Document:

Sublease Agreement

Exhibit 10.54

 

	

  Sublessor:

  	

   

  	

  Zamba

  Corporation 

  	

   

  	

  Subleased Premises:

  	

   

  	

  655 Campbell

  Technology Parkway

  
	

   

  	

   

  	

   

  	

   

  	

   

  	

   

  	

   

  
	

  Sublessee:

  	

   

  	

  Purlight LLC a

  Nevada Limited Liability Corporation

  	

   

  	

  Date:

  	

   

  	

  February 19,

  2002

  

 

1.        Parties:

This Sublease is made and

entered into as of February 19, 2002, by and between Zamba Corporation.

(Sublessor), and Purlight LLC, a Nevada Limited Liability Corporation

(Sublessee), under the Master Lease dated January 4, 2000, between WTA Campbell

Technology Park LLC as (Lessor) and Sublessor under this Sublease as

(Lessee).  A copy of the Master Lease is

attached hereto as Exhibit “A” and incorporated herein by this reference.

 

2.        Provisions

Constituting Sublease:

 

2.1        This Sublease is subject to all of the

terms and conditions of the Master Lease. 

Sublessee hereby assumes and agrees to perform all of the obligations of

Lessee under the Master Lease to the extent said obligations apply to the

Subleased Premises and Sublessee’s use of the common areas, except as

specifically set forth herein.  Sublessor

hereby agrees to cause Lessor, under the Master Lease, to perform all of the

obligations of Lessor thereunder to the extent said obligations apply to the

Subleased Premises and Sublessee’s use of the common areas.  Sublessee shall not commit or permit to be

committed on the Subleased Premises or on any other portion of the Project any

act or omission, which violates term, or condition of the Master Lease.  Except to the extent waived or consented to

in writing by the other party or parties hereto who are affected thereby,

neither of the parties hereto will, by renegotiation of the Master Lease,

assignment, subletting, default or any other voluntary action, avoid or seek to

avoid the observance or performance of the terms to be observed or performed hereunder

by such party but, will at all times, in good faith assist in carrying out all

the terms of this Sublease and in taking all such action as may be necessary or

appropriate to protect the rights of the other party or parties hereto who are

affected thereby against impairment. 

Nothing contained in this Section 2.1 or elsewhere in this Sublease

shall prevent or prohibit Sublessor (a) from exercising its right to terminate

the Master Lease pursuant to the terms thereof or (b) from assigning its

interest in this Sublease or subletting the Premises to any other third

party.  In the event Sublessor is in

default of Master Lease and fails to cure any default of Master Lease, Lessor

may elect to terminate this sublease.

 

2.2        All of the terms and conditions contained

in the Master Lease are incorporated herein, except Paragraphs 3, 4, 5, 7, and

Exhibit B, and shall together with the terms and conditions specifically set

forth in this Sublease constitute the complete terms and conditions of this

Sublease.

 

3.        Premises:

Sublessor leases to

Sublessee and Sublessee leases from Sublessor the Subleased Premises upon all

of the terms, covenants and conditions contained in this Sublease.  The Subleased Premises consist of

approximately 28,319± rentable square feet, as shown and described in

Exhibit ”A-1”.

 

 

4.        Rent:

 

	

  Months

  	

   

  	

  Rent/SF/Mo./NNN

  	

   

  
	

  01 – 12

  	

   

  	

  $

  	

  56,634.00

  	

   

  
	

  13 – 24

  	

   

  	

  $

  	

  58,333.00

  	

   

  
	

  25 – 36

  	

   

  	

  $

  	

  60,083.00

  	

   

  
	

  37 – 48

  	

   

  	

  $

  	

  61,885.00

  	

   

  
	

  49 – 60

  	

   

  	

  $

  	

  63,742.00

  	

   

  
	

  61 – 661/2

  	

   

  	

  $

  	

  65,654.00

  	

   

  

 

5.        Operating

Expenses:

Sublessee shall reimburse

Zamba Corporation monthly as additional rent, its pro-rata share of all direct

operating expenses as per the Master Lease.

