Document:

EXHIBIT 10.27

                                 PROMISSORY NOTE

<TABLE>
<CAPTION>
<C>          <C>         <C>         <C>       <C>        <C>      <S>      <C>
 Principal   Loan Date    Maturity   Loan No.  Call/Coll  Account  Officer  Initials
$250,000.00  05-02-2003  05-02-2004   51326                         BAC
-----------  ----------  ----------  --------  ---------  -------  -------  --------
</TABLE>

  References in the shaded area are for Lender's use only and do not limit the
         applicability of this document to any particular loan or item.

Any item above containing "***" has been omitted due to test length limitations.
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
<S>        <C>                                  <C>
Borrower:  YP.Net, Inc.                         Lender: Bank of the Southwest
           4840 East Jasmine Street Suite #105          7910 South Kyrene Road, Suite 108
           Mesa, AZ 85202                               Tempe, AZ 85284
</TABLE>
================================================================================

Principal Amount: $250,000.00  Initial Rate: 4.750%  Date of Note: May 2, 2003

PROMISE  TO  PAY.  YP.Net,  Inc.  ("Borrower")  promises  to  pay to Bank of the
Southwest ("Lender"), or order, in lawful money of the United States of America,
the  principal  amount  of  Two  Hundred  Fifty  Thousand  &  00/100  Dollars
($250,000.00)  or  so  much as may be outstanding, together with Interest on the
unpaid  outstanding  principal  balance  of  each  advance.  Interest  shall  be
calculated  from  the  date  of  each  advance  until repayment of each advance.

PAYMENT. Borrower will pay this loan in one payment of all outstanding principal
plus  all accrued unpaid interest on May 2, 3004. In addition, Borrower will pay
regular  monthly  payments of all accrued unpaid Interest due as of each payment
date, beginning June 2, 2003, with all subsequent interest payments to be due on
the  same  day  of each month after that. Unless otherwise agreed or required by
applicable  law, payments will be applied first to accrued unpaid interest, then
to  principal,  and any remaining amount to any unpaid collection costs and late
charges.  The annual Interest rate for this Note is computed on a 365/360 basis;
that  is,  by  applying the ratio of the annual Interest rate over a year of 360
days,  multiplied by the outstanding principal balance, multiplied by the actual
number of days the principal balance is outstanding. Borrower will pay Lender at
Lender's  address  shown above or at such other place as Lender may designate in
writing.

VARIABLE INTEREST RATE. The Interest rate on this Note is subject to change from
time  to time based on changes in an independent index which is the highest base
rate  on corporate loans posted by at least 75% of the nation's 30 largest banks
that  The  Wall  Street  Journal  publishes as the Prime Rate (the "Index"). The
Index  is not necessarily the lowest rate charged by Lender on its loans. If the
Index  becomes  unavailable during the term of this loan. Lender may designate a
substitute index after notice to Borrower. Lender will tell Borrower the current
Index rate upon Borrower's request, the interest rate change will not occur more
often  than  each  day. Borrower understands that Lender may make loans based on
other  rates as well. The Index currently is 4.250% per annum. The Interest rate
to off applied to the unpaid principal balance of this Note will be at a rate of
0.500  percentage  points over the Index, resulting in an initial rate of 4.750%
per annum, NOTICE: Under no circumstances will the interest rate on this Note be
more  than  the  maximum  rate  allowed  by  applicable  law.

EFFECTIVE  RATE.  Borrower  agrees  to an effective rate of interest that is the
rate  specified  in  this Note plus any additional rate resulting from any other
charges  in  the  nature  of interest paid or to be paid in connection with this
Note.

PREPAYMENT. Borrower may pay without penalty all or a portion of the amount owed
earlier  than  it is due. Early payments will not, unless agreed to by Lender in
writing,  relieve Borrower of Borrower's obligation to continue to make payments
of  accrued  unpaid  interest.  Rather, early payments will reduce the principal
balance  due. Borrower agrees not to send Lender payments marked "paid in full",
"without  recourse",  or  similar  language.  If  Borrower sends such a payment,
Lender  may accept it without losing any of Lender's rights under this Note, and
Borrower  will  remain  obligated  to pay any further amount owed to Lender. All
written communications concerning disputed amounts, including any check or other
payment instrument that indicates that the payment constitutes "payment in full"
of  the  amount owed or that is tendered with other conditions or limitations or
as  full  satisfaction of a disputed amount must be mailed or delivered to: Bank
of  the  Southwest,  7910  South  Kyrene  Road,  Suite  106,  Tempe,  AZ  85284.
LATE  CHARGE.  If  a  payment  is 11 days or more late, Borrower will be charged
5.000%  of  the  regularly  scheduled  payment  or $25.00, whichever is greater.

INTEREST  AFTER  DEFAULT.  Upon  default,  including  failure  to pay upon final
maturity.  Lender,  at  its  option,  may,  if  permitted  under applicable law,
Increase the variable interest rate on this Note to 6.500 percentage points over
the  Index,  The  interest  rate  will riot exceed the maximum rate permitted by
applicable  law.

DEFAULT. Each of the following shall constitute an event of default ("Event of
Default") under this Note:

     Payment  Default,  Borrower  fails  to make any payment when due under this
     Note:

     Other Defaults. Borrower fails to comply with or to perform any other term,
     obligation,  covenant  or condition contained in this Note or in any of the
     related  documents  or  to  comply with or to perform any term, obligation,
     covenant  or  condition contained in any other agreement between Lender and
     Borrower.

     Default  in  Favor of Third Parties. Borrower or any Grantor defaults under
     any  loan,  extension  of  credit,  security  agreement,  purchase or sales
     agreement, or any other agreement, in favor of any other creditor or person
     that may materially affect any of Borrower's property or Borrower's ability
     to repay this Note or perform Borrower's obligations under this Note or any
     of  the  related  Documents.

     False  Statements.  Any  warranty,  representation  or  statement  made  or
     furnished  to Lender by Borrower or on Borrower's behalf under this Note or
     the  related  documents  is  false  or  misleading in any material respect,
     either  now or at the time made or furnished or becomes false or misleading
     at  any  time  thereafter,

     Insolvency.  The  dissolution  or  termination of Borrower's existence as a
     going  business,  the insolvency of Borrower, the appointment of a receiver
     for  any  part  of  Borrower's  property, any assignment for the benefit of
     creditors,  any  type  of  creditor  workout,  or  the  commencement of any
     proceeding  under any bankruptcy or Insolvency laws by or against Borrower.

     Creditor  or  Forfeiture  Proceedings.  Commencement  of  foreclosure  or
     forfeiture  proceedings,  whether  by  judicial  proceeding,  self-help,
     repossession  or  any  other  method, by any creditor of Borrower or by any
     governmental agency against any collateral securing the loan. This includes
     a  garnishment  of  any of Borrower's accounts, including deposit accounts,
     with  Lender.  However, this Event of Default shall not apply if there is a
     good  faith dispute by Borrower as to the validity or reasonableness of the
     claim  which  is  the basis of the creditor or forfeiture proceeding and If
     Borrower  gives  Lender  written  notice  of  the  creditor  or  forfeiture
     proceeding  and  deposits  with  Lender  monies  or  a  surety bond for the
     creditor  or  forfeiture  proceeding, In an amount determined by Lender, in
     its  sole discretion, as being an adequate reserve or bond for the dispute.

     Events Affecting Guarantor. Any of the preceding events occurs with respect
     to  any  guarantor,  endorser, surety, or accommodation party of any of the
     indebtedness  or  any  guarantor,  endorser, surety, or accommodation party
     dies  or  becomes  incompetent,  or revokes or disputes the validity of, or
     liability  under,  any guaranty of the indebtedness evidenced by this Note.

     Change  in  Ownership.  N/A

<PAGE>
     A  material  adverse  change  occurs  in Borrower's financial condition, or
     Lender  believes  the  prospect  of  payment or Performance of this Note is
     impaired.

     Insecurity.  Lender  in  good  faith  believes  itself  insecure.

LENDER'S  RIGHTS.  Upon  default, Lender may declare the entire unpaid principal
balance  on  this Note and all accrued unpaid interest immediately due, and then
Borrower  will  pay  that  amount.

ATTORNEYS'  FEES;  EXPENSES. Lender may hire or pay someone else to help collect
this  Note  if Borrower does not pay. Borrower will pay Lender that amount. This
includes,  subject  to any limits under applicable law, Lender's attorneys' fees
and  Lender's  legal  expenses,  whether  or  not  there is a lawsuit, including
attorneys'  fees,  expenses  for  bankruptcy  proceedings  (including efforts to
modify  or  vacate  any  automatic  stay  or  injunction), and appeals. However,
Borrower  will  only  pay  attorneys'  fees of an attorney not lender's salaried
employee,  to  whom  the  matter  is  referred  after Borrower's default. If not
prohibited  by  applicable  law.  Borrower  also  will  pay  any court costs, in
addition  to  all  other  sums  provided  by  law.

GOVERNING  LAW.  This  Note  will  be  governed  by,  construed  and enforced in
accordance  with federal law and the laws of the State of Arizona. This Note has
been  accepted  by  Lender  in  the  State  of  Arizona.

CHOICE OF VENUE. If there is a lawsuit, Borrower agreed upon Lender's request to
submit  to  the jurisdiction of the courts of Maricopa County, State of Arizona.

DISHONORED  ITEM  FEE.  Borrower  will pay a fee to Lender of $25.00 if Borrower
makes  a  payment  on Borrower's loan and the check or preauthorized charge with
which  Borrower  pays  is  later  dishonored.

RIGHT  OF  SETOFF.  To the extent permitted by applicable law. Lender reserves a
right  of  setoff  in  all  Borrower's  accounts  with Lender (whether checking,
savings,  or  some  other  account).  This  includes all accounts Borrower holds
jointly  with  someone  else  and  all accounts Borrower may open in the future.
However,  this does not Include any IRA or Keogh accounts, or any trust accounts
for  which setoff would be prohibited by law. 8orrower authorizes Lender, to the
extent  permitted  by  applicable Jaw, to charge or setoff all sums owing on the
debt  against  any  and  all  such  accounts.

COLLATERAL. This loan is unsecured.

LINE  OF  CREDIT. This Note evidences a revolving line of credit. Advances under
this  Note  may  be  requested  either  orally  or  in writing by Borrower or as
provided  in  this paragraph. All oral requests shall be confirmed in writing on
the  day  of  the  request,  on  forms  acceptable to Lender. AH communications,
instructions,  or  directions  by  telephone  or  otherwise  to Lender are to be
directed  to  Lender's  office  shown above. The following persons currently are
authorized  to  request advances and authorize payments under the line of credit
until  Lender  receives  from Borrower, at Lender's address shown above, written
notice of revocation of their authority: Angela Tullo, Chairman/President/CEO of
YP.Net.  Inc.; and David J. Iannini. Chief Financial Officer, Borrower agrees to
be  liable for all sums either; (A) advanced in accordance with the instructions
of  an  authorized  person  or  (B)  credited to any of Borrower's accounts with
Lender.  The  unpaid  principal  balance  owing  on this Note at any time may be
evidenced by endorsement on this Note or by Lender's internal records, including
daily computer print-outs. Lender will have no obligation to advance funds under
this  Note  if:  (A)  Borrower or any guarantor is in default under the terms of
this  Note  or  any  agreement  that  Borrower or any guarantor has with Lender,
including  any  agreement  made in connection with the signing of this Note; (B)
Borrower  or  any  guarantor  ceases  doing  business  or  is insolvent; (C) any
guarantor  seeks,  claims  or otherwise attempts to limit, modify or revoke such
guarantor's  guarantee  of this Note or any other loan with Lender; (D) Borrower
has  applied  funds provided pursuant to this Note for purposes other than those
authorized  by  Lender;  or  (E)  Lender in good faith believes itself insecure.

