Document:

Dated
      as
      of January 8,
      2007

    

    Mr.
      John
      Pappajohn

    Chairman

    Healthcare
      Acquisition Corp.

    2116
      Financial Center

    666
      Walnut Street

    Des
      Moines, IA 50309 

    

    
      	 	
              Re:

            	
              Letter
                of Engagement

            

    

    

    Dear
      Mr.
      Pappajohn:

    

    The
      purpose of this Advisory Agreement (“Agreement”)
      is to
      confirm the agreement between Healthcare Acquisition Corp., a Delaware
      corporation (“Company”),
      and
      Maxim Group LLC (“Maxim”),
      a New
      York
      limited
      liability company whose offices are located in New York City, New York with
      respect to the matters herein set forth.

    

    
      	 	
              1.

            	
              Relationship.
                

            

    

    

    A. The
      Company appoints Maxim as its lead merger and acquisition advisor to assist
      and
      advise the Company with respect to the Company’s proposed acquisition (the
“Transaction”) of PharmaAthene, Inc. (the “Target”)
      and
      Maxim accepts such retention upon the terms and conditions contained herein.
      In
      connection with its retention hereunder, Maxim may provide certain or all of
      the
      following services in connection with the potential Transaction(s): (a)
review
      the Company’s presentation and marketing materials and other materials used to
      present the Company to the investment community;
      (b)
organize
      institutional and retail road shows for
      management of the Company to
      present to; (c)
      increase exposure to the investment community and assist in broadening the
      investor base through both retail and institutional roadshows; (d) and provide
      such other financial advisory services upon which the parties may mutually
      agree (hereinafter
      referred to as the “Advisory
      Services”).
      It is
      expressly understood and agreed that Maxim shall be required to perform only
      such Advisory Services as may be necessary or desirable in connection with
      a
      Transaction and therefore may not perform all of the tasks enumerated above
      during the term of this Agreement. It is further understood that Maxim’s
      Advisory Services may not be limited to those enumerated in this paragraph,
      as
      the circumstances require.

    

    B. It
      is
      expressly understood and agreed by both parties that the Company will not
      utilize the Advisory Services performed by Maxim for any purpose other than
      that
      which is specifically contemplated by this Agreement, and that Maxim’s Advisory
      Services are confidential and shall not in no way be communicated to any third
      party(s) interested in engaging in a Transaction except to the extent that
      such
      disclosure is required by law, including the federal securities laws, rule,
      regulation or judicial or administrative process. For the point of further
      clarification, it is further understood and agreed by the parties to this
      Agreement that Maxim’s Advisory Services do not contemplate the rendering of a
      fairness opinion for use in any filing with the Securities and Exchange
      Commission or any proxy materials to be sent to the Company’s shareholders and
      the Company shall not use any of the materials prepared by Maxim for any purpose
      other than internal use without the prior express written consent and approval
      of Maxim except to the extent such use is required to enable the Company to
      comply with its obligations under any law, rule, regulation or judicial or
      administrative process. Notwithstanding anything contained herein, the Company
      understands and agrees that Maxim shall
      not
      provide “proxy solicitation” services to the Company and shall not be
      recommending to shareholders of
      the
      Company the
      manner in which
      such
      shareholders should vote with respect to any Transaction.

    

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              Healthcare
                Acquisition Corp.

            	
              

            
	
              January
                8, 2007

            
	
              Page
                2 of 9

            

    

     

     

    C. As
      used
      in this Agreement, the term “Transaction”
shall
      mean, whether effected directly or indirectly or in one transaction or a series
      of transactions, the acquisition
      through a merger, capital stock exchange, asset acquisition, stock acquisition
      or other similar business combination of one or more businesses in the
      heatlhcare industry
      and/or
      other related industries.

    

    2. Term
      of Agreement.
      This
      Agreement will terminate on
      the
      earlier of (i) August 3, 2007 or (ii) the Close (as defined in paragraph 3
      below) unless earlier terminated pursuant to Section 6 herein or extended to
      another date mutually agreed to in writing (such date of termination, the
“Termination
      Date”).
      This
      Agreement shall not be in effect until execution of a definitve acquisition
      agreement between the Company and the Target, except with respect to the payment
      of expenses under Section 4 hereof. 

    

    3. A. Financial
      Advisor Fee. For
      providing the Advisory Services, Maxim shall be paid a cash fee of $500,000
      (the
“Success
      Fee”).
      The
      Company shall
      pay
      the
      Success Fee
      to Maxim
      at the Close (as defined in paragraph 3 below) of such
      Transaction.  