 

6.        Security

Deposit:

Sublessee shall provide a

security deposit equal to six (6) months rent upon execution of the sublease

agreement.  The security deposit shall

be in a form of an irrevocable Letter of Credit in the amount of four (4)

months and two (2) months rent in cash. 

The additional security deposit shall be released provided that

Sublessee is not in default of the sublease and the following conditions

(pursuant to GAAP) have been met by Sublessee:

 

A.            There have been four (4) consecutive

quarter of profitability (excluding depreciation and amortization).

 

B.            Shareholders equity is positive.

 

7.        Rights

of Access and Use:

 

7.1               Use:

Sublessee shall

use the Subleased Premises only for those purposes permitted in the Master

Lease.

 

8.        Sublease

Term:

 

8.1               Sublease Term:

The Sublease Term shall

be for the period commencing on March 1, 2002 and continuing until June 14,

2007.  In no event shall the Sublease

Term extend beyond the Term of the Master Lease.  Sublessor and Sublessee shall cohabitate within Premises until

May 31, 2002 (see Paragraph No. 13), and prorate all rents during such

times.

 

8.2               Inability to Deliver Possession:

In the event Sublessor is

unable to deliver possession of the Subleased Premises at the commencement of

the term, Sublessor shall not be liable for any damage caused thereby nor shall

this Sublease be void or voidable, but Sublessee shall not be liable for Rent

until such time as Sublessor offers to deliver possession of the Subleased

Premises to Sublessee, but the term hereof shall not be extended by such

delay.  If Sublessee, with Sublessor’s

consent, takes possession prior to commencement of the term, Sublessee shall do

so subject to all the covenants and conditions hereof and shall pay Rent for

the period ending with the commencement of the term at the same rental as that

prescribed for the first month of the term prorated at the rate of 1/30th

thereof per day.  In the event Sublessor

 

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has been unable to

deliver possession of the Subleased Premises within 30 days from the

commencement date, Sublessee, at Sublessee’s option, may terminate this

Sublease.

 

8.3               Accessibility:

Sublessee shall access

the premises effective February 23, 2002 in order to install all necessary

business equipment, phones, etc.

 

9.        Notices:

All notices, demands,

consents and approvals which may or are required to be given by either party to

the other hereunder shall be given in the manner provided in the Master Lease

at the addresses shown below.  Sublessor

shall notify Sublessee of any Event of Default under the Master Lease, or of

any other event of which Sublessor has actual knowledge which will impair

Sublessee’s ability to conduct its normal business at the Subleased Premises,

as soon as reasonably practicable following Sublessor’s receipt of notice from

the Lessor of an Event of Default or actual knowledge of such impairment.  If Sublessor elects to terminate the Master

Lease, Sublessor shall so notify Sublessee by giving at least 60 days notice

prior to the effective date of such termination.

 

	

  Sublessor’s

  Address:

  	

   

  	

  Mike Carrel

  	

   

  	

  Sublessee’s

  Address:

  	

   

  	

  Mr. Wayne

  Catlett

  
	

   

  	

   

  	

  Zamba

  Corporation

  	

   

  	

   

  	

   

  	

  Mr. William

  Manak

  
	

   

  	

   

  	

  3033 Excelsior

  Boulevard, Suite 200

  	

   

  	

   

  	

   

  	

  Purlight LLC

  
	

   

  	

   

  	

  Minneapolis, MN

  55416

  	

   

  	

   

  	

   

  	

  655 Campbell

  Technology Park

  
	

   

  	

   

  	

   

  	

   

  	

   

  	

   

  	

  Campbell,

  CA  95008

  
	

  Phone Number:

  	

   

  	

  (612) 844-3113

  	

   

  	

  Phone Number:

  	

   

  	

  (916) 988-4790

  
	

  Fax Number:

  	

   

  	

  (612) 893-3948

  	

   

  	

  Fax Number:

  	

   

  	

  (916) 549-8071

  

 

10.      Broker

Fee:

Upon execution of the

Sublease, Sublessor shall pay Cornish & Carey Commercial, a licensed real

estate broker, fees set forth in a separate agreement between Sublessor and

Broker or in the event there is no separate agreement between Sublessor and

Broker, the sum per separate agreement for brokerage services rendered by

Broker to Sublessor in these transactions.

