement on Form S-1 under the
        Securities Act (or any other form appropriate under the Securities Act, or
        any
        form replacing any such form) with respect to the Subscribed Units proposed
        to
        be so disposed of shall then be effective, and that such disposition shall
        have
        been appropriately qualified or registered in accordance with the applicable
        Blue Sky Laws; and (ii) notwithstanding the foregoing, if in the opinion
        of
        counsel for the Company, the Subscriber has acted in a manner inconsistent
        with
        the representations and warranties in this Subscription Application or the
        Agreement, the Company may refuse to transfer the Subscribed Units until
        such
        time as counsel for the Company is of the opinion that such transfer: (1)
        will
        not require registration of the Subscribed Units under the Securities Act,
        and
        registration or qualification of the Subscribed Units under the applicable
        Blue
        Sky Laws; or
        (2) will
        otherwise comply with the Securities Act or the applicable Blue Sky Laws
        with
        respect to the sale or transfer of the Subscribed Units. The Subscriber
        understands and agrees that the Company may refuse to acknowledge or permit
        any
        disposition of the Subscribed Units that is not in all respects in compliance
        with this Subscription Application, and the Company intends to make an
        appropriate notation in its records to that effect.

      

      (n) Legend
        on Certificates to Comply with Securities Laws.
        The
        Subscriber understands
        and agrees that the certificates representing the Subscribed Units, when
        issued,
        shall bear such legend as the Company may deem reasonably necessary or advisable
        to facilitate compliance with the Securities Act and the securities laws
        of the
        state or territory of the Subscriber's residence, including, without limitation,
        substantially the following legend:

      

      THE
        SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
        THE
        UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES
        ACT"),
        IN
        RELIANCE UPON ONE OR MORE EXEMPTIONS FROM REGISTRATION OR QUALIFICATION
AFFORDED
        BY THE SECURITIES ACT AND/OR RULES PROMULGATED BY THE COMMISSION PURSUANT
        THERETO.
        THE
        SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE ALSO NOT BEEN REGISTERED
        OR
        QUALIFIED (AS THE CASE MAY BE) UNDER THE SECURITIES LAWS OF ANY STATE OR
        TERRITORY OF THE UNITED STATES (THE “BLUE
        SKY LAWS”),
        IN
        RELIANCE UPON ONE OR MORE EXEMPTIONS FROM REGISTRATION OR QUALIFICATION (AS
        THE
        CASE MAY BE) AFFORDED UNDER SUCH SECURITIES LAWS. NEITHER THE
        SECURITIES EXCHANGE COMMISSION NOR ANY SECURITIES REGULATORY AGENCY OF ANY
        STATE
        OR TERRITORY OF THE UNITED STATES HAS REVIEWED OR PASSED UPON OR ENDORSED
        THE
        MERITS OF SECURITIES REPRESENTED BY THIS CERTIFICATE, AND ANY REPRESENTATION
        TO
        THE CONTRARY IS A CRIMINAL OFFENSE. THESE
        SECURITIES HAVE BEEN ACQUIRED FOR THE HOLDER'S OWN ACCOUNT FOR INVESTMENT
        PURPOSES ONLY AND NOT WITH A VIEW FOR RESALE OR DISTRIBUTION. 

      

      THESE
        SECURITIES ARE “RESTRICTED SECURITIES” WITHIN THE MEANING OF RULE 144
        PROMULGATED UNDER THE SECURITIES ACT. THESE SECURITIES MAY NOT BE SOLD,
        TRANSFERRED, ASSIGNED OR HYPOTHECATED, OR OFFERED FOR SALE, TRANSFER, ASSIGNMENT
        OR HYPOTHECATION, WITHIN THE UNITED STATES OR ANY OF ITS TERRITORIES OR TO
        A
        UNITED STATES PERSON, UNLESS: (i) THE SECURITIES ARE REGISTERED PURSUANT
        TO THE
        SECURITIES ACT AND/OR REGISTERED OR QUALIFIED PURSUANT TO ANY APPLICABLE
        BLUE
        SKY LAWS; OR (ii) THE PROPOSED TRANSACTION IS EXEMPT FROM THE REGISTRATION
        AND
        PROSPECTUS DELIVERY REQUIREMENTS OF THE SECURITIES ACT AND THE REGISTRATION
        AND
        QUALIFICATION PROVISIONS OF ANY APPLICABLE BLUE SKY LAWS. AS
        A
        RESULT, THESE SECURITIES ARE SUITABLE ONLY FOR CERTAIN SOPHISTICATED AND
        QUALIFIED INVESTORS WHO CAN BEAR THE FINANCIAL RISK OF AN INVESTMENT IN THESE
        SECURITIES FOR AN INDEFINITE PERIOD OF TIME.

