Document:

Noncompete and Transition Agreement with Lois Quam

 Exhibit 10.32 
 NONCOMPETE AND TRANSITION AGREEMENT 
 THIS NONCOMPETE AND TRANSITION AGREEMENT
(“Agreement”) is between Lois Quam (“Executive”) and United HealthCare Services, Inc. (“UNH”). 
 WHEREAS, Executive
voluntarily resigned her employment with UNH effective September 15, 2007 (“Resignation Date”). 
 WHEREAS, UNH believes it is
in the best interests of the Company to obtain non-compete and non-solicitation agreements from Executive for a duration that is longer than the noncompete agreement currently applicable to Executive. 
 NOW THEREFORE, the parties agree as follows: 
 1. Non-Compete. Executive agrees, for 24 months following her Resignation Date, not to engage or participate, directly or indirectly, for Executive or for any other person or entity, as agent, employee, officer, director, consultant,
owner, principal, partner or shareholder, or in any other individual or representative capacity, in, or in any way render services or assistance to, any business that competes, directly or indirectly, with any UnitedHealth Group product or service
that Executive participated in, engaged in, or had Confidential Information (as defined in Executive’s employment agreement) during Executive’s employment; provided, however, that this Section 1 will not prevent Executive from being
employed by, or working as a consultant to, or serving on the board of, or being an owner or an investor in, a private equity firm. UNH agrees that Executive’s position as Managing Director, Alternative Investments at Piper Jaffray does not
violate this provision. If, in the future, within the 24-month noncompetition period, Executive wishes to change her role in the health care industry, Executive will consult in advance with UNH to determine whether UNH reasonably believes such a
changed role violates this provision. Executive agrees that UNH is required to pay the compensation described in Section 4 only so long as Executive remains in compliance with her obligations under Sections 1 and 2. 
 2. Non-Solicitation. Executive agrees, for 24 months following her Resignation Date, Executive shall not (1) recruit or solicit any
UnitedHealth Group employee or consultant or (2) directly or indirectly solicit, divert, or take away, or attempt to solicit, divert, or take away, any person or entity who was a UnitedHealth Group provider or customer within 12 months of the
Resignation Date and with whom Executive had contact to further UnitedHealth Group’s business or for whom Executive performed services or supervised the provision of services during Executive’s employment. 
 3. Confidential Information. Executive has received access to and provided with sensitive, confidential, proprietary and trade secret information
(“Confidential Information”) during the course of Executive’s employment. Examples of Confidential Information include: inventions; new product or marketing plans; business strategies and plans; merger and acquisition targets;
financial and pricing information; computer programs, source codes, models and databases; analytical models; customer lists and information; and supplier and vendor lists and information. Executive agrees not to disclose or use Confidential
Information after Executive’s employment with UNH, except as UNH may consent in writing. This section 3 does not restrict use or disclosure of publicly available information or information: (i) that Executive obtained from a source other
than UNH before becoming employed by UNH or (ii) that Executive received from a source outside UNH without an obligation of confidentiality. 

 4. Consideration. In consideration of Executive’s commitments under this Agreement, including
the noncompetition and non-solicitation obligations under Sections 1, 2 and 3 of this Agreement, UNH will pay Executive a lump sum of $1,762,000. Because Executive is considered a “key employee” for purposes of Section 409A of the
Internal Revenue Code, this payment will not be made until six months following the Resignation Date. 
 All amounts paid under this
Section 4 will be paid to Executive less tax withholdings and deductions. The amounts paid to Executive under this Section 4 do not constitute severance compensation and therefore will not extend the vesting or exercise periods for
Executive’s stock options and stock appreciation rights awards. Those awards are governed by their respective certificates and the applicable plan documents, and this Agreement does not supersede or modify in any manner those certificates and
plan documents. 
 5. Non-Disparagement. Each party agrees not to criticize, make any negative comments or otherwise disparage the
other party or those associated with UNH, whether orally, in writing or otherwise, directly or by implication, to any person or entity, including UNH customers and agents. 
 6. Release. In consideration for the payments and commitments UNH has made in this Agreement, Executive releases the following parties from all
claims she may have, known or unknown, against them: 
  

	 	•	 	 UNH; 

  

	 	•	 	 UNH’s parent, subsidiary and affiliated companies; 

  

	 	•	 	 UNH’s predecessors; and 

  

	 	•	 	 All of the above companies’ agents, directors, officers, employees, representatives, shareholders, successors and assigns. 

 Executive’s release of claims includes all claims related to her employment with UNH or her resignation of employment. For example, Executive’s release
includes claims based on: 
  

	 	•	 	 Any federal statute, including: the False Claims Act (including any right to share in any recovery by the United States government); Title VII of the Civil Rights
Act of 1964; the Civil Rights Act of 1866; the Civil Rights Act of 1874; the Age Discrimination in Employment Act (ADEA); the Equal Pay Act; the Americans with Disabilities Act; the Employee Retirement Income Security Act of 1974; and the National
Labor Relations Act; 

  

	 	•	 	 Any state statute, including discrimination and whistleblower statutes; 

  

	 	•	 	 Any ordinance; 

  

	 	•	 	 Any express or implied contract, including the Employment Agreement dated October 16, 1998 between UNH and Executive; 

  

	 	•	 	 Any tort, such as defamation, misrepresentation, infliction of emotional distress, or fraud; 

  

	 	•	 	 Negligence; or 

  

	 	•	 	 Any other legal theory. 

 Executive’s release
also waives her right to begin or continue any complaint under UNH’s Internal Dispute Resolution (IDR) policy. 
 Executive’s release does not:
(i) affect her right to obtain any vested and nonforfeitable balance in her accounts under any retirement plan; (ii) preclude her from exercising any conversion or 

  

 2 

 
continuation coverage rights she may have under UNH’s welfare benefit plans; or (iii) waive her right to file an administrative charge with or
participate in an administrative proceeding conducted by any governmental agency concerning her employment, although Executive’s release does waive any right to receive any individual remedy, including monetary damages, in connection with any
charge. 
 7. Cooperation and Assistance. Executive agrees that Executive will cooperate (i) with UNH and its affiliates in the
defense of any legal claim involving any matter that arose during her employment with UNH, and (ii) with all government authorities on matters pertaining to any investigation, litigation or administrative proceeding concerning UNH or its
affiliates. UNH will reimburse Executive for any reasonable travel and out-of-pocket expenses incurred by Executive in providing such cooperation. UNH will also pay Executive a per diem stipend for time spent in providing such cooperation, including
but not limited to preparation, travel, and attendance at any proceedings covered by this paragraph. The per diem stipend will be calculated using the Executive’s base salary at the time she left employment. 
 8. Stock Options, Restricted Stock Units, Stock Appreciation Rights. Nothing in this Agreement is intended to or does supersede or otherwise
affect the terms of any agreement or certificate relating to an award of stock options, restricted stock units or stock appreciation rights. Executive’s rights and obligations under any such agreement or certificate, including but not limited
to any Restrictive Covenants, remain in full force and effect according to their terms. 
 9. Indemnification. UNH will defend and
indemnify Executive in accordance with Minnesota statute Section 302A.521 and any other applicable law. UNH agrees that this obligation includes payment of attorneys’ fees related to stock option-related investigations and litigation.

 10. Judicial Modification and Severability. If any of this Agreement’s provisions is determined to be unenforceable, the
parties agree that such provision should be modified so that it is enforceable or, if modification is not possible, that it should be severed, and the enforceability of the remaining provisions will not be affected by such modification or severance.

 11. Governing Law. This Agreement is governed by Minnesota law without regard to its conflicts of laws provisions. 
 12. Entire Agreement. This Agreement and any other documents referenced in it are the entire agreement between the parties regarding
Executive’s employment resignation. To the extent that there is any conflict between the terms of this Agreement and Executive’s employment agreement, the terms of this Agreement shall apply. This Agreement may only be changed by a written
amendment signed by both parties. 
  

					
	November 1, 2007	 	 /s/ Lois Quam

	Date	 	Lois Quam
		
		 	UNITED HEALTHCARE SERVICES, INC.
		
	November 8, 2007	 	 /s/ Thomas L. Strickland

	Date	 	By:	 	Thomas L. Strickland
		 	Title:	 	Executive Vice President and Chief Legal Officer

  

 3ex10_1.htm

    

    Stock
Purchase Agreement

     

    This
Stock Purchase Agreement (“Agreement”)
is made as of February 14, 2008, by and between (i) Best Energy Services, Inc.,
a Nevada corporation (“Buyer”),
and (ii) Tony Bruce, a resident of Liberal, Kansas (“Seller”).