 

11.      Broker

Representation:

The only Brokers involved

in this Sublease are Cornish & Carey Commercial representing both parties and

both parties consent thereto.

 

12.      Furniture:

Sublessee shall have the

right to use all existing cubicle systems, wiring, and all furniture that

currently exist in the facility at no additional charge.  In addition, Sublessor shall install, at

Sublessor’s sole cost, the balance of the workstation including comparable

wiring throughout the current vacant area to match the currently occupied

space.  This will be completed by the

Sublessor as quickly as reasonably possible, but may not be complete by the move-in

date of March 1, 2002.  The current

lease contract with Herman Miller expires September 2004.  Sublessee at no additional charge to

Sublessor shall be responsible to negotiate with the furniture providers at

that time to:  (i) extend and pay for

leasing all the existing furniture and cubicle for dates beyond he current

lease obligations noted in the previous sentences, or (ii) return all the

existing furniture and cubicle as appropriate and outlined in the Sublessors

agreements with Herman Miller and other lessors of the equipment, or (iii) buy

all the existing furniture and cubicle as outlined in the Sublessors agreements

with Herman Miller and other Lessor of the equipment.

 

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13.      Shared

Tenancy:

Following the

Commencement Date, Sublessee shall occupy Suite 175 (approximately 12,456

rentable square foot) and Sublessor shall occupy Suite 100 of the Premises

(approximately 15,861 rentable square foot) as shown on Exhibit “A-1” attached

hereto (the “Shared Space”); provided that Sublessor’s right to remain in the

Shared Space shall not extend later than May 31, 2002.  Additionally, Sublessor shall retain the

right to use the Personal Property currently assembled and configured within

the Shared Space and the parties agree to share the access to phone and network

system on terms reasonably established by Sublessor.  In addition to the Shared Space, the common areas of the

Subleased Premises, including, without limitation, the lobby, the restrooms,

the kitchen, and the conference rooms, shall be available for use by both

Sublessor and Sublessee on terms reasonably established by Sublessor.  In exchange for Sublessee’s use of the

Shared Space, Sublessor shall be entitled to deduct from the Rent (includes

Base Rent and Additional Rent) an amount equal to Sublessee’s proportionate

share of (i) such Rent, and (ii) the utilities, HVAC and other building

services used at such shared space; provided that such deduction shall only be

permitted for the actual period of time that Sublessor remains in any portion of

the Shared Space.  Sublessor and

Sublessee hereby agree that Sublessor’s proportionate share shall equal

Forty-Four (44%) Percent of Sublessee’s proportionate share as set forth in

Section 4.2 above.  Sublessee hereby

agrees and acknowledges that Sublessor shall have no obligation to construct a

demising wall or other physical separation between the Shared Space and the

remainder of the Subleased Premises. 

Sublessor and Sublessee hereby agree that such shared use of the

Subleased Premises shall be subject to whatever security and use restrictions

are reasonably required by the other party in order to ensure that each party’s

business operations at the Subleased Premises are not interrupted or impaired

by such shared use, provided that Sublessee shall not be required to incur any

expense or liability in connection with Sublessor’s restrictions.  Sublessor and Sublessee also acknowledge and

agree that the business operations of each party hereto in such shared space are

of a confidential nature and neither party hereto, nor their employees,

directors, agents or officers shall disclose to any third party any of such

confidential information about the other party hereto learned through the joint

use of such shared space.  Sublessor

shall provide ten (10) days written notice to Sublessee of its plan to vacate

the Shared Space.  If Sublessor does not

vacate the Shared Space at the time required by this Sublease, and in the

manner required by the Master Lease, then Sublessee shall be entitled to deduct

against the Rent owing under this Sublease and amount equal to two (2) times

the base rent which would otherwise be due and owing from Sublessee hereunder

pursuant to the terms of Paragraph 1 of this Sublease for each such day until

the entire Shared Space is surrendered by

Sublessor.