ARBITRATION,  Borrower  and  Lender  agree  that  all  disputes,  claims  find
controversies  between  them  whether  Individual,  joint,  or  class in nature,
arising  from  this Note or otherwise. Including without limitation contract and
tort  disputes,  shall  be  arbitrated  pursuant  to  the  Rules of the American
Arbitration  Association  in effect at the time the claim is filed, upon request
of  either party. No act to take or dispose of any collateral securing this Note
shall constitute a waiver of this arbitration agreement or be prohibited by this
arbitration  agreement.  This includes, without limitation, obtaining injunctive
relief or a temporary restraining order; invoking a power of sale under any deed
of  trust  or  mortgage;  obtaining  a  writ  of  attachment  or imposition of a
receiver;  or  exercising  any  rights  relating to personal property. Including
taking  or  disposing of such property with or without judicial process pursuant
to  Article  3  of  the  Uniform  Commercial  Code.  Any  disputes,  claims,  or
controversies  concerning  the  lawfulness  or  reasonableness  of  any  act, or
exercise  of  any right, concerning any collateral securing this Note, including
any  claim to rescind, reform, or otherwise modify any agreement relating to the
collateral  securing  this Note, shall also be arbitrated, provided however that
no arbitrator shall have the right or the power to enjoin or restrain any act of
any  party. Judgment upon any award rendered by any arbitrator may be entered in
any  court  having  Jurisdiction.  Nothing in this Note shall preclude any party
from  seeking  equitable  relief  from  a  court  of competent jurisdiction. The
statute  of  limitations,  estoppel, waiver, laches, and similar doctrines which
would  otherwise  be  applicable  in  an  action  brought  by  a  party shall be
applicable in any arbitration proceeding, and the commencement of an arbitration
proceeding shall be deemed the commencement of an action for these purposes. The
Fedora!  Arbitration  Act  shall  apply to the construction, interpretation, and
enforcement  of  this  arbitration  provision.

SUCCESSOR  INTERESTS. The terms of this Note shall be binding upon Borrower, and
upon  Borrower's  heirs  personal  representatives,  successors and assigns, and
shall  inure,  to  the  benefit  of  Lender  and  Its  successors  and  assigns,

NOTIFY  US  OF  INACCURATE INFORMATION WE REPORT TO CONSUMER REPORTING AGENCIES.
Please  notify us if we report any inaccurate information about your accounts to
a  consumer  reporting  agency.  Your  written  notice  describing  the specific
inaccuracies  should  be  sent  to  us  at  the  following  address: Bank of the
Southwest  7910  South  Kyrene  Road,  Suite  108  Tempe,  AZ  85234

GENERAL  PROVISIONS.  Lender  may  delay or forgo enforcing any of its rights or
remedies  under this Note without losing them. Borrower and any other person who
signs,  guarantees  or  endorses  this Note, to the extent allowed by law, waive
presentment,  demand for payment, and notice of dishonor. Upon any change in the
terms  of  this Note, and unless otherwise expressly stated in writing, no party
who  signs  this  Mote,  whether  as  maker,  guarantor,  accommodation maker or
endorser,  shall  be released from liability. All such parties agree that Lender
may renew or extend (repeatedly and for any length of time) this loan or release
any party or guarantor or collateral; or Impair, fall to realize upon or perfect
Lander's  security  interest In the collateral; and take any other action deemed
necessary by Lender without the consent of or notice to anyone. All such parties
also  agree that Lender may modify this loan without the consent of or notice to
anyone  other than the party with whom the modification is made. The obligations
under  this  Note  are  joint  and  several.

<PAGE>

                                PROMISSORY NOTE
Loan  No: 51326                   (Continued)                            Page 3
================================================================================

PRIOR  TO  SIGNING THIS NOTE. BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF
THIS  NOTE,  INCLUDING THE VARIABLE INTEREST RATE PROVISIONS, BORROWER AGREES TO
THE  TERMS  OF  THE  NOTE.

BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS PROMISSORY NOTE.
BORROWER:

YP.NET, INC.

By: /s/ Angelo Tullo, pres.
   --------------------------------------------------
   Angelo Tullo, Chairman/President/CEO of YP.Net,
   Inc.

===============================================================================

<PAGE>

                CORPORATE RESOLUTION TO BORROW / GRANT COLLATERAL

<TABLE>
<CAPTION>
<C>          <C>         <C>         <C>       <C>        <C>      <S>      <C>
 Principal   Loan Date    Maturity   Loan No.  Call/Coll  Account  Officer  Initials
$250,000.00  05-02-2003  05-02-2004   51326                          BAC
-----------  ----------  ----------  --------  ---------  -------  -------  --------
</TABLE>

  References in the shaded area are for Lender's use only and do not limit the
         applicability of this document to any particular loan or item.

Any item above containing "***" has been omitted due to test length limitations.
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
<S>        <C>                                  <C>
Borrower:  YP.Net, Inc.                         Lender: Bank of the Southwest
           4840 East Jasmine Street Suite #105          7910 South Kyrene Road, Suite 108
           Mesa, AZ 85202                               Tempe, AZ 85284
</TABLE>
================================================================================
I, THE UNDERSIGNED, DO HEREBY CERTIFY THAT:

THE CORPORATION'S EXISTENCE. The complete and correct name of the Corporation is
YP.Net,  Inc. ("Corporation"). The Corporation is a corporation for profit which
is,  and  at  all  times shall be, duly organized, validly existing, and in good
standing under and by virtue of the laws of the State of Nevada. The Corporation
is  duly  authorized  to  transact  business  in  all  other states in which the
Corporation  is  doing  business,  having  obtained  all  necessary  filings,
governmental  licenses  and approvals for each state in which the Corporation is
doing  business.  Specifically,  the  Corporation is, and at all times shall be,
duly qualified as a foreign corporation in all states in which the failure to so
qualify  would  have  a  material  adverse  effect  on its business or financial
condition.  The  Corporation  has  the  full  power  and  authority  to  own its
properties  and  to  transact  the  business in which it is presently engaged or
presently  proposes  to engage. The Corporation maintains an office at 4840 East
Jasmine Street Suite #105, Mesa, AZ 85202. Unless the Corporation has designated
otherwise  in  writing,  the  principal  office  is  the  office  at  which  the
Corporation  keeps  its  books  and  records. The Corporation will notify Lender
prior  to  any change in the location of the Corporation's state of organization
or  any  change  in  the Corporation's name. The Corporation shall do all things
necessary to preserve and to keep in full force and effect its existence, rights
and  privileges,  and  shall  comply  with  all  regulations, rules, ordinances,
statutes, orders and decrees of any governmental or quasi-governmental authority
or  court  applicable  to  the  Corporation  and  the  Corporation's  business
activities.

RESOLUTIONS ADOPTED. At a meeting of the Directors of the Corporation, or if the
Corporation  is  a  close  corporation  having  no  Board of Directors then at a
meeting  of the Corporation's shareholders, duly called and held on May 2, 2004,
at  which a quorum was present and voting, or by other duly authorized action in
lieu  of  a  meeting, the resolutions sat forth in this Resolution were adopted.

OFFICER The following named parson is an officer of YP.Net, Inc.:

NAMES                 TITLES          AUTHORIZED       ACTUAL SIGNATURES
------------  ----------------------  ----------  ----------------------------
Angelo Tullo  Chairman/President/CEO     Y        X /s/ Angelo Tullo, chairman
                                                 ----------------------------

ACTIONS  AUTHORIZED.  The  authorized  person  listed  above  may enter into any
agreements  of  any  nature  with  Lender,  and  those  agreements will bind the
Corporation.  Specifically,  but  without  limitation,  the authorized person is
authorized, empowered, and directed to do the following for and on behalf of the
Corporation:

     Borrow Money. To borrow, as a cosigner or otherwise, from time to time from
     Lender,  on  such  terms  as may be agreed upon between the Corporation and
     Lender,  such  sum  or  sums  of  money as in his or her judgment should be
     borrowed,  without  limitation.

     Execute  Notes.  To  execute  and  deliver to Lender the promissory note or
     notes,  or  other  evidence  of the Corporation's credit accommodations, on
     Lender's  forms,  at  such  rates  of  interest and on such terms as may be
     agreed  upon,  evidencing  the  sums  of  money  so  borrowed or any of the
     Corporation's  indebtedness  to  Lender, and also to execute and deliver to
     Lender  one  or  more  renewals,  extensions,  modifications, refinancings,
     consolidations,  or substitutions for one or more of the notes, any portion
     of  the  notes,  or  any  other  evidence  of  credit  accommodations.

     Grant  Security.  To  mortgage, pledge, transfer, endorser, hypothecate, or
     otherwise  encumber  and  deliver  to  Lender any property now or hereafter
     belonging  to  the Corporation or in which the Corporation now or hereafter
     may  have  an  Interest, Including without limitation all real property and
     all  personal  property  (tangible  or  Intangible)  of the Corporation, as
     security for the payment of any loans or credit accommodations so obtained,
     any  promissory  notes  so  executed  (including  any  amendments  to  or
     modifications,  renewals,  and extensions of such promissory notes), or any
     other  or  further  Indebtedness  of  the Corporation to Lender at any time
     owing,  however  the same may be evidenced. Such property may be mortgaged,
     pledged, transferred, endorsed, hypothecated or encumbered at the time such
     loans  are  obtained or such indebtedness is incurred, or at any other time
     or  times,  and  may  be  either  in addition to or in lieu of any property
     theretofore  mortgaged,  pledged,  transferred,  endorsed,  hypothecated or
     encumbered.

     Execute  Security  Documents. To execute and deliver to Lender the forms of
     mortgage,  deed  of  trust,  pledge agreement, hypothecation agreement, and
     other security agreements and financing statements which Lender may require
     and  which  shall  evidence  the terms and conditions under and pursuant to
     which  such  liens and encumbrances, or any of them, are given; and also to
     execute  and  deliver  to Lender any other written instruments, any chattel
     paper,  or  any  other  collateral, of any kind or nature, which Lender may
     deem  necessary or proper in connection with or pertaining to the giving of
     the  liens  and  encumbrances.  Deposit  Accounts.  To  open  one  or  more
     depository  accounts  in  the  Corporation's  name and sign and deliver all
     documents  or  items  required  to  fulfill  the  conditions of all banking
     business,  including  without  limitation the initiation of wire transfers,
     until  authority  is revoked by action of the Corporation on written notice
     to  Lender.

     Negotiate  Items.  To  draw,  endorse, and discount with Lender all drafts,
     trade  acceptances,  promissory  notes,  or other evidences of indebtedness
     payable  to or belonging to the Corporation or in which the Corporation may
     have  an interest, and either to receive cash for the same or to cause such
     proceeds  to  be  credited  to the Corporation's account with Lender, or to
     cause such other disposition of the proceeds derived therefrom as he or she
     may  deem  advisable.

     Further  Acts.  In  the case of lines of credit, to designate additional or
     alternate  individuals  as  being authorized to request advances under Such
     lines,  and  in all cases, to do and perform such other acts and things, to
     pay  any  and  all  fees  and  costs, and to execute and deliver such other
     documents  and  agreements,  including  agreements  requiring disputes with
     Lender  to be submitted to binding arbitration for final resolution, as the
     officer may in his or her discretion deem reasonably necessary or proper in
     order  to  carry  into  effect  the  provisions  of  this  Resolution.

ASSUMED  BUSINESS  NAMES. The Corporation has filed or recorded all documents or
filings  required  by  law  relating  to  all assumed business names used by the
Corporation.  Excluding the name of the Corporation, the following is a complete
list  of  all  assumed business names under which the Corporation does business:
None.

NOTICES  TO  LENDER.  The  Corporation will promptly notify Lender in writing at
Lender's  address  shown  above (or such other addresses as Louder may designate
from time to time) prior to any (A) change in the Corporation's name; (B) change
in  the  Corporation's  assumed

<PAGE>

                CORPORATE RESOLUTION TO BORROW / GRANT COLLATERAL
LOAN NO: 51326                     (CONTINUED)                            PAGE 2
================================================================================

business  name(s);  (C)  change in the management of the Corporation; (D) change
in-the  authorized  signer(s);  (E) change in the Corporation's principal office
address;  (F)  change in the Corporation's state of organization; (G) conversion
of  the Corporation to a new or different type of business entity; or (H) change
in  any  other  aspect of the Corporation that directly or indirectly relates to
any  agreements  between  the  Corporation  and  Lender.  No  change  in  the
Corporation's  name or state of organization will take effect until after Lender
has  received  notice

CERTIFICATION  CONCERNING  OFFICERS  AND RESOLUTIONS. The officer named above is
duly  elected, appointed, or employed by or for the Corporation, as the case may
be,  and  occupies  the  position  set opposite his or her respective name. This
Resolution  now  stands  of  record  on the books of the Corporation, is in full
force and effect, and has not been modified or revoked in any manner whatsoever.