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

      

      

      (o) Completeness
        and Accuracy of Information.
        All
        information which the Subscriber has heretofore furnished or furnishes herewith
        to the Company or its agents is complete and accurate and may be relied upon
        by
        the Company in determining the availability of an exemption from registration
        under Federal and state securities laws in connection with the offer and
        sale of
        the Subscribed Units to the Subscriber. 

      

      (p) Material
        Changes in Information.
        The
        Subscriber will notify and supply corrective information to the Company
        immediately upon the occurrence of any material change(s) in any information
        provided by the Subscriber to the Company occurring prior to the Closing,
        (as
        defined in the Securities Purchase Agreement),
        of the
        purchase by the Subscriber of the Subscribed Units.

      

      (q) Cooperation.
        Within
        five (5) days after receipt of a request from the Company, the Subscriber
        will
        provide such information and deliver such documents as may reasonably be
        necessary to comply with any and all laws and ordinances to which the Company
        is
        subject.

      

      (r) Offering
        Representations and Communications.
        No
        person
        has provided any information (other than the Financing Documents) or made
        any
        oral or written representations or warranties to the Subscriber and/or his,
        her
        or its Advisors, if any, about the Company, the Subscribed Units or this
        Offering, other than as stated in Section 3 of the Securities Purchase
        Agreement. 

      

      (s) Reliance
        Upon Financing Documents and Information Provided.
        Except
        as
        provided below, in evaluating the suitability of an investment in the Subscribed
        Units, the Subscriber has not relied upon, and agrees that he/she/it may
        not
        rely upon, any representation, warranty or other information (oral or written)
        other than as stated in Section 3 of the Securities Purchase Agreement.

      

      (t) No
        Awareness of Public Advertising.
        The
        Subscriber is unaware of, is in no way relying on, and did not become aware
        of
        this Offering, through or as a result of any form of public advertising
        including, without limitation, any advertisement, article, notice, leaflet
        or
        other communication (whether published in any newspaper, magazine, or similar
        media or broadcast over television or radio, or otherwise generally disseminated
        or distributed).

      

      (u) No
        General Solicitation.
        The
        Subscriber did not subscribe to purchase the Subscribed Units, or become
        aware
        of this Offering, through or as the result of any public or promotional seminar
        or meeting to which the Subscriber was invited by, or any solicitation of
        a
        subscription by, a person not previously known to the Subscriber in connection
        with investments in securities generally.

      

      (v) q Pre-Existing
        Relationship with Company.
        The
        Subscriber, by initialing this box, represents that he, she or it has a
        pre-existing personal or business relationship* with the Company or any of
        its
        managers, officers or controlling persons. 

       

      *
        The
        term “pre-existing
        personal or business relationship”
        includes
        any relationship consisting of personal or business contacts of a nature
        and
        duration which would enable a reasonably prudent purchaser to be aware of
        the
        character, business acumen and general business and financial circumstances
        of
        the person with whom the relationship exists. 

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

      

      

      (w) Investment
        Knowledge.
        Does
        Subscriber believe that he/she/it has sufficient knowledge and experience
        in
        financial and business matters so that he/she/it is capable of evaluating
        the
        merits or risks of this investment? qYes qNo 

      

      WHEREFORE,
        the
        Subscriber, as of the date set forth below, is deemed to have executed this
        GTX
        Corp Subscription Application in the City of _________________, County of
        _________________, State of ________________________, Country of
        _____________________.