     

    Recitals

     

    Seller owns all of the
issued and outstanding shares of capital stock of Best Well Service, Inc., a
Kansas corporation (the
“Company”).

     

    Seller desires to sell,
and Buyer desires to purchase, all of
the issued and outstanding shares of capital stock of the Company, all of
which are owned by Seller (the “Purchased
Shares”), for the consideration and on the terms set forth in this
Agreement.

     

    Agreement

     

    In consideration of the
foregoing and the respective representations, warranties, covenants and
agreements set forth below, and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties, intending
to be legally bound, agree as follows:

     

    Article
I

    Definitions

     

     

    1.1 Definitions.
For purposes of this Agreement, the following terms have the meanings specified
or referred to in this Article
I:

     

    “Accounts
Receivable”
– as defined in Section
3.4(b).

     

    “Agreement”
– as defined in the Preamble of this Agreement.

     

    “Balance
Sheet”
– as defined in Section
3.4(a).

     

    “Board
of Directors”
– as defined in Section
3.2(b)(i).

     

    “Buyer”
– as defined in the Preamble of this Agreement.

     

    “Buyer’s
Closing Documents”
– as defined in Section
4.2(a).

     

    “Closing”
– as defined in Section
2.3.

     

    “Closing
Date” – as defined in Section 2.3.

     

    
      
        
        

      

      
        
           

        

        
          

        

      

      
        
        

      

    

     

    “Company”
– as defined in the Recitals of this Agreement.

     

    “Consent”
– any approval, consent, ratification, waiver, or other authorization
(including any Governmental Authorization).

     

    “Contemplated
Transactions”
– all of the transactions contemplated by this Agreement, including: (a)
the sale of the Purchased Shares by Seller to Buyer; (b) the execution,
delivery, and performance of the Seller’s Release, the Employment Agreement, the
Noncompetition Agreement, the Escrow Agreement, the Yard Lease Agreement and all
other documents or agreements executed, delivered and performed in connection
with this Agreement; and (c) the performance by Buyer and Seller of their
respective covenants and obligations under this Agreement.

     

    “Contract”
– any agreement, contract, obligation, promise, or undertaking (whether
written or oral and whether express or implied) that is legally
binding.

     

    “Damages”
– as defined in Section
7.2.

     

    “Demand
Note”
– as defined in Section
2.2.

     

    “Disclosure
Schedule”
– the disclosure schedule delivered by Seller to Buyer concurrently with
the execution and delivery of this Agreement.

     

    “Effective
Time”
– as defined in Section
2.3.

     

    “Employment
Agreement”
– as defined in Section
2.4(a)(iii).

     

    “Encumbrance”
– any charge, claim, community property interest or similar equitable
interest, lien, option, pledge, security interest, right of first refusal, or
restriction of any kind, including any restriction on use, voting, transfer,
receipt of income, or exercise of any other attribute of
ownership.

     

    “Escrow
Agent”
– as defined in Section
2.4(v).

     

    “Escrow
Agreement”
– as defined in Section
2.4(v).

     

    “Facilities”
– any real property, leaseholds, or other interests in real property
currently or formerly owned or operated by the Company and any buildings, plants
or structures currently or formerly owned or operated by the
Company. 

     

    “GAAP”
– generally accepted United States accounting principles, including the
statements and interpretations of the U.S. Financial Accounting Standards
Board.

     

    “Governmental
Authorization”
– any approval, consent, license, permit, waiver, or other authorization
issued, granted or given by or under the authority of any Governmental Body or
pursuant to any Legal Requirement.

     

    “Governmental
Body”
– any: (a) federal, state, local, municipal, foreign, or other
government; (b) governmental or quasi-governmental authority of any nature
(including any governmental agency, branch, department, official, or entity and
any court or other tribunal); (c) multi-national organization or body; or (d)
body properly exercising, or entitled to exercise, any administrative,
executive, judicial, legislative, police, regulatory, or taxing authority or
power of any nature.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    “Indemnification
Escrow Amount”
– as defined in Section
2.2.

     

    “Indemnified
Persons”
– as defined in Section
7.2.

     

    “Interim
Balance Sheet”
– as defined in Section
3.4(a).

     

    “Law”
– any statute, law, rule, regulation, ordinance or other pronouncement having
the effect of law of any Governmental Body.

     

    “Legal
Requirement”
– any federal, state, local, municipal, foreign, international,
multinational, or other administrative order, constitution, Law, principle of
common law, or treaty.

     

    “Material
Contract”
– as defined in Section
3.11(a).

     

    “Minimum
Accounts Receivable Amount”
– as defined in Section
3.4(b).

     

    “Net
Working Capital”
– the Company’s current assets (excluding cash and the Minimum Accounts
Receivable Amount) minus the Company’s current liabilities.

     

    “Noncompetition
Agreement”
– as defined in Section
2.4(iv).

     

    “Note
Consideration”
– as defined in Section
2.2.

     

    “Order”
– any award, decision, injunction, judgment, order, ruling, subpoena, or
verdict entered, issued, made, or rendered by any court, administrative agency,
or other Governmental Body or by any arbitrator.

     

    “Ordinary
Course of Business”
– an action taken by a Person will be deemed to have been taken in the
“Ordinary Course of Business” only if such action is taken in the ordinary
course of the normal day-to-day operations of such Person.

     

    “Organizational
Documents”
– (a) the articles or certificate of incorporation and the bylaws of a
corporation; (b) the partnership agreement and any statement of partnership of a
general partnership; (c) the limited partnership agreement and the certificate
of limited partnership of a limited partnership; (d) any charter or similar
document adopted or filed in connection with the creation, formation, or
organization of a Person; and (e) any amendment to any of the
foregoing.

     

    “Payment
Instruction Letter”
– as defined in Section
2.4(b)(vii).

     

    “Person”
– any individual, corporation (including any non-profit corporation),
general or limited partnership, limited liability company, joint venture,
estate, trust, association, organization, labor union, or other entity or
Governmental Body.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    “Proceeding”
– any action, arbitration, audit, hearing, investigation, litigation, or
suit (whether civil, criminal, administrative, investigative, or informal)
commenced, brought, conducted, or heard by or before, or otherwise involving,
any Governmental Body or arbitrator.

     

    “Purchase
Price”
– as defined in Section
2.2.

     

    “Purchased
Shares”
– as defined in the Recitals of this Agreement.

     

    “Related
Person”
– with respect to a particular individual: (a) each other member of such
individual's Family; (b) any Person that is directly or indirectly controlled by
such individual or one or more members of such individual's Family; and (c) any
Person with respect to which such individual or one or more members of such
individual's Family serves as a director, officer, partner, executor, or trustee
(or in a similar capacity). With respect to a specified Person other than an
individual: (a) any Person that directly or indirectly controls, is directly or
indirectly controlled by, or is directly or indirectly under common control with
such specified Person; (b) each Person that serves as a director, officer,
partner, executor, or trustee of such specified Person (or in a similar
capacity); and (c) any Related Person of any individual described in clause (b).
For purposes of this definition, the “Family”
of an individual includes (i) the individual, (ii) the individual's spouse,
(iii) any other natural person who is related to the individual or the
individual's spouse within the second degree, and (iv) any other natural person
who resides with such individual.

     

    “Representative”
– with respect to a particular Person, any director, officer, employee,
agent, consultant, advisor, broker, or other representative of such Person,
including legal counsel, accountants, and financial
advisors.

     

    “Securities
Act”
– the Securities Act of 1933 or any successor law, and regulations and
rules issued pursuant to that Act or any successor law.

     

    “Seller”
– as defined in the Preamble of this Agreement.

     

    “Seller
Contract”
– any Contract (a) under which the Company has or may acquire any rights,
(b) under which the Company has or may become subject to any obligation or
liability, or (c) by which the Company or any of the assets owned or used by the
Company is or may become bound.

     

    “Seller’s
Closing Documents”
– as defined in Section
3.2(a).

     

    “Seller’s
Release”
– as defined in Section
2.4(a)(ii).

     

    “Stock
Portion of the Purchase Price”
– as defined in Section
2.2.

     

    “Subsidiary”
– with respect to any Person (the “Owner”),
any corporation or other Person of which securities or other interests having
the power to elect a majority of that corporation's or other Person's board of
directors or similar governing body, or otherwise having the power to direct the
business and policies of that corporation or other Person (other than securities
or other interests having such power only upon the happening of a contingency
that has not occurred), are held by the Owner or one or more of its
Subsidiaries; when used without reference to a particular Person, “Subsidiary”
means a Subsidiary of the Company.
b

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    “Yard
Lease Agreement”
– as defined in Section
2.4(a)(vi).