       

    B. As
      used
      herein, the term “Close”
occurs
      at the
      time
of
      consummation of
      the
      Transaction. 

    

    C. In
      no
      event shall any obligations of the Company to pay fees or any other compensation
      to any other advisor or any other person in connection with any Transaction
      reduce the
      Success
      Fee and other expenses payable by the Company to Maxim under this
      Agreement.

    

    D. The
      Company acknowledges and agrees that any compensation payable or paid to Maxim
      hereunder shall not be construed or characterized as compensation to an
      underwriter within the meaning of the rules of the NASD. The Company recognizes
      that the fees and expenses payable to Maxim under the terms of this Agreement
      do
      not waive or in any way obviate the Company’s obligation to pay any of the
      previously agreed upon deferred compensation due and payable to Maxim under
      the
      terms of the Underwriting Agreement dated July 28, 2005, between Maxim and
      the
      Company
      (the
“Underwriting Agreement”). The Company and Maxim agree and acknowledge that such
      deferred compensation shall be payable to Maxim as set forth in the Undewriting
      Agreement. 

    

    E. In
      the
      event the Company desires to engage Maxim to: (i) provide placement agency
      or
      similar fund raising services , such engagement shall be memorialized in
      separate agreements between the Company and Maxim which shall contain such
      terms
      and provisions relating thereto as the parties may agree upon.

    

    4. Expenses.
      In
      addition to the fees payable hereunder, and regardless of whether any
      Transaction is proposed or consummated, the Company shall reimburse Maxim for
      all reasonable out of pocket expenses incurred by Maxim for legal, travel,
      food,
      lodging up to an aggregate of $15,000 in
      connection with the services performed by Maxim pursuant to this Agreement.
      Such
      expenses shall be paid within thirty (30) days from the date an invoice is
      submitted to the Company.

     

     

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 3
              of 9

          

     

    

    5. Independent
      Contractor.
      The
      parties agree that Maxim is acting solely as an independent contractor under
      this Agreement. Maxim is not authorized to make any representations, warranties,
      agreements, covenants or commitments of any nature whatsoever on behalf of
      the
      Company not contemplated by this Agreement, unless and then only to the extent
      expressly authorized in writing by the Company to do so.

    6. Termination.
      The
      Company or Maxim may terminate this Agreement at any time upon thirty (30)
      days
      prior written notice to the other party; provided, however, that the Company
      may
      only terminate this Agreement in the event that Maxim is in material breach
      of
      its obligations under the terms of this Agreement and provided that the Company
      shall have provided Maxim with a right to cure such breach. Notwithstanding
      any
      such termination, Maxim shall nonetheless be entitled to receive all amounts
      due
      to Maxim in consideration for services rendered hereunder by Maxim to the extent
      provided in paragraphs 3 and 4 hereof.

    

    7. Indemnification.
      The
      Company agrees to indemnify and hold harmless Maxim, including any affiliated
      companies, and their respective officers, directors, controlling persons and
      employees and any persons retained in connection with this Agreement in
      accordance with the terms set forth in Exhibit
      A
      of this
      letter. 

    

    8. Information;
      Confidentiality.
      During
      the term of this Agreement, the Company agrees to cooperate with Maxim and
      to
      furnish, or cause to be furnished, to Maxim, any and all information and data
      concerning the Company and a Transaction that Maxim deems appropriate in
      connection with the rendering of its services hereunder.

    

    The
      Company agrees that any information or advice rendered by Maxim or its or its
      officers, employees, agents and representatives (“Representatives”)
      in
      connection with its engagement hereunder is solely for the Company’s
      confidential use in connection with its evaluation of a Transaction. Except
      as
      otherwise required by law, rule,
      regulation, or judicial or administrative process, the Company will not, and
      will not permit any third party to, disclose or otherwise refer to such advice
      or information without Maxim’s prior written consent.

