Document:

Registration Rights Agreement

 Exhibit 4.4 
  

REGISTRATION RIGHTS AGREEMENT 
  
 This REGISTRATION RIGHTS AGREEMENT (this “Agreement”) is entered into as of
                    , 2005 by and among SONIC FOUNDRY, INC., a Maryland corporation (the “Corporation”), and the persons and the
entities listed below (each, an “Investor” and collectively, the “Investors”). The Corporation and the Investors are sometimes referred to herein collectively as the “Parties” or each individually as a
“Party.” 
  
 WHEREAS, in connection with the
Subscription Agreement of even date herewith by and among the Parties hereto (the “Subscription Agreement”), the Corporation has agreed, upon the terms and subject to the conditions of the Subscription Agreement, to issue and sell to the
Investors up to 3,000,000 shares of Common Stock of the Corporation, par value $.01 per share (the “Shares”); and 
  
 WHEREAS, to induce the Investors to execute and deliver the Subscription Agreement, the Corporation agreed to provide certain registration rights under
the Securities Act of 1933, as amended, and the rules and regulations thereunder, or any similar successor statute (collectively, the “1933 Act”), and applicable state securities laws. 
  
 NOW, THEREFORE, in considerations of the premises and mutual covenants and
obligations hereafter set forth and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties, intending to be legally bound, hereby agree as follows: 
  
 1. Registration Rights. 
  
 1.1 Certain Definitions. As used in this Agreement, the following terms shall have the following respective meanings:

  
 (a) “Closing” shall have
meaning set forth in the Subscription Agreement. 
  
 (b) “Commission” shall mean the United States Securities and Exchange Commission or any other federal agency at the time administering the Securities Act and the Exchange Act. 
  
 (c) “Common Stock” shall mean the
Corporation’s common stock, $.01 par value per share. 
  
 (d) “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, or any similar federal statute and the rules and regulations of the Commission thereunder, all as the same shall be in
effect at the time. 
  
 (e)
“Holder” shall mean any Person or Persons to whom Registrable Securities have been or are issued or any permitted transfers. 

 (f) “Initiating Holders” shall mean any Holder or Holders of at least
thirty percent (30%) of the Registrable Securities, in the aggregate. 
  
 (g) “Person” means a corporation, a limited liability company, an association, a partnership, an organization, a business, a trust, an individual, a governmental or political subdivision thereof or a
governmental agency. 
  
 (h) The terms
“register,” “registered” and “registration” refer to a registration effected by preparing and filing a Registration Statement in compliance with the Securities Act, and the declaration or ordering
of the effectiveness of such Registration Statement by the Commission. 
  
 (i) “Registrable Securities” shall mean (i) all of the Shares, if the Shelf Registration Statement is not declared effective or its effectiveness lapses, and (ii) all of the shares of Common
Stock delivered by the Corporation to any Investors by way of the Additional Issuance Event. 
  
 (j) “Registration Expenses” shall mean all expenses, except as otherwise stated below, incurred by the Corporation in
complying with Sections 1.2 and 1.3 hereof, including, without limitation, all registration, qualification and filing fees, printing expenses, escrow fees, fees and disbursements of counsel for the Corporation, reasonable fees and disbursements
of the Holders’ Counsel (as hereinafter defined), “blue sky” fees and expenses and the expense of any special audits incident to or required by any such registration (but excluding the compensation of regular employees of the
Corporation which shall be paid in any event by the Corporation). Registration Expenses shall not include Selling Expenses. 
  
 (k) “Registration Rights” shall mean the usual and customary registration rights, including two demand registration
rights if called by Investors holding more than 30% of the Shares, and unlimited piggyback registration rights, in the event that the Shelf Registration is not declared effective or its effectiveness lapses. 
  
 (l) “Registration Statement” shall mean any
registration statement which covers any of the Registrable Securities pursuant to the provisions of this Agreement, including the prospectus included therein, all amendments and supplements to such Registration Statement, including post-effective
amendments, all exhibits and all material incorporated by reference in such Registration Statement. 
  
 (m) “Restricted Shares” shall mean the Shares which are held by the Investors which have not theretofore been sold to the
public pursuant to a registration statement under the Securities Act or pursuant to Rule 144. 
  
 (n) “Rule 144” shall mean Rule 144 promulgated under the Securities Act or any successor rule thereto or any
complementary rule thereto (such as Rule 144A). 
  
 (o) “Rule 145” shall mean Rule 145 promulgated under the Securities Act or any successor rule thereto or any complementary rule thereto. 
  

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 (p) “Rule 415” shall mean Rule 415 promulgated under the Securities Act
or any successor rule thereto or any complementary rule thereto. 
  
 (q) “Securities Act” shall mean the Securities Act of 1933, as amended, or any similar federal statute and the rules and regulations of the Commission thereunder, all as the same shall be in effect at
the time. 
  
 (r) “Selling
Expenses” shall mean all underwriting discounts, selling commissions and stock transfer taxes applicable to the securities registered by the Holders and all reasonable fees and disbursements of counsel for the selling Holders (other than
those included in Registration Expenses). 
  
 (s)
“Shelf Registration” shall mean the shelf registration statement for the Shares on Form S-3. 
  
 1.2 Registration on Form S-3. 
  
 The Corporation shall use its best efforts to file the Shelf Registration with the Commission within 30 days of Closing, and shall use its best
efforts to have the Commission declare the Shelf Registration effective within 180 days after the Closing. The Corporation shall use its best efforts to have the Shelf Registration continuously maintained in effect for a period not less than
365 days of effective date of the Shelf Registration. If necessary, the Corporation shall cause to be filed, and shall use its best efforts to have declared effective as soon as practicable following filing, additional registration statements or
amendments as necessary to maintain such effectiveness for such 365-day period. 
  
 1.3 Additional Registration Rights. Should the Shelf Registration not be declared effective or should its effectiveness lapse for any reason while the Corporation has any obligation to maintain such
Registration Statement, the Investors shall have Registration Rights, at the Corporation’s expense, which shall include: 
  
 (a) Demand Registration. 
  
 (i) Request for Registration. Subject to the terms hereof, the Initiating Holders may make a demand in writing for registration
under the Securities Act of all or part of their Registrable Securities (the “Demand Registration”). The Holders shall be entitled to two (2) Demand Registrations. If the Corporation receives from the Initiating Holders a written
request that the Corporation effect a registration under the Securities Act of Registrable Securities, the Corporation will: 
  
 (A) promptly give written notice of the proposed registration, qualification or compliance to all of the other Holders; and 

 
 (B) as soon as reasonably practicable, use its best
efforts to effect such registration, qualification or compliance (including, without limitation, appropriate qualification under applicable “blue sky” or other state securities laws and appropriate compliance with applicable regulations
issued under the Securities Act and any other governmental requirements or regulations) as may be so requested and as would permit or 

  

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facilitate the sale and distribution of all of such Registrable Securities as are specified in such request; provided, however, that the
Corporation shall not be obligated to take any action to effect any such registration, qualification or compliance pursuant to this Section 1.3(a)(i): 
  
 (i) in any particular jurisdiction in which the Corporation would be required to execute a general consent to service of process in
effecting such registration, qualification or compliance unless the Corporation is already subject to service in such jurisdiction and except as may be required by the Securities Act; and 
  
 (ii) after the Corporation has effected two (2) such
registrations pursuant to this Section 1.3(a)(i), and such registrations have been declared or ordered effective; and 
  
 (iii) after the closing or until all of the Registrable Securities are freely saleable without restrictions. 
  
 In the event that a request for registration is made pursuant to this
Section 1.3(a)(i) but the Corporation is not obligated to effect such requested registration by virtue of the foregoing clauses (B)(i) through (B)(iii), such request shall not be deemed to be a demand for registration for purposes of this
Section 1.3(a)(i). Subject to the foregoing clauses (B)(i) through (B)(iii), the Corporation shall prepare and file a Registration Statement covering the Registrable Securities so requested to be registered immediately after receipt of the
request or requests of the Initiating Holders. 
  
