Document:

Pledge Agreement Cornell Capital Partners, LP and Al Braswell

 Exhibit 10.11 
  
 INSIDER PLEDGE AND ESCROW AGREEMENT 
  
 THIS INSIDER PLEDGE AND ESCROW AGREEMENT (the “Agreement”) is made and entered into as of
January 9, 2006 (the “Effective Date”) by and among AL BRASWELL (the “Pledgor”), CORNELL CAPITAL PARTNERS, LP (the “Pledgee”), i2 TELECOM INTERNATIONAL, INC., a Washington
corporation (the “Company”), and DAVID GONZALEZ, ESQ., as escrow agent (“Escrow Agent”). 
  
 RECITALS: 
  
 WHEREAS, the Company shall issue and sell to the Pledgee, as provided in the Securities Purchase Agreement of even date herewith between the
Company and the Pledgee (the “Securities Purchase Agreement”), and the Pledgee shall purchase up to One Million Seven Hundred Fifty Thousand Dollars ($1,750,000) of secured convertible debentures (the “Convertible
Debentures”), which shall be convertible into shares of the Company’s common stock, no par value per share (the “Common Stock”) (as converted, the “Conversion Shares”); 
  
 WHEREAS, to induce the Pledgee to enter into the transaction
contemplated by the Securities Purchase Agreement, the Convertible Debentures, the Investor Registration Rights Agreement of even date herewith between the Company and the Pledgee (the “Investor Registration Rights Agreement”), the
Pledge and Escrow Agreement of even date herewith among the Company, the Pledgee and the Escrow Agent (the “Pledge Agreement”), the Escrow Agreement of even date herewith among the Company, the Pledgee, and the Escrow Agent (the
“Escrow Agreement”), and the Irrevocable Transfer Agent Instructions among the Company, the Pledgee, the Transfer Agent, and the Escrow Agent (the “Transfer Agent Instructions”) (collectively referred to as the
“Transaction Documents”), the Pledgor has agreed to irrevocably pledge to the Pledgee four hundred thirty-one thousand eight hundred forty seven (431,847) shares (the “Pledged Shares”) of Common Stock
beneficially owned by the Pledgor in accordance with this Agreement. 
  
 NOW, THEREFORE, in consideration of the mutual covenants, agreements, warranties, and representations herein contained, and for other good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties hereto agree as follows: 
  
 TERMS AND CONDITIONS 
  
 1. Obligations
Secured. The obligations secured hereby are any and all obligations of the Company now existing or hereinafter incurred to the Pledgee, whether oral or written and whether arising before, on or after the date hereof including, without
limitation, those obligations of the Company to the Pledgee under the Transaction Documents and any other amounts now or hereafter owed to the Pledgee by the Company thereunder (collectively, the “Obligations”). 
  
 2. Pledge and Transfer of Pledged Shares. The Pledgor hereby grants to Pledgee
an irrevocable, first priority security interest in all Pledged Shares as security for the Company’s Obligations. Simultaneously with the execution of the Transaction Documents, the Pledgor shall deliver to the Escrow Agent stock certificates
made out in favor of the Pledgor representing the 

 Pledged Shares, together with duly executed stock powers or other appropriate transfer documents with medallion bank
guarantees and executed in blank by the Pledgor (the “Transfer Documents”), and such stock certificates and Transfer Documents shall be held by the Escrow Agent until the full payment of all Obligations due to the Pledgee, including
the repayment of all amounts owed by the Company to the Pledgee under the Convertible Debentures (whether outstanding principal, interest, legal fees, or any other amounts owed to the Pledgee by the Company). 
  
 3. Rights Relating to Pledged Shares. Upon the occurrence of an Event of
Default (as defined herein), the Pledgee shall be entitled to vote the Pledged Shares, receive dividends and other distributions thereon, and enjoy all other rights and privileges incident to the ownership of the number of Pledged Shares actually
released from escrow in accordance with Section 6.1 hereof. 
  
 4.
Release of Pledged Shares from Pledge. Upon the Company’s increase of its authorized shares of common stock to two hundred fifty million (250,000,000) and the delivery of one hundred million (100,000,000) shares of
Common Stock by the Company to the Escrow Agent pursuant to that certain Pledge and Escrow Agreement dated January 9, 2006 by an among the Company, the Pledgee and the Escrow Agent, the Escrow Agent shall return to the Pledgor the Transfer
Documents and the certificates representing the Pledged Shares (collectively the “Pledged Materials”), whereupon any and all rights of the Pledgee in the Pledged Materials shall terminate. 
  
 5. Event of Default. An “Event of Default” shall be deemed to
have occurred under this Agreement upon an Event of Default under the Convertible Debentures. 
  