 

14.      Contingency:

This proposal is

contingent upon Sublessee’s review and approval of the Master Lease and

assumability of Furniture Lease Agreement. 

In addition, this proposal is contingent upon Sublessee’s

closing/completing a major round of financing on or approximately on

February 28, 2002.

 

15.      Toxic

Contamination Disclosure:

Sublessor and Sublessee

each acknowledge that they have been advised that numerous federal, state,

and/or local laws, ordinances and regulations (Laws) affect the existence and

removal, storage, disposal, leakage of and contamination by materials

designated as hazardous or toxic (Toxics). 

Many materials, some utilized in everyday business activities and

property maintenance, are designated as hazardous or toxic.

 

Some of the Laws require

that Toxics be removed or cleaned up by landowners, future landowners or former

landowners without regard to whether the party required to pay for “clean up”

caused the contamination, owned the property at the time the contamination

occurred or even knew about the contamination. 

Some items, such as asbestos or PCBs, which

 

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were legal when

installed, now are classified as Toxics and are subject to removal

requirements.  Civil lawsuits for

damages resulting from Toxics may be filed by third parties in certain

circumstances.

 

Sublessor and Sublessee

each acknowledge that Broker has no specific expertise with respect to

environmental assessment or physical condition of the Subleased Premises,

including, but not limited to, matters relating to:  (i) problems which may be posed by the presence or disposal of

hazardous or toxic substances on or from the Subleased Premises, (ii) problems

which may be posed by the Subleased Premises being within the Special Studies

Zone as designated under the Alquist-Priolo Special Studies Zone Act

(Earthquake Zones), Section 2621-2630, inclusive of California Public Resources

Code, and (iii) problems which may be posed by the Subleased Premises being

within a HUD Flood Zone as set forth in the U.S. Department of Housing and

Urban Development “Special Flood Zone Area Maps,” as applicable.

 

Sublessor and Sublessee

each acknowledge that Broker has not made an independent investigation or

determination of the physical or environmental condition of the Subleased

Premises, including, but not limited to, the existence or nonexistence of any

underground tanks, sumps, piping, toxic or hazardous substances on the

Subleased Premises.  Sublessee agrees

that it will rely solely upon its own investigation and/or the investigation of

professionals retained by it or Sublessor, and neither Sublessor nor Sublessee

shall rely upon Broker to determine the physical and environmental condition of

the Subleased Premises or to determine whether, to what extent or in what manner,

such condition must be disclosed to potential sublessees, assignees, purchasers

or other interested parties.

 

16.      Tenant

Improvements:

Sublessee shall accept

the Premises in “as is” condition with all building operating systems in good

working order as of sublease commencement.

 

	

  Sublessor:

  	

  ZAMBA

  CORPORATION

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  By: 

  	

  /s/ Michael H.

  Carrel

  	

   

  	

  Date:

  	

  2/20/02

  
						

 

 

	

  Sublessee:

  	

  PURLIGHT LLC a

  Nevada Limited Liability Corporation

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  By: 

  	

  /s/ William T.

  Manak

  	

   

  	

  Date:

  	

  2/19/02

  
						

 

NOTICE TO SUBLESSOR AND

SUBLESSEE:  CORNISH & CAREY

COMMERCIAL, IS NOT AUTHORIZED TO GIVE LEGAL OR TAX ADVICE; NOTHING CONTAINED IN

THIS SUBLEASE OR ANY DISCUSSIONS BETWEEN CORNISH & CAREY COMMERCIAL AND

SUBLESSOR AND SUBLESSEE SHALL BE DEEMED TO BE A REPRESENTATION OR

RECOMMENDATION BY CORNISH & CAREY COMMERCIAL, OR ITS AGENTS OR EMPLOYEES AS

TO THE LEGAL

 

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EFFECT OR TAX

CONSEQUENCES OF THIS DOCUMENT OR ANY TRANSACTION RELATING THERETO.  ALL PARTIES ARE ENCOURAGED TO CONSULT WITH

THEIR INDEPENDENT FINANCIAL CONSULTANTS AND/OR ATTORNEYS REGARDING THE

TRANSACTION CONTEMPLATED BY THIS PROPOSAL.