 (ii) Underwriting. If the Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Corporation as a part of their request made pursuant to
Section 1.3(a)(i) hereof and the Corporation shall include such information in the written notice referred to in Section 1.3(a)(i) hereof. In such event, the right of any Holder to participate in such registration shall be conditioned upon
such Holder’s participation in the underwriting arrangements required by this Section 1.3(a)(i), and the inclusion of such Holder’s Registrable Securities in the underwriting to the extent requested shall be limited to the extent
provided herein. 
  
 The Corporation shall (together with all
Holders proposing to distribute their securities through such underwriting) enter into an underwriting agreement in customary form (but subject to the reasonable approval of the Holders holding a majority of the Registrable Securities to be included
in such underwriting) with the managing underwriter selected for such underwriting by the Holders holding a majority of the Registrable Securities to be included in such underwriting, which managing underwriter shall be reasonably acceptable to the
Corporation. The Corporation and the Holders participating in such underwriting shall reasonably cooperate with any such underwriter. Notwithstanding any other provision of this Section 1.3, if the managing underwriter advises the Initiating
Holders in writing that, in its good faith judgment, marketing factors require a limitation of the number of shares to be underwritten, then the Corporation shall so advise all participating Holders and the number of shares of Registrable Securities
that may be included in the registration and underwriting shall be allocated 

  

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among all Holders pro rata on the basis of the amounts of Registrable Securities held by such Holders at the time of filing the Registration Statement
shall be included in such Registration Statement. No Registrable Securities excluded from the underwriting by reason of the underwriter’s marketing limitation shall be included in such registration. If the underwriter has not limited the number
of Registrable Securities to be underwritten, the Corporation may include securities for its own account (or for the account of other shareholders in accordance with the terms of this Agreement) in such registration if the underwriter so agrees and
if the number of Registrable Securities that would otherwise have been included in such registration and underwriting will not thereby be limited. 
  
 If the number of Registrable Securities excluded from the underwriting exceeds fifty percent (50%) of the total Registrable Securities requested to
be included in such underwriting by the Holders, then Holders of a majority of the Registrable Securities requested to be included in such underwriting may elect to terminate the registration. 
  
 (b) Unlimited Piggyback Registration Rights.

  
 (i) Notice of Registration. If the
Corporation at any time proposes to file a registration statement with respect to any class of equity securities, whether for its own account (other than in connection with the Registration Statement contemplated by Section 1.3(a) hereof or a
registration statement on Form S-8 (or any successor or substantially similar form) relating to an employee stock option, stock purchase or compensation plan or securities issued or issuable pursuant to any such plan), or a registration statement on
Form S-4 (or any successor or substantially similar form) or for the account of a holder of securities of the Corporation, other than for the registration of securities for sale on a continuous or delayed basis pursuant to Rule 415, then the
Corporation will: 
  
 (A) promptly give to each
Holder written notice thereof at least twenty (20) days before the anticipated initial filing date of any such registration statement, and such notice shall offer to all Holders the opportunity to have any or all of the Registrable Securities
held by such Holders included in such registration statement; and 
  
 (B) include in such registration statement (and any related qualification under “blue sky” laws or other compliance), and in any underwriting involved therein, (A) all the Registrable Securities
specified in a written request or requests to be included therein, made within twenty (20) days after receipt of such written notice from the Corporation, by any Holder. 
  
 Subject to the underwriter limitations, if any, described in Section 1.3(b)(iii) below, each Holder shall be entitled
to have its Registrable Securities included in an unlimited number of registrations pursuant to this Section 1.3(b)(i). 
  
 No right to registration of Registrable Securities under this Section 1.3(b)(i) shall be construed to limit any registration required under
Section 1.3(a). 
  
 (ii) Holdback by the
Corporation. If the Corporation has previously filed a Registration Statement with respect to Registrable Securities pursuant to Section 1.3(a), and if such previous registration has not been withdrawn or abandoned, the 

  

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Corporation will not file or cause to be effected any other registration of any of its equity securities or securities convertible or exchangeable into or
exercisable for its equity securities under the Securities Act (except for a registration relating solely to employee benefits plans or to a transaction under Rule 145), whether on its own behalf or at the request of any holder or holders of such
securities, until a period of ninety (90) days has elapsed from the effective date of such a previous registration. 
  
 (iii) Underwriting. If the registration of which the Corporation gives notice is for a registered public offering involving an
underwriting, the Corporation shall so advise the Holders as a part of the written notice given pursuant to Section 1.3(b)(i)(A). In such event the right of any Holder to registration pursuant to this Section 1.3(b) shall be conditioned
upon such Holder’s participation in such underwriting to the extent provided herein. All Holders proposing to distribute their securities through such underwriting shall (together with the Corporation and the other Holders distributing their
securities through such underwriting) enter into an underwriting agreement in customary form with the managing underwriter selected for such underwriting by the Corporation, but subject to the reasonable approval of Holders holding a majority of the
Registrable Securities to be included in such registration. Notwithstanding any other provision of this Section 1.3(b), if the managing underwriter determines in its good faith judgment that marketing factors require limitation of the number of
shares to be underwritten, the managing underwriter may limit the Registrable Securities to be included in such registration. The Corporation shall so advise all Holders and the number of shares of securities that may be included in the registration
and underwriting (other than in behalf of the Corporation) shall first be allocated among all Holders pro rata on the basis of the amounts of Registrable Securities held by such Holders at the time of filing of the registration statement;
provided, however, unless otherwise agreed upon by the Holders of a majority of the Registrable Securities desiring to participate in the offering, in no event shall the amount of Registrable Securities of the Holders included in the
offering be reduced below thirty percent (30%) of the total amount of securities included in such offering. No securities of the Corporation held by parties other than the Holders or the Corporation shall be included in any registration and
underwriting to which this section applies if the number of Registrable Securities that would otherwise have been included in such registration and underwriting will thereby be limited. If any Holder disapproves of the terms of any such
underwriting, he may elect to withdraw therefrom by written notice to the Corporation and the managing underwriter. 
  
 1.4 Limitations on Subsequent Registration Rights. From and after the date hereof, and until the Shelf Registration is declared
effective, the Corporation shall not, without the approval of the Holders of a majority of the Registrable Securities, enter into any agreement granting any holder or prospective holder of any securities of the Corporation registration rights with
respect to such securities unless: (a) the agreement does not allow the holder to include the securities in a registration filed under Section 1.3(b) hereof unless it would not thereby limit the number of Registrable Securities of the
Holders included in the registration; and (b) the agreement does not grant rights which would delay the ability of the Holders to obligate the Corporation to file a registration statement on the Holders’ behalf pursuant to Sections 1.2 or
1.3. The Corporation has not previously and shall not in the future enter into any agreement, arrangement or understanding with respect to its securities which is inconsistent with the rights granted to the Holders of Registrable Securities in this
Agreement or otherwise conflicts with the provisions hereof. 
  

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 1.5 Expenses of Registration. All Registration Expenses shall be borne by the Corporation, except
as otherwise provided in Section 1.3(a)(ii). All Selling Expenses relating to securities registered on behalf of the Holders shall be borne by the Holders of such securities pro rata on the basis of the number of shares so registered.