      

      
        	 	
                SUBSCRIBER:

              	 
	 	 	 	 
	 	
                By:

              	
                 

              	
                 

              
	 	 	
                (Signature)

              	 

      

      

      
        	 	
                Print
                  Name: 

              	  
	 
	 	 	 	 
	 	
                Print
                  Title: 

              	  
	 
	 	
                 

              	 	 
	 	
                Date: 

              	  
	 

      

      

      

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B

     

    FORM
      OF
      WARRANT

    GTX
      CORP

     

    FORM
      OF

     

    COMMON
      STOCK PURCHASE WARRANT

     

    
      	
              Warrant
                No.
                ________

            	 	
              _________
                Warrants

            

    

     

    VOID
      AFTER 5:00 P.M. LOS ANGELES TIME

    ON
      ___________, 2011

     

    THE
      SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE BEEN ACQUIRED FOR INVESTMENT
      AND
      HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
      “SECURITIES
      ACT”),
      AND,
      ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE
      REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE
      EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
      REQUIREMENTS OF THE SECURITIES ACT AND IN COMPLIANCE WITH APPLICABLE STATE
      SECURITIES LAWS OR BLUE SKY LAWS.

     

    GTX
      Corp,
      a Nevada corporation (the “Company”),
      having its principal office as of the date hereof at 117 W. 9th Street, # 1214,
      Los Angeles, CA 90015 hereby certifies that, for value received, _____________,
      or its registered assigns (“Holder”),
      is
      entitled, subject to the terms and conditions set forth below, to purchase
      from
      the Company at any time on or from time to time after ___________, 2008 (date
      that is the Original Issue Date), and before 5:00 P.M., Pacific Standard Time,
      on ______________, 2011 (date that is the third anniversary of the Original
      Issue Date) (the “Expiration
      Date”),
      __________ fully paid and non-assessable shares of Common Stock (as defined
      below), at the initial Purchase Price per share (as defined below) of $1.50.
      The
      number of such shares of Common Stock and the Purchase Price per share are
      subject to adjustment as provided in Section 5.

     

    The
      Company agreed to issue Warrants, including this Warrant, to purchase up to
      a
      maximum of 2,000,000 shares of Common Stock (subject to adjustment as provided
      in Section 5) in connection with the Company's private placement of up to a
      maximum aggregate of $2,000,000 of Common Stock and Warrants.

     

    1.
       Definitions.

     

    As
      used
      herein the following terms, unless the context otherwise requires, have the
      following respective meanings:

     

    “Aggregate
      Purchase Price”
has
      the
      meaning set forth in Section 3.1.

     

    “Blue
      Sky Laws”
means
      any state securities or “blue sky” laws.

     

    “Board
      of Directors”
means
      the board of directors of the Company.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    “Business
      Day”
means
      any day other than Saturday, Sunday or any other day on which commercial banks
      in the city of Los Angeles, California are authorized or required by law to
      remain closed.

     

    “Company”
      includes the Company and any corporation which shall succeed to or assume the
      obligations of the Company hereunder. The term “corporation” shall include an
      association, joint stock company, business trust, limited liability company
      or
      other similar organization.

     

    “Common
      Stock”
means
      the Company’s Common Stock, $.001 par value per share, authorized as of the date
      hereof, and any stock of any class or classes (however designated) hereafter
      authorized upon reclassification thereof, which, if the Board of Directors
      declares any dividends or distributions, has the right to participate in the
      distribution of earnings and assets of the Company after the payment of
      dividends or other distributions on any shares of capital stock of the Company
      entitled to a preference and in the voting for the election of directors of
      the
      Company. 

     

    “Convertible
      Securities”
means
      (i) options to purchase or rights to subscribe for Common Stock, (ii) securities
      by their terms convertible into or exchangeable for Common Stock or (iii)
      options to purchase or rights to subscribe for such convertible or exchangeable
      securities.

     

    “Delivery
      Date”
has
      the
      meaning set forth in Section 4.

     

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

     

    “Holder”
means
      any record owner of Warrants or Underlying Securities.

     

    “Market
      Price”
means,
      for one share of Common Stock at any date (i) if the principal trading market
      for the Common Stock is an national securities exchange, the average of the
      closing sale prices per share for the five (5) previous trading days in which
      a
      sale was reported, as officially reported on any consolidated tape, (ii) or
      (iii) if the security is not listed on a national securities exchange, the
      average of the closing sale prices per share on the last five (5) previous
      trading days in which a sale was reported as set forth in the National Quotation
      Bureau sheet listing such securities for such days. Notwithstanding the
      foregoing, if there is no reported closing sale price, as the case may be,
      reported on any of the five (5) trading days preceding the event requiring
      a
      determination of Market Price hereunder, then the Market Price shall be the
      average of the high bid and asked prices for the five (5) previous trading
      days
      in which a sale was reported; and if there is no reported high bid and asked
      prices, as the case may be, reported on any of the five (5) trading days
      preceding the event requiring a determination of Market Price hereunder, then
      the Market Price shall be determined in good faith by resolution of the Board
      of
      Directors. The Market Price of Other Securities, if any, shall be determined
      in
      the same manner as Common Stock.