NO CORPORATE SEAL. The Corporation has no corporate seal, and therefore, no seal
is  affixed  to  this  Resolution.

CONTINUING VALIDITY. Any and all acts authorized pursuant to this Resolution and
performed  prior  to  the  passage  of  this  Resolution are hereby ratified and
approved.  This  Resolution  shall be continuing, shall remain in full force and
effect  and  Lender  may rely on it until written notice of its revocation shall
have  been  delivered  to and received by Lender $t Lender's address shown above
(or  such  addresses as Lender may designate from time to time). Any such notice
not  affect  any of the Corporation's agreements or commitments In effect at the
time  notice  is  given.

IN TESTIMONY WHEREOF, I HAVE HEREUNDER

I  have  read  all  the  provision;  of  this  Resolution  and  on behalf of the
Corporation  certify  that  all  statements  and  representations  made  in this
Resolution  are  true  and  correct.  Resolution to Borrow / Grant Collateral is
dated  May  2,  2004.

                             CERTIFIES TO AND ATTESTED BY:

                             X   /s/ Angelo Tullo, chairman
                                 ------------------------------------
                                 ANGELO TULLO, CHAIRMAN/PRESIDENT/CEO

NOTE:  if  the  officer  signing  this Resolution is designated by the foregoing
document  as  one of the officers authorized to act on the Corporation's behalf.
It  is  advised  to  have  this Resolution signed by at least one non-authorized
officer  of  the  Corporation.

================================================================================

<PAGE>
                             BUSINESS LOAN AGREEMENT
<TABLE>
<CAPTION>
<C>          <C>         <C>         <C>       <C>        <C>      <S>      <C>
 Principal   Loan Date    Maturity   Loan No.  Call/Coll  Account  Officer  Initials
$250,000.00  05-02-2003  05-02-2004   51326                          BAC
-----------  ----------  ----------  --------  ---------  -------  -------  --------
</TABLE>

  References in the shaded area are for Lender's use only and do not limit the
         applicability of this document to any particular loan or item.

Any item above containing "***" has been omitted due to test length limitations.
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
<S>        <C>                                  <C>
Borrower:  YP.Net, Inc.                         Lender: Bank of the Southwest
           4840 East Jasmine Street Suite #105          7910 South Kyrene Road, Suite 108
           Mesa, AZ 85202                               Tempe, AZ 85284
</TABLE>
================================================================================

THIS  BUSINESS  LOAN  AGREEMENT DATED MAY 2, 2003, IS MADE FIND EXECUTED BETWEEN
VP.NET,  INC. ("BORROWER") AND BANK OF THE SOUTHWEST ("LENDER") ON THE FOLLOWING
TERMS AND CONDITIONS. BORROWER HAS RECEIVED PRIOR COMMERCIAL BANS FROM LENDER OR
HAS  APPLIED  TO  LENDER  FOR  A  COMMERCIAL  BAN  OR  LOANS  OR OTHER FINANCIAL
ACCOMMODATIONS,  INCLUDING  THOSE  WHICH  MAY  BE  DESCRIBED  ON  ANY EXHIBIT OR
SCHEDULE  ATTACHED  TO  THIS AGREEMENT ("LOAN"). BORROWER UNDERSTANDS AND AGREES
THAT:  (A)  IN GRANTING, RENEWING, OR EXTENDING ANY LOAN, LENDER IS RELYING UPON
BORROWER'S  REPRESENTATIONS,  WARRANTIES,,  AND  AGREEMENTS AS SET FORTH IN THIS
AGREEMENT; (B) THE GRANTING, RENEWING, OR EXTENDING OF ANY LOAN BY LENDER AT ALL
TIMES  SHALL  BE  SUBJECT  TO LENDER'S SOLE JUDGMENT AND DISCRETION; AND (C) ALL
SUCH  LOANS  SHALL  BE  AND  REMAIN  SUBJECT TO THE TERMS AND CONDITIONS OF THIS
AGREEMENT.

TERM.  This Agreement shall be effective as of May 2,2003, and shall continue in
full  force  and  effect  until such time as all of Borrower's Loans in favor of
Lender  have  been paid in full, including principal, interest, costs, expenses,
attorneys'  fees,  and  other  fees  and  charges,  or  until  May  2,  2004.

CONDITIONS  PRECEDENT  TO  EACH ADVANCE. Lender's obligation to make the initial
Advance and each subsequent Advance under this Agreement shall be subject to the
fulfillment  to Lender's satisfaction of all of the conditions set forth in this
Agreement  and  in  the  Related  Documents.

     Loan  Documents.  Borrower  shall provide to Lander the following documents
     for the Loan; (1) the Note; (21 together with all such Related Documents as
     Lender  may require for the Loan; all in form and substance satisfactory to
     Lender  and  Lender's  counsel.

     Borrower's  Authorization.  Borrower  shall  have  provided  in  form  and
     substance  satisfactory  to  Lender  properly  certified  resolutions, duly
     authorizing  the execution and delivery of this Agreement, the Note and the
     Related  Documents,  in  addition,  Borrower shall have provided such other
     resolutions,  authorizations,  documents  and  instruments as Lender or Its
     counsel,  may  require.

     Payment  of Fees and Expenses. Borrower shall have paid to Lender all fees,
     charges,  and other expenses which are then due and payable as specified in
     this  Agreement  or  any  Related  Document.

     Representations  and  Warranties.  The  representations  and warranties set
     forth  in  this Agreement, in the Related Documents, and in any document or
     certificate  delivered to Lender under this Agreement are true and correct.

     No  Event  of  Default.  There shall not exist at the time of any Advance a
     condition  which  would constitute an Event of Default under this Agreement
     or  under  any  Related  Document.

REPRESENTATIONS  AND  WARRANTIES. Borrower represents and warrants to Lender, as
of  the  date  of  this  Agreement,  as of the date of each disbursement of loan
proceeds,  as of the date of any renewal, extension or modification of any Loan,
and  at  all  times  any  indebtedness  exists:

     Organization.  Borrower  is  a  corporation for profit which is, and at all
     times  shall  be,  duly  organized,  validly existing, and in good standing
     under  and  by  virtue of the laws of the State of Nevada. Borrower is duly
     authorized  to  transact  business  in Borrower maintains an office at 4640
     East  Jasmine  Street  Suite  #105,  Mesa,  AZ  85202.  Unless Borrower has
     designated  otherwise  in  writing,  the  principal office is the office at
     which Borrower keeps its books and records including its records concerning
     the  Collateral.  Borrower  will  notify  Lender prior to any change in the
     location  of  Borrower's  state of organization or any change in Borrower's
     name.

     Assumed  Business  Names.  Borrower  has filed or recorded all documents or
     filings  required  by  law  relating  to all assumed business names used by
     Borrower.  Excluding the name of Borrower, the following is a complete list
     of  all  assumed  business  names under which Borrower does business: None.

     Authorization.  Borrower's  execution,  delivery,  and  performance of this
     Agreement  and  all  the Related Documents have been duly authorized by all
     necessary  action  by  Borrower  and  do  not  conflict  with,  result in a
     violation of, or constitute a default under (1) any provision of Borrower's
     articles  of  incorporation or organization, or bylaws, or any agreement or
     other  instrument  binding  upon  Borrower  or  (2)  any  law, governmental
     regulation,  court decree, or order applicable to Borrower or to Borrower's
     properties,

     Properties.  Except  as  contemplated  by  this  Agreement or as previously
     disclosed in Borrower's financial statements or in writing to Lender and as
     accepted  by  Lender,  and  except  for  property  tax  liens for taxes not
     presently  due  and  payable,  Sorrower1  owns and has good title to all of
     Borrower's  properties  free and clear of all liens and security interests,
     and  has  not  executed  any  security  documents  or  financing statements
     relating  to  such  properties.  All of Borrower's properties are titled in
     Borrower's  legal  name,  and  Borrower  has  not used or filed a financing
     statement  under  any  other  name  for  at  least the last five (5) years.

AFFIRMATIVE COVENANTS.  Borrower covenants and agrees with Lender that, so long
as this Agreement remains in effect, Borrower will:

     Notices  of Claims and Litigation. Promptly inform Lender in writing of (1)
     all material adverse changes in Borrower's financial condition, and (2) all
     existing  and  all  threatened  litigation,  claims,  investigations,
     administrative  proceedings  or  similar  actions affecting Borrower or any
     Guarantor which could materially affect the financial condition of Borrower
     or  the  financial  condition  of  any  Guarantor.

     Financial  Records.  Maintain  its  books  and  records  in accordance with
     accounting  principles acceptable to Lender, applied on a consistent basis,
     and  permit  Lender to Examine and audit Borrower's books and record at all
     reasonable  times.

     Financial  Statements.  Furnish  Lander  with  the  following:

          Additional  Requirements.
          1.   Submission  of annual report 30 days prior to renewal,
          2.   Copy  of  quarterly  filings to the SEC including all financials.

     All financial reports required to be provided under this Agreement shall be
     prepared  in  accordance  with  GAAP,  applied  on  3 consistent basis, and
     certified  by  Borrower  as  being  true  and  correct.

     Loan  Proceeds.  Use  all  Loan  proceeds  solely  for  Borrower's business
     operations,  unless  specifically  consented  to  the contrary by Lender in
     writing.

     Taxes,  Changes  and  Liens.  Pay  and  discharge  when  due  all  of  its
     indebtedness and obligations, including without limitation all assessments,

<PAGE>

                            BUSINESS LOAN AGREEMENT
LOAN NO: 51326                   (CONTINUED)                              PAGE 2
================================================================================

     taxes,  governmental  charges,  levies and liens, of every kind and nature,
     imposed  upon  Borrower or its properties, income, or profits, prior to the
     date  on  which  penalties  would  attach,  and  all lawful claims that, if
     unpaid,  might  become  a lion or charge upon any of Borrower's properties,
     income,  or  profits,  Performance. Perform and comply, in a timely manner,
     with  all terms, conditions, and provisions set forth in this Agreement, in
     the  Related Documents, and in all other instruments and agreements between
     Borrower and Lender. Borrower shall notify Lender immediately in writing of
     any  default  in  connection  with  any  agreement.

     Operations.  Maintain executive end management personnel with substantially
     the  same  qualifications  and  experience  as  the  present  executive and
     management  personnel;  provide  written  notice to Lender of any change in
     executive  and  management  personnel;  conduct  its  business affairs in a
     reasonable  and  prudent  manner.

     Compliance  with  Governmental  Requirements.  Comply  with  oil  laws,
     ordinances,  and  regulations,  now  or  hereafter  in  effect,  of  all
     governmental  authorities  applicable  to  the  conduct  of  Borrower's
     properties,  businesses  and operations, and to the use or occupancy of the
     Collateral,  including  without limitation, the Americans With Disabilities
     Act.  Borrower  may  contest  in  good  faith  any  such law, ordinance, or
     regulation  and  withhold  compliance  during  any  proceeding,  including
     appropriate  appeals,  so  long  as Borrower has notified Lender in writing
     prior  to  doing  so  and  so  long  as, in Lender's sole opinion. Lender's
     interests  in  the  Collateral  are  not  jeopardized.  Lender  may require
     Borrower  to  post  adequate  security  or  a  surety  bond,  reasonably
     satisfactory  to  Lender,  to  protect  Lender's  interest.

     Inspection.  Permit employees or agents of Lender at any reasonable time to
     inspect  any  and all Collateral for the Loan of Loans and Borrower's other
     properties  and to examine or audit Borrower's books, accounts, and records
     end  to  make  copies  and  memoranda  of  Borrower's  books, accounts, and
     records.  If  Borrower  now  or at any time hereafter maintains any records
     (including  without  limitation  computer  generated  records  and computer
     software  programs for the generation of such records) in the possession of
     a  third party, Borrower, upon request of Lender, shall notify such party w
     permit  Lender  free  access to such records at all reasonable times and to
     provide Lender with copies of any records it may request, all at Borrower's
     expense.