  
 1.6 Registration Procedures. In the case of each
registration, qualification or compliance effected by the Corporation pursuant to this Section 1, the Corporation will keep each Holder advised in writing as to the initiation of each registration and such amendment thereof and as to the
completion thereof. At its expense the Corporation will: 
  
 (a) Use its best efforts to promptly prepare and file with the Commission a Registration Statement with respect to such securities and use its best efforts to cause such Registration Statement to become effective as
promptly as possible and remain effective until the earlier of (i) the date which is one hundred and eighty (180) days after the effective date of such Registration Statement and (ii) the date on which all Registrable Securities
covered by such Registration Statement have been sold and the distribution contemplated thereby has been completed (the “Registration Period”); provided, however, that if, after such Registration Statement has become
effective, the offering of the Registrable Securities pursuant to such registration is interfered with by any stop order, injunction or similar order of the Commission or other governmental agency or court (other than by reason of any untrue
statement of a material fact or any omission of a material fact required to be stated in the Registration Statement or necessary to make the statements therein not misleading, to the extent, but only to the extent, that such untrue statement or
omission is contained in any information or affidavit furnished in writing by a Holder to the Corporation specifically for inclusion therein), such registration will be deemed not to have been effected. Notwithstanding the foregoing, if within sixty
(60) days after the effective date of the stop order, injunction or similar order of the Commission or other governmental agency or court, the same is lifted and the effectiveness of the registration is restored, the registration shall be
deemed to have been effected, provided, that the Registration Period (i) will be tolled during the period the stop order, injunction or similar order is in effect, (ii) shall resume upon the lifting thereof and (iii) shall be extended
one day for each day during the period that the stop order, injunction or similar order is in effect. 
  
 (b) Furnish, at least five (5) business days before filing a Registration Statement that registers such Registrable Securities, a
prospectus relating thereto and any amendments or supplements relating to such a Registration Statement or prospectus, to one counsel selected by the Holders (the “Holders’ Counsel”), copies of all such documents proposed to be filed
(it being understood that such five-business-day period need not apply to successive drafts of the same document proposed to be filed so long as such successive drafts are supplied to the Holders’ Counsel in advance of the proposed filing by a
period of time that is customary and reasonable under the circumstances). 
  
 (c) Prepare and file with the Commission such amendments and supplements to such Registration Statement and the prospectus used in connection with such Registration Statement as may be necessary to keep such
Registration Statement effective for the Registration Period, and to comply with the provisions of the Securities Act with respect to the sale and other disposition of all securities covered by such Registration Statement. 
  

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 (d) Notify in writing to the Holders’ Counsel promptly (i) of the receipt by
the Corporation of any notification with respect to any comments by the Commission with respect to such Registration Statement or prospectus or any amendment or supplement thereto or any request by the Commission for the amending or supplementing
thereof or for additional information with respect thereto, (ii) of the receipt by the Corporation of any notification with respect to the issuance by the Commission of any stop order suspending the effectiveness of such Registration Statement
or prospectus or any amendment or supplement thereto or the initiation or threatening of any proceeding for that purpose and (iii) of the receipt by the Corporation of any notification with respect to the suspension of the qualification of such
Registrable Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purposes. 
  
 (e) Use its best efforts to register and qualify the securities covered by such Registration Statement under such other securities or
“blue sky” laws of such jurisdictions as shall be reasonably requested by the Holders, provided that the Corporation shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general
consent to service of process in any such states or jurisdictions. 
  
 (f) Furnish to the Holders participating in such registration and to the underwriters of the securities being registered such number of copies of the Registration Statement, preliminary prospectus, final prospectus
and such other documents as such Holders or underwriters may reasonably request in order to facilitate the public offering of such securities. 
  
 (g) In the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, in usual and
customary form, with the managing underwriter of such offering. Each Holder participating in such underwriting shall also enter into and perform its obligations under such an agreement. 
  
 (h) Notify each Holder of Registrable Securities covered by such Registration Statement at any time when a
prospectus relating thereto is required to be delivered under the Securities Act of the happening of any event as a result of which the prospectus included in such Registration Statement, as then in effect, includes an untrue statement of a material
fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing. 
  
 (i) Use its best efforts to furnish, at the request of any Holder requesting registration of Registrable
Securities pursuant to Section 1.3, on the date that such Registrable Securities are delivered to the underwriters for sale in connection with a registration pursuant to this Section 1, if such securities are being sold through
underwriters, or, if such securities are not being sold through underwriters, on the date that the Registration Statement with respect to such securities becomes effective, (i) a copy addressed to Holders of the opinion, dated such date, of the
counsel representing the Corporation for the purposes of such registration, in form and substance as is customarily given to underwriters in an underwritten public offering, addressed to the underwriters, if any, and (in a non-underwritten offering)
to the Holders requesting registration of Registrable Securities and (ii) a copy addressed to Holders of the letter dated such date, from the independent certified public accountants of the Corporation, in form and substance as is customarily
given by independent certified public accountants to 

  

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underwriters in an underwritten public offering, addressed to the underwriters, if any, and (in a non-underwritten offering) to the Holders requesting
registration of Registrable Securities. 
  
 (j)
List such Registrable Securities with NASDAQ or on any national securities exchange on which any shares of the Common Stock are listed. 
  
 (k) Otherwise use its best efforts to comply with all applicable rules and regulations of the Commission and the securities commission or
other regulatory authority of any relevant state or other jurisdiction and make available to its securityholders, as soon as reasonably practicable, earnings statements (which need not be audited) covering a period of 12 months beginning within
three months after the effective date of the Registration Statement, which earnings statements shall satisfy the provisions of Section 11(a) of the Securities Act. 
  
 (l) Use its best efforts to take all other steps reasonably necessary to effect the registration of such
Registrable Securities contemplated hereby. 
  
 1.7
Indemnification. 
  
 (a) The Corporation
will indemnify each Holder; each Holder’s officers, directors, employees, principals, equity holders and partners; each underwriter, broker or any other Person (other than the Corporation) acting on behalf of such Holder, and each Person (other
than the Corporation) controlling such Person within the meaning of Section 15 of the Securities Act, with respect to which registration, qualification or that compliance has been effected pursuant to this Section 1, against all expenses,
claims, losses, damages or liabilities, joint or several (or actions in respect thereof) (collectively, “Losses”), including any of the foregoing incurred in settlement of any litigation, commenced or threatened, arising out of or
(i) based on any untrue statement (or alleged untrue statement) of a material fact contained in any Registration Statement, preliminary or final prospectus, offering circular or other document, or any amendment or supplement thereto, incident
to any such registration, qualification or compliance, or (ii) based on any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances
in which they were made, not misleading, or (iii) any violation by the Corporation of the Securities Act, state securities or “blue sky” laws or any rule or regulation promulgated thereunder applicable to the Corporation in connection
with any such registration, qualification or compliance (each statement, omission or violation referred to in clauses (i), (ii) and (iii) of this Section 1.7(a) being referred to as a “Violation”), and the Corporation will
reimburse each such Holder, each of its officers and directors, each such underwriter, broker or other Person (other than the Corporation) acting on behalf of such Holder, and each such controlling Person (other than the Corporation) for any legal
and any other expenses reasonably incurred in connection with investigating, preparing or defending any such Loss, provided that the Corporation will not be liable to any such Person in any such case to the extent that any such Loss arises
out of or is based on any untrue statement or omission (or alleged untrue statement or omission), made in conformity with written information furnished to the Corporation by an instrument duly executed by such Holder, underwriter or controlling
Person and stated to be specifically for use therein or the preparation thereby. 
  