     

    1.2           Usage.

     

    (a) Interpretation.  In
this Agreement, unless a clear contrary intention appears: (i) the singular
number includes the plural number and vice versa; (ii) reference to any Person
includes such Person’s successors and assigns but, if applicable, only if such
successors and assigns are not prohibited by this Agreement, and reference to a
Person in a particular capacity excludes such Person in any other capacity or
individually; (iii) reference to any gender includes each other gender; (iv)
reference to any agreement, document or instrument means such agreement,
document or instrument as amended or modified and in effect from time to time in
accordance with the terms thereof; (v) reference to any Legal Requirement means
such Legal Requirement as amended, modified, codified, replaced or reenacted, in
whole or in part, and in effect from time to time, including rules and
regulations promulgated thereunder, and reference to any section or other
provision of any Legal Requirement means that provision of such Legal
Requirement from time to time in effect and constituting the substantive
amendment, modification, codification, replacement or reenactment of such
section or other provision; (vi) “hereunder,”
“hereof,”
“hereto,”  and
words of similar import shall be deemed references to this Agreement as a whole
and not to any particular Article, Section or other provision hereof; (vii)
“including”
(and with correlative meaning “include”) means including without limiting the
generality of any description preceding such term; (viii) “or”
is used in the inclusive sense of “and/or”; (ix) references herein to an “Article”
or “Section”
without further reference to another agreement shall mean the specified Article
or Section of this Agreement; (x) with respect to the determination of any
period of time, “from”
means “from and including” and “to”
means “to but excluding”; and (xii) references to documents, instruments or
agreements shall be deemed to refer as well to all addenda, exhibits, schedules
or amendments thereto.

     

    (b) Accounting
Terms and Determinations.  Unless otherwise specified herein,
all accounting terms used herein shall be interpreted and all accounting
determinations hereunder shall be made in accordance with
GAAP.

     

    (c) Legal
Representation of the Parties.  This Agreement has been jointly
drafted by the parties hereto and the parties have had an opportunity to review
this Agreement with counsel and no rule of construction strictly construing this
Agreement against the drafter shall be applied by a court of competent
jurisdiction.

    
       

      Article
II

      Sale
and Transfer of Purchased Shares; Closing

       

      2.1 Purchase
and Sale of Purchased Shares. Subject
to the terms and conditions of this Agreement, at the Closing, Seller will sell,
transfer and deliver the Purchased Shares to Buyer, free and clear of any
Encumbrance, and Buyer will purchase all of the Purchased Shares from
Seller.

       

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    2.2 Purchase
Price.  The aggregate purchase price for the Purchased Shares
will be $20,600,000 (the “Purchase
Price”). In accordance with Section 2.4(b)
and (c), at the Closing, the Purchase Price shall be delivered by Buyer
as follows: (a) $500,000 (the “Indemnification
Escrow Amount”) paid to the Escrow Agent pursuant to the Escrow Agreement
with respect to the escrow for the indemnification obligations of Seller and
Shareholders set forth in Article VII,
(b) $20,000,000 (the “Note
Consideration”) by payment by Buyer to Seller by a demand promissory
note, in a form mutually acceptable to Buyer and Seller (the “Demand
Note”), and (c) common stock of the Buyer with a fair market value of
$100,000 (the “Stock
Portion of the Purchase
Price”). The Indemnification Escrow Amount shall be paid in accordance
with the Section
7.5, Section 7.6
and the Escrow Agreement.

     

    2.3 Closing.  The
purchase and sale provided for in this Agreement (the “Closing”)
will take place at the offices of Buyer’s counsel at 901 Main Street, Suite
6000, Dallas, Texas, on February 14, 2008, or such other place agreed to by
Buyer and Seller.  The Closing shall be deemed to have occurred at
11:59 p.m. C.S.T. (the “Effective
Time”) on the date on which the Closing actually takes place (the “Closing
Date”).

     

    2.4 Closing
Obligations.  At the Closing:

     

    (a) Seller
will deliver to Buyer: (i) certificates representing the Purchased Shares, duly
endorsed (or accompanied by duly executed stock powers) for transfer to Buyer;
(ii) a release, in the form mutually acceptable to Buyer and Seller, executed by
of Seller (the “Seller’s
Release”); (iii) an employment agreement, in the form mutually acceptable
to Buyer and Seller, executed by Seller (the “Employment
Agreement”); (iv) a noncompetition agreement, in the form mutually
acceptable to Buyer and Seller, executed by Seller (the “Noncompetition
Agreement”); (v) an escrow agreement, in the form mutually acceptable to
Buyer, Seller and J.P. Morgan Chase Bank, N.A. (the “Escrow
Agent”), executed by Seller (the “Escrow
Agreement”); and (vi) a yard lease agreement, in a form mutually
acceptable to Buyer and Seller, executed by Seller (“Yard
Lease Agreement”).

     

    (b) Buyer
will deliver to Seller: (i) the Note Consideration by delivery of the Demand
Note; (ii) the Stock Portion of the Purchase Price by delivery of a stock
certificate for the Buyer’s common stock, (iii) the Employment Agreement,
executed by Buyer; (iv) the Noncompetition Agreement, executed by Buyer, (v) the
Escrow Agreement, executed by Buyer, (vi) the Yard Lease Agreement, executed by
Buyer, and (vii) the payment instruction letter, in a form
mutually acceptable to Buyer and Seller, executed by Buyer (the “Payment
Instruction Letter”).

     

    (c)           Buyer
will deliver to the Escrow Agent, the Indemnification Escrow Amount, by wire
transfer to an account specified by the Escrow Agent.

     

    Article
III

    Representations
and Warranties of Seller

     

    Except with respect to
each section in this Article III
for such disclosures as are set forth (i) in the section of the Disclosure
Schedule corresponding to such section in this Article III,
or
b

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

       

       (ii) in any
other section of the Disclosure Schedule to the extent it is reasonably apparent
from the face of such disclosure that such disclosure qualifies such section in
this Article III,
Seller represents and warrants to Buyer, as follows:

    

     

    3.1 Organization
and Good Standing.

     

    (a) The
Company is a corporation, duly organized, validly existing and in good standing
under the laws of the State of Kansas, with full corporate power and authority
to conduct its business as it is now being conducted, to own or use the
properties and assets that the Company purports to own or use, and to perform
all of its obligations under the Seller Contracts. The Company is duly qualified
to do business and is in good standing under the laws of each jurisdiction in
which either the ownership or use of the properties owned or used by the
Company, or the nature of the activities conducted by the Company, requires such
qualification.

     

    (b) Seller
has delivered or made available to Buyer copies of the Organizational Documents
of the Company, as currently in effect.

     

    3.2 Authority;
No Conflict.

     

    (a) This
Agreement constitutes the legal, valid, and binding obligation of Seller,
enforceable against Seller in accordance with its terms. Upon the execution and
delivery by Seller of the Seller’s Release, the Employment Agreement, the
Noncompetition Agreement, the Escrow Agreement, the Yard Lease Agreement and all
other documents or agreements executed by Seller in connection herewith,
(collectively, the “Seller’s
Closing Documents”), the Seller’s Closing Documents will constitute the
legal, valid, and binding obligations of Seller, enforceable against Seller in
accordance with their respective terms. Seller has the absolute and unrestricted
right, power, authority, and capacity to execute and deliver this Agreement and
the Seller’s Closing Documents and to perform its obligations under this
Agreement and the Seller’s Closing Documents.

     

    (b) The
consummation or performance of any of the Contemplated Transactions by the
Company will not directly or indirectly (with or without notice or lapse of
time): (i) contravene, conflict with, or result in a violation of (A) any
provision of the Organizational Documents of the Company, or (B) any resolution
adopted by the board of directors (the “Board
of Directors”) or the shareholders of the Company; (ii) contravene,
conflict with, or result in a violation of, or give any Governmental Body or
other Person the right to challenge any of the Contemplated Transactions or to
exercise any remedy or obtain any relief under, any Legal Requirement or any
Order to which the Company, or any of the assets owned or used by the Company,
may be subject; (iii) contravene, conflict with, or result in a violation of any
of the terms or requirements of, or give any Governmental Body the right to
revoke, withdraw, suspend, cancel, terminate, or modify, any Governmental
Authorization that is held by the Company; (iv) cause Buyer or the Company to
become subject to, or to become liable for the payment of, any tax; (v) cause
any of the assets owned by the Company to be reassessed or revalued by any
taxing authority or other Governmental Body; (vi) contravene, conflict with, or
result in a violation or breach of any material provision of, or give any Person
the right to declare a default or exercise any remedy under, or to accelerate
the maturity or performance of, or to

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

       

      cancel,
terminate, or modify, any material Seller Contract; or (vii) result in the
imposition or creation of any Encumbrance upon or with respect to any of the
assets owned or used by the Company. Neither the Seller nor the Company is or
will be required to give any notice to or obtain any Consent from any Person in
connection with the execution and delivery of this Agreement or the consummation
or performance of any of the Contemplated
Transactions.