 6. Remedies. 
  
 a.
Upon and anytime after the occurrence of an Event of Default, the Pledgee shall have the right to provide written notice of such Event of Default (the “Default Notice”) to the Escrow Agent, with a copy to the Pledgor. As soon as
practicable after receipt of the Default Notice, the Escrow Agent shall deliver to Pledgee the Pledged Materials held by the Escrow Agent hereunder. Upon receipt of the Pledged Materials, the Pledgee shall have the right to (i) sell the Pledged
Shares and to apply the proceeds of such sales, net of any selling commissions, to the Obligations owed to the Pledgor by the Company under the Transaction Documents, including, without limitation, outstanding principal, interest, legal fees, and
any other amounts owed to the Pledgee, and exercise all other rights and (ii) any and all remedies of a secured party with respect to such property as may be available under the Uniform Commercial Code as in effect in the State of New Jersey.
To the extent that the net proceeds received by the Pledgee are insufficient to satisfy the Obligations in full, the Pledgee shall be entitled to a deficiency judgment against the Pledgor or the Company for such amount. The Pledgee shall have the
absolute right to sell or dispose of the Pledged Shares in any manner it sees fit and shall have no liability to the Pledgor, the Company or any other party for selling or disposing of such Pledged Shares even if other methods of sales or
dispositions would or allegedly would result in greater proceeds than the method actually used. The Escrow Agent shall have the absolute right to disburse the Pledged Shares to the Pledgee in batches not to exceed 9.9% of the outstanding capital of
the Company (which limit may be waived by the Pledgee providing not less than 65 
  

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 days’ prior written notice to the Escrow Agent). The Pledgee shall return any Pledged Shares released to it and
remaining after the Pledgee has applied the net proceeds to all amounts owed to the Pledgee. 
  
 b. Each right, power and remedy of the Pledgee provided for in this Agreement or any other Transaction Document shall be cumulative and concurrent and shall be in addition to every other such right, power or remedy.
The exercise or beginning of the exercise by the Pledgee of any one or more of the rights, powers or remedies provided for in this Agreement or any other Transaction Document or now or hereafter existing at law or in equity or by statute or
otherwise shall not preclude the simultaneous or later exercise by the Pledgee of all such other rights, powers or remedies, and no failure or delay on the part of the Pledgee to exercise any such right, power or remedy shall operate as a waiver
thereof. No notice to or demand on the Pledgor in any case shall entitle it to any other or further notice or demand in similar or other circumstances or constitute a waiver of any of the rights of the Pledgee to any other further action in any
circumstances without demand or notice. The Pledgee shall have the full power to enforce or to assign or contract is rights under this Agreement to a third party. 
  
 7. Representations, Warranties and Covenants. 
  
 a. The Pledgor represents, warrants and covenants that: 
  
 (i) Pledgor is, and at the time when pledged hereunder will be, the legal, beneficial and record owner of, and has (and
will have) good and valid title to, all Pledged Shares pledged hereunder, subject to no pledge, lien, mortgage, hypothecation, security interest, charge, option or other encumbrance whatsoever; 
  
 (ii) Pledgor has full power, authority and legal right to pledge all the
Pledged Shares pledged pursuant to this Agreement; and 
  
 (iii)
all the Pledged Shares have been duly and validly issued, are fully paid and non-assessable and are subject to no options to purchase or similar rights. 
  
 b. The Pledgor covenants and agrees to take all reasonable steps to defend the Pledgee’s right, title and security interest in and to the Pledged
Shares and the proceeds thereof against the claims and demands of all persons whomsoever (other than the Pledgee and the Escrow Agent); and the Pledgor covenants and agrees that it will have like title to and right to pledge any other property at
any time hereafter pledged to the Pledgee as Collateral hereunder and will likewise take all reasonable steps to defend the right thereto and security interest therein of the Pledgee. 
  
 c. The Pledgor covenants and agrees to take no action which would violate or be inconsistent with any of the terms of any
Transaction Document, or which would have the effect of impairing the position or interests of the Pledgee under any Transaction Document. 
  
 d. The Pledgor represents, warrants and covenants that (i) the Pledgor has been the beneficial owner of the Pledged Shares since February 28,
2004 and (ii) this Agreement is made with recourse. Upon an Event of Default, the Pledgee shall be deemed to have acquired the Pledged Shares on the date they were acquired by the Pledgor. The Pledgor is an “affiliate” of the Company,
as such term is defined in Rule 144(a) promulgated under the Securities Act of 1933, as amended. 
  