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 (b) Each Holder will, if Registrable Securities held by such Holder are included, in the
securities as to which such registration, qualification or compliance is being effected, indemnify the Corporation, each of its directors and officers, each underwriter, broker or other Person acting on behalf of the Holders, and each Person who
controls any of the foregoing Persons within the meaning of Section 15 of the Securities Act, and each other such Holder, each of its officers and directors and each person controlling such Holder within the meaning of Section 15 of the
Securities Act, against all Losses arising out of any untrue statement (or alleged untrue statement) of a material fact contained in any such Registration Statement, preliminary or final prospectus, offering circular or other document, or any
omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Corporation, such Holders, such directors, officers, underwriters,
brokers, other Persons acting on behalf of the Holders or control Persons for any legal or any other expenses reasonably incurred in connection with investigating, preparing or defending any such Loss, in each case to the extent, but only to the
extent, that such untrue statement (or alleged untrue statement) or omission (or alleged omission) is made in such Registration Statement, preliminary or final prospectus, offering circular or other document in conformity with written information
furnished to the Corporation by an instrument duly executed by such Holder and stated to be specifically for use therein or the preparation thereby. Notwithstanding the foregoing, the liability of each Holder under this subsection (b) shall be
limited to an amount equal to the aggregate proceeds received by such Holder from the sale of Registrable Securities in such registration. 
  
 (c) Each Person entitled to indemnification under this Section 1.7 (the “Indemnified Party”) shall give notice to the Party
required to provide indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of
any such claim or any litigation resulting therefrom, provided that counsel for the Indemnifying Party, who shall conduct the defense of such claim or litigation, shall be approved by the Indemnified Party (whose approval shall not unreasonably be
withheld), and the Indemnified Party may participate in such defense at such Indemnified Party’s expense, and provided further, that the failure of any Indemnified Party to give notice as provided herein shall not relieve the
Indemnifying Party of its obligations under this Section 1.7 unless the failure to give such notice is materially prejudicial to an Indemnifying Party’s ability to defend such action and provided further, that the Indemnifying Party
shall not assume the defense for matters as to which there is a conflict of interest or separate and different defenses. If (i) the Indemnifying Party shall have failed to assume the defense of such claim and to employ counsel reasonably
satisfactory to the Indemnified Party in a timely manner or (ii) in the reasonable judgment of any Indemnified Party a conflict of interest may exist between such Indemnified Party and the Indemnifying Party with respect to such claim, the fees
and expenses of any counsel employed by the Indemnified Party shall be at the expense of the Indemnifying Party; provided that, if the Indemnifying Party is obligated to pay the fees and expenses of counsel for other Indemnified Parties, such
Indemnifying Party shall be obligated to pay only the fees and expenses associated with one attorney or law firm for the Indemnified Parties, unless there exists a conflict of interest or separate and different defenses among the Indemnified
Parties. No Indemnifying Party, in the defense of any such claim or litigation, shall, except with the consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement which does not include as an 

  

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unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect to such claim or
litigation. 
  
 (d) If the indemnification
provided for in this Section 1.7 is held by a court of competent jurisdiction to be unavailable to an Indemnified Party with respect to any loss, claim, damage, liability or action referred to herein, then the Indemnifying Party, in lieu of
indemnifying such Indemnified Party hereunder, shall contribute to the amounts paid or payable by such Indemnified Party as a result of such loss, claim, damage, liability or action in such proportion as is appropriate to reflect the relative fault
of the Indemnifying Party on the one hand and of the Indemnified Party on the other in connection with the statements or omissions which resulted in such loss, claim, damage, liability or action as well as any other relevant equitable
considerations. The relative fault of the Indemnifying Party and of the Indemnified Party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission
to state a material fact relates to information supplied by the Indemnifying Party or by the Indemnified Party and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission.
Notwithstanding the foregoing, the maximum amount which any Holder shall be required to contribute pursuant to this Section 1.7(d) shall be limited to an amount equal to the net proceeds actually received by such Holder from the sale of
Registrable Securities effected pursuant to such registration. 
  
 1.8 Information by Holder. The Holders of securities included in any registration shall furnish to the Corporation in writing such information regarding such Holders, the Registrable Securities held by such Holders and the
distribution proposed by such Holders as the Corporation may reasonably request in writing and as shall be required in connection with any registration, qualification or compliance referred to in this Section 1. 
  
 1.9 Rule 144 Reporting. With a view to making available the benefits
of certain rules and regulations of the Commission which may at any time permit the sale of the Registrable Securities to the public without registration, the Corporation agrees to use its best efforts to: 
  
 (a) Use its best efforts to make and keep public information
available, as those terms are understood and defined in Rule 144, at all times while the Corporation is subject to the reporting requirements of the Securities Act or the Exchange Act. 
  
 (b) Use its best efforts to file with the Commission in a
timely manner all reports and other documents required of the Corporation under the Securities Act and the Exchange Act (at any time while it is subject to such reporting requirements); 
  
 (c) So long as a Holder owns any Registrable Securities to furnish to the Holder forthwith upon request a
written statement by the Corporation as to its compliance with the reporting requirements of said Rule 144, and of the Securities Act and the Exchange Act, a copy of the most recent annual or quarterly report of the Corporation, and such other
reports and documents of the Corporation and other information in the possession of or reasonably obtainable by the Corporation as a Holder may reasonably request in availing itself of any rule or regulation of the Commission allowing a Holder to
sell any such securities without 

  

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registration. The Corporation will take action reasonably requested by a Holder to facilitate the transfer of Registrable Securities pursuant to
Rule 144. 
  
 1.10 Transfer of Registration Rights.
Any Holder may assign its rights hereunder to any purchaser of the Registrable Securities; provided, that immediately after the transfer the further disposition of any of the securities is restricted by the Securities Act; and provided
further, however, that such purchaser or transferee shall, as a condition to the effectiveness of such assignment, be required to execute a counterpart to this Agreement agreeing to be treated as the seller or transferor hereunder
whereupon such purchaser or transferee shall have the benefits of, and shall be subject to the restrictions contained in, this Agreement applicable to the seller or transferor. 
  
 2. Miscellaneous. 
  
 2.1 Governing Law; Submission to Jurisdiction. (a)
  
 (a) This Agreement shall be governed by and construed in accordance with the laws of the State of Maryland
applicable to contracts made and to be performed wholly therein, without regard to principles of the conflict of laws thereof. 
  
 (b) Each Party hereto hereby agrees that any suit or judgment entered by any court in respect thereof may be brought to the extent
permitted by applicable law in the State of Wisconsin, County of Dade or in any United States District Court located therein, as the Party commencing such suit, action or proceeding may elect in its sole discretion; and each Party hereto hereby
irrevocably submits to the jurisdiction of such courts and any appellate court or body thereof for the purpose of any suit, action, proceeding or judgment (and waives for such purpose any other preferential jurisdiction by reason of its present of
future domicile or otherwise). 
  
 (c) Each Party
hereby irrevocably waives any objection which it may now or hereafter have to the laying of the venue of any suit, action or proceeding arising out of or relating to this Agreement brought in the State of Wisconsin, County of Dade or in any United
States District Court located therein and hereby further irrevocably waives any claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum. 
  
 2.2 Survival. The representations, warranties, covenants and
agreements made herein shall survive any investigation made by any Holder, and the closing of the transactions contemplated hereby. 
  
 2.3 Successors and Assigns. Except as otherwise provided herein, the provisions hereof shall inure to the benefit of, and be binding upon, the
successors, assigns, heirs, executors and administrators of the Parties hereto. 
  
 2.4 Entire Agreement. This Agreement and the Subscription Agreement contain the entire understanding and agreement of the Parties with respect to the subject matter hereof and thereof. This Agreement and the
Subscription Agreement supersede all prior 

  

 12 

 
agreements and understandings among the Parties hereto with respect to the subject matter hereof. 
  
 2.5 Notices, etc. All notices and other communications required or
permitted hereunder shall be in writing and shall be delivered personally, mailed by certified or registered mail, postage prepaid, return receipt requested, by courier or facsimile (provided confirmation of transmission is mechanically generated
and kept on file by the sending party), addressed (a) if to any Holder, at such Holder’s address as set forth in the Corporation’s records, or at such other address as such Holder shall have furnished to the Corporation in writing,
(b) if to the Corporation, at 222 West Washington Avenue, Suite 775, Madison, WI 53703, Attention: Chief Financial Officer, or at such other address as the Corporation shall have furnished to such Holders in writing. Notices that are mailed
shall be deemed to have been given five days after deposit in the United States mail and notices delivered personally, by facsimile or by courier shall be deemed to have been given upon delivery to recipient’s address. 
  