 

Exhibit “A” Master Lease

 

Exhibit “B” Premises

 

LESSOR CONSENT

 

The undersigned, Lessor

under the Master Lease attached as Attachment I, hereby consents to the

subletting of the Subleased Premises described herein on the terms and

conditions contained in this Sublease. 

This Consent shall apply only to this Sublease and shall not be deemed

to be a consent to any other Sublease.

 

If the master lease is

terminated for any reason, the Sublease at Lessors sole discretion, may be

terminated.

 

	

  Lessor:

  	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  	

   

  
	

  By:

  	

   

  	

   

  	

  Date:LLC MEMBERSHIP INTEREST

EXHIBIT 10.59

 

STOCK

PURCHASE AGREEMENT

 

This Stock Purchase Agreement (this “Agreement”) is

made and entered into as of the 25th day of March, 2002, by and

between Zamba Corporation, a Delaware corporation (the “Company”), and Joseph

B. Costello (the “Purchaser”).

 

WHEREAS, the Company owns 2,400,000 shares of Series A

preferred stock, $.0001 par value per share (“Zamba’s NextNet Stock”) of

NextNet Wireless, Inc., a Delaware corporation (“NextNet”), which represents

approximately 33% of the outstanding capital stock of NextNet; and

 

WHEREAS, the Purchaser is the Chairman of the

Company’s Board of Directors and the Chairman of NextNet’s Board of Directors,

and therefore is thoroughly familiar with the Company’s and NextNet’s business,

financial condition and prospects; and

 

WHEREAS, pursuant to a Stock Purchase Agreement dated

February 26, 2002 (the “February Stock Purchase Agreement”), the Purchaser has

previously agreed to purchase from the Company and the Company has agreed to

sell certain of its shares of Zamba’s NextNet Stock; and

 

WHEREAS, the Purchaser desires to purchase additional

shares (the “Shares”) of Zamba’s NextNet Stock pursuant to the terms of this

Agreement; and

 

WHEREAS, the Purchaser acknowledges that there is no

established trading market or other current valuation for Zamba’s NextNet Stock

or the Shares to be issued hereunder; and

 

WHEREAS, Purchaser agrees that the number of Shares to

be issued to the Purchaser hereunder shall be determined in accordance with the

procedures set forth in Section 1(b) below.

 

NOW, THEREFORE, in consideration of the premises and

other good and valuable consideration, the receipt and adequacy of which are

hereby acknowledged, the parties agree as follows:

 

1.             Purchase

and Sale of Preferred Stock.  In

consideration of this Agreement, the Company hereby agrees to sell to the

Purchaser, and the Purchaser hereby agrees to purchase from the Company, the

Shares in accordance with the following terms:

(a)           Purchaser agrees to pay to the

Company an aggregate purchase price of $400,000 (the “Purchase Price”) for the

Shares.  Promptly following the

execution of this Agreement, the Purchaser shall pay the full amount of the

Purchase Price to the Company by wire transfer in immediately available funds

to an account designated in writing by the Company.