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 8. Concerning the Escrow Agent. 
  
 a. The Escrow Agent undertakes to perform only such duties as are expressly set forth herein and no implied duties or
obligations shall be read into this Agreement against the Escrow Agent. 
  
 b. The Escrow Agent may act in reliance upon any writing or instrument or signature which it, in good faith, believes to be genuine, may assume the validity and accuracy of any statement or assertion contained in such a writing or
instrument, and may assume that any person purporting to give any writing, notice, advice or instructions in connection with the provisions hereof has been duly authorized to do so. The Escrow Agent shall not be liable in any manner for the
sufficiency or correctness as to form, manner, and execution, or validity of any instrument deposited in this escrow, nor as to the identity, authority, or right of any person executing the same; and its duties hereunder shall be limited to the
safekeeping of such certificates, monies, instruments, or other document received by it as such escrow holder, and for the disposition of the same in accordance with the written instruments accepted by it in the escrow. 
  
 c. Pledgee and the Pledgor hereby agree, to defend and indemnify the Escrow
Agent and hold it harmless from any and all claims, liabilities, losses, actions, suits, or proceedings at law or in equity, or any other expenses, fees, or charges of any character or nature which it may incur or with which it may be threatened by
reason of its acting as Escrow Agent under this Agreement; and in connection therewith, to indemnify the Escrow Agent against any and all expenses, including attorneys’ fees and costs of defending any action, suit, or proceeding or resisting
any claim (and any costs incurred by the Escrow Agent pursuant to Sections 6.4 or 6.5 hereof). The Escrow Agent shall be vested with a lien on all property deposited hereunder, for indemnification of attorneys’ fees and court costs regarding
any suit, proceeding or otherwise, or any other expenses, fees, or charges of any character or nature, which may be incurred by the Escrow Agent by reason of disputes arising between the makers of this escrow as to the correct interpretation of this
Agreement and instructions given to the Escrow Agent hereunder, or otherwise, with the right of the Escrow Agent, regardless of the instructions aforesaid, to hold said property until and unless said additional expenses, fees, and charges shall be
fully paid. Any fees and costs charged by the Escrow Agent for serving hereunder shall be paid by the Pledgor. 
  
 d. If any of the parties shall be in disagreement about the interpretation of this Agreement, or about the rights and obligations, or the propriety of any
action contemplated by the Escrow Agent hereunder, the Escrow Agent may, at its sole discretion deposit the Pledged Materials with the Clerk of the United States District Court of New Jersey, sitting in Newark, New Jersey, and, upon notifying all
parties concerned of such action, all liability on the part of the Escrow Agent shall fully cease and terminate. The Escrow Agent shall be indemnified by the Pledgor, the Company and Pledgee for all costs, including reasonable attorneys’ fees
in connection with the aforesaid proceeding, and shall be fully protected in suspending all or a part of its activities under this Agreement until a final decision or other settlement in the proceeding is received. 
  

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 e. The Escrow Agent may consult with counsel of its own choice (and the costs of such counsel shall be
paid by the Pledgor and Pledgee) and shall have full and complete authorization and protection for any action taken or suffered by it hereunder in good faith and in accordance with the opinion of such counsel. The Escrow Agent shall not be liable
for any mistakes of fact or error of judgment, or for any actions or omissions of any kind, unless caused by its willful misconduct or gross negligence. 
  
 f. The Escrow Agent may resign upon ten (10) days’ written notice to the parties in this Agreement. If a successor Escrow Agent is not appointed
within this ten (10) day period, the Escrow Agent may petition a court of competent jurisdiction to name a successor. 
  
 9. Conflict Waiver. The Pledgor hereby acknowledges that the Escrow Agent is general counsel to the Pledgee, a partner in the general partner of the
Pledgee, and counsel to the Pledgee in connection with the transactions contemplated and referred herein. The Pledgor agrees that in the event of any dispute arising in connection with this Agreement or otherwise in connection with any transaction
or agreement contemplated and referred herein, the Escrow Agent shall be permitted to continue to represent the Pledgee and the Pledgor will not seek to disqualify such counsel and waives any objection Pledgor might have with respect to the Escrow
Agent acting as the Escrow Agent pursuant to this Agreement. 
  
 10.
Notices. Unless otherwise provided herein, all demands, notices, consents, service of process, requests and other communications hereunder shall be in writing and shall be delivered in person or by overnight courier service, or mailed
by certified mail, return receipt requested, addressed: 
  

			
	If to the Company, to:	  	i2 Telecom International, Inc.
	 	  	1200 Abernathy Road, Suite 1800
	 	  	Atlanta, Georgia 30328
	 	  	Attention: Paul Arena
	 	  	Telephone: (770) 512-7174
	 	  	Facsimile: (770) 844-9427
		
	With a copy to:	  	Richardson & Patel, LLP
	 	  	10900 Wilshire Boulevard, Suite 500
	 	  	Los Angeles, California 90024
	 	  	Attention: Peter Hogan
	 	  	Telephone: (310) 208-1182
	 	  	Facsimile: (310) 208-1154
		