 2.6 Delays or Omissions. No failure or delay by any Holder in
exercising any right, power or privilege hereunder and no course of dealing between the Corporation, on the one hand, and any Holder, on the other hand, shall operate as a waiver thereof; nor shall any single or partial exercise of any right, power
or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, power or privilege hereunder. Any Person having rights under any provision of this Agreement shall be entitled to enforce such rights
specifically or to recover damages or to exercise any other remedy available to it at law or in equity. The foregoing rights and remedies shall be cumulative and the exercise of any right or remedy provided herein shall not preclude any Person from
exercising any other right or remedy provided herein. The Corporation agrees that monetary damages would not be adequate compensation for any loss incurred by reason of a breach by it of any of the provisions of this Agreement and hereby agrees to
waive the defense in any action for specific performance that a remedy at law would be adequate. No notice to or demand on the Corporation in any case shall entitle the Corporation to any other or further notice or demand in similar or other
circumstances or constitute a waiver of the rights of any Holder to any other or further action in any circumstances without notice or demand. Each covenant contained herein shall operate independently of any other covenant contained herein.

  
 2.7 Counterparts. This Agreement may be executed in any
number of counterparts, each of which shall be an original, but all of which together shall constitute one instrument. 
  
 2.8 Severability. If any provision of this Agreement, or the application thereof, shall for any reason and to any extent be invalid or
unenforceable the remainder of this Agreement and application of such provision to Persons or circumstances shall be interpreted so as best to reasonably effect the intent of the parties hereto, the parties further agree to replace such void or
unenforceable provision of this Agreement with a valid and enforceable provision which will achieve to the extent possible, the economic, business and other purposes of the void or unenforceable provision. 
  
 2.9 Headings. The headings in this Agreement are for convenience of
reference only and shall not limit or otherwise affect the meaning hereof. 
  

 13 

 COUNTERPART SIGNATURE PAGE TO 
 REGISTRATION RIGHTS AGREEMENT 
  
 IN WITNESS WHEREOF, the parties hereto have executed this Registration Rights Agreement as of the date first written above. 
  
  

			
	 CORPORATION:

	
	 SONIC FOUNDRY, INC.

		
	 By:
	 	 
	 Name:

	 Title:

  
  
  
  

 14 

			
	 	 	 INVESTORS:

	 	 	 
		
	 	 	 
	 	 	 
	 	 	 
		
	 	 	 
	 	 	 
	 	 	 
		
	 	 	 

  

 15Private Placement Warrant

 EXHIBIT 4.5 
  

NEITHER THESE SECURITIES NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE
SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER 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 THE REGISTRATION REQUIREMENTS THEREUNDER AND IN COMPLIANCE WITH APPLICABLE STATE SECURITIES OR BLUE SKY LAWS. 
  
 SONIC FOUNDRY, INC. 
 WARRANT 
  

			
	Warrant No.    	  	Dated:                     , 2005

  
 Sonic Foundry, Inc., a
Maryland corporation (the “Company”), hereby certifies that, for value received,
                                , or its registered assigns (“Holder”),
is entitled, subject to the terms set forth below, to purchase from the Company up to a total of .2 shares for each share of common stock purchased, $.01 par value per share (the “Common Stock”), of the Company (each such share, a
“Warrant Share” and all such shares, the “Warrant Shares”) at an exercise price equal to [150% of the price paid for each share of common stock purchased] (as adjusted from time to time as provided in Section 9, the
“Exercise Price”), at any time and from time to time from and after the date hereof and through and including the date Five years following the date above (the “Expiration Date”), and subject to the following terms and
conditions: 
  
 1. Registration of Warrant. The Company
shall register this Warrant, upon records to be maintained by the Company for that purpose (the “Warrant Register”), in the name of the record Holder hereof from time to time. The Company may deem and treat the registered Holder of this
Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder, and for all other purposes, and the Company shall not be affected by notice to the contrary. 
  
 2. Registration of Transfers and Exchanges. 
  
 (a) The Company shall register the transfer of any portion
of this Warrant in the Warrant Register, upon surrender of this Warrant, with the Form of Assignment attached hereto duly completed and signed, to the Transfer Agent or to the Company at the office specified in or pursuant to Section 3(b). Upon
any such registration or transfer, a new warrant to purchase Common Stock, in substantially the form of this Warrant (any such new warrant, a “New Warrant”), evidencing the portion of this Warrant so transferred shall be issued to the
transferee and a New Warrant evidencing the remaining portion of this Warrant not so transferred, if any, shall be issued to the transferring Holder. The acceptance of the New 

  

 1 

 
Warrant by the transferee thereof shall be deemed the acceptance of such transferee of all of the rights and obligations of a holder of a Warrant.

  
 (b) This Warrant is exchangeable, upon the
surrender hereof by the Holder to the office of the Company specified in or pursuant to Section 3(b) for one or more New Warrants, evidencing in the aggregate the right to purchase the number of Warrant Shares which may then be purchased
hereunder. Any such New Warrant will be dated the date of such exchange. 
  
 3. Duration and Exercise of Warrants. 
  
 (a) This Warrant shall be exercisable by the registered Holder on any business day before 8:00 P.M., New York City time, at any time and from time to time on or after the date hereof to and including the Expiration
Date. At 8:00 P.M., New York City time on the Expiration Date, the portion of this Warrant not exercised prior thereto shall be and become void and of no value. Prior to the Expiration Date, the Company may not call or otherwise redeem this Warrant
without the prior written consent of the Holder. 
  
 (b) Subject to Sections 2(b), 6 and 10, upon surrender of this Warrant, with the Form of Election to Purchase attached hereto duly completed and signed, to the Company at its address for notice set forth in Section 13 and upon payment
of the Exercise Price multiplied by the number of Warrant Shares that the Holder intends to purchase hereunder, in the manner provided hereunder, all as specified by the Holder in the Form of Election to Purchase, the Company shall promptly (but in
no event later than 3 business days after the Date of Exercise (as defined herein)) issue or cause to be issued and cause to be delivered to or upon the written order of the Holder and in such name or names as the Holder may designate, a certificate
for the Warrant Shares issuable upon such exercise, free of restrictive legends except (i) either in the event that a registration statement covering the resale of the Warrant Shares and naming the Holder as a selling stockholder thereunder is
not then effective or the Warrant Shares are not freely transferable without volume restrictions pursuant to Rule 144(k) promulgated under the Securities Act of 1933, as amended (the “Securities Act”), or (ii) if this Warrant shall
have been issued pursuant to a written agreement between the original Holder and the Company, as required by such agreement. Any person so designated by the Holder to receive Warrant Shares shall be deemed to have become holder of record of such
Warrant Shares as of the Date of Exercise of this Warrant. 
  
 (c) A “Date of Exercise” means the date on which the Company shall have received (i) this Warrant (or any New Warrant, as applicable), with the Form of Election to Purchase attached hereto (or attached
to such New Warrant) appropriately completed and duly signed, and (ii) payment of the Exercise Price for the number of Warrant Shares so indicated by the holder hereof to be purchased. 
  
 (d) This Warrant shall be exercisable, either in its
entirety or, from time to time, for a portion of the number of Warrant Shares. If less than all of the Warrant Shares which may be purchased under this Warrant are exercised at any time, the Company shall issue or cause to be issued, at its expense,
a New Warrant evidencing the right to purchase the remaining number of Warrant Shares for which no exercise has been evidenced by this Warrant. 
  