(b)           In order to determine the number of

Shares to be received by the Purchaser from the Company in exchange for the

Purchase Price, the Company and the 

 

Purchaser hereby agree that the number of Shares shall

be determined by dividing the Purchase Price by the price per share of Zamba’s

NextNet Stock, with the price per share determined by the first to occur of the

following events:

 

(i)            the price per share of Zamba’s

NextNet Stock determined upon the merger, consolidation, sale of all or

substantially all of the assets or any other change-in-control of NextNet in

which NextNet is not the continuing corporation after such merger,

consolidation, sale of all or substantially all of the assets or other such

change-in-control;

(ii)           the price per share of Zamba’s

NextNet Stock established upon the Company’s sale of any shares of Zamba’s

NextNet Stock to any third party;

(iii)          if the events specified in (i) or

(ii)above have not occurred by December 31, 2002, the Company and the Purchaser

shall agree to engage an independent accountant, valuation expert or other

entity experienced in the valuation of companies substantially similar to

NextNet to prepare a valuation of Zamba’s NextNet Stock, which valuation shall

be binding upon the Company and the Purchaser.

(c)           Notwithstanding the foregoing, if the

valuation determined pursuant to Section 1(b) above would otherwise result in

the issuance of a greater number of shares of Zamba’s NextNet Stock than the

number of shares of Zamba’s NextNet Stock then owned by the Company, after

subtracting the number of shares to be provided to the Purchaser pursuant to

the February Stock Purchase Agreement, the number of Shares to be issued to the

Purchaser under this Agreement shall be limited to the number of shares of

Zamba’s NextNet Stock then owned by the Company.

(d)           Within ten business days after the

determination of the number of Shares to be issued to the Purchaser in

accordance with the provisions set forth in Section 1(b) above, the Company shall

deliver to NextNet a notice pursuant to the Right of First Offer set forth in

Section 1.1 of the Right of First Refusal Agreement (the “Refusal Agreement”)

dated September 21, 1998 by and among Zamba Corporation (“Zamba”) (formerly

known as “Racotek, Inc.”), NextNet Wireless, Inc. (“NextNet”) (formerly known

as “NextNet, Inc.”) and the holders of the Series B Preferred Stock of NextNet.

(e)           If NextNet elects to exercise its

right of first refusal pursuant to Section 1(d) above, the Purchase Price shall

be refunded to the Purchaser within ten business days of the Company’s receipt

of full payment from NextNet for the Shares, and the Purchaser shall not

receive any of the Shares.  If NextNet

declines to exercise its right of first refusal, the Company shall, within ten

business days after the Company’s receipt of NextNet’s notice to decline its

right, notify each investor in NextNet eligible under the Refusal Agreement of

its opportunity to exercise its pro rata right of first refusal pursuant to the

Refusal Agreement.

(f)            If any of the eligible investors in

NextNet  elects to exercise its pro rata

right of first refusal pursuant to Section 1(e) above, the Company will forward

to the 

 

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Purchaser the payments the Company receives from such

investor(s) within ten business days of the Company’s receipt of such payment,

and the number of Shares that the Purchaser will receive pursuant to this

Agreement shall be reduced on a pro rata basis.  Within ten business days after the expiration of the investor

refusal period, and subject to the limitations set forth in Section 1(c) above,

the Company shall deliver to the Purchaser a certificate registered in the

Purchaser’s name representing the number of Shares purchased.

 

2.             Representations

and Warranties of the Purchaser.  As

a material inducement for the Company’s issuance and sale of the Shares, the

Purchaser represents, warrants, covenants and acknowledges to the Company that:

(a)           The Purchaser understands that the

issuance of the Shares has not been registered under the Securities Act of

1933, as amended (the “Securities Act”), or applicable state securities

laws.  Instead, the Company is issuing

the Shares pursuant to exemptions from such laws and in doing so is and would

be relying on, among other things, the Purchaser’s representations, warranties,

covenants and acknowledgements contained herein.

(b)           The Purchaser qualifies as an

“accredited investor” as such term is defined in Rule 501(a) of Regulation D

under the Securities Act.

(c)           As the Chairman of the Company’s and

NextNet’s Board of Directors, the Purchaser has detailed knowledge of the

Company’s and NextNet’s business, financial condition and prospects.  In addition, the Purchaser has been provided

with or given access to such additional information as the Purchaser has

requested from the Company and has utilized such information to his

satisfaction for the purpose of obtaining information regarding the Company’s

and NextNet’s business, financial condition and prospects.