	If to the Pledgee:	  	Cornell Capital Partners, LP
	 	  	101 Hudson Street, Suite 3700
	 	  	Jersey City, NJ 07302
	 	  	Attention: Mark A. Angelo
	 	  	Telephone:   (201) 985-8300
	 	  	Facsimile:      (201) 985-8744

  

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	With copy to:	  	David Gonzalez, Esq.
	 	  	101 Hudson Street, Suite 3700
	 	  	Jersey City, NJ 07302
	 	  	Telephone:  (201) 985-8300
	 	  	Facsimile:     (201) 985-1964
		
	If to the Pledgee, to:	  	Al Braswell
	 	  	1200 Abernathy Road, Suite 1800
	 	  	Atlanta, GA 30328
	 	  	Telephone:  (770) 512-7174
	 	  	Facsimile:     (770) 512-7199

  
 Any such notice shall be effective
(a) when delivered, if delivered by hand delivery or overnight courier service, or (b) five (5) days after deposit in the United States mail, as applicable. 
  
 11. Binding Effect. All of the covenants and obligations contained herein shall be binding upon and shall inure to the benefit
of the respective parties, their successors and assigns. 
  
 12. Governing
Law; Venue; Service of Process. The validity, interpretation and performance of this Agreement shall be determined in accordance with the laws of the State of New Jersey applicable to contracts made and to be performed wholly within that
state except to the extent that Federal law applies. The parties hereto agree that any disputes, claims, disagreements, lawsuits, actions or controversies of any type or nature whatsoever that, directly or indirectly, arise from or relate to this
Agreement, including, without limitation, claims relating to the inducement, construction, performance or termination of this Agreement, shall be brought in the state superior courts located in Hudson County, New Jersey or Federal district courts
located in Newark, New Jersey, and the parties hereto agree not to challenge the selection of that venue in any such proceeding for any reason, including, without limitation, on the grounds that such venue is an inconvenient forum. The parties
hereto specifically agree that service of process may be made, and such service of process shall be effective if made, pursuant to Section 8 hereto. 
  
 13. Enforcement Costs. If any legal action or other proceeding is brought for the enforcement of this Agreement, or because of an alleged dispute, breach,
default or misrepresentation in connection with any provisions of this Agreement, the successful or prevailing party or parties shall be entitled to recover reasonable attorneys’ fees, court costs and all expenses even if not taxable as court
costs (including, without limitation, all such fees, costs and expenses incident to appeals), incurred in that action or proceeding, in addition to any other relief to which such party or parties may be entitled. 
  
 14. Remedies Cumulative. No remedy herein conferred upon any party is intended
to be exclusive of any other remedy, and each and every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter existing at law, in equity, by statute, or otherwise. No single or partial
exercise by any party of any right, power or remedy hereunder shall preclude any other or further exercise thereof. 
  

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 15. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed
an original, but all of which together shall constitute the same instrument. 
  
 16. No Penalties. No provision of this Agreement is to be interpreted as a penalty upon any party to this Agreement. 
  
 17. JURY TRIAL. EACH OF THE PLEDGEE AND THE PLEDGOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES THE RIGHT WHICH IT MAY HAVE TO A TRIAL BY JURY OF
ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION BASED HEREON, OR ARISING OUT OF, UNDER OR IN ANY WAY CONNECTED WITH THE DEALINGS BETWEEN PLEDGEE AND PLEDGOR, THIS PLEDGE AND ESCROW AGREEMENT OR ANY DOCUMENT EXECUTED IN CONNECTION HEREWITH, OR ANY
COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF ANY PARTY HERETO OR THERETO IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY OR OTHERWISE. 
  
 [REMAINDER OF PAGE INTENTIALLY LEFT BLANK] 
  

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

			
	CORNELL CAPITAL PARTNERS, LP
		
	 By:
	 	 Yorkville Advisors, LLC

	 Its:
	 	 General Partner

		
	 By:
	 	  

	 Name:
	 	 Mark Angelo

	 Title:
	 	 Portfolio Manager

	
	INSIDER
		
	 By:
	 	  

	 Name:
	 	 Al Braswell

	
	I2 TELECOM INTERNATIONAL, INC.
		
	 By:
	 	  

	 Name:
	 	 Paul Arena

	 Title:
	 	 Chief Executive Officer

	
	ESCROW AGENT
		
	 By:
	 	  

	 Name:
	 	 David Gonzalez, Esq.

  
 FOR VALUE
RECEIVED, the Pledgor hereby unconditionally and absolutely guarantees the Company’s Obligations (as defined above). This Agreement is made with recourse. 
  