    

     

    (c)           Neither
the execution and delivery of this Agreement or Seller’s Closing Documents by
Seller nor the consummation or performance of any of the Contemplated
Transactions by Seller will, directly or indirectly (with or without notice or
lapse of time): (i) contravene, conflict with, or result in a violation of, or
give any Governmental Body or other Person the right to challenge any of the
Contemplated Transactions or to exercise any remedy or obtain any relief under,
any Legal Requirement (other than any merger control or antitrust Legal
Requirement that may be applicable) or any Order to which Seller may be subject;
(ii) cause Buyer or the Company to become subject to, or to become liable for
the payment of, in each case with respect to the transfer of the Purchased
Shares, any share transfer tax or real property transfer tax based upon the
transfer of a controlling interest in real property, in each case to any
Governmental Body; or (iii) result in the imposition or creation of any
Encumbrance upon or with respect to the Purchased Shares of Seller. Seller is
not, nor or will Seller be, required to give any notice to or obtain any Consent
from any Person in connection with the execution and delivery of this Agreement
by Seller or the consummation or performance of any of the Contemplated
Transactions by Seller.

     

    
      	
              3.3  

            	
              Capitalization;
      Ownership; Subsidiaries.

            

    

     

     

    (a) The
authorized equity securities of the Company consist of 10,000 shares of common
stock, par value $100 per
share (the “Common
Shares”),
of which  300 Common
Shares are issued and outstanding, all of
which are owned by Seller. There are no warrants, options or other agreements
for the purchase of any capital stock of the Company outstanding as of the date
of this Agreement. All of the outstanding equity securities of the Company have
been duly authorized and validly issued and are fully paid and nonassessable.
There are no Contracts to which the Company is a party relating to the issuance,
sale, or transfer of any equity securities of the Company or other securities of
the Company. None of the outstanding equity securities or other securities of
the Company was issued in violation of the Securities Act or any other
applicable Legal Requirement. 

       

      (b) Seller
represents that (i) on the Closing Date Seller will be the record and beneficial
owner and holder of the Purchased Shares, free and clear of all Encumbrances,
and (ii) except for this Agreement, there are no Contracts to which Seller is a
party relating to the sale or transfer of the Purchased
Shares.

       

      (c) The
Company does not own, or have any Contract to acquire, any equity securities or
other securities of any Person (other than the Company) or any direct or
indirect equity or ownership interest in any other business.

       

      3.4 Financial
Statements; Accounts Receivable.

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    (a) The
Company has delivered to Buyer: (a) the audited balance sheet of the Company as
at December 31, 2006, and the related audited statements of operations, changes
in stockholders' equity, and cash flows for the fiscal year then ended and for
the fiscal year ended December 31, 2005 (including the notes thereto), all of
which were prepared in accordance with GAAP, together with the report thereon of
Malone & Bailey, PC, independent certified public accountants, (b) the
unaudited balance sheets of the Company as at September 30, 2007 (the “Balance
Sheet”) and September 30, 2006, and the related unaudited statements of
operations and changes in cash flow for the nine-month periods then ended
(including the notes thereto), all of which were prepared in accordance with
GAAP, and (c) an unaudited consolidated balance sheet of the Company as at
November 30, 2007 (the “Interim
Balance Sheet”) and the related unaudited consolidated statements of
operations and cash flow for the eleven months then ended, which were prepared
in accordance with GAAP. Such financial statements and notes fairly present in
all material respects the financial condition and the results of operations,
changes in stockholders' equity, and cash flow of the Company as at the
respective dates of and for the periods referred to in such financial
statements, subject, in the case of interim financial statements, to normal
recurring year-end adjustments (the effect of which will not, individually or in
the aggregate, be materially adverse) and the absence of notes. The financial
statements referred to in this Section 3.4
reflect the consistent application of such accounting principles throughout the
periods involved, except as disclosed in the notes to such financial statements.
No financial statements of any Person other than the Company are required by
GAAP to be included in the consolidated financial statements of the
Company.

     

     

    (b) Schedule
3.4(b) of the Disclosure Schedule contains a complete and accurate list
of all accounts receivable of the Company as of the Closing Date (collectively,
the “Accounts
Receivable”) in a minimum amount of $500,000 (collectively, the “Minimum
Accounts
Receivable Amount”), which list sets forth the aging of such Accounts
Receivable. All Accounts Receivable represent valid and undisputed obligations
arising from sales actually made or services actually performed in the Ordinary
Course of Business. The Accounts Receivable will be collectible in the Ordinary
Course of Business within 60 days of the Closing Date.

     

     

    3.5 Books
and Records.  The books of account, minute books, stock record
books, and other records of the Company, all of which have been delivered or
made available to Buyer, (i) are complete and correct in all material respects,
and (ii) since July 31, 2007, have been maintained pursuant to an adequate
system of internal accounting controls. The minute books of the Company contain
materially accurate and complete records of all meetings held of, and corporate
action taken by, the shareholders and the Board of Directors of the Company, and
no meeting of any such shareholders or Board of Directors has been held for
which minutes have not been prepared and are not contained in such minute books.
At the Closing, all of those books and records will be in the possession of the
Company.

     

    3.6 Title
to Properties; Encumbrances.  Schedule
3.6 of the Disclosure Schedule contains a complete and accurate list of
all personal property, real property, leaseholds, or other real property
interests therein owned by the Company. The Company has delivered or made
available to Buyer copies of the deeds and other instruments (as recorded) by
which the Company acquired such real property and interests, and copies of all
title insurance policies, opinions, abstracts, and surveys in the possession of
Seller or the Company and relating to such 
b

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

       

      property
or interests.  The Company owns, leases or has the right to use (with
good and marketable title in the case of real property) all of the properties
and assets listed on Schedule 3.6,
located in the Facilities owned or operated by the Company or reflected as owned
in the books and records of the Company, including all of the properties and
assets reflected in the Balance Sheet and the Interim Balance Sheet (except for
personal property sold since the date of the Balance Sheet and the Interim
Balance Sheet, as the case may be, in the Ordinary Course of Business, and the
personal assets of employees and vendor-owned assets used to provide services to
or by the Company in the Ordinary Course of Business).  All
subsequently purchased or acquired properties and assets were acquired in the
Ordinary Course of Business.  All such personal properties and assets
of the Company are free and clear of all Encumbrances except for (a) assets held
under capital leases disclosed, or not required to be disclosed, in Schedule
3.6 of the Disclosure Schedule, (b) mortgages or security interests
disclosed on Schedule
3.6 as securing specified liabilities or obligations, with respect to
which no material default (or event that, with notice or lapse of time or both,
would constitute a material default) exists, and (c) liens for current taxes not
yet due. All real properties reflected in the Balance Sheet and the Interim
Balance Sheet are free and clear of all Encumbrances except for (i) minor
imperfections of title, if any, none of which is substantial in amount,
materially detracts from the value or impairs the use of the property subject
thereto, or impairs the operations of the Company, and (ii) zoning laws and
other land use restrictions that do not materially impair the present use of the
property subject thereto. All buildings, plants, and structures owned by the
Company lie wholly within the boundaries of the real property owned by the
Company and do not encroach upon the property of, or otherwise conflict with the
property rights of, any other Person. Seller has no actual or beneficial
ownership interest in any of the foregoing real
property.

    

     

    3.7 Cash;
Net Working Capital; No Undisclosed Liabilities.  As of the
Closing Date, (i) the Company’s Net Working Capital is not a positive number,
(ii) all cash shall have been removed from the Company, and (iii) and all
current liabilities in excess of current assets (excluding cash and the Minimum
Accounts Receivable Amount) and all other liabilities of any kind or nature of
the Company have been satisfied by the Company. The Company has no liabilities
or obligations required to be disclosed in a balance sheet or related footnotes
prepared in accordance with GAAP, except for current liabilities equal to
current assets (excluding cash) reflected in the Interim Balance Sheet. The
Company is not a guarantor or otherwise contingently liable on any indebtedness
of any other Person.