LENDER'S  EXPENDITURES.  If  any  action  or  proceeding is commenced that would
materially  affect  Lender's  interest in the Collateral or If Borrower falls to
comply  with any provision of this Agreement or any Related Documents, including
but  not  limited to Borrower's failure to discharge or pay when due any amounts
Borrower  is  required  to  discharge or pay under this Agreement or any Belated
Documents,  Lender on Borrower's behalf may (but shall not be obligated to) take
any  action that Lender deems appropriate, to the extent permitted by applicable
law  on  any  Collateral  and  paying  all  costs  for insuring, maintaining and
preserving  any Collateral. All such expenditures incurred or paid by Lender for
such  purposes  will  then bear interest at the rate charged under the Note from
the  date  incurred  or paid by Lender to the date of repayment by Borrower. All
such  expenses  will  become a part of the indebtedness and, at Lender's option,
will  (A)  be  payable on demand; (B) be added to the balance of the Note and be
apportioned  among  and  be  payable with any installment payments to become due
during  either  (1)  the  term  of  any  applicable insurance policy; or (2) the
remaining term of the Note; or (C) be treated as a balloon payment which will be
due  and  payable  at  the  Note's  maturity.

NEGATIVE  COVENANTS.  Borrower  covenants and agrees with Lender that while this
Agreement is in effect, Borrower shall not, without the prior written consent of
Lender:

     Indebtedness  and  Liens.  (1) Except for trade debt incurred in the normal
     course  of  business  and  indebtedness  to  Lender  contemplated  by  this
     Agreement,  create,  incur  or  assume  indebtedness  for  borrowed  money,
     including  capital  leases,  (2)  sell, transfer, mortgage, assign, pledge,
     lease,  grant  a security Interest in, or encumber any of Borrower's assets
     (except  as  allowed  as Permitted Liens), or (3) sell with recourse any of
     Borrower's  accounts,  except  to  Lender.

     Continuity  of  Operation.  (1)  Engage  in  any  business  activities
     substantially  different than those in which Borrower is presently engaged,
     (2)  cease  operations,  liquidate, merge, transfer, acquire or consolidate
     with  any  other  entity,  change  its  name,  dissolve or transfer or sell
     Collateral out of the ordinary course of business, or (3) pay any dividends
     on  Borrower's  stock (other than dividends payable in its stock, provided,
     however that notwithstanding the foregoing, but only so long as no Event of
     Default  has occurred and is continuing or would result from the payment of
     dividends,  if  Borrower is a "Subchapter S Corporation" (as defined in the
     Internal  Revenue Code of 1986 as amended), Borrower may pay cash dividends
     on  its stock to its shareholders from time to time in amounts necessary to
     enable  the  shareholders to pay income taxes and make estimated income tax
     payments  to  satisfy  their  liabilities under federal and state law which
     arise  solely  from  their  status  as  Shareholders  of  a  Subchapter  S
     Corporation  because  of  their  ownership of shares of Borrower's stock or
     purchase  or  retire any of Borrower's outstanding shares or alter or amend
     Borrower's  capital  structure.

     Loans, Acquisitions and Guaranties. (1) Loan, invest in or advance money or
     assets,  (2)  purchase,  create  or  acquire  any  interest  in  any  other
     enterprise  or  entity,  or (3) incur any obligation as surety or guarantor
     other  than  in  the  ordinary  course  of  business.

CESSATION  OF  ADVANCES.  If  Lender has made any commitment to make any Loan to
Borrower,  whether  under  this  Agreement  or under any other agreement, Lender
shall  nave no obligation to make Loan advances or to disburse Loan proceeds if;
(A) Borrower or any guarantor is in default under the terms of this Agreement or
any other agreement that Borrower or any guarantor has with Lender; (B) Borrower
or  any  guarantor  dies,  becomes  incompetent  or  becomes  insolvent, files a
petition  in  bankruptcy  or similar proceedings, or Is adjudged a bankrupt; (C)
there occurs a material adverse change in Borrower's financial condition, in the
financial condition of any guarantor, or In the value of any collateral securing
any  Loan;  or  (D)  any guarantor seeks, claims or otherwise attempts to limit,
modify  or  revoke  such guarantor's guaranty of the Loan or any other loan with
Lender;  or (E) Lender in good faith deems itself insecure, even though no Event
of  Default  shall  have  occurred,

RIGHT  OF  SETOFF.  To the extent permitted by applicable law, Lender reserves a
right  of  setoff  in  all  Borrower's  accounts  with Lender (whether checking,
savings,  or  some  other  account).  This  includes all accounts Borrower holds
jointly  with  someone  else  and  alt accounts Borrower may open in the future.
However,  this does not include any IRA or Keogh accounts, or any trust accounts
for  which setoff would be prohibited by law. Borrower authorizes Lender, to the
extent  permitted  by  applicable law, to charge or setoff all sums owing on the
debt  against  any  and  all  such  accounts.

DEFAULT.  Each of the following shall constitute an Event of Default under this
Agreement:

     Payment  Default.  Borrower  fails  to  make any payment when due under the
     Loan.

     Other  Default.  Borrower  fails to comply with any other term, obligation,
     covenant  or condition contained in this Agreement or in any of the Related
     Documents.

     Default  In  Favor  of  Third  Parties.  Borrower  defaults under any loan,
     extension  of  credit,  security agreement, purchase or sales agreement, or
     any  other  agreement,  in  favor  of any other creditor or person that may
     materially affect any of Borrower's property or Borrower's ability to repay
     the  Loans  or  perform  Borrower's obligations under this Agreement or any
     related  document.

     False  Statements.  Any  representation  or  statement  made by Borrower to
     Lender  is  false  in  any  material  respect.

INSOLVENCY,  The  dissolution  or termination OF Borrower's EXISTENCE as a going
business, the insolvency of Borrower, the appointment of a receiver for any part
of Borrower's property, any assignment for the benefit of creditors, any type of
creditor  workout,  or  the

<PAGE>

                            BUSINESS LOAN AGREEMENT
LOAN NO: 51326                   (CONTINUED)                              PAGE 3
================================================================================

     commencement  of  any proceeding under any bankruptcy or insolvency laws by
     or  against  Borrower.

     Creditor  or  Forfeiture  Proceedings.  Commencement  of  foreclosure  or
     forfeiture  proceedings,  whether  by  judicial  proceeding,  self-help,
     repossession  or  any  other  method, by any creditor of Borrower or by any
     governmental  agency  against  any  collateral  securing  the  Loan.

     Events Affecting Guarantor. Any of the preceding events occurs with respect
     to  any  Guarantor  of  any  of  the  Indebtedness or any Guarantor dies or
     becomes  incompetent,  or revokes or disputes the validity of, or liability
     under,  any  Guaranty  of  the  Indebtedness.

     Change in Ownership. Any change in ownership of twenty-five percent (25) or
     more  of  the  common  stock  of  Borrower. Insecurity, Lender i good faith
     believes  itself  insecure.

EFFECT OF AN EVENT OF DEFAULT. If any Event of Default shall occur, except where
otherwise  provided  in this Agreement or the Related Documents, all commitments
and  obligations  of  Lender  under  this  Agreement  immediately will terminate
[Including "any obligation to make further Loan Advances or disbursements), and,
at  Lender's  option,  all Indebtedness immediately will become due and payable,
nil without notice of any kind to Borrower, except that, in the case of an Event
of  Default  of  the  type  described in the "Insolvency" subsection above, such
acceleration shall be automatic and not optional. In addition, Lander shall have
all  the  rights  and remedies provided in the Related Documents or available at
law, in equity, or otherwise. Except as may be prohibited by applicable law, all
of  Lender's  rights  and  remedies  shall  be  cumulative  and may be exercised
singularly  or  concurrently.  Election by Lender to pursue any remedy shall not
exclude  pursuit of any other remedy, and an election to make expenditures or to
take  action  to  perform  an obligation of Borrower or of any Grantor shall not
affect  Lender's  right  to  declare  default  and  to  exercise  its rights and
remedies.

ARBITRATION.  BORROWER  AND  LENDER  AGREE  THAT  ALL  DISPUTES,  CLAIMS  AND
CONTROVERSIES  BETWEEN  THEM  WHETHER  INDIVIDUAL,  JOINT,  OR  CLASS IN NATURE,
ARISING  FROM THIS AGREEMENT OR OTHERWISE, INCLUDING WITHOUT LIMITATION CONTRACT
AND  TORT  DISPUTES,  SHALL  BE ARBITRATED PURSUANT TO THE RULES OF THE AMERICAN
ARBITRATION  ASSOCIATION  IN EFFECT AT THE TIME THE CLAIM IS FILED, UPON REQUEST
OF  EITHER PARTY. NO ACT TO TAKE OR DISPOSE OF ANY COLLATERAL SHALL CONSTITUTE A
WAIVER  OF  THIS  ARBITRATION  AGREEMENT  OR  BE  PROHIBITED BY THIS ARBITRATION
AGREEMENT.  THIS  INCLUDES, WITHOUT LIMITATION, OBTAINING INJUNCTIVE RELIEF OR A
TEMPORARY RESTRAINING ORDER; INVOKING A POWER OF SALE UNDER ANY DEED OF TRUST OR
MORTGAGE;  OBTAINING  A  WRIT  OF  ATTACHMENT  OR  IMPOSITION  OF A RECEIVER; OR
EXORCISING  ANY  RIGHT*  RELATING  TO  PERSONAL  PROPERTY,  INCLUDING  TAKING OR
DISPOSING  OF SUCH PROPERTY WITH OR WITHOUT JUDICIAL PROCESS PURSUANT TO ARTICLE
9  OF  THE  UNIFORM  COMMERCIAL  CODE.  ANY  DISPUTES,  CLAIMS, OR CONTROVERSIES
CONCERNING  THE  LAWFULNESS  OR  REASONABLENESS  OF  ANY ACT, OR EXERCISE OF ANY
RIGHT,  CONCERNING  ANY  COLLATERAL,  INCLUDING ANY CLAIM TO RESCIND, REFORM, OR
OTHERWISE  MODIFY  ANY  AGREEMENT  RELATING  TO  THE  COLLATERAL,  SHALL ALSO BE
ARBITRATED,  PROVIDED  HOWEVER  THAT  NO  ARBITRATOR SHALL HAVE THE RIGHT OR THE
POWER  TO  ENJOIN  OR  RESTRAIN  ANY  ACT  OF ANY PARTY. JUDGMENT UPON ANY AWARD
RENDERED  BY  ANY  ARBITRATOR  MAY  BE ENTERED IN ANY COURT HAVING JURISDICTION.
NOTHING IN THIS AGREEMENT SHALL PRECLUDE ANY PARTY FROM SEEKING EQUITABLE RELIEF
FROM  A  COURT  OF COMPETENT JURISDICTION. THE STATUTE OF LIMITATIONS, ESTOPPEL,
WAIVER,  LACHES, AND SIMILAR DOCTRINES WHICH WOULD OTHERWISE BE APPLICABLE IN AN
ACTION BROUGHT BY A PARTY SHALL BE APPLICABLE IN ANY ARBITRATION PROCEEDING, AND
THE  COMMENCEMENT  OF AN ARBITRATION PROCEEDING SHALL BE DEEMED THE COMMENCEMENT
OF  AN ACTION FOR THESE PURPOSES. THE FEDERAL ARBITRATION ACT SHALL APPLY TO THE
CONSTRUCTION,  INTERPRETATION,  AND  ENFORCEMENT  OF THIS ARBITRATION PROVISION.

DEFINITIONS.  The following capitalized words and terms shall have the following
meanings  when  used  in  this  Agreement.  Unless  specifically  stated  to the
contrary, all references to dollar amounts shall mean amounts in lawful money of
the United States of America. Words and terms used in the singular shall include
the  plural,  and  the  plural  shall  include  the singular, as the context may
require.  Words and terms not otherwise defined in this Agreement shall have the
meanings  attributed  to  such  terms in the Uniform Commercial Code. Accounting
words  end terms not otherwise defined in this Agreement shall have the meanings
assigned  to them in accordance with generally accepted accounting principles as
in  effect  on  the  date  of  this  Agreement:

     Advance.  The word "Advance" means a disbursement of Loan funds made, or to
     be  made,  to  Borrower  or  on  Borrower's  behalf  on a line of credit or
     multiple  advance  basis  under the terms and conditions of this Agreement.