 2 

 4. Piggyback Registration Rights. During the Effectiveness Period (as defined in Section 1.2
of the Registration Rights Agreement, of even date herewith, between the Company and the original Holder), and until the Shelf Registration is filed, the Company may not file any registration statement with the Securities and Exchange Commission
(other than registration statements of the Company filed on Form S-8 or Form S-4, each as promulgated under the Securities Act, pursuant to which the Company is registering securities pursuant to a Company employee benefit plan or pursuant to a
merger, acquisition or similar transaction including supplements thereto, but not additionally filed registration statements in respect of such securities) at any time when there is not an effective registration statement covering the resale of the
Warrant Shares and naming the Holder as a selling stockholder thereunder, unless the Company provides the Holder with not less than 20 days notice of its intention to file such registration statement and provides the Holder the option to include any
or all of the applicable Warrant Shares therein. The piggyback registration rights granted to the Holder pursuant to this Section shall continue until all of the Holder’s Warrant Shares have been sold in accordance with an effective
registration statement or upon the Expiration Date. The Company will pay all registration expenses in connection therewith. 
  
 5. Registration Rights. During the Effectiveness Period, the Company shall effect the “Shelf Registration” for the Warrant Shares as
provided in Section 1.2 of the Registration Rights Agreement, or if such Shelf Registration should not be declared effective or should its effectiveness lapse for any reason during the Effectiveness Period, the Holder shall have the
“Registration Rights” with respect to the Warrant Shares as provided in the Registration Rights Agreement. 
  
 6. Payment of Taxes. The Company will pay all documentary stamp taxes attributable to the issuance of Warrant Shares upon the exercise of this
Warrant; provided, however, that the Company shall not be required to pay any tax which may be payable in respect of any transfer involved in the registration of any certificates for Warrant Shares or Warrants in a name other than that of the
Holder. The Holder shall be responsible for all other tax liability that may arise as a result of holding or transferring this Warrant. 
  
 7. Replacement of Warrant. If this Warrant is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and
substitution for and upon cancellation hereof, or in lieu of and substitution for this Warrant, a New Warrant, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction and indemnity, if requested,
satisfactory to it. Applicants for a New Warrant under such circumstances shall also comply with such other reasonable regulations and procedures and pay such other reasonable charges as the Company may prescribe. 
  
 8. Reservation of Warrant Shares. The Company covenants that it will
at all times reserve and keep available out of the aggregate of its authorized but unissued Common Stock, solely for the purpose of enabling it to issue Warrant Shares upon exercise of this Warrant as herein provided, the number of Warrant Shares
which are then issuable and deliverable upon the exercise of this entire Warrant, free from preemptive rights or any other actual contingent purchase rights of persons other than the Holder (taking into account the adjustments and restrictions of
Section 9). The Company covenants that all Warrant Shares that shall be so issuable and deliverable shall, upon issuance and the payment of the applicable Exercise Price in 

  

 3 

 
accordance with the terms hereof, be duly and validly authorized, issued and fully paid and nonassessable. 
  
 9. Certain Adjustments. The Exercise Price and number of Warrant
Shares issuable upon exercise of this Warrant are subject to adjustment from time to time as set forth in this Section 9. Upon each such adjustment of the Exercise Price pursuant to this Section 9, the Holder shall thereafter prior to the
Expiration Date be entitled to purchase, at the Exercise Price resulting from such adjustment, the number of Warrant Shares obtained by multiplying the Exercise Price in effect immediately prior to such adjustment by the number of Warrant Shares
issuable upon exercise of this Warrant immediately prior to such adjustment and dividing the product thereof by the Exercise Price resulting from such adjustment. 
  
 (a) If the Company, at any time while this Warrant is outstanding, (i) shall pay a stock dividend
(except scheduled dividends paid on outstanding preferred stock as of the date hereof which contain a stated dividend rate) or otherwise make a distribution or distributions on shares of its Common Stock or on any other class of capital stock
payable in shares of Common Stock, (ii) subdivide outstanding shares of Common Stock into a larger number of shares, or (iii) combine outstanding shares of Common Stock into a smaller number of shares, the Exercise Price shall be
multiplied by a fraction of which the numerator shall be the number of shares of Common Stock (excluding treasury shares, if any) outstanding before such event and of which the denominator shall be the number of shares of Common Stock (excluding
treasury shares, if any) outstanding after such event. Any adjustment made pursuant to this Section shall become effective immediately after the record date for the determination of stockholders entitled to receive such dividend or distribution and
shall become effective immediately after the effective date in the case of a subdivision or combination, and shall apply to successive subdivisions and combinations. 
  
 (b) In case of any reclassification of the Common Stock, any consolidation or merger of the Company with or
into another person, the sale or transfer of all or substantially all of the assets of the Company or any compulsory share exchange pursuant to which the Common Stock is converted into other securities, cash or property, then the Holder shall have
the right thereafter to exercise this Warrant only into the shares of stock and other securities and property receivable upon or deemed to be held by holders of Common Stock following such reclassification, consolidation, merger, sale, transfer or
share exchange, and the Holder shall be entitled upon such event to receive such amount of securities or property equal to the amount of Warrant Shares such Holder would have been entitled to had such Holder exercised this Warrant immediately prior
to such reclassification, consolidation, merger, sale, transfer or share exchange. The terms of any such consolidation, merger, sale, transfer or share exchange shall include such terms so as to continue to give to the Holder the right to receive
the securities or property set forth in this Section 9(b) upon any exercise following any such reclassification, consolidation, merger, sale, transfer or share exchange. 
  
 (c) If the Company, at any time while this Warrant is outstanding, shall distribute to all holders of Common
Stock (and not to holders of this Warrant) evidences of its indebtedness or assets or rights or warrants to subscribe for or purchase any security (excluding those referred to in Sections 9(a), (b) and (d)), then in each such case the Exercise
Price shall be determined by multiplying the Exercise Price in effect immediately prior to the record date fixed 

  

 4 

 
for determination of stockholders entitled to receive such distribution by a fraction of which the denominator shall be the Exercise Price determined as of
the record date mentioned above, and of which the numerator shall be such Exercise Price on such record date less the then fair market value at such record date of the portion of such assets or evidence of indebtedness so distributed applicable to
one outstanding share of Common Stock as determined by the Company’s independent certified public accountants that regularly examines the financial statements of the Company (an “Appraiser”). 
  
 (d) If at any time the Company or any subsidiary thereof, as
applicable with respect to Common Stock Equivalents (as defined below), shall issue shares of Common Stock or rights, warrants, options or other securities or debt that is convertible into or exchangeable for shares of Common Stock (“Common
Stock Equivalents”), other than: (i) issuances pursuant to any grant or exercise of any stock or options which may hereafter be granted or exercised under any employee benefit plan of the Company now existing or to be implemented in
the future, and (ii) shares of Common Stock issued as payment of the purchase price in connection with a Strategic Transaction (as defined below) entitling any person or entity to acquire shares of Common Stock at a price per share less than
both the market price of the Common Stock at the time of issuance and the Exercise Price then in effect (if the holder of the Common Stock or Common Stock Equivalent so issued shall at any time, whether by operation of purchase price adjustments,
reset provisions, floating conversion, exercise or exchange prices or otherwise, or due to warrants, options or rights issued in connection with such issuance at a price less than the prevailing Exercise Price or market price, such issuance shall be
deemed to have occurred for less than such Exercise Price or market price), then, forthwith upon such issue or sale, the Exercise Price shall be reduced to the price (calculated to the nearest cent) determined by multiplying the Exercise Price in
effect immediately prior thereto by a fraction, the numerator of which shall be the sum of (i) the number of shares of Common Stock outstanding immediately prior to such issuance, and (ii) the number of shares of Common Stock which the
aggregate consideration received (or to be received, assuming exercise or conversion in full of such Common Stock Equivalents) for the issuance of such additional shares of Common Stock would purchase at the Exercise Price, and the denominator of
which shall be the sum of the number of shares of Common Stock outstanding immediately after the issuance of such additional shares. For purposes hereof, all shares of Common Stock that are issuable upon conversion, exercise or exchange of Common
Stock Equivalents shall be deemed outstanding immediately after the issuance of such Common Stock Equivalents. Such adjustment shall be made whenever such Common Stock or Common Stock Equivalents are issued. However, upon the expiration of any
Common Stock Equivalents the issuance of which resulted in an adjustment in the Exercise Price pursuant to this Section, if any such Common Stock Equivalents shall expire and shall not have been exercised, the Exercise Price shall immediately upon
such expiration be recomputed and effective immediately upon such expiration be increased to the price which it would have been (but reflecting any other adjustments in the Exercise Price made pursuant to the provisions of this Section after the
issuance of such Common Stock Equivalents) had the adjustment of the Exercise Price made upon the issuance of such Common Stock Equivalents been made on the basis of offering for subscription or purchase only that number of shares of the Common
Stock actually purchased upon the exercise of such Common Stock Equivalents actually exercised. For purposes of this Section 9(d), a “Strategic Transaction” shall mean a transaction or relationship in which the Company issues Common
Stock to an entity which is, itself or through its subsidiaries, an operating company in a business related to the business of the Company and in 