    
       

      3.8 Compliance
with Legal Requirements; Governmental Authorizations.

       

      (a)           (i)           The
Company is, and at all times since January 1, 2003 has been, in full compliance
with each material Legal Requirement that is or was applicable to the Company or
to the conduct or operation of its business or the ownership or use of any of
its assets; (ii) no event has occurred since January 1, 2003, or circumstance
exists that (with or without notice  or lapse of time) (A) would
reasonably be expected to constitute or result in a violation by the Company of,
or a failure on the part of the Company to comply with, any material Legal
Requirement, or (B) would reasonably be expected to give rise to any obligation
on the part of the Company to undertake, or to bear a material portion of the
cost of, any remedial action of any nature; and (iii) the Company has not
received, at any time since January 1, 2003, any written notice or other written
communication from any Governmental Body or any other Person regarding (A) any
actual or potential violation of, or failure to comply with,
any

       

    

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
material Legal
Requirement, or (B) any actual or potential obligation on the part of the
Company to undertake, or to bear a material portion of the cost of, any remedial
action of any nature.

     

    (b)           Schedule
3.8(b) of the Disclosure Schedule contains a complete and accurate list
of each Governmental Authorization that is held by the Company and that is
material to the operation of the business of the Company as currently conducted.
Each Governmental Authorization listed or required to be listed in Schedule
3.8(b) of the Disclosure Schedule is valid and in full force and
effect.  Except as set forth in Schedule
3.8(b) of the Disclosure Schedule: (i) the Company is, and at all times
since January 1, 2003, has been, in material compliance with all of the terms
and requirements of each Governmental Authorization identified or required to be
identified in Schedule
3.8(b) of the Disclosure Schedule; (ii) no event has occurred or
circumstance exists that would reasonably be expected to (with or without notice
or lapse of time) (A) constitute or result directly or indirectly in a violation
of or a failure to comply with any material term or requirement of any
Governmental Authorization listed or required to be listed in Schedule
3.8(b) of the Disclosure Schedule, or (B) result directly or indirectly
in the revocation, withdrawal, suspension, cancellation, or termination of, or
any modification to, any Governmental Authorization listed or required to be
listed in Schedule 3.8(b)
of the Disclosure Schedule; (iii) the Company has not received, at any time
since January 1, 2003, any written notice or other written communication from
any Governmental Body or any other Person regarding (A) any actual or potential
violation of or failure to comply with any term or requirement of any
Governmental Authorization, or (B) any actual or potential revocation,
withdrawal, suspension, cancellation, termination of, or modification to any
Governmental Authorization; and (iv) all applications required to have been
filed for the renewal of the Governmental Authorizations listed or required to
be listed in Schedule
3.8(b) of the Disclosure Schedule have been duly filed on a timely basis
with the appropriate Governmental Bodies.

     

    3.9 Legal
Proceedings; Orders.

     

    (a)           Schedule
3.9 of the Disclosure Schedule sets forth a complete and accurate list of
all Proceedings: (i) that have been commenced by or against the Company; or (ii)
to which the Company is a party that challenges any of the Contemplated
Transactions. No other such Proceedings have been threatened by any third
party.  The Company has delivered or made available to Buyer copies
of all pleadings, correspondence, and other documents relating to each
Proceeding listed in Schedule
3.9 of the Disclosure Schedule. The Proceedings listed in Schedule 3.9
of the Disclosure Schedule would not reasonably be expected to have a material
adverse effect on the business, operations, assets or condition of the
Company.

       

      (b)           
There is no Order to which any of the Company is subject; and no officer,
director, agent, or employee of the Company is subject to any Order that
prohibits such officer, director, agent, or employee from engaging in or
continuing any conduct, activity, or practice relating to the business of the
Company.

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    3.10 Absence
of Certain Changes and Events.  For the period from the date of
the Balance Sheet to the date hereof, the Company has conducted its business
only in the Ordinary Course of Business and there has not been
any:

     

    (a)           change
in the Company's authorized or issued capital stock; grant of any stock option
or right to purchase shares of capital stock of the Company; issuance of any
security convertible into such capital stock; grant of any registration rights;
purchase, redemption, retirement, or other acquisition by the Company of any
shares of any such capital stock; or declaration or payment of any dividend or
other distribution or payment in respect of shares of capital
stock;

     

    (b)           amendment
to the Organizational Documents of the Company;

     

    (c)           payment
or increase by the Company of any bonuses, salaries, or other compensation to
any shareholder, director, officer, or (except in the Ordinary Course of
Business) employee or any entry into any employment, severance, or similar
Contract with any director, officer, or employee;

     

    (d)           adoption
of, or increase in the payments to or benefits under, any profit sharing, bonus,
deferred compensation, savings, insurance, pension, retirement, or other
employee benefit plan for or with any employees of the
Company;

     

    (e)           damage
to or destruction or loss of any asset or property of the Company, whether or
not covered by insurance, materially and adversely affecting the properties,
assets, business, financial condition, of the Company, taken as a
whole;

     

    (f)           entry
into, termination of, or receipt of notice of termination of (i) any material
license, distributorship, dealer, sales representative, joint venture, credit,
or similar agreement, or (ii) any Contract or transaction involving a total
remaining commitment by or to the Company of at least $25,000, other than
purchase orders given or received by the Company for the purchase or sale of
inventory in the Ordinary Course of Business;

     

    (g)           sale
(other than sales of inventory in the Ordinary Course of Business), lease, or
other disposition of any material asset or property of the Company or mortgage,
pledge, or imposition of any lien or other encumbrance on any material asset or
property of the Company, including the sale, lease, or other disposition of any
of the material intellectual property assets of the
Company;

     

    (h)           cancellation
or waiver in writing of any claims or rights with a value to the Company in
excess of $25,000 except to the extent reserved for in the Balance Sheet or
Interim Balance Sheet, or that will be reserved for in the Closing Balance
Sheet;

     

    (i)           material
change in the accounting methods used by the Company; or

     

    (j)           written
agreement, by the Company to do any of the foregoing.
b

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    3.11 Contracts;
No Defaults.

     

    (a)           Schedule
3.11(a) of the Disclosure Schedule contains a complete and accurate list,
and the Company has delivered or made available to Buyer true and complete
copies, of (each, a “Material
Contract”):

     

    
      	
              (i)

            	
              each
      executory Seller Contract that involves the performance of services or the
      delivery of goods or materials by the Company of an outstanding amount or
      value in excess of $25,000 other than purchase orders given or received by
      the Company for the purchase or sale of inventory in the Ordinary Course
      of Business of an outstanding amount or value of less than $25,000;
      and

            

    

     

    
      	
              (ii)

            	
              each
      executory Seller Contract that involves the performance of services or the
      delivery of goods or materials to the Company of an outstanding amount or
      value in excess of $25,000 other than purchase orders given or received by
      the Company for the purchase or sale of inventory in the Ordinary Course
      of Business of an outstanding amount or value of less than
      $25,000.

            

    

     

    (b)           Each
Material Contract is in full force and effect and is valid and enforceable in
accordance with its terms and the Company is in full compliance with all
material terms and requirements of each Material Contract;

     

    3.12 Relationships
with Related Persons.  No Seller or any Related Person of
Seller or of the Company has, or since January 1, 2003, has had, any interest in
any property (whether real, personal, or mixed and whether tangible or
intangible), used in or pertaining to the Company’s business. No Seller or any
Related Person of Seller or of the Company is, or since January 1, 2003, has
owned (of record or as a beneficial owner) an equity interest or any other
financial or profit interest in, a Person that has (i) had business dealings or
a material financial interest in any transaction with the Company, or (ii)
engaged in competition with the Company with respect to any line of the products
or services of the Company in any market presently served by the Company except
for less than one percent of the outstanding capital stock of any such competing
business that is publicly traded on any recognized exchange. No Seller or any
Related Person of Seller or of the Company is a party to any Contract with, or
has any claim or right against, the Company. 

       

      3.13 No
Material Adverse Change.  Since July 31, 2007, there has not
been any material adverse change in the business, operations, customer and
employee relations, properties, assets or financial condition of the Company and
no event has occurred or circumstance exists that would reasonably be expected
to result in such a material adverse change.

       

      3.14 Disclosure. No representation or warranty
of Seller in this Agreement, the Disclosure Schedule or any other certificate or
document delivered by Seller pursuant to this Agreement, and no statement in
this Agreement, the Disclosure Schedule or any other certificate or document
delivered by Seller pursuant to this Agreement, omits to state a material fact
necessary to make the statements herein or therein, in light of the
circumstances in which they were made, not misleading. There is no fact known to
Seller that has specific application to

    

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

     

     Seller
or the Company and that materially adversely affects the assets, business,
prospects, financial condition, or results of operations of the Company that has
not been set forth in this Agreement or the Disclosure
Schedule.