     Agreement. The word "Agreement" means this Business Loan Agreement, as this
     Business  Loan  Agreement  may  be  amended  or modified from time to time,
     together  with  all  exhibits  and schedules attached to this Business Loan
     Agreement  from  time  to  time.

     Borrower. The word "Borrower" means YP.Net, Inc., and all other persons and
     entities  signing  the  Note  in  whatever  capacity.

     Collateral.  The word "Collateral" means all property and assets granted as
     collateral  security for a Loan, whether real or personal property, whether
     granted  directly  or indirectly, whether granted now or In the future, and
     whether  granted  in  the form of a security interest, mortgage, collateral
     mortgage, deed of trust, assignment, pledge, crop pledge, chattel mortgage,
     collateral chattel mortgage, chattel trust, factor's lien, equipment trust,
     conditional  sale,  trust  receipt,  lien,  charge, lien or title retention
     contract,  lease or consignment intended as a security device, or any other
     security  or lien interest whatsoever, whether created by law, contract, or
     otherwise.  Event  of Default. The words "Event of Default" mean any of the
     events  of  default  set  forth in this Agreement In the default section of
     this  Agreement.

     GAAP.  The  word  "GAAP"  means  generally  accepted accounting principles.

     Grantor.  The  word "Grantor" means each and all of the persons or entities
     granting  a  Security  Interest  in  any Collatoral for the Loan, including
     without  limitation  all  Borrowers  granting  such  g  Security  Interest.
     Guarantor.  The  word  "Guarantor"  means  any  guarantor,  surety,  or
     accommodation  party  of  any  or  all  of  the  Loan.

     Guaranty.  The word "Guaranty" means the guaranty from Guarantor to Lender,
     including  without  limitation  a  guaranty  of  all  or  part of the Note.
     Indebtedness.  The  word "Indebtedness" means the indebtedness evidenced by
     the  Note  or  Related  Documents,  including  all  principal  and interest
     together  with  all  other  indebtedness  and  costs and expenses for which
     Borrower  is  responsible  under this Agreement or under any of the Related
     Documents.  Lender.  The  word  "Lender"  means  Bank of the Southwest, its
     successors  and  assigns.

     Loan.  The  word "Loan" means any and all bans and financial accommodations
     from  Lender  to  Borrower  whether  now or hereafter existing, and however
     evidenced,  Including  without  limitation  those  loans  and  financial
     accommodations  described  herein  or  described on any exhibit or schedule
     attached  to  this  Agreement  from  time  to  time.

     Note.  The  word  "Note"  means  the  Mote  executed by YP.Net, Inc. In the
     principal  amount  of  $350,000.00  dated  May  2,  2003, together with all
     renewals  of,  extensions  of,  modifications  of,  refinancings  of,
     consolidations  of,  and  substitutions  for  the note or credit agreement.

     Permitted  Liens.  The  words "Permitted Liens" mean (1) liens and security
     interests  securing  Indebtedness owed by Borrower to Lender; (2) liens for
     taxes,  assessments,  or  similar  charges  either  not  yet  due  or being
     contested in good faith; (3) liens of materialmen, mechanics, warehousemen,
     or carriers, or other like liens arising in the ordinary course of business
     and  securing  obligations which are not yet delinquent. (4) purchase money
     liens or purchase money security interests upon or in any property acquired
     or  held  by  Borrower  in  the

<PAGE>

                            BUSINESS LOAN AGREEMENT
LOAN NO: 51326                   (CONTINUED)                              PAGE 4
================================================================================

     ordinary course of business to secure indebtedness outstanding on this date
     of  this  Agreement or permitted to be incurred under the paragraph of this
     Agreement titled "Indebtedness and Liens"; (5) liens and security interests
     which,  as of the date of this Agreement have been disclosed W and approved
     by  the Lender in writing; and |6| those liens and security Interests which
     in the aggregate constitute an immaterial and insignificant monetary amount
     with  reaped  to  the  net  value  of  Borrower's  assets.

     Related Documents. The words "Related Documents" mean all promissory notes,
     credit  agreements,  loan agreements, environmental agreements, guaranties,
     security  agreements, mortgages, deeds of trust, security deeds, collateral
     mortgages, and all other instruments, agreements and documents, whether now
     or  hereafter  existing,  executed  in  connection  with  the  Loan.

BORROWER  ACKNOWLEDGES  HAVING  READ  ALL  THE  PROVISIONS OF THIS BUSINESS LOAN
AGREEMENT  AND  BORROWER  AGREES  TO  ITS TERMS, THIS BUSINESS LOAN AGREEMENT IS
DATED  MAY  2,  2003.

BORROWER:

YP.NET, INC.

BY: /s/ Angelo Tullo, chairman
   ------------------------------------------------
   ANGELO TULLO, CHAIRMAN/PRESIDENT/CEO OF YP.NET,
   INC.

BANK OF THE SOUTHWEST

BY: /s/
   -----------------------------------------------
   AUTHORIZED SIGNER

================================================================================

<PAGE>
                     DUSBURSEMENT REQUEST AND AUTHORIZATION

<TABLE>
<CAPTION>
<C>          <C>         <C>         <C>       <C>        <C>      <S>      <C>
 Principal   Loan Date    Maturity   Loan No.  Call/Coll  Account  Officer  Initials
$250,000.00  05-02-2003  05-02-2004   51326                          BAC
-----------  ----------  ----------  --------  ---------  -------  -------  --------
</TABLE>

  References in the shaded area are for Lender's use only and do not limit the
         applicability of this document to any particular loan or item.

Any item above containing "***" has been omitted due to test length limitations.
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
<S>        <C>                                  <C>
Borrower:  YP.Net, Inc.                         Lender: Bank of the Southwest
           4840 East Jasmine Street Suite #105          7910 South Kyrene Road, Suite 108
           Mesa, AZ 85202                               Tempe, AZ 85284
</TABLE>
================================================================================

LOAN  TYPE. This is a Variable Rate Nondisclosable Revolving Line of Credit Loan
to a Corporation for $250,000,00 due on May 2, 2004, The reference rate (highest
base  rate  on  corporate loans posted by at least 75% of the nation's 30 latest
banks  that  The  Wall  Street  Journal  publishes  as the Prime Rate, currently
4.250%) is added to the margin of 0.500%, resulting in an initial rate of 4.750.

PRIMARY PURPOSE OF LOAN.  The primary purpose of this loan is for:

     [ ]  Personal,  Family,  of  Household  Purposes or Personal Investment.

     [X] Business (Including Real Estate Investment).

SPECIFIC PURPOSE. The specific purpose of this loan is:  Working capital.

DISSURSEMENT INSTRUCTIONS.   Borrower understands that no loan proceeds will be
disbursed until all of Lender's conditions for making the loan have been
satisfied.  Please disburse the loan proceeds of $250,000.00 as follows:

               Undisbursed  Funds:                    $249,750.00
               Other  Disbursements:                      $250.00
                    $250.00  Documentation  Fee
                    Due  Lender  From Loan Proceeds
                                                   ------------------
               Note Principal:                        $250,000.00

CHARGES PAID IN CASH. Borrower has paid or will pay in cash as agreed the
following charges:

               Prepaid Finance Charges Paid In Cash:        $0.00
               Other Charges Paid In Cash:                $250.00
                  $ 250.00 Documentation Fee
                                                   ------------------
               Total Charges Paid in Cash:                $250.00

FINANCIAL  CONDITION  BV  SIGNING  THIS  AUTHORIZATION,  BORROWER REPRESENTS AND
WARRANTS  TO  LENDER THAT THE INFORMATION PROVIDED ABOVE IS TRUE AND CORRECT AND
THAT THERE HAS BEEN NO MATERIAL ADVERSE CHANGE IN BORROWER'S FINANCIAL CONDITION
AS  DISCLOSED  IN  BORROWER'S  MOST  RECENT  FINANCIAL STATEMENT TO LENDER. THIS
AUTHORIZATION  IS  DATED  MAY  2,  2003.

YP.NET, INC.

BY: /s/ Angelo Tullo, chairman
   ------------------------------------------------
   ANGELO TULLO, CHAIRMAN/PRESIDENT/CEO OF YP.NET,
   INC.

================================================================================

<PAGE>EXHIBIT 10.28

                         SWITCHBOARD SERVICES AGREEMENT
                         ------------------------------

THIS SWITCHBOARD SERVICES AGREEMENT (the "Agreement) is made and entered into as
of this 1stday of April, 2003 (the "Effective Date") by and between Switchboard
        ---
Incorporated, a Delaware corporation having its principal place of business at
120 Flanders Road, Westboro, MA 01581 ("Switchboard"), and YP.Net, Inc. a Nevada
corporation having its principal place of business at 4840 E. Jasmine #110,
Mesa, Arizona 85205 ("YP.Net").

WHEREAS, Switchboard operates an online, interactive yellow pages directory
service (the "Switchboard Yellow Pages Services," as further defined herein)
accessible via the Internet at www.switchboard.com, as such web site may be
                               -------------------
modified during the Term of this Agreement, or any successor site thereto as may
be designated by Switchboard and approved by YP.Net from time to time; which
approval shall not be unreasonably withheld (the "Switchboard Site"); and

WHEREAS, through the Switchboard Site and other means, Switchboard offers to
merchants a variety of Internet advertising services ("Directory Ads," as
further defined herein); and

WHEREAS,  YP.Net owns and operates an online yellow pages directory service
accessible via the Internet at www.yp.net (and accessible through other
                               ----------
forwarded urls including www.Yellow-Page.Net) as such web site may be modified
                         -------------------
during the Term of this Agreement or any successor site thereto as may be
designated by YP.Net and approved by Switchboard from time to time, which
approval shall not be unreasonably withheld (the"YP.Net Site"); and

WHEREAS, through the YP.Net Site and other means, YP.Net offers to its merchant
customers ("YP.Net Merchants," as further defined herein) certain Internet
advertising services; and

WHEREAS, YP.Net desires to market, promote, offer, provide and/or sell to YP.Net
Merchants the Directory Ads, as provided herein; and

WHEREAS, Switchboard desires to expand its base of Directory Ad subscribers
through this Agreement, pursuant to which YP.Net may market, promote, provide,
offer and sell the Switchboard Directory Ads to YP.Net's merchant customers
through sales efforts by YP.Net's sales force, through YP.Net's telemarketing
efforts and through other means as described herein;

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, Switchboard and YP.Net agree as follows:

<PAGE>
1.0  TERMS  AND  CONDITIONS

     The terms and conditions set forth in the following Schedules (and the
     Exhibits thereto) are attached hereto and incorporated herein by reference,
     and shall govern the provision of such Switchboard Directory Ads:

     SCHEDULE A     SWITCHBOARD DIRECTORY ADS
     SCHEDULE B     GENERAL TERMS AND CONDITIONS

IN WITNESS WHEREOF, Switchboard and YP.Net have caused this Agreement to be
executed by their duly authorized representatives as of the Effective Date.

SWITCHBOARD INCORPORATED          YP.NET DIRECTORIES, INC.