    

    Except
      as
      contemplated by the terms hereof or as required by applicable law, rule,
      regulation or judicial or administrative process, Maxim and its Representatives
      shall keep confidential all non-public information (“Information”)
      provided to it by or on behalf of the Company (including, without limitation,
      Information relating to the Transaction and Information regarding the Target).
      For purposes of this paragraph, the term Information shall not include
      information that: (a) is, at the time of disclosure, or subsequently enters
      the
      public domain without a breach by Maxim of any obligation owed to the Company;
      (b) became known to Maxim prior to the Company’s disclosure of such Information
      to Maxim; (c) became known to Maxim from a source other than the Company, and
      other than by the breach of an obligation of confidentiality owed to the
      Company; or
      (d) is
      disclosed by the Company to a third party without restrictions on its
      disclosure. The Company and Maxim acknowledge and agree that this Agreement
      and
      the terms of this Agreement are confidential and except as required by law
      (including, without limitation, any proxy statement or similar filing with
      the
      SEC in connection with the Transaction) will not be disclosed to anyone other
      than the officers, employees and directors of the Company and Maxim and their
      respective accountants and legal counsel. Maxim acknowledges that the
      confidentiality provisions of this Agreement shall be deemed to be an agreement
      to keep the Information in confidence as contemplated by Regulation FD
      promulgated by the Securities and Exchange Commission. In addition, Maxim
      acknowledges and agrees that some of the Information may be considered “material
      non-public information” for purposes of the federal securities laws
      (“Insider
      Information”)
      and
      that Maxim and its Representatives will abide by all securities laws relating
      to
      the handling of and acting upon Insider Information related to the Company
      and
      the Target. Further, Maxim shall comply with all securities laws and
      regulations,, including, without limitation, Regulation M, in connection with
      the performance of its duties hereunder.

     

    

      Members
        NASD & SIPC

      405
        Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761
        * fax
        (212) 895-3783 * www.maximgrp.com

      New
        York,
        NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 4
              of 9

          

     

    9. Certain
      Representations and Warranties of the Company.
      The
      Company represents and warrants to Maxim that neither the execution of this
      Agreement nor the consummation of any Transaction contemplated by this Agreement
      will conflict with or result in a breach of any of the terms and provisions
      of,
      or constitute a default (or an event which with notice or the lapse of time,
      or
      both, would constitute a default) under, or result in the creation or imposition
      of any lien, charge or encumbrance upon any property or assets of the Company
      pursuant to any oral or written agreement, understanding or arrangement to
      which
      the Company or its affiliates is a party.

    

    10. Waiver
      Against Trust Fund.
      Reference is made to the Final Prospectus of the Company, dated July 28, 2005
      (the “Prospectus”).
      Maxim
      and its authorized signatory indicated below have read the Prospectus and
      understand that the Company has established a trust fund (collectively with
      the
      initial principal and interest accrued from time to time thereon, the
“Trust
      Fund”),
      initially in an amount of at least $64,980,000 for the benefit of the Company’s
      public stockholders (the “Public
      Stockholders”)
      and
      the underwriters of the Company’s initial public offering and that, except for a
      portion of the interest earned on the amounts held in the Trust Fund, the
      Company may disburse monies from the Trust Fund only: (i) to the Public
      Stockholders in the event of the redemption of their shares or the dissolution
      and liquidation of the Company or (ii) to the Company and such underwriters
      after the Company consummates a business combination (as described in the
      Prospectus). 

    

    For
      and
      in consideration of the Company agreeing to retain Maxim to provide services
      to
      the Company, and
      for
      other good and valuable consideration, the receipt and sufficiency of which
      is
      hereby acknowledged, Maxim
      hereby agrees that Maxim does not now and shall not at any time hereafter have
      any claim to, or make any claim against, the Trust Fund, regardless of whether
      such claim arises as a result of, in connection with or relating in any way
      to,
      the business relationship between the Company and Maxim, this waiver letter
      or
      any other matter, and regardless of whether such claim arises based on contract,
      tort, equity or any other theory of legal liability (any and all such claims
      are
      collectively referred to hereafter as the “Claims”).
      Maxim
      hereby irrevocably waives any Claim it may have, now or in the future, and
      will
      not seek recourse against, the Trust Fund for any reason whatsoever. In the
      event that Maxim commences any action or proceeding based upon, in connection
      with, relating to or arising out of any matter relating to the Company, which
      proceeding seeks, in whole or in part, relief against the Trust Fund or the
      Public Stockholders, whether in the form of money damages or injunctive relief,
      in which the Company or the Public Stockholders prevail, whether on the merits
      or otherwise, then the Company shall be entitled to recover from Maxim and/or
      the party(ies) who commenced the action or proceeding, the legal fees and
      associated costs required to defend such action. 

    

    The
      foregoing waiver shall not apply to claims Maxim may have under applicable
      agreements against the Trust Fund for deferred compensation of Maxim (as
      described in the Propsectus) which is held in the Trust Fund and is payable
      to
      Maxim upon the consummation of the Transaction.