  

 5 

 
which the Company receives material benefits in addition to the investment of funds, but shall not include a transaction in which the Company is issuing
securities primarily for the purpose of raising capital. 
  
 (e) In case of any (1) merger or consolidation of the Company with or into another Person, or (2) sale by the Company of more than one-half of the assets of the Company (on a book value basis) in one or a
series of related transactions, or (3) tender or other offer or exchange (whether by the Company or another Person) pursuant to which holders of Common Stock are permitted to tender or exchange their shares for other securities, stock, cash or
property of the Company or another Person; then the Holder shall have the right thereafter to (A) exercise this Warrant for the shares of stock and other securities, cash and property receivable upon or deemed to be held by holders of Common
Stock following such merger, consolidation or sale, and the Holder shall be entitled upon such event or series of related events to receive such amount of securities, cash and property as the Common Stock for which this Warrant could have been
exercised immediately prior to such merger, consolidation or sales would have been entitled, (B) in the case of a merger or consolidation, (x) require the surviving entity to issue to the Holder a warrant entitling the Holder to acquire
shares of such entity’s common stock, which warrant shall have terms identical (including with respect to exercise) to the terms of this Warrant and shall be entitled to all of the rights and privileges set forth herein and the agreements
pursuant to which this Warrant was issued (including, without limitation, as such rights relate to the acquisition, transferability, registration and listing of such shares of stock or other securities issuable upon exercise thereof), or (C) in
the event of an exchange or tender offer or other transaction contemplated by clause (3) of this Section, tender or exchange this Warrant for such securities, stock, cash and other property receivable upon or deemed to be held by holders of
Common Stock that have tendered or exchanged their shares of Common Stock following such tender or exchange, and the Holder shall be entitled upon such exchange or tender to receive such amount of securities, cash and property as the shares of
Common Stock for which this Warrant could have been exercised immediately prior to such tender or exchange would have been entitled as would have been issued. In the case of clause (B), the exercise price applicable for the newly issued warrant
shall be based upon the amount of securities, cash and property that each share of Common Stock would receive in such transaction and the Exercise Price immediately prior to the effectiveness or closing date for such transaction. The terms of any
such merger, sale, consolidation, tender or exchange shall include such terms so as continue to give the Holder the right to receive the securities, cash and property set forth in this Section upon any conversion or redemption following such event.
This provision shall similarly apply to successive such events. 
  
 (f) For the purposes of this Section 9, the following clauses shall also be applicable: 
  
 (i) Record Date. In case the Company shall take a record of the holders of its Common Stock for the purpose of entitling them
(A) to receive a dividend or other distribution payable in Common Stock or in securities convertible or exchangeable into shares of Common Stock, or (B) to subscribe for or purchase Common Stock or securities convertible or exchangeable
into shares of Common Stock, then such record date shall be deemed to be the date of the issue or sale of the shares of Common Stock deemed to have been issued or sold upon the 

  

 6 

 
declaration of such dividend or the making of such other distribution or the date of the granting of such right of subscription or purchase, as the case may
be. 
  
 (ii) Treasury Shares. The number
of shares of Common Stock outstanding at any given time shall not include shares owned or held by or for the account of the Company, and the disposition of any such shares shall be considered an issue or sale of Common Stock. 
  
 (g) No adjustments in the Exercise Price shall be required
if such adjustment is less than $0.01; provided, however, that any adjustments which by reason of this Section 9 are not required to be made shall be carried forward and taken into account in any subsequent adjustment. All calculations under
this Section 9 shall be made to the nearest cent or to the nearest 1/100th of a share, as the case may be. 
  
 (h) Whenever the Exercise Price is adjusted pursuant to Section 9(c) above, the Holder, after receipt of the determination by the
Appraiser, shall have the right to select an additional appraiser (which shall be a nationally recognized accounting firm), in which case the adjustment shall be equal to the average of the adjustments recommended by each of the Appraiser and such
appraiser. The Holder shall promptly mail or cause to be mailed to the Company, a notice setting forth the Exercise Price after such adjustment and setting forth a brief statement of the facts requiring such adjustment. Such adjustment shall become
effective immediately after the record date mentioned above. 
  
 (i) If: 
  
 (i)
the Company shall declare a dividend (or any other distribution) on its Common Stock; or 
  
 (ii) the Company shall declare a special nonrecurring cash dividend on or a redemption of its Common Stock; or 
  
 (iii) the Company shall authorize the granting to all
holders of the Common Stock rights or warrants to subscribe for or purchase any shares of capital stock of any class or of any rights; or 
  
 (iv) the approval of any stockholders of the Company shall be required in connection with any reclassification of the Common Stock, any
consolidation or merger to which the Company is a party, any sale or transfer of all or substantially all of the assets of the Company, or any compulsory share exchange whereby the Common Stock is converted into other securities, cash or property;
or 
  
 (v) the Company shall authorize the
voluntary dissolution, liquidation or winding up of the affairs of the Company, 
  
 then the Company shall cause to be mailed to each Holder at their last addresses as they shall appear upon the Warrant Register, at least 30 calendar days prior to the applicable record or effective date hereinafter specified, a notice
stating (x) the date on which a record is to be taken 

  

 7 

 
for the purpose of such dividend, distribution, redemption, rights or warrants, or if a record is not to be taken, the date as of which the holders of Common
Stock of record to be entitled to such dividend, distributions, redemption, rights or warrants are to be determined or (y) the date on which such reclassification, consolidation, merger, sale, transfer or share exchange is expected to become
effective or close, and the date as of which it is expected that holders of Common Stock of record shall be entitled to exchange their shares of Common Stock for securities, cash or other property deliverable upon such reclassification,
consolidation, merger, sale, transfer, share exchange, dissolution, liquidation or winding up; provided, however, that the failure to mail such notice or any defect therein or in the mailing thereof shall not affect the validity of the
corporate action required to be specified in such notice. 
  
 10.
Payment of Exercise Price. The Holder shall pay the Exercise Price in immediately available funds. 
  
 11. Certain Exercise Restrictions. 
  
 (a) The Holder may not exercise this Warrant to the extent such exercise would result in the Holder, together with any affiliate thereof,
beneficially owning (as determined in accordance with Section 13(d) of the Exchange Act of 1934 (the “Exchange Act”) and the rules thereunder) in excess of 4.999% of the then issued and outstanding shares of Common Stock, including
shares issuable upon exercise of this Warrant after application of this Section. The Holder shall have the sole authority and obligation to determine whether and to what Warrant Shares the restriction contained in this Section applies. The
provisions of this Section may be waived by the Holder upon not less than 61 days prior notice to the Company. 
  