     

    “Notice”
has
      the
      meaning set forth in Section 18. 

     

    “Original
      Issue Date”
means
      ___________, 2008. 

     

    “Other
      Securities”
refers
      to any stock (other than Common Stock) and other securities of the Company
      or
      any other Person (corporate or otherwise) which the Holders of the Warrants
      at
      any time shall be entitled to receive, or shall have received, upon the exercise
      of the Warrants, in lieu of or in addition to Common Stock, or which at any
      time
      shall be issuable or shall have been issued in exchange for or in replacement
      of
      Common Stock or Other Securities pursuant to Section 5 or 6.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    “Person”
means
      any individual, sole proprietorship, partnership, corporation, limited liability
      company, business trust, unincorporated association, joint stock corporation,
      trust, joint venture or other entity, any university or similar institution,
      or
      any government or any agency or instrumentality or political subdivision
      thereof.

     

    “Purchase
      Price per share”
means
      $1.50 per share, as may be adjusted from time to time in accordance with Section
      5 or 6.

     

    “Registered”
and
      “Registration”
refer
      to a registration effected by filing a registration statement in compliance
      with
      the Securities Act, to permit the disposition of Underlying Securities issued
      or
      issuable upon the exercise of Warrants, and any post-effective amendments and
      supplements filed or required to be filed to permit any such
      disposition.

     

    “Securities
      Act”
means
      the Securities Act of 1933 as the same shall be in effect at the
      time.

     

    “Underlying
      Securities”
means
      any Common Stock or Other Securities issued or issuable upon exercise of
      Warrants.

     

    “Securities
      Purchase Agreement”
means
      the Securities Purchase Agreement, dated as of ______________, 2008, among
      the
      Company and the subscribers. 

     

    “Warrant”
means,
      as applicable, (i) the Warrants dated as of the date hereof, originally issued
      by the Company pursuant to the Securities Purchase Agreement, of which this
      Warrant is one, evidencing rights to purchase up to a maximum of 2,000,000
      shares of Common Stock, and all Warrants issued upon transfer, division or
      combination of, or in substitution for, any thereof (all Warrants shall at
      all
      times be identical as to terms and conditions and date, except as to the number
      of shares of Common Stock for which they may be exercised) or (ii) each right
      as
      set forth in this Warrant to purchase one share of Common Stock, as adjusted
      from time to time in accordance with Section 5 or 6.

     

    2. Sale
      or Exercise Without Registration.
      If, at
      the time of any exercise, transfer or surrender for exchange of a Warrant or
      of
      Underlying Securities previously issued upon the exercise of Warrants, such
      Warrant or Underlying Securities shall not be registered under the Securities
      Act, the Company may require, as a condition of allowing such exercise, transfer
      or exchange, that the Holder or transferee of such Warrant or Underlying
      Securities, as the case may be, furnish to the Company an opinion of counsel,
      reasonably satisfactory to the Company, to the effect that such exercise,
      transfer or exchange may be made without registration under the Securities
      Act
      and without registration or qualification under any applicable Blue Sky Laws;
      provided that nothing contained in this Section 2 shall relieve the Holder
      from
      its obligations under the Securities Purchase Agreement. 

     

    3. Exercise
      of Warrant.
      

     