     

    3.15 Brokers
and Finders.  Neither Seller nor its Representatives have
incurred any obligation or liability, contingent or otherwise, for brokerage or
finders' fees or agents' commissions or other similar payment in connection with
this Agreement.

     

    Article
IV

    Representations
and Warranties of Buyer

     

    Buyer represents and
warrants to Seller as follows:

     

    4.1 Organization
and Good Standing.  Buyer is a corporation validly established,
currently existing, and in good standing under the laws of State of
Delaware.

     

    4.2 Authority;
No Conflict.

     

    (a) This
Agreement constitutes the legal, valid, and binding obligation of Buyer,
enforceable against Buyer in accordance with its terms.  Upon the
execution and delivery by Buyer of the Employment Agreement, the Noncompetition
Agreement, the Escrow Agreement, the Yard Lease Agreement, the Payment
Instruction Letter and all other documents or agreements executed by Buyer in
connection herewith, (collectively, the “Buyer’s
Closing Documents”), the Buyer’s Closing Documents will constitute the
legal, valid, and binding obligations of Buyer, enforceable against Buyer in
accordance with their respective terms.  Buyer has the absolute and
unrestricted right, power, authority, and capacity to execute and deliver this
Agreement and the Buyer’s Closing Documents and to perform its obligations under
this Agreement and the Buyer’s Closing Documents.

     

    (b) Except as
set forth in Schedule
4.2, neither the execution and delivery of this Agreement by Buyer nor
the consummation or performance of any of the Contemplated Transactions by Buyer
will give any Person the right to prevent, delay, or otherwise interfere with
any of the Contemplated Transactions pursuant to: (i) any provision of Buyer's
Organizational Documents; (ii) any resolution adopted by the Board of Directors
or the shareholders of Buyer; (iii) any Legal Requirement or Order to which
Buyer may be subject; or (iv) any
Contract to which Buyer is a party or by which Buyer may be bound. Except as set
forth in Schedule
4.2, Buyer is not, nor will it be, required to obtain any Consent from
any third-party Person in connection with the execution and delivery of this
Agreement or the consummation or performance of any of the Contemplated
Transactions.

       

      4.3 Investment
Intent.  Buyer is acquiring the Purchased Shares for its own
account and not with a view to their distribution within the meaning of Section
2(11) of the Securities Act.

    

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

       

    

    4.4 Certain
Proceedings.  There is no pending Proceeding that has been
commenced against Buyer and that challenges, or may have the effect of
preventing, delaying, making illegal, or otherwise interfering with, any of the
Contemplated Transactions.

     

    4.5 Brokers
and Finders.  Neither Buyer, nor its officers and agents have
incurred any obligation or liability, contingent or otherwise, for brokerage or
finders' fees or agents' commissions or other similar payment in connection with
this Agreement.

     

    Article
V

    Conditions
Precedent to Buyer’s Obligations to Close

     

    Buyer's obligation to
purchase the Purchased Shares and to take the other actions required to be taken
by Buyer at the Closing is subject to the satisfaction, at or prior to the
Closing, of each of the following conditions (any of which may be waived by
Buyer, in whole or in part):

     

    5.1 Accuracy
of Representations.  Each of Seller’s representations and
warranties in this Agreement must have been accurate in all respects as of the
Closing Date.

     

    5.2 Seller’s
Performance.

     

    (a) All of
the covenants and obligations that Seller is required to perform or to comply
with pursuant to this Agreement at or prior to the Closing must have been duly
performed and complied with in all material respects.

     

    (b) Each
document required to be delivered by Seller pursuant to Section 2.4(a)
must have been delivered.

     

    5.3 Consents.  Each
of the Consents identified in Schedule
4.2, if any, must have been obtained and must be in full force and
effect.

     

     

    5.4 Additional
Documents.  Each of the following documents must have been
delivered to Buyer:

     

     

    (a) an
opinion of Gilmore, Shellenberger & Maxwell, P.A., dated the Closing Date,
in the form mutually acceptable to Buyer and Seller;

     

    (b) the
certificate of incorporation and all amendments thereto of the Company, duly
certified as of a date not more than thirty days prior to the Closing Date by
the Secretary of State of the State of Kansas; 

       

      (c) certificates
dated as of a date not more than thirty days prior to the Closing Date as to the
good standing of the Company executed by the Secretary of State of the State of
Kansas; and

       

      (d) such
other documents as Buyer may reasonably request for the purpose of

    

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

    (i)  evidencing
the accuracy of any of Seller’s representations and warranties, (ii) evidencing
the performance by Seller of, or the compliance by Seller with, any covenant or
obligation required to be performed or complied with by Seller on or before the
Closing Date, (iii) evidencing the satisfaction of any condition referred to in
this Article
V, or (v) otherwise facilitating the consummation or performance of any
of the Contemplated Transactions.

     

    5.5 Delivery
of W-8 or W-9. On or prior to the Closing Date, Seller shall have
delivered a fully-executed W-8 or W-9 IRS form, as
applicable.

     

     

    5.6 Due
Diligence.  On or prior to the Closing Date, Buyer shall
completed the business, legal, financial, tax and accounting due diligence
review of the Company to its sole satisfaction.

     

     

    5.7 Cash
and Excess Liabilities. On or prior to the Closing Date, Seller shall
have (i) removed all cash, and (ii) satisfied all current liabilities in excess
of current assets (excluding cash and the Minimum Accounts Receivable Amount)
and all other liabilities of any kind or nature of the
Company.

     

    Article
VI

    Conditions
Precedent to Seller’s Obligations to Close

     

    Seller’s obligation to
sell the Purchased Shares and to take the other actions required to be taken by
Seller at the Closing is subject to the satisfaction, at or prior to the
Closing, of each of the following conditions (any of which may be waived by
Seller, in whole or in part):

     

    6.1 Accuracy
of Representations.  Each of Buyer's representations and
warranties in this Agreement must have been accurate in all respects as of the
Closing Date.

     

    6.2 Buyer’s
Performance.

     

    (a) All of
the covenants and obligations that Buyer is required to perform or to comply
with pursuant to this Agreement at or prior to the Closing must have been
performed and complied with in all material respects.

     

    (b) Buyer
must have delivered each of the documents required to be delivered by Buyer
pursuant to Section
2.4(b) and must have made the payments required to be made by Buyer
pursuant to Section
2.4(b). 

       

      6.3 Consents.  Each
of the Consents identified in Schedule
3.2 of the Disclosure Schedule, if any, must have been obtained and must
be in full force and effect.

       

      6.4 Additional
Documents.  Buyer must have caused the following documents to
be delivered to Seller such other documents as Seller may reasonably request for
the purpose of (i) evidencing the accuracy of any representation or warranty of
Buyer, (ii) evidencing the performance by Buyer of, or the compliance by Buyer
with, any covenant or obligation required to be performed or complied with by
Buyer, (iii) evidencing the satisfaction of any
condition

    

     

    
      
        
        

      

      
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    referred
to in this Article
VI, or (v) otherwise facilitating the consummation of any of the
Contemplated Transactions.

     

    Article
VII

    Indemnification

     

    7.1 Survival.  All
representations, warranties, covenants, and obligations in this Agreement, the
Disclosure Schedule and any other certificate or document delivered pursuant to
this Agreement will survive the Closing.

     

    7.2 Indemnification
and Payment of Damages by Sellers.  After the Closing, Seller
will indemnify and hold harmless Buyer, the Company, and their respective
Representatives, stockholders, controlling persons, and affiliates
(collectively, the “Indemnified
Persons”) from and against, and will pay to the Indemnified Persons the
amount of any loss, liability, claim, damage, expense (including reasonable
costs of investigation and defense and reasonable attorneys' fees) or diminution
of value, whether or not involving a third-party claim (collectively, “Damages”),
arising, directly or indirectly, from or in connection with:

     

    (a)           any
Breach of any representation or warranty made by Seller in this Agreement, the
Disclosure Schedule or any other certificate or document delivered by Seller
pursuant to this Agreement, including any amounts by which the Accounts
Receivable as reflected on Schedule
3.4(b) are not collectible in the Ordinary Course of Business within 60
days of the Closing Date, provided such uncollected Accounts Receivable are
transferred to Seller;

     

    (b)           any
Breach by Seller of any covenant or obligation of Seller in this
Agreement;

     

    (c)           any
product shipped or manufactured by, or any services provided by, the Company
prior to the Closing Date; and

     

    (d)           any
claim by any Person for brokerage or finder's fees or commissions or similar
payments based upon any agreement or understanding alleged to have been made by
any such Person with the Seller or the Company (or any Person acting on their
behalf) in connection with any of the Contemplated
Transactions.