By:  /s/  Mark Canon                By:  /s/  Debra Johnson
    ----------------------------       ----------------------------

Name:  Mark Canon                   Name:  Debra Johnson
    ----------------------------         ----------------------------

Title:  VP Business Development     Title:  V.P. corp image
      ----------------------------        ----------------------------

<PAGE>
                                   SCHEDULE A
                                   ----------
                            SWITCHBOARD DIRECTORY ADS
                            -------------------------

1.0  DEFINITIONS

"Directory Ad" shall mean an advertisement to be sold and or provided by YP.Net
--------------
to YP.Net Merchants hereunder, for display in the "Featured Listing" section
(sometimes referred to as "Local Advertiser" section) or comparable area of the
Switchboard Yellow Pages Service displayed in all cases before the "All
Businesses", or Free Listing Section; which may be hyperlinked to a web site of
a YP.Net Merchant; which shall be searchable by such criteria as category and
geographic locations, and by business attributes that are provided; with
placement in one (1) Yellow Pages category; and shall appear when the respective
YP.Net Merchant's location is within the city or town specified in the User
query.  Directory Ads shall appear when the respective advertiser's listing
results is shown within the category search, proximity search and business name
search, if applicable, in the Switchboard Yellow Pages Service.  Additional
functions and features, including size of Directory Ads and quantity of enhanced
data attributes displayed in the ads shall be subject to Switchboard's
determination and subject to such modifications to such advertisements as
Switchboard may implement from time to time, but shall be no less than other
Directory Ads in the same section.  Directory Ads sold and or placed by YP.Net
pursuant to this Agreement shall be distributed and displayed through the
Switchboard Site, and also through such Switchboard Affiliated Sites that
display enhanced directory content as may be determined by Switchboard.
Directory ads shall appear in the form of a business Featured Listing, including
business name, business address, business telephone number, and optional
Directory elements such as web site address, e-mail address, toll free numbers,
fax number, one (1) line of promotional text to appear under the business name,
hours of operation, Enhanced Data, and may include a link to a "mini Web Page"
service hosted by YP.net, with placement in the Featured Listing section of the
Yellow Pages results screen, substantially as depicted in the screen shot
attached hereto as EXHIBIT "A".

"Directory Ad Management Tool" shall mean Switchboard's proprietary online Order
------------------------------
insertion tool to which YP.Net will be granted access for the purpose of
creating and managing Directory Ads hereunder, and YP.Net's use of which shall
be solely pursuant to the terms and conditions of Switchboard's or its
licensor's standard terms of use for such Tool.

"Order" shall mean a YP.Net Merchant's order to obtain a Switchboard Directory
-------
Ad that is generated pursuant to YP.Net's Marketing Efforts established
hereunder.

"Switchboard Affiliated Sites" shall mean third party web sites linking to and
------------------------------
displaying content from the Switchboard Site through private label, co-branded,
or sub-branded interfaces or otherwise pursuant to written agreements with
Switchboard.

<PAGE>
businesses and other entities located in the United States, such as names,
addresses, telephone numbers, and advertisements, as such service may be
modified from time to time during the Term.

"YP.Net Merchant" shall mean merchant customers of YP.Net, to which YP.Net may
-----------------
market, promote, provide, offer and or sell Switchboard Directory Ads as
provided herein; however YP.Net may not intentionally market, promote, provide,
offer or sell to YP.Net merchants that are also existing Switchboard Directory
Ad customers.

"YP.Net Merchant Content" shall mean such trademarks, trade names, service
-------------------------
marks, logos, advertising collateral and other content or materials provided by
YP.Net or their Merchants for the creation of Directory Ads hereunder.

2.0  PROMOTION  AND  SALE  OF  SWITCHBOARD  DIRECTORY  ADS

2.1  Right to Market and Sell Directory Ads. During the Term, YP.Net shall
     --------------------------------------
     have the non-exclusive, non-assignable (except as provided in Section 11.1
     of SCHEDULE B attached hereto) right to independently solicit, enter into
     agreements with and or provide YP.Net Merchants which result in such YP.Net
     Merchants receiving the benefit of the YP.Net purchased Directory Ads from
     Switchboard. YP.Net shall not misrepresent to any YP.Net Merchant the
     operation and functions of the Directory Ads. Notwithstanding the
     foregoing, Switchboard shall reframe itself, and its contractors, agents,
     represents and other third parties engaged for that purpose from
     intentionally soliciting orders from YP.Net Merchants, for Directory Ads.

2.2  Marketing Effort. Throughout the Term, YP.Net shall use commercially
     ----------------
     reasonable efforts to market, promote, offer and sell the Directory Ads
     though the YP.Net Site, YP.Net's sales force, telemarketing efforts, direct
     mail and/or such other methods as the parties may mutually agree upon form
     time to time during the Term (the "Marketing Efforts"). In no event,
     however, shall YP.Net knowingly market, promote, provide, offer sell
     Directory Ads to existing Switchboard Directory Ad customers. In the event
     that it is discovered that YP.Net has placed an Order that involves an
     existing Switchboard Directory Ad customer, such Order shall be cancelled
     and removed immediately.

2.3  Miscellaneous. Switchboard shall provide YP.Net with such technical
     -------------
     specifications, documentation and such other information and assistance as
     may be reasonable necessary to assist YP.Net with the Marketing Effort,
     including necessary and sufficient documentation for YP.Net to accurately
     represent to each YP.Net Merchant the operation and functions of the
     Switchboard Directory Ads as required by Section 2.1, above.

3.0  ORDERS FOR SWITCHBOARD DIRECTORY ADS; GENERAL

<PAGE>
3.1  Advertising Content Policy. All orders for Switchboard Directory Ad
     --------------------------
     Orders generated by YP.Net are subject to acceptance by Switchboard.
     Switchboard reserves the right, in its reasonable discretion, to reject any
     Order that is, or contains a link to any content that is, offensive,
     defamatory, indecent, obscene, trade libelous, threatening or harassing,
     harmful to minors, child pornographic or that contains illegal content as
     defined by applicable federal, state, county and local laws, or that may
     violate Switchboard's Content Policy, as the same may be modified or
     updated by Switchboard from time to time, the current version of which is
     set forth in EXHIBIT B attached hereto.

     Switchboard shall notify YP.Net of any Order so rejected within five (5)
     business days of such rejection. YP.Net shall have the option to remedy the
     rejected Order with a substitute Order that complies with the standards set
     forth in this Section 3.1. Any substitute Orders placed by YP.Net shall be
     subject to further review by Switchboard as provided in this Section 3.1.

3.2  Customer Support. Through the use of the Directory Ad Management Tool
     ----------------
     or such other means as YP. Net may determine, YP.Net shall be responsible
     for handling and responding to all YP.Net Merchant inquiries relating to
     Orders for Directory Ads sold pursuant to this Agreement.

3.3  Payment of Invoices. Switchboard invoices for Orders shall be paid by
     -------------------
     YP.Net within thirty (30) days of the date of invoice. Invoices not paid
     within such period shall be subject to a late payment charge of 1.5% per
     month (or the maximum rate permitted by law, whichever is lower) on the
     outstanding balances thereof, accruing from the due date. Payment of a late
     payment charge by YP.Net shall not affect any other remedy available to
     Switchboard. In the event an invoice by Switchboard to YP.Net remains
     unpaid, in whole or in part, for a period of sixty (60) days past its due
     date, Switchboard may, at its option and in addition to any right or remedy
     available to Switchboard under this Agreement, cancel any or all unpaid
     Orders submitted by YP.Net.

3.4  Taxes. Any pricing for Orders provided herein may not include any
     -----
     applicable sales or use taxes that may be levied thereon. If applicable,
     the invoicing and collecting party shall, in addition to the payments
     required hereunder, pay all sales, use, transfer or other taxes, whether
     federal, state or local, however designated, which are levied or imposed on
     an Order, excluding however designated, which are levied or imposed on an
     Order, excluding however, income taxes on profits which may be levied
     against the other party. The invoicing and collecting party shall be
     responsible for providing, in a timely manner, all reasonable documentation
     in the nature of exemption certificates or otherwise, necessary to allow
     the other party to refrain from collections such as sales tax, that it
     would otherwise be obligated to make.

4.0  ORDERS FOR DIRECTORY ADS

<PAGE>
4.1  Directory Ad Pricing. YP.Net shall be responsible for and shall have
     --------------------
     sole discretion in determining the prices to be charged to YP.Net Merchants
     from time to time for Orders for Directory Ads placed hereunder (the
     "Directory Ad Pricing").

4.2  Contracts with YP.Net Merchants. YP.Net shall be solely responsible for
     -------------------------------
     having each YP.Net Merchant execute any necessary written agreement (or an
     enforceable equivalent) permitting the placement of a Directory Ad Order
     hereunder which, when executed, shall be a contract between YP.Net and the
     respective YP.Net Merchant. YP.Net hereby grants to Switchboard (and all
     Directory Ad agreements between YP.Net and YP.Net Merchants shall include)
     a worldwide, non-exclusive license and right to copy, display, transmit,
     and publish the Directory Ads, including all YP.Net Merchant Content,
     submitted to Switchboard hereunder, for display to users of the Switchboard
     Site and the Switchboard Affiliated Sites. The following provisions shall
     apply to all Directory Ad Orders:

     SWITCHBOARD'S SOLE OBLIGATION TO YP.NET OR TO YP.NET MERCHANTS WITH RESPECT
     TO ANY ERROR OR OMISSION RELATING TO THE ACCEPTANCE OF ANY ORDER AND
     PUBLICATION OF ANY CONTENT THEREING SPECIFIED, INCLUDING THE PROVISION OF
     ANY REPORT OR CATEGORY LISTINGS, SHALL BE THE CORRECTION OF SUCH ERROR OR
     OMISSION.

     SWITCHBOARD RESERVES THE RIGHT TO REFUSE OR TO CANCEL PUBLICATION OF THE
     CONTENT OF ANY ORDER FOR DEFAULT BY YP.NET UNDER YP.NET'S AGREEMENT WITH
     SWITCHBOARD.

4.3  Insertion and Submission of Orders. Directory Ad Orders shall be
     ----------------------------------
     inserted and/or submitted by YP.Net directly through the use of the
     Directory Ad Management Tool or by the transfer of such listing data and
     elements to Switchboard, also through the Directory Ad Management Tool, in
     a database format outlined in the Merchant Management Tool User's Guide,
     for batch Directory Ad insertion and or removal at yp.net discretion.
     YP.Net shall be solely responsible for correcting any Directory Ads which
     are excepted (that is, do not match exactly with Switchboard listing
     information for the same merchant) during the initial database load and any
     subsequent loadings.

4.4  Placement and Hosting of Directory Ads. YP.Net shall ensure that each
     --------------------------------------
     Directory Ad is correctly placed within the applicable Yellow Pages
     category. If, in Switchboards; reasonable judgment, a Directory Ad is not
     correctly placed YP.Net shall, upon notice form Switchboard, replace such
     Directory Ad to the correct category or categories. Switchboard shall
     maintain and control the Switchboard Yellow Pages Service. All Directory
     Ads placed hereunder shall be hosted on Switchboard's servers.

<PAGE>
4.5  Directory Ad Management Tool License, Training and Support. Switchboard
     -----------------------------------------------------------
     will provide YP.Net with a single session of telephone training or on-line
     training on the use of the Directory Ad Management Tool, no to exceed
     training for two (2) individuals or four (4) total hours of training each
     year during the Term of this Agreement, or for such additional number of
     people and with such other scheduling at Switchboard may agree upon in its
     reasonable discretion. To assist YP.Net with any questions on the use of
     the Directory Ad Management Tool, Switchboard will provide support, via
     e-mail, as outlined in the Merchant Management Tool User's Guide.
     Switchboard hereby grants to the YP.Net a non-exclusive, royalty free,
     object code only license to use the Directory Ad Management Tool solely for
     the purposes of this Agreement and solely pursuant to Switchboard's or its
     licensor's terms of use for the Tool.

4.6  Merchant Invoices and Collection. YP.Net shall be solely responsible
     ---------------------------------
     for invoicing and collecting all Directory Ad Pricing from YP.Net Merchants
     with respect to Orders hereunder.

4.7  Directory Ad Hosting Fees. Commencing as of the Effective Date, YP.Net
     --------------------------
     shall pay Switchboard a guaranteed monthly fee of twenty thousand dollars
     ($20,000) for up to 250,000 Directory Ad Orders in place, and additional
     fees for any additional Directory Ad Orders (the "Directory Ad Hosting
     Fees"), as follows:

<TABLE>
<CAPTION>
NUMBER OF DIRECTROY ADS                           DIRECTORY AD HOSTING FEE
--------------------------------------  --------------------------------------------
HOSTED DURING THE MONTH
--------------------------------------
<S>                                     <C>

                                        YP.Net shall pay a guaranteed minimum
                                        monthly Hosting Fee of $20,000, whether
                                        all 250,000 Directory Ads are used or not.
                                        Such guaranteed minimum Hosting Fee
                                        shall be invoiced by Switchboard as the fist
Between 0 and 250,000 Directory Ads     day of each month.