    3.1. Exercise
      in Full.
      Subject
      to the provisions hereof, this Warrant may be exercised in full by the Holder
      hereof by surrender of this Warrant, with the form of subscription at the end
      hereof duly executed by such Holder, to the Company at its principal office
      as
      set forth at the head of this Warrant (or such other location as the Company
      from time to time may advise the Holder in writing), accompanied by payment,
      in
      cash or by certified or official bank check payable to the order of the Company,
      in the amount obtained (the “Aggregate
      Purchase Price”)
      by
      multiplying (a) the number of shares of Common Stock then issuable upon exercise
      of this Warrant by (b) the Purchase Price per share on the date of such
      exercise.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    3.2. Partial
      Exercise.
      Subject
      to the provisions hereof, this Warrant may be exercised in part by surrender
      of
      this Warrant in the manner and at the place provided in Section 3.1 except
      that
      the amount payable by the Holder upon any partial exercise shall be the amount
      obtained by multiplying (a) the number of shares of Common Stock designated
      by
      the Holder in the subscription at the end hereof by (b) the Purchase Price
      per
      share on the date of such exercise. Upon any such partial exercise, the Company
      at its expense shall forthwith issue and deliver to or upon the order of the
      Holder hereof a new Warrant or Warrants of like tenor, in the name of the Holder
      hereof or as such Holder (upon payment by such Holder of any applicable transfer
      taxes and subject to the provisions of Section 2) may request, calling in the
      aggregate on the face or faces thereof for the number of shares of Common Stock
      equal to the number of such shares issuable prior to such partial exercise
      of
      this Warrant minus the number of such shares designated by the Holder in the
      subscription at the end hereof.

     

    4. Delivery
      of Stock Certificates, etc., on Exercise. 

     

    4.1. Delivery
      of Certificates.
      As soon
      as practicable after the exercise of this Warrant in full or in part, and in
      any
      event within ten (10) Business Days thereafter (the “Delivery
      Day”),
      the
      Company at its own expense (including the payment by it of any applicable issue
      taxes) shall cause to be issued in the name of and delivered to the Holder
      hereof, or as such Holder (upon payment by such Holder of any applicable
      transfer taxes and subject to the provisions of Section 2) may direct, a
      certificate or certificates for the number of fully paid and non-assessable
      shares of Common Stock or Other Securities to which such Holder shall be
      entitled upon such exercise, plus, in lieu of any fractional share to which
      such
      Holder would otherwise be entitled, cash equal to such fraction multiplied
      by
      the then current Market Price of one full share.

     

    5. Adjustment
      for Stock Splits; Dividends.
      The
      number and kind of securities purchasable upon the exercise of this Warrant
      and
      the Purchase Price shall be subject to adjustment from time to time upon the
      happening of any of the following. In case the Company shall (i) pay a dividend
      in shares of Common Stock or make a distribution in shares of Common Stock
      to
      holders of its outstanding Common Stock, (ii) subdivide its outstanding shares
      of Common Stock into a greater number of shares, (iii) combine its outstanding
      shares of Common Stock into a smaller number of shares of Common Stock, or
      (iv)
      issue any shares of its capital stock in a reclassification of the Common Stock,
      then the number of Underlying Securities purchasable upon exercise of this
      Warrant immediately prior thereto shall be adjusted so that the Holder shall
      be
      entitled to receive the kind and number of Underlying Securities or other
      securities of the Company which it would have owned or have been entitled to
      receive had such Warrant been exercised in advance thereof. Upon each such
      adjustment of the kind and number of Underlying Securities or other securities
      of the Company which are purchasable hereunder, the Holder shall thereafter
      be
      entitled to purchase the number of Underlying Securities or other securities
      resulting from such adjustment at a Purchase Price per share or other security
      obtained by multiplying the Purchase Price per share in effect immediately
      prior
      to such adjustment by the number of Underlying Securities purchasable pursuant
      hereto immediately prior to such adjustment and dividing by the number of
      Underlying Securities or other securities of the Company resulting from such
      adjustment. An adjustment made pursuant to this paragraph shall become effective
      immediately after the effective date of such event retroactive to the record
      date, if any, for such event. 

     

    6. Reorganization,
      Consolidation, Merger, etc.
      In case
      the Company shall reorganize its capital, reclassify its capital stock,
      consolidate or merge with or into another corporation where the Company is
      not
      the surviving corporation or where there is a change in or distribution with
      respect to the Common Stock of the Company (other than as a result of a
      subdivision, combination, reclassification or stock dividend provided for in
      Section 5 above), then, as a condition of such reclassification, reorganization,
      or change, lawful provision shall be made, and duly executed documents
      evidencing the same from the Company or its successor shall be delivered to
      the
      Holder, so that the Holder shall have the right at any time prior to the
      expiration of this Warrant to purchase, at a total price equal to that payable
      upon the exercise of this Warrant, the kind and amount of shares of stock and
      other securities and property receivable in connection with such reorganization,
      reclassification, consolidation or merger by a holder of the same number of
      shares of Common Stock as were purchasable by the Holder immediately prior
      to
      such reclassification, reorganization, or change. In any such case, appropriate
      provisions shall be made with respect to the rights and interest of the Holder
      so that the provisions hereof shall thereafter be applicable with respect to
      any
      shares of stock or other securities and property deliverable upon exercise
      hereof, and appropriate adjustments shall be made to the purchase price per
      share payable hereunder, provided the aggregate purchase price shall remain
      the
      same. 