     

    Seller
shall have no liability for indemnification with respect to claims under Section 7.2(a)
until the total of all Damages with respect to such matters exceeds $25,000 at
which time Seller shall be liable for indemnification for all Damages with
respect to such claims (including the first $25,000 of such Damages). However,
the immediately preceding sentence shall not apply to claims (i) under Section
7.2(a) with respect to matters arising in respect of Sections
3.2(a), 3.3,
3.12
and 3.15,
or (ii) for all cash out-of-pocket Damages relating to any amounts by
which the Accounts Receivable as reflected on Schedule
3.4(b) are not collectible in the Ordinary Course of Business within 60
days of the Closing Date to the extent such uncollected Accounts Receivable are
transferred to Seller. Seller’s total liability for Damages pursuant to this
Article VII
shall not exceed $15,000,000 except for (i) Damages relating to claims arising
out of or related to Seller’s representations regarding capitalization of the
Company as set forth in Section 3.3(a)

     

    
      
        
        

      

      
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    and
ownership by Seller of the Purchased Shares free and clear of any Encumbrances
as set forth in Section 3.3(b),
or (ii) Damages from any intentional breach by Seller of any of Seller’s
representations, warranties, covenants or obligations, and Seller will be liable
for all Damages with respect to any such breaches.

     

    7.3 Procedure
for Indemnification – Third Party Claims.

     

    (a)           Promptly
after receipt by an Indemnified Person of notice of the commencement of any
Proceeding against such Indemnified Person, such Indemnified Person will, if a
claim is to be made against Seller under Section
7.2, give notice, setting forth the factual basis for such claim in
reasonable detail to the extent known, to the Seller of the commencement of such
claim, but the failure to notify Seller will not relieve Seller of any liability
that Seller may have to any Indemnified Person, except to the extent that Seller
is prejudiced by the Indemnified Person's failure to give such
notice.

     

    (b)           If
any Proceeding referred to in Section
7.3(a) is brought against an Indemnified Person and such Indemnified
Person gives notice to Seller of the commencement of such Proceeding, Seller
will be entitled to participate in such Proceeding and, to the extent that
Seller wishes (unless (i) Seller is also a party to such Proceeding and the
Indemnified Person determines in good faith that joint representation would be
inappropriate, or (ii) Seller fails to provide reasonable assurance to the
Indemnified Person of Seller’s financial capacity to defend such Proceeding and
provide indemnification with respect to such Proceeding), to assume the defense
of such Proceeding with counsel reasonably satisfactory to such Indemnified
Person and, after notice from Seller to the Indemnified Person of Seller’s
election to assume the defense of such Proceeding, Seller will not, as long as
Seller diligently conducts such defense, be liable to the Indemnified Person
under this Article VII
for any fees of other counsel or any other expenses with respect to the defense
of such Proceeding, in each case subsequently incurred by the Indemnified Person
in connection with the defense of such Proceeding. If Seller assumes the defense
of a Proceeding, (i) no compromise or settlement of such claims may be effected
by Seller without the Indemnified Person's consent (not to be unreasonably
withheld, delayed or conditioned) unless (A) there is no finding or admission of
any violation of Legal Requirements, and (B) there is no liability or
restriction on the Indemnified Person; and (ii) the Indemnified Person will have
no liability with respect to any compromise or settlement of such claims
effected without such Indemnified Person’s consent.  If notice is
given to Seller of the commencement of any Proceeding and Seller does not,
within 20 days after the Indemnified Person's notice is given, give notice to
the Indemnified Person of Seller’s election to assume the defense of such
Proceeding, the Indemnified Person shall diligently conduct the defense and
Seller will be bound by
any determination made in such Proceeding or any compromise or settlement
effected by the Indemnified Person.

       

      7.4 Procedure
for Indemnification – Other Claims.  A claim for
indemnification for any matter not involving a third-party claim shall be
promptly asserted by notice to Seller.

       

      7.5 Payments
From Indemnification Escrow Amount and Seller.  In the event
that any Indemnified Person is entitled to indemnification from Seller pursuant
to this Article
VII, the amount of Damages for which such Indemnified Person is entitled
to indemnification shall be paid from the Indemnification Escrow Amount to the
extent there are sufficient funds

    

     

    
      
        
        

      

      
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    available
in the Indemnification Escrow Amount and Buyer and Seller shall issue joint
written instructions to the Escrow Agent authorizing distribution of the amount
of such Damages to such Indemnified Person within three Business Days of a final
determination of the amount of such Damages by (i) Buyer and Seller, or (ii)
pursuant to a final and binding determination of a court of competent
jurisdiction. To the extent that Seller is liable for any Damages in excess of
the Indemnification Escrow Amount, Seller shall pay such amount to Buyer for the
benefit of the applicable Indemnified Person, by wire transfer to a bank account
specified by Buyer, within such three Business Day period.

     

    7.6 Release
of Indemnification Escrow Amount.

     

    (a)           On
the six month anniversary of the Closing Date, the Escrow Agent shall release to
Seller the remaining portion of the Indemnification Escrow Amount less an amount
equal to the aggregate of all claims for indemnification of the Indemnified
Persons which have been properly asserted prior to such date and remain pending
and unresolved on such date.

     

    (b)           After
the six month anniversary of the Closing Date, in the event and to the extent
that the remaining portion of the Indemnification Escrow Amount exceeds the
aggregate amount of all claims for indemnification that remain pending and
unresolved, the Escrow Agent shall release to Seller any such excess amount. To
the extent any such pending and unresolved claims are subsequently resolved in
favor of an Indemnified Person, then such Indemnified Person shall be entitled
to indemnification from Seller in the amount of any related Damages as provided
in Section
7.5.

     

    (c)           Seller
and Buyer shall deliver within three Business Days joint written instructions to
the Escrow Agent required pursuant to the terms of the Escrow Agreement in order
to make the distributions required by this Section
7.6.

     

    Article
VIII

    General
Provisions

     

    8.1 Expenses.  Except
as otherwise expressly provided in this Agreement, each party to this Agreement
will bear its respective expenses incurred in connection with the preparation,
execution, and performance of this Agreement and the Contemplated Transactions,
including all fees and expenses of its Representatives. Any expenses incurred by
the Company in connection with the Contemplated Transactions shall be reimbursed
to the Company by Seller. 

       

      8.2 Public
Announcements.  Any public announcement or similar publicity
with respect to this Agreement or the Contemplated Transactions will be issued,
if at all, at such time and in such manner as Buyer and Seller mutually
agree.

       

      8.3 Confidentiality.  Buyer
and Seller will maintain in confidence, and will cause their respective
Representatives to maintain in confidence, this Agreement, any related agreement
and the Contemplated Transactions and not use to the detriment of another party
or the Company any written, oral, or other information obtained in confidence
from another party or the Company in connection with this Agreement or the
Contemplated Transactions, unless (a)

    

     

    
      
        
        

      

      
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      such
information is already known to such party or to others not bound by a duty of
confidentiality or such information becomes publicly available through no fault
of such party, (b) the use of such information is necessary or appropriate in
making any filing or obtaining any Consent required for the consummation of the
Contemplated Transactions, or (c) the furnishing or use of such information is
required by legal proceedings.

    

     

    8.4 Notices.  All
notices, requests, demands and other communications given or made pursuant to
this Agreement shall be in writing and shall be deemed effectively
given:  (i) upon personal delivery to the party to be notified, (ii)
when sent by confirmed electronic mail or facsimile if sent during normal
business hours of the recipient, and if not so confirmed, then on the next
business day, (iii) five days after having been sent by registered or certified
mail, return receipt requested, postage prepaid, or (iv) one day after deposit
with a nationally recognized overnight courier, specifying next day delivery,
with written verification of receipt, in each case to the following addresses,
facsimile numbers or e-mail addresses and marked to the attention of the person
(by name or title) designated below (or to such other address, facsimile number,
e-mail address or person as a party may designate by notice to the other
parties):

     

    Seller:                     Tony
Bruce

    2081 Road
C

    Liberal, Kansas
67901

    Email: bestwellserv@yahoo.com

     

    with a
copy (which shall not be considered notice) to:

    Gilmore, Shellenberger
& Maxwell, P.A.