(d)           The Purchaser is acquiring the Shares

for his own account, for investment purposes only, and without the intention of

reselling or redistributing the Shares;

(e)           The Purchaser is aware that, in the

view of the Securities and Exchange Commission, a purchase of the Shares with

an intent to resell by reason of any foreseeable specific contingency or

anticipated change in market values, or any change in NextNet’s condition, or

in connection with a contemplated liquidation or settlement of any loan

obtained for the acquisition of the Shares and for which the Shares were

pledged, would constitute an intent inconsistent with the foregoing

representation.

(f)            If, contrary to the Purchaser’s

foregoing intentions, he should later desire to dispose of or transfer any of

the Shares in any manner, the undersigned shall not do so without (i) first

obtaining an opinion of counsel satisfactory to the Company and NextNet that

such proposed disposition or transfer may lawfully be made without registration

pursuant to the Securities Act and applicable state securities laws or

(ii) registering the resale of the Shares under the Securities Act and

applicable state securities laws.

 

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(g)           Neither the Company nor NextNet has

any obligation to register the Shares for resale under the Securities Act or

any applicable state securities laws, or to take any other action which would

facilitate the availability of federal or state registration exemptions in

connection with any resale of the Shares. 

Accordingly, the Purchaser may be prohibited by law from selling or

otherwise transferring or disposing of the Shares and may have to bear the

economic risk of his investment in NextNet for an indefinite period.

3.             Representations

and Warranties of the Company.  As a

material inducement for the Purchaser’s purchase of the Shares, the Company

represents, warrants, covenants and acknowledges to the Purchaser that: 

(a)           The Company is a corporation duly

organized, validly existing and in good standing under the laws of the State of

Delaware and has the requisite corporate power and authority to own its

properties and to carry on its business as now being conducted and presently

proposed to be conducted.

(b)           The Shares are being transferred to

the Purchaser free and clear of any liens, encumbrances or other restrictions,

other than restrictions on transfer imposed by applicable securities laws.

4.             Merger,

Consolidation or Other Change in Control of the Company or NextNet.

(a)           If

the Company shall at any time consolidate with or merge into to another

corporation (where the Company is not the continuing corporation after such

merger, consolidation, sale of all or substantially all of its assets or other

change-in-control), or the Company shall sell, transfer or lease all or

substantially all of its assets, then, in any such case, the Purchaser

thereupon (and thereafter) shall continue to be entitled to be bound by the

terms of this Agreement and shall be entitled to receive the number of Shares

determined in accordance with Section 1(b) above.

(b)           If NextNet shall at any time

consolidate with or merge into another corporation (where NextNet is not the

continuing corporation after such merger, consolidation or other

change-in-control), or NextNet shall sell, transfer or lease all or

substantially all of its assets, then, in any such case, the Purchaser

thereupon (and thereafter) shall be entitled to receive the number of Shares

(or the proceeds resulting from the sale of such Shares in connection with such

merger, consolidation, or other change-in-control) determined in accordance

with Section 1(b)(ii) above.

5.             Insolvency

or Bankruptcy of the Company or NextNet. 

Upon the insolvency or bankruptcy (whether voluntary or involuntary) of

the Company or NextNet, or the appointment of or taking possession by a

receiver, liquidator, assignee, trustee, custodian, sequestrator (or other

similar official) of the Company or NextNet or any substantial part of the

Company’s or NextNet’s property, or any general assignment for the benefit of

creditors of the Company or NextNet, the Purchaser shall be an unsecured

general creditor of the Company or NextNet, as applicable, and shall not have

any security interest or other rights in connection with this Agreement or the

Shares purchased hereunder.

 

4

 

6.             Miscellaneous.

(a)           Binding Effect.  This Agreement shall be binding upon and

inure to the benefit of and be enforceable against the parties hereto and their

respective successors and permitted assigns.