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    7. Further
      Assurances; Reports.
      The
      Company shall take all such action as may be necessary or appropriate in order
      that the Company may validly and legally issue fully paid and non-assessable
      shares of Underlying Securities upon the exercise of all Warrants from time
      to
      time outstanding. For so long as the Holder holds this Warrant, the Company
      shall deliver to the Holder contemporaneously with delivery to the holders
      of
      Common Stock, a copy of each report of the Company delivered to such
      holders.

     

    8. Certificate
      as to Adjustments.
      In each
      case of any adjustment or readjustment in the Underlying Securities, the Company
      shall, at its expense, promptly cause its Chief Financial Officer to compute
      such adjustment or readjustment in accordance with the terms of this Warrant
      and
      prepare a certificate setting forth such adjustment or readjustment and showing
      in detail the facts upon which such adjustment or readjustment is based, and
      the
      number of shares of Common Stock or Other Securities outstanding or deemed
      to be
      outstanding. The Company shall forthwith mail a copy of each such certificate
      to
      the Holder. 

     

    9. Reservation
      of Stock, etc., Issuable on Exercise of Warrants.
      The
      Company shall at all times reserve and keep available, solely for issuance
      and
      delivery upon the exercise of the Warrants, all shares of Common Stock (or
      Other
      Securities) from time to time issuable upon the exercise of the
      Warrants.

     

    10. Exchange
      of Warrants.
      Subject
      to the provisions of Section 2, upon surrender for exchange of this Warrant,
      properly endorsed, to the Company, as soon as practicable (and in any event
      within three Business Days) the Company at its own expense shall issue and
      deliver to or upon the order of the Holder thereof a new Warrant or Warrants
      of
      like tenor, in the name of such Holder or as such Holder (upon payment by such
      Holder of any applicable transfer taxes) may direct, calling in the aggregate
      on
      the face or faces thereof for the number of shares of Common Stock called for
      on
      the face of this Warrant so surrendered.

     

    11. Replacement
      of Warrants.
      Upon
      receipt of evidence reasonably satisfactory to the Company of the loss, theft,
      destruction or mutilation of this Warrant and, in the case of any such loss,
      theft or destruction, upon delivery of an indemnity agreement reasonably
      satisfactory in form and amount to the Company or, in the case of any such
      mutilation, upon surrender and cancellation of this Warrant, the Company at
      its
      expense shall execute and deliver, in lieu thereof, a new Warrant of like
      tenor.

     

    12. Warrant
      Agent.
      The
      Company may, by written notice to each Holder of a Warrant, appoint an agent
      having an office in Los Angeles, California, for the purpose of issuing Common
      Stock (or Other Securities) upon the exercise of the Warrants pursuant to
      Section 3, exchanging Warrants pursuant to Section 10, and replacing Warrants
      pursuant to Section 11, or any of the foregoing, and thereafter any such
      issuance, exchange or replacement, as the case may be, shall be made at such
      office by such agent.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    13. No
      Rights as Stockholder.
      This
      Warrant does not entitle the Holder hereof to any voting rights or other rights
      as a stockholder of the Company prior to the exercise hereof. 

     

    14. Negotiability,
      etc.
      Subject
      to Section 2, this Warrant is issued upon the following terms, to all of which
      each Holder or owner hereof by the taking hereof consents and agrees
      that:

     

    (a) subject
      to the provisions of this Warrant and the Securities Purchase Agreement, title
      to this Warrant may be transferred by endorsement (by the Holder hereof
      executing the form of assignment at the end hereof); and

     

    (b) until
      this Warrant is transferred on the books of the Company, the Company may treat
      the registered Holder hereof as the absolute owner hereof for all purposes,
      notwithstanding any notice to the contrary.