    500 North Kansas
Avenue

    Liberal, Kansas
67901

    Attention: Grant
Shellenberger, Esq.

    Facsimile No.: (620)
624-5525

    Email: gshellenberger@swko.net

     

    Buyer:                    
Best Energy Services, Inc.

    1010
Lamar

    Suite
1200

    Houston, Texas
77002

    Attention: Larry Hargrave,
Chief Executive Officer

    Facsimile No.: (713)
932-2602

    Email: lhargrave@bestenergyservicesinc.com

       

      with a copy (which shall not be considered notice) to:

      Jackson
Walker L.L.P.

      100
Congress Avenue

      Suite
1100

      Austin,
Texas 78701

      Attention:
Lawrence A. Waks, Esq.

      Facsimile
No.: (512) 236-2002

      Email: lwaks@jw.com

    

     

    
      
        
        

      

      
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    8.5 Further
Assurances.  The parties agree (a) to furnish upon request to
each other such further information, (b) to execute and deliver to each other
such other documents, and (c) to do such other acts and things, all as the other
party may reasonably request for the purpose of carrying out the intent of this
Agreement and the documents referred to in this Agreement.

     

    8.6 Waiver.  Neither
the failure nor any delay by any party in exercising any right, power, or
privilege under this Agreement or the documents referred to in this Agreement
will operate as a waiver of such right, power, or privilege, and no single or
partial exercise of any such right, power, or privilege will preclude any other
or further exercise of such right, power, or privilege or the exercise of any
other right, power, or privilege. To the maximum extent permitted by applicable
Law, (a) no claim or right arising out of this Agreement or the documents
referred to in this Agreement can be discharged by one party, in whole or in
part, by a waiver or renunciation of the claim or right unless in writing signed
by Buyer, with respect to a waiver on behalf of Buyer, and by Seller, with
respect to a waiver on behalf of Seller; (b) no waiver that may be given by a
party will be applicable except in the specific instance for which it is given;
and (c) no notice to or demand on one party will be deemed to be a waiver of any
obligation of such party or of the right of the party giving such notice or
demand to take further action without notice or demand as provided in this
Agreement or the documents referred to in this Agreement.

     

    8.7 Entire
Agreement; Modification; Termination.  This Agreement
supersedes all prior agreements between the parties with respect to its subject
matter (including the preliminary letter of intent, dated May 15, 2007 among
Buyer and the Company) and constitutes (along with the documents referred to in
this Agreement) a complete and exclusive statement of the terms of the agreement
between the parties with respect to its subject matter. This Agreement may not
be amended except by a written agreement executed by the party to be charged
with the amendment. This Agreement may be terminated by mutual consent of Buyer
and Seller.

     

    8.8 Assignments,
Successors, and No Third Party Rights.  Neither party may
assign any of its rights under this Agreement without the prior consent of the
other parties except that Buyer may assign any of its rights under this
Agreement to any Subsidiary or other Related Person of Buyer. Subject to the
preceding sentence, this Agreement will apply to, be binding in all respects
upon, and inure to the benefit of the successors and permitted assigns of the
parties.  Nothing expressed or referred to in this Agreement will be
construed to give any Person other than the parties to this Agreement any legal
or equitable right, remedy, or claim under or with 

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

       

      respect
to this Agreement or any provision of this Agreement.  This Agreement
and all of its provisions and conditions are for the sole and exclusive benefit
of the parties to this Agreement and their successors and
assigns.

    

     

    8.9 Severability.  If
any provision of this Agreement is held invalid or unenforceable by any court of
competent jurisdiction, the other provisions of this Agreement will remain in
full force and effect.  Any provision of this Agreement held invalid
or unenforceable only in part or degree will remain in full force and effect to
the extent not held invalid or unenforceable.

     

    8.10 Time
of Essence.  With regard to all dates and time periods set
forth or referred to in this Agreement, time is of the
essence.

     

    8.11 Governing
Law.  This Agreement (including any claim or controversy
arising out of or relating to this Agreement) shall be governed by the laws of
the State of Texas, without regard to conflict of law principles that would
result in the application of any law other than the law of the State of
Texas.

     

    8.12 Dispute
Resolution.  Except as provided below, in the event of any
dispute, claim or disagreement arising out of or relating to this Agreement or
any Contemplated Transaction, including the negotiation, execution,
interpretation, performance or non-performance of this Agreement, the parties
shall first submit the dispute, claim or disagreement to non-binding mediation
administered by the American Arbitration Association (the “AAA”)
in accordance with its Commercial Mediation Procedures.  The place of
mediation shall be Dallas, Texas.  If the dispute, claim or
disagreement is not resolved within 30 days after the initial mediation meeting
among the parties and the mediator, or if the mediation is otherwise terminated,
then either party may submit the dispute, claim or disagreement to binding
arbitration administered by the AAA in accordance with the provisions of its
Commercial Arbitration Rules (the “Rules”)
and, except as provided below, such arbitration shall be the sole means of
dispute resolution.  The place of arbitration shall be Dallas,
Texas.  The arbitration shall be conducted by a panel of three
arbitrators selected in accordance with the Rules, unless the parties otherwise
agree to one arbitrator.  Any mediator or arbitrator selected under
this Section
8.12 shall be a practicing attorney experienced in commercial agreements
and acquisitions and shall not have been employed or engaged by or affiliated
with either of the parties or their respective affiliates.  Each party
shall initially bear its own costs and expenses in connection with any mediation
or arbitration hereunder, including, without limitation, its attorneys’ fees,
and an equal share of the mediator’s or arbitrator’s and administrative fees of
mediation or arbitration.  The decision of the arbitrators shall be in
writing.  Judgment upon an arbitration award may be entered in any
court of competent jurisdiction and shall be final, binding and
non-appealable.  Notwithstanding anything in this Section
8.12 to the contrary, each party shall be entitled to seek injunctive or
other equitable relief without first submitting the matter to mediation or
arbitration in accordance with the provisions of this Section
8.12, even if a similar or related matter has already been referred to
meditation or arbitration in accordance with the terms of this Section
8.12.  Venue for any action permitted to be brought in court
under this Section
8.12 shall be the appropriate state and federal courts located in Dallas
County, Texas.

     

    
      
        
        

      

      
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    8.13 Counterparts;
Facsimile Execution. This Agreement may be executed in two or more
counterparts, each of which shall be deemed to be an original, but all of which
shall be one and the same document. The exchange of copies of this Agreement and
of signature pages by facsimile transmission, PDF or other electronic file shall
constitute effective execution and delivery of this Agreement as to the parties
and may be used in lieu of the original Agreement for all purposes. Signatures
of the parties transmitted by facsimile, PDF or other electronic file shall be
deemed to be their original signatures for all purposes.

     

           
8.14 True-Up
Period. During the period from Closing to
April 14, 2008 (the "True-Up
Period"), any payments for Accounts Receivable actually received by the
Company in excess of the Minimum Accounts Receivable Amount ("Post-Closing
Accounts Receivable Receipts") shall be held by the Company for the
benefit of Seller. During the True-Up Period, any payments made by the Company
with respect to any liabilities required to be paid or otherwise satisfied by
Seller pursuant to this Agreement ("Post-Closing
Liability Payments"), shall be for the account of Seller. No later than
April 24, 2008, (i) the Copmany shall pay to Seller the amount by which
Post-Closing Accounts Receivable Receipts exceed Post-Closing Liability
Payments, or (ii) Seller shall pay to the Company the amount by which
Post-Closing Liability Payments exceed Post-Closing Accounts Receivable
Receipts. This Section 8.14 shall have no effect on the representation and
warranty of Seller set forth in Section 3.7 nor Seller's obligations under
Section 5.7 or any resulting indemnification obligations of Seller pursuant to
Section 7.2 as a result of any inaccuracy of breach thereof, but is intended to
provide an administrative mechanism to account for the receipt by the Company
during the True-Up Period of any Accounts Receivables that are the property of
Seller and the payment by the Company during the True-Up Period of any accounts
payable that are the obligation of Seller. 

     

    [Signature
Page to Follow]

     

    
      
        
        

      

      
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        In Witness Whereof,
the parties have executed and delivered this Agreement as of the date first
written above.

     

    
      	
              Buyer:

              Best
      Energy Services, Inc.

               

               

              /s/
      Larry Hargrave

              Larry
      Hargrave, Chief Executive Officer

               

              Seller:

              Tony
      Bruce

               

               

              /s/
      Tony Bruce

              Tony
      Bruce, individually

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