 (b) The Holder may not exercise this Warrant to the extent such exercise would result in the Holder, together with any affiliate thereof,
beneficially owning (as determined in accordance with Section 13(d) of the Exchange Act and the rules thereunder) in excess of 9.999% of the then issued and outstanding shares of Common Stock, including shares issuable upon exercise of this
Warrant after application of this Section. The Holder shall have the sole authority and obligation to determine whether and to what Warrant Shares the restriction contained in this Section applies. The provisions of this Section may be waived by the
Holder upon not less than 61 days prior notice to the Company. 
  
 12. Fractional Shares. The Company shall not be required to issue or cause to be issued fractional Warrant Shares on the exercise of this Warrant. The number of full Warrant Shares which shall be issuable upon the exercise of this
Warrant shall be computed on the basis of the aggregate number of Warrant Shares purchasable on exercise of this Warrant so presented. If any fraction of a Warrant Share would, except for the provisions of this Section, be issuable on the exercise
of this Warrant, the Company shall pay an amount in cash equal to the Exercise Price multiplied by such fraction. 
  
 13. Notices. Any and all notices or other communications or deliveries hereunder shall be in writing and shall be deemed given and effective on the
earliest of (i) the date of transmission, if such notice or communication is delivered via facsimile at the facsimile telephone number specified in this Section prior to 8:00 p.m. (New York City time) on a business day, (ii) the business
day after the date of transmission, if such notice or communication is 

  

 8 

 
delivered via facsimile at the facsimile telephone number specified in this Section later than 8:00 p.m. (New York City time) on any date and earlier than
11:59 p.m. (New York City time) on such date, (iii) the business day following the date of mailing, if sent by nationally recognized overnight courier service, or (iv) upon actual receipt by the party to whom such notice is required to be
given. The addresses for such communications shall be: (i) if to the Company, to Sonic Foundry, Inc., 222 West Washington Avenue, Suite 775, Madison, WI 53703, Attention: Chief Financial Officer, or to Facsimile No. (608) 443-1609, or
(ii) if to Holder, to the Holder at the address or facsimile number appearing on the Warrant Register or such other address or facsimile number as the Holder may provide to the Company in accordance with this Section. 
  
 14. Warrant Agent. The Company shall serve as warrant agent under
this Warrant. Upon thirty (30) days’ notice to the Holder, the Company may appoint a new warrant agent. Any corporation into which the Company or any new warrant agent may be merged or any corporation resulting from any consolidation to
which the Company or any new warrant agent shall be a party or any corporation to which the Company or any new warrant agent transfers substantially all of its corporate trust or shareholders services business shall be a successor warrant agent
under this Warrant without any further act. Any such successor warrant agent shall promptly cause notice of its succession as warrant agent to be mailed (by first class mail, postage prepaid) to the Holder at the Holder’s last address as shown
on the Warrant Register. 
  
 15. Miscellaneous.

  
 (a) This Warrant shall be binding on and
inure to the benefit of the parties hereto and their respective successors and assigns. This Warrant may be amended only in writing signed by the Company and the Holder and their successors and assigns. 
  
 (b) Subject to Section 15(a), above, nothing in this
Warrant shall be construed to give to any person or corporation other than the Company and the Holder any legal or equitable right, remedy or cause under this Warrant. This Warrant shall inure to the sole and exclusive benefit of the Company and the
Holder. 
  
 (c) The corporate laws of the State
of Maryland shall govern all issues concerning the relative rights of the Company and its stockholders. All other questions concerning the construction, validity, enforcement and interpretation of this Warrant shall also be governed by and construed
and enforced in accordance with the internal laws of the State of Maryland, without regard to the principles of conflicts of law thereof. The Company and the Holder hereby irrevocably submit to the exclusive jurisdiction of the state and federal
courts sitting in the State of Wisconsin, County of Dade, for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to
assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, or that such suit, action or proceeding is improper. Each of the Company and the Holder hereby irrevocably waives personal
service of process and consents to process being served in any such suit, action or proceeding by receiving a copy thereof sent to the Company at the address in effect for notices to it under this instrument and agrees that such service shall
constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law. 
  

 9 

 (d) The headings herein are for convenience only, do not constitute a part of this
Warrant and shall not be deemed to limit or affect any of the provisions hereof. 
  
 (e) In case any one or more of the provisions of this Warrant shall be invalid or unenforceable in any respect, the validity and
enforceability of the remaining terms and provisions of this Warrant shall not in any way be affected or impaired thereby and the parties will attempt in good faith to agree upon a valid and enforceable provision which shall be a commercially
reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute provision in this Warrant. 
  
 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by its authorized officer as of the date first indicated above. 
  

			
	 SONIC FOUNDRY, INC.

		
	 By:
	 	 
		
	 Name: 
	 	 
		
	 Title:
	 	 

  

	

  
  
  

 10 

 FORM OF ELECTION TO PURCHASE 
  
 (To be executed by the Holder to exercise the right to purchase shares of Common Stock under the foregoing Warrant) 
  
 To Sonic Foundry, Inc.: 
  
 In accordance with the Warrant enclosed with this Form of Election to
Purchase, the undersigned hereby irrevocably elects to purchase              shares of common stock, $.01 par value per share, of Sonic Foundry, Inc. (the “Common Stock”)
and encloses herewith $             in cash, certified or official bank check or checks, which sum represents the aggregate Exercise Price (as defined in the Warrant) for the number
of shares of Common Stock to which this Form of Election to Purchase relates, together with any applicable taxes payable by the undersigned pursuant to the Warrant. 
  
 The undersigned requests that certificates for the shares of Common Stock issuable upon this exercise be issued in the name
of 
  

	
	 PLEASE INSERT SOCIAL SECURITY OR
 TAX IDENTIFICATION NUMBER

	
	 
	 

  
 (Please print
name and address) 
  
 If the number of shares of Common Stock
issuable upon this exercise shall not be all of the shares of Common Stock which the undersigned is entitled to purchase in accordance with the enclosed Warrant, the undersigned requests that a New Warrant (as defined in the Warrant) evidencing the
right to purchase the shares of Common Stock not issuable pursuant to the exercise evidenced hereby be issued in the name of and delivered to: 
  

															
	 	 	 	 	 	  	 	  	 	 	 	  	 
			
	 	  	(Please print name and address)	  	 
			
	 	  	 	  	 
			
	 	  	 	  	 
							
	Dated: 	 	 	 	,	 	 	  	 	  	Name of Holder:	  	 
								
	 	 	 	 	 	 	 	  	 	  	 	 	 (Print)
	  	 
								
	 	 	 	 	 	 	 	  	 	  	 	 	 (By:)
	  	 
								
	 	 	 	 	 	 	 	  	 	  	 	 	 (Name:)
	  	 
								
	 	 	 	 	 	 	 	  	 	  	 	 	 (Title:)
	  	 
	 	 	 	 	 	 	 	  	 	  	 	 	(Signature must conform in all respects to name of holder as specified on the face of the Warrant)

  
  
  

 FORM OF ASSIGNMENT 
  
 [To be completed and signed only upon transfer of Warrant] 
  
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto
                                        
         the right represented by the within Warrant to purchase
                             shares of Common Stock of Sonic Foundry, Inc. to which the within Warrant
relates and appoints                                     
attorney to transfer said right on the books of Sonic Foundry, Inc. with full power of substitution in the premises. 
  
 Dated: 

	
	
	 

  

	
	 (Signature must conform in all respects to name of
 holder as specified on the face of the Warrant)

	
	 
	 Address of Transferee

	
	 
	
	 

  

	
	 In the presence of:

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