     

    15. Entire
      Agreement; Successors and Assigns.
      This
      Warrant and the Securities Purchase Agreement constitute the entire contract
      between the parties relative to the subject matter hereof. This Warrant and
      the
      Securities Purchase Agreement supersede any previous agreement among the parties
      with respect to the subject matter hereof. The terms and conditions of this
      Warrant shall inure to the benefit of and be binding upon the respective
      permitted executors, administrators, heirs, successors and assigns of the
      parties. Nothing in this Warrant, expressed or implied, is intended to confer
      upon any party, other than the Holder and the Company, any rights, remedies,
      obligations or liabilities under or by reason of this Warrant.

     

    16. Governing
      Law.
      This
      Warrant shall be governed by and construed in accordance with the laws of the
      State of California without regard to principles of conflicts of law.

     

    17. Headings.
      The
      headings of the sections of this Warrant are for convenience and shall not
      by
      themselves determine the interpretation of this Warrant.

     

    18. Notices.
      Any
      notice or other communication required or permitted to be given hereunder (each
      a “Notice”)
      shall
      be given in writing and shall be made by personal delivery or sent by courier
      or
      certified or registered first-class mail (postage pre-paid), addressed to a
      party at its address shown below or at such other address as such party may
      designate by three days’ advance Notice to the other party. 

     

    Any
      Notice to the Holder shall be sent to the address for such Holder set forth on
      books and records of the Company.

     

    Any
      Notice to the Company shall be sent to:

     

    GTX
      Corp

    117
      W.
      9th Street, # 1214

    Los
      Angeles, CA 90015

    Attention:
      Murray Williams, CFO

    

    Each
      Notice shall be deemed given and effective upon receipt (or refusal of
      receipt).

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    19. Severability.
      Whenever possible, each provision of this Warrant shall be interpreted in such
      a
      manner as to be effective and valid under applicable law, but if any provision
      of this Warrant shall be deemed prohibited or invalid under such applicable
      law,
      such provision shall be ineffective to the extent of such prohibition or
      invalidity, and such prohibition or invalidity shall not invalidate the
      remainder of such provision or any other provision of this Warrant.

     

    20. Amendments
      and Waivers.
      Any
      provision of this Warrant may be amended and the observance of any provision
      of
      this Warrant 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 Holders of a majority of the Warrants then outstanding. Any
      amendment or waiver effected in accordance with this Section 20 shall be binding
      upon each Holder of a Warrant.

     

    21. Construction.
      Words
      (including capitalized terms defined herein) in the singular shall be held
      to
      include the plural and vice versa as the context requires. The words
“herein”,
      “hereinafter”,
      “hereunder”
and
      words of similar import used in this Warrant shall, unless otherwise stated,
      refer to this Warrant as a whole and not to any particular provision of this
      Warrant. All references to “$” in this Warrant and the other agreements
      contemplated hereby shall refer to United States dollars (unless otherwise
      specified expressly). Any reference to any gender includes the other
      genders.

     

    Dated:
      ____________, 2008

     

    
      	
              GTX
                CORP

            
	 	 
	
              By:

            	 
	
              Name:
                Murray Williams

              Title:
                Chief Financial Officer

            

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    FORM
      OF
      SUBSCRIPTION

     

    (To
      be
      signed only upon exercise of Warrant)

     

    To:
      GTX
      CORP

     

    The
      undersigned, the Holder of the within Warrant, hereby irrevocably elects to
      exercise the purchase right represented by such Warrant for, and to purchase
      thereunder, * shares of Common Stock of GTX Corp, and herewith makes payment
      of
      $__________. 

     

    The
      undersigned represents that the undersigned is acquiring such securities for
      its
      own account for investment and not with a view to or for sale in connection
      with
      any distribution thereof (except for any resale pursuant to, and in accordance
      with a valid registration statement effective under the Securities Act of
      1933).

     

    Dated:

     

    
      	
              ________________________________________
                

            
	
              (Signature
                must conform in all respects to the name of 

              the
                Holder as specified on the face of the Warrant)

            
	 
	
              ________________________________________

            
	
              (Address)

            

    

    

    *
      Insert
      here the number of shares called for on the face of the Warrant (or, in the
      case
      of a partial exercise, the portion thereof as to which the Warrant is being
      exercised).

     

    
      
        
        

      

      
        8

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