                                        An additional Hosting Fee of $0.08 per
                                        Directory Ad per month.  Such additional
                                        Hosting Fees shall be invoiced by
                                        Switchboard in the month following the
For additional Directory Ads in excess  month in which such additional Hosting
Of 250,000                              Fees are accrued.
</TABLE>

<PAGE>
     Such  Directory  Ad Hosting Fees shall apply to each Directory Ad as of the
     date  of its creation as provided herein until its deletion. Such Directory
     Hosing  Ad  Fees shall be due and payable as provided in Section 3.3 above,
     Each  invoice  shall  be  categorized  by  YP.Net  Merchant.

4.8  Directory Ad Terms. Each Directory Ad place hereunder and outstanding
     -------------------
     at the time of the expiration or termination of this Agreement shall be
     removed and deleted from the Switchboard Yellow Pages Service of the
     Switchboard Site and Switchboard Affiliated Sites at the time of such
     expiration or termination.

<PAGE>
                                   SCHEDULE B
                                   ----------
                          GENERAL TERMS AND CONDITIONS
                          ----------------------------

1.0  DEFINITIONS

"Term" shall have the meaning set forth in Section 9.0 hereof.
 ----

Capitalized terms not defined in this Schedule B but used herein shall have the
meaning ascribed to them elsewhere within this Agreement.

2.0  EXCLUSIVITY

2.1  No Exclusivity Provided by Switchboard. YP.Net acknowledges and agrees
     ---------------------------------------
     that Switchboard may contract with-other marketing representatives or any
     third party with respect to the marketing, promoting, offering or selling
     of any of the Switchboard Directory Ads or services similar thereto,
     including without limitation competitors of YP.Net. In the case of a
     dispute YP.Net and other third party sellers of Switchboard Directory Ads
     involving overlapping or conflicting Orders with respect to the same
     merchant, the first Order submitted to and received by Switchboard shall be
     deemed the sole Order. Switchboard reserves the right to implement new
     sales channels using different terms and conditions, offer new and
     different products, subject to the terms of this Agreement, as Switchboard
     may deem necessary.

3.0  INTELLECTUAL PROPERTY

3.1  Technology. YP.Net acknowledges and agrees that Switchboard or its
     ----------
     licensors own all right, title, and interest in and to all patents,
     copyright, trademarks, trade secrets and other intellectual property rights
     in the Switchboard Site, the Switchboard Yellow Pages Serviced, and the
     Switchboard Directory Ads (excluding YP.Net Merchant Content), the
     Directory Ad Management Tool, and any software provided to YP.Net in
     connection with this Agreement. YP.Net shall take no action inconsistent
     with such ownership and shall not attempt to register any intellectual
     property described above in any jurisdiction. Similarly, Switchboard
     acknowledges and agrees that YP.Net or its licensors own all right, title,
     and interest in and to all patents, copyright, trademarks, trade secrets
     and other intellectual property rights in the Yp.Net Site. Switchboard
     shall take no action inconsistent with such ownership and shall not attempt
     to register any intellectual property described above in any jurisdiction.

3.2  Trademarks. Each party hereby grants to the other, for the terms of this
     ----------
     Agreement, a non-exclusive, royalty-free license to use any trademarks or
     logos provided to the other party, subject to the respective owner's prior
     approval and revisions in each instance, only for the purposes permitted by
     this Agreement and further subject to the respective owner's right to
     control the quality of any service

<PAGE>
offered under its trademark or logo, such that the service meets the standards
the public has come to associate with such party's trademarks and logos.
Neither party, by virtue of this Agreement, shall obtain or claim any right,
title, or interest in or to the other party's name, trademarks, service marks or
logos, except the right of use as specified herein, and the parties hereby
acknowledge and agree that all such use shall inure to the benefit of the
respective owner.

3.3  Proprietary Notices. Neither party shall alter or remove any printed or
     --------------------
     on-screen copyright, trademark, or other proprietary or legal notices place
     by the other party in its web site or as other wise provide herein.

3.4  Ownership and Use of User Data. As between the parties, Switchboard
     -------------------------------
     shall be the sole and exclusive owner of all right, title and interest in
     any and all data compiled or obtained by either party in connection with
     the User's use of the Switchboard Site, the Switchboard Affiliated Sites
     and the Switchboard Yellow Pages Services as provided herein.

3.5  YP.Net Merchant Data. Each party will treat merchant data (that is,
     --------------------
     information given by YP.Net Merchants in connection with placing Orders)
     provided by the other party or jointly collected ("YP.Net Merchant Data")
     strictly in accordance with all applicable laws, their respective terms of
     use and privacy policies and with the same level of confidence that it
     treats its own merchant data. As between the parties, YP.Net Merchant Data
     and marketing methods, whether collected by YP.Net or Switchboard pursuant
     to the terms of this Agreement. Nothing in this Section 3.5 shall obligate
     either party to track, maintain or compile information that is not
     customarily tracked by such party in the ordinary course of its business.

4.0  PUBLICITY

     Each party shall have the right to create and publish its own press release
     announcing the execution of this Agreement and the relationship between the
     parties established hereunder, subject to the prior written approval of the
     other party, which approval shall not be unreasonably withheld. The parties
     may, but shall not have the obligation to, create and publish a joint press
     release announcing the execution of this Agreement and the relationship
     between the parties. Each party shall have the right to publish any such
     initial press releases, or portions thereof, in trade publications,
     magazines and other publications of its choice. The parties agree that
     thereafter, except as otherwise mutually agreed, or as required by law,
     neither party shall make any written public statement, including without
     limitation in marketing materials or press releases, using the other
     party's trade name or trademarks or referring to this Agreement or the
     relationship created hereunder, without the prior approval of the other
     party, which approval shall not be unreasonably withheld. Switchboard and
     YP.Net will not disclose the material terms of this Agreement in any
     circumstance, unless

<PAGE>
     required by law. This provision shall not limit or prevent YP.Net from
     using or disclosing non-confidential information, such as the distribution
     that YP.Net Merchants will receive as a result of a purchasing Switchboard
     Directory Ads.

5.0  DISCLAIMER OF WARRANTIES

     NEITHER PARTY MAKES ANY REPRESENTATIONS, WARRANTIES, OR GUARANTEES OF ANY
     KIND AS TO ANY MATTER, EITHER EXPRESS OR IMPLIED, WHICH ARE NOT EXPRESSLY
     MADE IN THIS AGREEMENT, INCLUDING WITHOUT LIMITATION, THE IMPLIED
     WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE.

6.0  CONFIDENTIALITY

6.1  Confidential Information. Notwithstanding any non-disclosure or
     ------------------------
     confidentiality agreement signed by the parties with respect to any initial
     discussions prior to the Effective Date, Switchboard and YP.Net each agrees
     and acknowledges that in order to further the performance of this
     Agreement, they may be required to disclose to each other certain
     confidential information, including but not limited to information
     concerning either party's online services and web sites, technology,
     software, tools, business, or plans and methods, financial information
     other confidential information, all of which shall be deemed "Confidential
     Information" for the purposes of this Section if, with the respect to such
     information disclosed in tangible form, it is marked "Confidential" or its
     equivalent, and, with respect to such information disclosed orally, it is
     identified as confidential at the time of disclosure. Marketing methods
     used by YP.Net in connection with the Marketing Efforts, and the results of
     the Marketing Efforts, as well as Merchant Data as provided in Section 3.5,
     above, shall be deemed the Confidential Information of YP.Net.

6.2  Protection of Confidential Information. During the term of this
     ---------------------------------------
     Agreement and for a period of two years after the expiration or termination
     thereof, the receiving party agrees to protect the confidentiality of the
     disclosing party's Confidential Information with at least the same degree
     of care that it utilize with respect to its own similar proprietary
     information, but in no even less than a reasonable standard of care,
     including without limitation agreeing:

     a.   Not to disclose or otherwise permit any other person or entity access
          to, in any manner, the Confidential Information, or any part thereof
          in any form whatsoever, except such disclosure or access shall be
          permitted to (i) an employee of the receiving party (or wholly owned
          or wholly owing affiliated entity of the receiving party) requiring
          access to the Confidential Information in the course of his or her
          employment in connection with this

<PAGE>
          Agreement and who has signed an agreement obligating the employee to
          maintain the confidentiality of the confidential information of third
          parties in the receiving party's possession; or (ii) a director, legal
          advisor, or financial advisor of the recipient party hereunder,
          provided that such parties are bound to maintain the confidentiality
          of such information and provided further that they are permitted to
          use such Confidential Information only for the purposes of carrying
          out their fiduciary or other advisory responsibilities on behalf of
          the pry hereto from which it received such Confidential Information;

     b.   To notify the disclosing party promptly and in writing of the
          circumstances surrounding any suspected possession, use or knowledge
          of the Confidential Information or any part thereof at any location or
          by any person or entity other that those authorized by this Agreement;
          and

     c.   Not to use the Confidential Information for any purpose other than as
          explicitly set forth herein.

6.3  Exceptions. Nothing in this Section 6.0 shall restrict the receiving
     ----------
     party with respect to information or data, whether or not identical or
     similar to that contained in the Confidential Information, if such
     information or data: (a) was rightfully possessed by the receiving party
     before it was received from the disclosing party: (b) is independently
     developed by the receiving party without reference to the disclosing
     party's information or data: (c) is subsequently furnished to the receiving
     party by a third party not under any obligation of confidentiality with
     respect to such information or data, and without restrictions on use or
     disclosure: or (d) is or becomes public or available to the general public
     otherwise than through any act or default of the receiving party. Each
     party reserves to itself its proprietary marketing method rights.

7.0  INDEMNIFICATION

7.1  Indemnification by Switchboard. Switchboard shall indemnify, defend,
     -------------------------------
     and hold YP.Net harmless from and against any and all losses, expensed,
     damages, liabilities, taxes, penalties, assessments, judgments, and costs
     (including reasonable attorneys' fees) (collectively, "Liabilities")
     arising out of any third party claims, actions or proceedings brought
     against YP.Net so far as same are based upon (i) a claim that all or any
     portion of or content within the Switchboard Site, the Switchboard Yellow
     Pages Services, the Directory Ads (excluding any YP.Net Merchant Content),
     the Directory Ad Management Tool, or any software provided by Switchboard
     to YP.net hereunder (in each case, in the form provided by Switchboard)
     infringes any U.S. patent, copyright, trade secret, trademark or other
     intellectual property right, or any other personal or property right, or
     (ii) a material breach by Switchboard of this Agreement; provided that
     YP.Net provides Switchboard with prompt written notice of any
     ------
     claims and reasonable assistance and sole authority to defend or settle
     such claims. Switchboard shall have no

<PAGE>
     obligation pursuant to this Section 7.1 to the extent that such Liabilities
     arise out of the material breach, gross negligence or willful misconduct of
     YP.Net. If any portion of or content within the Switchboard Site, the
     Switchboard Yellow Pages Serviced, the Directory Ads (excluding any YP.Net
     Merchant Content), the Directory Ad Management Tool, or any software
     provided hereunder is, or in Switchboard's reasonable opinion is likely to
     become, the subject of an injunction preventing its use as contemplated
     herein, Switchboard may, at its option, (1) procure for YP.Net the right to
     continue using such software or services; (2) replace or modify such
     software or services so that it becomes non-infringing; or, if the remedies
     in (1) or (2) are not reasonably available to Switchboard despite
     Switchboard's commercially reasonable efforts, terminate YP.Net's right to
     use such software or services. This Section 7.1 set forth Switchboard's
     sole liability and YP.Net's and the sole remedy with respect to any claims
     of intellectual property infringement relating to this Agreement.