					
	 	 	By:	 	  

	 	 	Name:	 	Al Braswell

  

 8Irrevocable Transfer Agent Instructions

 Exhibit 10.12 
  
 IRREVOCABLE TRANSFER AGENT INSTRUCTIONS 
  
 January 9, 2006 
  
 Continental Stock Transfer & Trust Company 
 18 Battery Place 
 New York, NY 10004 
 Attn: Compliance Department 
  
 RE: i2 TELECOM INTERNATIONAL, INC. 
  
 Ladies and Gentlemen: 
  
 Reference is made to that certain Securities Purchase Agreement (the “Securities Purchase Agreement”) of
even date herewith by and between i2 Telecom International, Inc., a Washington corporation (the “Company”), and the Buyers set forth on Schedule I attached thereto (collectively the “Buyers”) and that certain
Pledge and Escrow Agreement (the “Pledge Agreement”) of even date herewith among the Company, the Buyers and David Gonzalez, as escrow agent (the “Escrow Agent”). Pursuant to the Securities Purchase Agreement, the
Company shall sell to the Buyers, an the Buyers shall purchase from the Company, convertible debentures (collectively, the “Debentures”) in the aggregate principal amount of One Million Seven Hundred Fifty Thousand Dollars
($1,750,000), plus accrued interest, which are convertible into shares of the Company’s common stock, no par value per share (the “Common Stock”), at the Buyers discretion. The Company has also issued to the Buyer warrants to
purchase up to 7,150,000 shares of Common Stock, at the Buyer’s discretion (the “Warrant”). These instructions relate to the following stock or proposed stock issuances or transfers: 
  

	 	1.	100,000,000 Shares of Common Stock to be issued to the Buyers upon conversion of the Debentures (“Conversion Shares”) plus the shares of Common Stock to be issued
to the Buyers upon conversion of accrued interest and liquidated damages into Common Stock (the “Interest Shares”). 

  

	 	2.	Up to 7,150,000 shares of Common Stock to be issued to the Buyers upon exercise of the Warrant (the “Warrant Shares”). 

  

	 	3.	The transfer of up to one hundred million (100,000,000) shares of Common Stock (the “Escrowed Shares”) pursuant to the Pledge Agreement of which 21,300,000
Escrowed Shares have been delivered to the Escrow Agent and the remaining 78,700,000 Escrowed shares are to be delivered to the Escrow Agent upon the increase in authorized. 

 This letter shall serve as our irrevocable authorization and direction to Continental Stock
Transfer & Trust Company (the “Transfer Agent”) (provided that you are acting as the Transfer Agent of the Company at such time) to do the following: 
  
 1. Conversion Shares and Warrant Shares. 
  

	 	a.	Instructions Applicable to Transfer Agent. With respect to the Conversion Shares, Warrant Shares and the Interest Shares, the Transfer Agent shall issue the Conversion
Shares, Warrant Shares and the Interest Shares to the Buyers from time to time upon delivery to the Transfer Agent of a properly completed and duly executed Conversion Notice (the “Conversion Notice”) in the form attached as Exhibit
A to the Debentures, or a properly completed and duly executed Exercise Notice (the “Exercise Notice”) in the form attached as Exhibit A to the Warrant, delivered to the Transfer Agent by the Escrow Agent on behalf of the Company
together with the Transfer Agent’s fee for such issuance. Upon receipt of a Conversion Notice or an Exercise Notice, the Transfer Agent shall within ten (10) Trading Days thereafter (i) issue and surrender to a common carrier for
overnight delivery to the address as specified in the Conversion Notice or the Exercise Notice, a certificate, registered in the name of the Buyer or its designees, for the number of shares of Common Stock to which the Buyer shall be entitled as set
forth in the Conversion Notice or Exercise Notice or (ii) provided the Transfer Agent is participating in The Depository Trust Company (“DTC”) Fast Automated Securities Transfer Program, upon the request of the Buyers, credit
such aggregate number of shares of Common Stock to which the Buyers shall be entitled to the Buyer’s or their designees’ balance account with DTC through its Deposit Withdrawal At Custodian (“DWAC”) system provided
the Buyer causes its bank or broker to initiate the DWAC transaction. For purposes hereof “Trading Day” shall mean any day on which the Nasdaq Market is open for customary trading. 

  

	 	b.	The Company hereby confirms to the Transfer Agent and the Buyer that certificates representing the Conversion Shares and the Warrant Shares shall not bear any legend restricting
transfer and should not be subject to any stop-transfer restrictions and shall otherwise be freely transferable on the books and records of the Company; provided that counsel to the Company delivers (i) the Notice of Effectiveness set
forth in Exhibit I attached hereto and (ii) an opinion of counsel in the form set forth in Exhibit II attached hereto, and that if the Conversion Shares, Warrant Shares and the Interest Shares are not registered for sale under the
Securities Act of 1933, as amended (the “Act”) and the Transfer Agent has received an opinion of Counsel to the Company that the issuance of the Conversion Shares, Warrant Shares and Interest Shares 