    
 

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 5
              of 9

          

     

    

    11. Disclaimers.
      The
      Company agrees that any and all decisions, acts, actions, or omissions with
      respect to the Target and any Transaction shall be the sole responsibility
      of
      the Company, and that the performance by Maxim of services hereunder will in
      no
      way expose Maxim to any liability for any such decisions, acts, actions or
      omissions of the Company.

    

    12. Choice
      of Law; Venue; Attorney’s Fees; Waiver of Jury Trial.
      This
      Agreement shall be governed by the internal laws of the State of New York,
      without regard to conflict of laws principles. Each of Maxim and the Company:
      (i) agrees that any legal suit, action or proceeding arising out of or relating
      to this engagement letter and/or the transactions contemplated hereby shall
      be
      instituted exclusively in New York Supreme Court, County of New York, or in
      the
      United States District Court for the Southern District of New York, (ii) waives
      any objection which it may have or hereafter
      has
      to the
      venue of any such suit, action or proceeding, and (iii) irrevocably consents
      to
      the jurisdiction of the New York Supreme Court, County of New York, and the
      United States District Court for the Southern District of New York in any such
      suit, action or proceeding. Each of Maxim and the Company further agrees to
      accept and acknowledge service of any and all process which may be served in
      any
      such suit, action or proceeding in the New York Supreme Court, County of New
      York, or in the United States District Court for the Southern District of New
      York and agrees that service of process upon the Company mailed by certified
      mail to the Company’s address shall be deemed in every respect effective service
      of process upon the Company, in any such suit, action or proceeding, and service
      of process upon Maxim mailed by certified mail to Maxim’s address shall be
      deemed in every respect effective service process upon Maxim, in any such suit,
      action or proceeding.

    If
      any
      party to this Agreement brings an action directly or indirectly based upon
      this
      Agreement or the matters contemplated hereby, the prevailing party shall be
      entitled to recover, in addition to any other appropriate amounts, its
      reasonable costs and expenses in connection with such proceeding, including,
      but
      not limited to reasonable attorneys’ fees and court costs. Any
      right
      to trial by jury with respect to any law suit, claim or other proceeding arising
      out of or relating to this Agreement or the services to be rendered by Maxim
      hereunder is expressly and irrevocably waived by the parties hereto.

    

    13. Parties.
      Nothing
      in this Agreement, expressed or implied, is intended to confer or does confer
      on
      any person or entity other than the parties hereto and their respective
      successors and assigns and, to the extent expressly set forth herein, the
      Indemnified Persons (as defined on Exhibit
      A
      hereto),
      any rights or remedies under or by reason of this Agreement or as a result
      of
      the services to be rendered by Maxim hereunder.

    

    14. Severability.
      In the
      event that any term or provision of this Agreement shall be held to be illegal
      or unenforceable, the entire Agreement shall not fail on account thereof. It
      is
      further agreed that if any one or more of such paragraphs or provisions shall
      be
      judged to be void as going beyond what is reasonable in all of the circumstances
      for the protection of the interests of the Company, but would be valid if part
      of the wording thereof were deleted or the period thereof reduced or the range
      of activities covered thereby reduced in scope, the said reduction shall be
      deemed to apply with such modifications as may be necessary to make them valid
      and effective and any such modification shall not thereby affect the validity
      of
      any other paragraph or provisions contained in this Agreement.

    

    15. Review
      by Counsel.
      This
      Agreement has been reviewed by the signatories hereto and their counsel. There
      shall be no construction of any provision against Maxim because this Agreement
      was drafted by Maxim, and the parties waive any statute or rule of law to such
      effect.

    
 

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

    
      	
              Healthcare
                Acquisition Corp.

            	
              

            
	
              January
                8, 2007

            
	
              Page 6
                of 9

            

       

      

      16. Credit.
        Subject
        to applicable securities laws and regulations, Maxim may, at its own expense,
        place announcements in financial and other newspapers and periodicals describing
        its services in connection with the Transaction. The content of any such
        announcement shall be subject to the Company’s prior approval, which approval
        shall not be unreasonably withheld or delayed.

      

      17. Survival
        of Certain Provisions.
        The
        provisions of Sections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 18, 20,
        21
        and this Section 17, shall survive any termination of this
        Agreement.

    18. Entire
      Agreement.
      This
      Agreement and the schedule hereto sets forth the entire understandings of the
      parties relating to the subject matter hereof and supersedes and cancels any
      prior or contemporaneous communications, understandings or agreements between
      the parties hereto. The parties mutually agree that this Agreement shall in
      no
      way obviate, amend or affect the terms, conditions and/or attendant obligations
      of any agreements between the Company and Maxim, including, without limitation,
      the Underwriting Agreement dated as of July 28, 2005.