7.2  Indemnification by YP.Net. YP.Net shall indemnify, defend, and hold
     -------------------------
     Switchboard harmless from and against any and all losses, expenses,
     damages, liabilities, taxes, penalties, assessments, judgments, and costs
     (including reasonable attorneys' fees) (collectively, "Liabilities")
     arising out of any third party claims, actions or proceedings brought
     against Switchboard so far as same are based upon (i) a claim that all or
     any portion of or content within the YP.Net Site or the YP.Net Merchant
     Content (in each case, in the form provided by YP.Net) infringes any U.S.
     patent, copyright, trade secret, trademark or other intellectual property
     right, or any other personal or property right, (ii) a material breach by
     YP.Net of this Agreement; provided that Switchboard
                                             -------------
     provides YP.Net with prompt written notice of any claims and reasonable
     assistance and sole authority to defend or settle such claims. YP.Net shall
     have no obligation pursuant to this Section 7.2 to the extent that such
     Liabilities arise out of the material breach, gross negligence or willful
     misconduct of Switchboard. This Section sets forth YP.Net's sole liability
     and Switchboard's sole remedy with respect to claims of intellectual
     property infringement relating to this Agreement.

8.0  LIMITATION OF LIABILITY

     EXCEPT AS PROVIDED IN SECTION 6.0 (CONFIDENTIALITY) AND IN SECTION 7.0
     (INDEMNIFICATION), IN NO EVENT SHALL EITHER PARTY HEREUNDER BE LIABLE TO
     THE OTHER, OR TO ANY PARTY CLAIMING THROUGH SUCH OTHER PARTY, FOR ANY
     CONSEQUENTIAL, INCIDENTAL, SPECIAL, OR INDIRECT DAMAGES, OR FOR ANY LOSS O
     PROFITS OR SALES OR LOSS OF OR DAMAGE TO DATA, REGARDLESS OF THE FORM OF
     ACTION, WHETHER IN CONTRACT, TORT, OR OTHERWISE, EVEN IF A PARTY HAS BEEN
     ADVISED OF THE POSSIBILITY OF SUCH DAMAGES OR LOSS.

<PAGE>
     EXCEPT AS PROVIDED IN SECTION 6.0 (CONFIDENTIALITY) AND SECTION 7.0
     (INDEMNIFICATION), AND EXCEPT WITH RESPECT TO AMOUNTS OWED TO THE OTHER
     PARTY UNDER THE REVENUE SHARING PROVISIONS CONTAINED HEREIN, THE MAXIMUM
     LIABILITY OF EITHER PARTY HEREUNDER SHALL BE THE GREATER OF FIFTY THOUSAND
     DOLLARS ($50,000) OR THE AGGREGATE AMOUNT RECEIVED BY SWITCHBOARD PURSUANT
     TO THIS AGREEMENT IN THE TWELVE (12) MONTH PERIOD PRIOR TO THE DATE UPON
     WHICH THE CAUSE OF ACTION AROSE.

9.0  TERM AND TERMINATION

9.1  Term; Renewal. This Agreement shall commence as of the Effective Date
     -------------
     and shall remain in full force and effect for an initial period of one (1)
     year (the "Initial Term") unless earlier terminated as provided herein.
     After the Initial Term, this Agreement shall renew for successive one (1)
     year periods (each a "Renewal Term"), unless either party provides notice
     of termination to the other party no later than thirty (30) days prior to
     the expiration of the then current Term. The Initial Term and any and all
     Renewal Terms shall be collectively referred to herein as the "Term."

9.2  Termination. This Agreement may be terminated prior to the expiration
     -----------
     of its term:

     a.   By either party in the event the other party materially breaches this
          Agreement and the breaching party fails to cure such breach within
          thirty (30) days of written notice of such breach from the
          non-breaching party; or

     b    By either party immediately in the event any assignment is made by the
          other party for the benefit of creditors, or if a receiver, trustee in
          bankruptcy or similar officer shall be appointed to take charge of any
          or all of the other party's property, or if the other party files a
          voluntary petition under federal bankruptcy laws or similar state
          statutes or such a petition is filed against the other party and is
          not dismissed within ninety (90) days.

9.3  Return of Confidential and Proprietary Materials. In the event of
     ------------------------------------------------
     termination of this Agreement, each party shall immediately either (a)
     destroy and certify the same, or (b) return to the other party, all of the
     disclosing party's confidential or proprietary materials provided
     hereunder.

9.4  Fulfillment of Orders. Each Directory Ad placed hereunder and
     ---------------------
     outstanding at the time of such expiration or termination shall be removed
     and deleted from the Switchboard Yellow Pages Service of the Switchboard
     Site and Switchboard Affiliated Sites at the time of such expiration or
     termination.

<PAGE>
10.0 NOTICES

     Any notice or communication from one party to the other shall be in writing
     and either personally delivered or sent (a) via certified mail, postage
     prepaid and return receipt requested, (b) via overnight carrier with a
     national reputation which tracks receipt, or (c) via facsimile with
     confirmation sent via one of the other allowable means, in each case,
     addressed to such other party at the address specified below or such other
     address as either party may from time to time designate in writing to the
     other party. All notices shall be effective upon receipt.

     If to Switchboard:  Switchboard Incorporated
                         120 Flanders Road
                         Westboro, Massachusetts 01581
                         Fax: (508) 898-8222
                         Attn: President

     With a copy to:     Switchboard Incorporated
                         120 Flanders Road
                         Westboro, Massachusetts 01581
                         Fax: (508) 898-8222
                         Attn: General Counsel

     If to YP.Net:       YP.Net, Inc.
                         4840 E. Jasmine #110
                         Mesa, AZ 58205
                         Fax: 480-860-0800 &
                         Fax: 602-532-7813
                         Attn: Greg Crane

     With a copy to:     Law Offices of Lewis & Rocca, LLP
                         40 N. Central Ave.
                         Phoenix, AZ 85004
                         Fax: 602-734-3865
                         Attn: Randy Papetti

11.0 GENERAL PROVISIONS

11.1 Assignment. This Agreement and the rights and responsibilities
     ----------
     hereunder may not be assigned or otherwise transferred, in whole or in
     part, by either party without the prior written consent of the other, which
     shall not be unreasonably withheld, except that either party may assign
     this Agreement in its entirety to an entity purchasing all or substantially
     all of the equity or assets of such party.

11.2 Force Majeure. Except for the obligation to pay all charges when due
     -------------
     and owing hereunder, either party shall be excused from performance
     hereunder if its

<PAGE>
     performance is prevented by acts or events beyond the party's reasonable
     control including, but not limited to, acts of God, strikes or other labor
     unrest, failures of any telecommunications service provider, power failure,
     civil or military emergencies, or acts of legislative, judicial, executive,
     or administrative authorities.

11.3 Waiver. The waiver by either party of a breach or default of any
     ------
     provision of this Agreement by the other party shall not be construed as a
     waiver of any succeeding breach of the same or any other provision, nor
     shall any delay or omission on the part of either party to exercise or
     avail itself of any right, power or privilege that it has, or may have
     hereunder, operate as a waiver of any right, power, or privilege by such
     party

11.4 Governing Law. This Agreement shall be construed and enforced in
     -------------
     accordance with the laws, excluding the conflict of laws provision, of the
     Commonwealth of Massachusetts.

11.5 Independent Contractors. This Agreement is not intended, nor should
     -----------------------
     anything herein be construed, to create the relationship of partners, joint
     ventures, principal and agent, employer and employee, or any other
     fiduciary relationship between Switchboard and YP.Net. The relationship of
     the parties hereto shall be that of independent contractors.

11.6 Entire Agreement; Amendment. This Agreement, including all Exhibits
     ---------------------------
     hereto which are hereby incorporated by reference, represents the entire
     Agreement between Switchboard and the YP.Net with regard to the subject
     matter hereof, and any prior agreement, understanding, representation, or
     past dealings between the parties with respect to the matters covered
     hereunder, whether such prior activity had been in writing or expressed
     verbally. This Agreement may be amended only by a written document signed
     by authorized representatives of both parties.

11.7 Compliance with Laws. Each party shall be responsible for compliance,
     --------------------
     at its own expense, with all laws, statutes, regulations, rules,
     ordinances, and orders of any judicial authority or governmental body,
     department or agency, which apply to or result from its rights or
     obligations under this Agreement.

11.8 Severability. If any provision of the Agreement is held to be invalid
     ------------
     or unenforceable by any court or tribunal of competent jurisdiction, the
     remaining provisions of this Agreement shall continue in full force and
     effect.

11.9 Headings. Captions and headings contained in this Agreement have been
     --------
     included for ease of reference only and shall not be considered in
     interpreting or construing this Agreement.

<PAGE>
11.10 Audit Rights. Each party obligated to make payments hereunder shall keep,
      ------------
     during the Term of this Agreement and for one (1) year thereafter, proper
     records and books of account relating to the computation of such payments.
     No more frequently than once every six (6) months, the party receiving
     payment, at its own cost and expense and through an independent, competent
     auditor who signs a nondisclosure agreement reasonably acceptable to the
     party subject to the inspection, may inspect such records for the sole
     purpose of verifying reports. Any such inspection will be conducted in a
     manner that does not unreasonably interfere with the inspected party's
     business activities. The inspected party shall immediately make any over
     due payments disclosed by such audit. If such overdue payments are more
     than ten percent (10%) of the amount already paid for the particular time
     period in question, then the inspected party shall also pay for the expense
     of the auditor.

11.11 Survival. Upon the expiration or termination of this Agreement for any
      --------
     reason, the following provisions shall survive: PREAMBLE Section 1.0 (TERMS
     AND CONDITIONS); SCHEDULE A, Section 1.0 (DEFINITIONS) and Section 4.8
     (Directory Ad Terms); SCHEDULE B, Section 1.0 (DEFINITIONS), Section 2.0
     (EXCLUSIVITY), Section 3.0 (INTELLECTUAL PROPERTY), Section 4.0
     (PUBLICITY), Section 5.0 (DISCLAMIMER OF WARRANTIES), Section 6.0
     (CONFIDENTIALITY), Section 7.0 (INDEMNIFICATION), Section 8.0 (LIMITATION
     OF LIABILITY) Section 9.3 (Return of Confidential and Proprietary Materials
     and Removal of Links), Section 9.4 (Fulfillment of Orders), Section 10
     (NOTICES) and Section 11.0 (GENERAL PROVISIONS).

<PAGE>
                                    EXHIBIT A
                                    ---------
                             DIRECTORY AD SCEEN SHOT
                             -----------------------

                                [GRAPHIC OMITTED]

<PAGE>
                                    EXHIBIT B
                                    ---------
                           SWITCHBOARD CONTENT POLICY
                           --------------------------

1.   Switchboard reserves the right to reject any Directory Ad Order, or to
     remove, or to require that YP.Net remove, any Directory Ad placed by YP.Net
     hereunder or any YP.Net Merchant Content which, contains, or contains links
     to, content which Switchboard reasonable deems:

     (a)  Is patently offensive, including without limitation, bigotry, racism,
          discrimination, hatred or profanity; is pornographic, obscene, or
          sexually explicit; is disparaging defamatory or libelous, results in
          an invasion of privacy; promotes gambling (including lotteries);
          promotes or provides instructional information about illegal
          activities or physical harm or injury to any group, individual,
          institution or property; or infringes on a proprietary interest of any
          third party, including without limitation, any copyright, trademark,
          domain registration right, trade secret or paten right; or may violate
          any federal, state, county, and municipal laws, regulation,
          governmental agency orders, and court orders;

     (b)  States or implies an endorsement of the advertiser's products or
          Services by Switchboard or any third party associated with
          Switchboard.

2.   In the event that Switchboard or a third party notifies YP.Net that a
     Directory Ad sold by or on behalf of YP.Net hereunder is the subject of
     complaints or concerns (e.g., from visitors to the Switchboard Site or any
     Switchboard Affiliated Sites) regarding the content of such Directory Ad or
     any material linked through such Directory Ad, YP.Net will use reasonable
     efforts to respond, or cause its merchant customer to respond in good faith
     to such complaints or concerns.

3.   YP.Net acknowledges and agrees that, in certain local markets, Switchboard
     may be required pursuant to contracts with third parties to reject or
     remove Directory Ads and other forms of adverting promoting the following
     types of products or services; cigarettes; hard liquor; massage parlors;
     abortion clinics; firearms and ammunition; and head shops.

<PAGE>

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