  

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 is an exempt transaction under the Act, then the certificates for the Conversion Shares, Warrant Shares
and Interest Shares shall bear the following legend: 
  
 “THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE OFFERED FOR
SALE, SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS, OR AN OPINION OF COUNSEL, IN A FORM REASONABLY ACCEPTABLE
TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR APPLICABLE STATE SECURITIES LAWS OR UNLESS SOLD PURSUANT TO RULE 144 UNDER SAID ACT.” 
  

	 	c.	In the event that counsel to the Company fails or refuses to render an opinion as required to issue the Conversion Shares or the Warrant Shares in accordance with the preceding
paragraph (either with or without restrictive legends, as applicable), then the Company irrevocably and expressly authorizes counsel to the Buyer to render such opinion. The Transfer Agent shall accept and be entitled to rely on such opinion for the
purposes of issuing the Conversion Shares. 

  

	 	d.	Instructions Applicable to Escrow Agent. Upon the Escrow Agent’s receipt of a properly completed Conversion Notice or Exercise Notice and the Aggregate Exercise Price
(as defined in the Warrant), the Escrow Agent shall, within one (1) Trading Day thereafter, send to the Transfer Agent the Conversion Notice or Exercise Notice as the case may be, which shall constitute an irrevocable instruction to the
Transfer Agent to process such Conversion Notice or Exercise Notice in accordance with the terms of these instructions and shall send to Transfer Agent payment of all transfer fees associated with the issuance of Conversion Shares or the Warrant
Shares pursuant to such Conversion Notice or Exercise Notice as the case may be. 

  
 2. Escrowed Shares. 
  

	 	a.	With respect to the Escrowed Shares, upon an event of default as set forth in the Pledge Agreement, the Escrow Agent shall send written notice to the Transfer Agent (“Escrow
Notice”) to transfer such number of Escrow Shares as set forth in the Escrow Notice to the Buyers. Upon receipt of an Escrow Notice, an opinion of Counsel to the Company with respect to the registration or the exemption therefrom under the
Act and the share certificate along with a properly executed stock power with medallion guarantee, the Transfer Agent shall promptly transfer such number of Escrow Shares to the Buyers as shall be set forth in the Escrow Notice delivered to the
Transfer Agent by the Escrow Agent. Further, the Transfer Agent shall promptly transfer such shares from the Buyers to any subsequent transferee promptly upon receipt of written 

  

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 notice from the Buyers or their counsel and the share certificate along with a properly executed stock
power. If the Escrow Shares are not registered for sale under the Securities Act of 1933, as amended, then the certificates for the Escrow Shares shall bear the legend set forth in Section 1b. 
  

	 	b.	In the event that counsel to the Company fails or refuses to render an opinion as may be required by the Transfer Agent to affect a transfer of the Escrow Shares in accordance with
the preceding paragraph (either with or without restrictive legends, as applicable), then the Company irrevocably and expressly authorizes counsel to the Buyers to render such opinion. The Transfer Agent shall accept and be entitles to rely on such
opinion for the purpose of transferring the Escrow Shares. 

  
 3. All Shares. 
  

	 	a.	The Transfer Agent shall reserve for issuance to the Buyers a minimum of 100,000,000 Conversion Shares and 5,000,000 Warrant Shares. All such shares shall remain in reserve with the
Transfer Agent until the Buyers provides the Transfer Agent instructions that the shares or any part of them shall be taken out of reserve and shall no longer be subject to the terms of these instructions. 

  

	 	b.	The Company hereby irrevocably appoints the Escrow Agent as a duly authorized agent of the Company for the purposes of authorizing the Transfer Agent to process issuances and
transfers specifically contemplated herein. 

  

	 	c.	The Transfer Agent shall rely exclusively on the Conversion Notice, the Escrow Notice, or the Exercise Notice and shall have no liability for relying on such instructions. Any
Conversion Notice, Escrow Notice, or Exercise Notice delivered hereunder shall constitute an irrevocable instruction to the Transfer Agent to process such notice or notices in accordance with the terms thereof. Such notice or notices may be
transmitted to the Transfer Agent by facsimile or any commercially reasonable method. 

  

	 	d.	The Company hereby confirms to the Transfer Agent and the Buyers that no instructions other than as contemplated herein will be given to Transfer Agent by the Company with respect
to the matters referenced herein. The Company hereby authorizes the Transfer Agent, and the Transfer Agent shall be obligated, to disregard any contrary instructions received by or on behalf of the Company. 

  
 Certain Notice Regarding the Escrow Agent. The Company and the
Transfer Agent hereby acknowledge that the Escrow Agent is general counsel to the Buyers, a partner of the general partner of the Buyers and counsel to the Buyers in connection with the transactions contemplated and referred herein. The Company and
the Transfer Agent agree that in the event of any dispute arising in connection with this Agreement or otherwise in connection with any transaction or agreement contemplated and referred herein, the Escrow Agent shall be permitted to continue to
represent the Buyers and neither the Company nor the Transfer Agent will seek to disqualify such counsel. 
  