(b)           Governing Law.  This Agreement shall in all respects be

governed by, and enforced and interpreted in accordance with, the laws of the

State of Minnesota, except with respect to its rules relating to conflicts of

laws.

(c)           Legend.  The Shares issued to the Purchaser pursuant

to this Agreement shall contain the following legend:

THESE

SHARES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,

OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE SOLD, TRANSFERRED OR

OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT OR

EXEMPTION FROM REGISTRATION UNDER THE FOREGOING LAWS.  ACCORDINGLY, THESE SHARES MAY NOT BE SOLD, TRANSFERRED OR OTHERWISE

DISPOSED OF WITHOUT (i) AN OPINION OF COUNSEL SATISFACTORY TO ZAMBA CORPORATION

THAT SUCH SALE, TRANSFER OR OTHER DISPOSITION MAY LAWFULLY BE MADE WITHOUT

REGISTRATION UNDER THE SECURITIES ACT OF 1933 AND APPLICABLE STATE SECURITIES

LAWS OR (ii) SUCH REGISTRATION.

 

(d)           Notices.  All notices, consents, requests, demands,

instructions or other communications provided for herein shall be in writing

and shall be deemed validly given, made and served when (a) delivered

personally, (b) sent by certified or registered mail, postage prepaid,

(c) sent by reputable overnight delivery service, or (d) sent by

telephonic facsimile transmission, and, pending the designation of another

address, addressed as follows:

	

  If to the Company:

  	

   

  	

  Zamba Corporation

  
	

   

  	

   

  	

  3033 Excelsior Blvd., Suite 200

  
	

   

  	

   

  	

  Minneapolis, Minnesota 55416

  
	

   

  	

   

  	

  Attn:  Chief

  Financial Officer

  
	

   

  	

   

  	

  Fax: (952) 893-3948

  
	

   

  	

   

  	

   

  
	

  If to the Purchaser:

  	

   

  	

  Joseph B. Costello

  
	

   

  	

   

  	

  2880 Lakeside Drive, Suite 250

  
	

   

  	

   

  	

  Santa Clara, California 95054

  
	

   

  	

   

  	

  Fax: (408) 727-0235

  

 

(e)           Entire Agreement and Counterparts.  This Agreement evidences the entire

agreement between the Company and the Purchaser relating to the subject matter

hereof and supersedes in all respects any and all prior oral or written

agreements or 

 

5

 

understandings. 

This Agreement may not be amended or modified, and no provisions hereof

may be waived, except by written instrument signed by both the Company and the

Purchaser.  This Agreement may be

executed in counterparts, each of which shall be deemed an original and all of

which, when taken together, shall constitute one Agreement.

 

(f)            Headings.  Section headings used in this Agreement have

no legal significance and are used solely for convenience of reference.

(g)           Expenses.  Each party shall pay for its own legal,

accounting and other similar expenses incurred in connection with the

transaction contemplated by this Agreement.

 

6

            IN WITNESS

WHEREOF, the Company and the Purchaser have executed this Agreement as of the

date set forth in the first paragraph.

 

	

  THE COMPANY:  

  	

   

  	

  THE PURCHASER:

  	

   

  	

   

  	 

	

   

  	

   

  	

   

  	

   

  	

   

  	 

	

  ZAMBA CORPORATION

  	

   

  	

   

  	

   

  	

   

  	 

	

   

  	

   

  	

   

  	

   

  	

   

  	 

	

   

  	

   

  	

   

  	

   

  	

   

  	 

	

  By:

  	

  /s/ Michael H.

  Carrel

  	

   

  	

  /s/ Joseph B.

  Costello

  	

   

  
	

  Name:

  	

  Michael H. Carrel

  	

   

  	

  Joseph B. Costello

  	

   

  	 

	

  Title:

  	

  CFO

  	

   

  	

   

  	

   

  	 

	

   

  	

   

  	

   

  	

   

  	

   

  	 

								

 

 

 

 

7

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