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 The Company agrees that, in the event that the Transfer Agent resigns as the Company’s Transfer
Agent, the Company shall use its best efforts to obtain a suitable replacement transfer agent which agent shall have agreed to serve as transfer agent and to be bound by the terms and conditions of these Transfer Agent Instructions within forty five
(45) calendar days of such resignation. 
  
 The Company herby
confirms and the Transfer Agent acknowledges that while any portion of the Debenture remains unpaid and unconverted the Company and the Transfer Agent shall not, without the prior consent of the Buyers, (i) issue any Common Stock or
Preferred Stock without consideration or for a consideration per share less than closing bid price determined immediately prior to its issuance not including Common Stock to issued upon exercise of previously issued warrants, options or convertible
promissory notes, (ii) issue any Preferred Stock, warrant, option, right, contract, call, or other security or instrument granting the holder thereof the right to acquire Common Stock without consideration or for a consideration per share less
than the closing bid price of the Common Stock determined immediately prior to its issuance, (iii) issue any S-8 shares of the Company’s Common Stock except for shares issued pursuant to the Company’s 2004 Stock Incentive Plan. If the
Company seeks Buyers consent for the issuance of shares of the Company’s Common Stock or shares of the Company’s Preferred Stock, Buyer shall within three (3) Trading Days of such request respond to such request and shall copy the
Transfer Agent on such response. Failure of the Buyer to timely respond shall be deemed to be Buyer’s consent to the request. 
  
 The Company hereby acknowledges and confirm that complying with the terms of this Agreement does not and shall not prohibit the Transfer Agent from
satisfying any and all responsibilities and duties it may owe to the Company. 
  
 The Company acknowledges that the Buyers is relying on the representations and covenants made by the Company hereunder and are a material inducement to the Buyers purchasing convertible debentures under the Securities
Purchase Agreement. The Company further acknowledges that without such representations and covenants of the Company made hereunder, the Buyers would not purchase the Debentures. 
  
 Each party hereto specifically acknowledges and agrees that in the event of a breach or threatened breach by a party hereto
of any provision hereof, the Buyers will be irreparably damaged and that damages at law would be an inadequate remedy if these Irrevocable Transfer Agent Instructions were not specifically enforced. Therefore, in the event of a breach or threatened
breach by a party hereto, including, without limitation, the attempted termination of the agency relationship created by this instrument, the Buyers shall be entitled, in addition to all other rights or remedies, to an injunction restraining such
breach, without being required to show any actual damage or to post any bond or other security, and/or to a decree for specific performance of the provisions of these Irrevocable Transfer Agent Instructions. Any action for injunctive relief brought
against Transfer Agent shall be brought in a court of general jurisdiction in New York county, New York and in no other court or forum. 
  
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 5 

 IN WITNESS WHEREOF, the parties have caused this letter agreement regarding Irrevocable Transfer
Agent Instructions to be duly executed and delivered as of the date first written above. 
  

			
	COMPANY:
	
	i2 Telecom International, Inc.
		
	By:	 	  

	Name:	 	Paul Arena
	Title:	 	Chief Executive Officer
	
	  

	David Gonzalez, Esq.

  
 Continental Stock
Transfer & Trust Company 
  

			
	By:	 	  

	Name:	 	William F. Seegraber
	Title:	 	Vice President

  

 6 

 SCHEDULE I 
  
 SCHEDULE OF BUYERS 
  

							
	 Name

	 	 Signature

	 	 Address/Facsimile Number of Buyers

	Cornell Capital Partners, LP	 	By:	 	Yorkville Advisors, LLC	 	101 Hudson Street – Suite 3700
	 	 	Its:	 	General Partner	 	Jersey City, NJ 07303
	 	 	 	 	 	 	Facsimile: (201) 985-8266
	 	 	By:	 	  

	 	 
	 	 	Name:	 	Mark Angelo	 	 
	 	 	Its:	 	Portfolio Manager	 	 

  

 SCHEDULE I-1 

 EXHIBIT I 
  
 TO IRREVOCABLE TRANSFER AGENT INSTRUCTIONS 
  
 FORM OF NOTICE OF EFFECTIVENESS OF REGISTRATION STATEMENT 
  
                     , 2005 
  
 _________ 
  
 Attention: 
  
 RE:      i2 TELECOM INTERNATIONAL, INC. 
  
 Ladies and Gentlemen: 
  
 We are counsel to i2 Telecom International, Inc., (the “Company”), and have represented the Company in connection with that certain
Securities Purchase Agreement, dated as of December     , 2005 (the “Securities Purchase Agreement”), entered into by and among the Company and the Buyers set forth on Schedule I attached thereto
(collectively the “Buyers”) pursuant to which the Company has agreed to sell to the Buyers up to $1,750,000 of secured convertible debentures, which shall be convertible into shares (the “Conversion Shares”) of the
Company’s common stock, no par value per share (the “Common Stock”), in accordance with the terms of the Securities Purchase Agreement. Pursuant to the Securities Purchase Agreement, the Company also has entered into a
Registration Rights Agreement, dated as of December     , 2005, with the Buyers (the “Investor Registration Rights Agreement”) pursuant to which the Company agreed, among other things, to register the
Conversion Shares under the Securities Act of 1933, as amended (the “1933 Act”). In connection with the Company’s obligations under the Securities Purchase Agreement and the Registration Rights Agreement, on
                    , 2005, the Company filed a Registration Statement (File No.
        -            ) (the “Registration Statement”) with the Securities and Exchange Commission (the
“SEC”) relating to the sale of the Conversion Shares. 
  
 In connection with the foregoing, we advise the Transfer Agent that a member of the SEC’s staff has advised us by telephone that the SEC has entered an order declaring the Registration Statement effective under the 1933 Act at
         P.M. on                     , 2005 and we have no knowledge, after telephonic inquiry
of a member of the SEC’s staff, that any stop order suspending its effectiveness has been issued or that any proceedings for that purpose are pending before, or threatened by, the SEC and the Conversion Shares are available for sale under the
1933 Act pursuant to the Registration Statement. 
  

 EXHIBIT I-1 

 The Buyers has confirmed it shall comply with all securities laws and regulations applicable to it
including applicable prospectus delivery requirements upon sale of the Conversion Shares. 
  

			
	Very truly yours,
		
	By:	 	  

  

 EXHIBIT I-2 

 EXHIBIT II 
  
 TO IRREVOCABLE TRANSFER AGENT INSTRUCTIONS 
  
 FORM OF OPINION 
  
                      2005

  
 VIA FACSIMILE AND REGULAR MAIL 
  
 __________ 
  

	Attention:	

  
 RE:        i2 TELECOM INTERNATIONAL, INC. 
  
 Ladies and Gentlemen: 
  
 We have acted as special counsel to i2 Telecom International, Inc. (the “Company”), in connection with the registration of
                     shares (the “Shares”) of its common stock with the Securities and Exchange Commission (the
“SEC”). We have not acted as your counsel. This opinion is given at the request and with the consent of the Company. 
  
 In rendering this opinion we have relied on the accuracy of the Company’s Registration Statement on Form SB-2, as amended (the
“Registration Statement”), filed by the Company with the SEC on                     , 2005. The Company filed the
Registration Statement on behalf of certain selling stockholders (the “Selling Stockholders”). This opinion relates solely to the Selling Shareholders listed on Exhibit “A” hereto and number of Shares set
forth opposite such Selling Stockholders’ names. The SEC declared the Registration Statement effective on                     
    , 2005. 
  
 We understand that the
Selling Stockholders acquired the Shares in a private offering exempt from registration under the Securities Act of 1933, as amended. Information regarding the Shares to be sold by the Selling Shareholders is contained under the heading
“Selling Stockholders” in the Registration Statement, which information is incorporated herein by reference. This opinion does not relate to the issuance of the Shares to the Selling Stockholders. The opinions set forth herein relate
solely to the sale or transfer by the Selling Stockholders pursuant to the Registration Statement under the Federal laws of the United States of America. We do not express any opinion concerning any law of any state or other jurisdiction.

  
 In rendering this opinion we have relied upon the accuracy of
the foregoing statements. 
  

 EXHIBIT II 

 Based on the foregoing, it is our opinion that the Shares have been registered with the Securities and
Exchange Commission under the Securities Act of 1933, as amended, and that                      may remove the restrictive legends contained
on the Shares. This opinion relates solely to the number of Shares set forth opposite the Selling Stockholders listed on Exhibit “A” hereto. 
  
 This opinion is furnished to Transfer Agent specifically in connection with the sale or transfer of the Shares, and solely
for your information and benefit. This letter may not be relied upon by Transfer Agent in any other connection, and it may not be relied upon by any other person or entity for any purpose without our prior written consent. This opinion may not be
assigned, quoted or used without our prior written consent. The opinions set forth herein are rendered as of the date hereof and we will not supplement this opinion with respect to changes in the law or factual matters subsequent to the date hereof.

  
 Very truly yours, 
  

 EXHIBIT II-2 

 EXHIBIT A 
  
 (LIST OF SELLING STOCKHOLDERS) 
  

			
	 Name:

	  	No. of Shares:

  

 EXHIBIT A

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