    

    19. Modification.
      This
      Agreement may not be altered, amended, changed or modified, nor can any of
      its
      provisions be waived, except by written amendment signed by both parties
      hereto.

    

    20. Counterparts.
      This
      Agreement may be executed in counterparts and by facsimile, each of which,
      when
      taken together, shall constitute one and the same agreement.

    

    21. Notices.
      All
      notices provided hereunder shall be given in writing and either delivered
      personally or by overnight courier service or sent by certified mail, return
      receipt requested, or by facsimile transmission, if to Maxim, to:

    

    Maxim
      Group LLC 

    405
      Lexington Avenue

    New
      York,
      New York 10174 

    Attention:
      Edward L. Rose, Esq., General Counsel 

    Fax
      No.
      (212) 895-3860

    as
      well
      as to:

    James
      E.
      Siegel, Esq., Assistant General Counsel, 

    Fax
      No.
      (212) 895-3888, 

    

    And
      if to
      the Company, to the addresses, set forth on the first page of this Agreement,
      Attention, John Pappajohn. Any notice delivered personally or by fax shall
      be
      deemed given upon receipt (with confirmation of receipt required in the case
      of
      fax transmissions); any notice given by overnight courier shall be deemed given
      on the next business day after delivery to the overnight courier; and any notice
      given by certified mail shall be deemed given upon the second business day
      after
      certification thereof.

    

    

    (Signature
      Page to follow)

     

    
      Members
        NASD & SIPC

      405
        Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761
        * fax
        (212) 895-3783 * www.maximgrp.com

      New
        York,
        NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 7
              of 9

          

    

    If
      the
      foregoing correctly sets forth our agreement with respect to the matters
      addressed herein, please so confirm by signing and returning one copy of this
      letter. Your signature below shall indicate the Company’s agreement to the terms
      hereof. We look forward to working with you.

    

    

    
      	 	
              Sincerely,

            
	 	 
	 	
              MAXIM
                GROUP LLC

            
	 	 
	 	 
	 	 
	 	
              /s/
                Andrew H. Scott

            
	 	
              Name:
                Andrew H. Scott

            
	 	
              Title:
                Managing Director

            
	 	 
	 	 
	 	 
	 	
              /s/
                Clifford A. Teller

            
	 	
              Name:
                Clifford A. Teller

            
	 	
              Title:
                Director of Investment Banking

            

    

    

    

    AGREED
      TO
      AND ACCEPTED:

    

    HEALTHCARE
      ACQUISITION CORP.

    

    

    /s/
      John Pappajohn_________________ 

    Name:
      John Pappajohn

    Title:  
      Chairman

    
 

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 8
              of 9

          

     

    Exhibit
      A

    

    INDEMNIFICATION
      PROVISIONS

    

    Capitalized
      terms used in this Exhibit shall have the meanings ascribed to such terms in
      the
      Agreement to which this Exhibit is attached. 

    

    The
      Company agrees to indemnify and hold harmless Maxim and each of the other
      Indemnified Parties (as hereinafter defined) from and against any and all
      losses, claims, damages, obligations, penalties, judgments, awards, liabilities,
      costs, expenses and disbursements, and any and all actions, suits, proceedings
      and investigations in respect thereof and any and all reasonable legal and
      other
      costs, expenses and disbursements in giving testimony or furnishing documents
      in
      response to a subpoena or otherwise (including, without limitation, the costs,
      expenses and disbursements, as and when incurred, of investigating, preparing,
      pursing or defending any such action, suit, proceeding or investigation (whether
      or not in connection with litigation in which any Indemnified Party is a party))
      (collectively, “Losses”),
      directly or indirectly, caused by, relating to, based upon, arising out of,
      or
      in connection with, Maxim’s acting for the Company, including, without
      limitation, any act or omission by Maxim in connection with its acceptance
      of or
      the performance or non-performance of its obligations under the Agreement
      between the Company and Maxim to which these indemnification provisions are
      attached and form a part (the “Agreement”),
      any
      breach by the Company of any representation, warranty, covenant or agreement
      contained in the Agreement (or in any instrument, document or agreement relating
      thereto, including any Agency Agreement), or the enforcement by Maxim of its
      rights under the Agreement or these indemnification provisions, except to the
      extent that any such Losses are found in a final judgment by a court of
      competent jurisdiction (not subject to further appeal) to have resulted
      primarily and directly from the gross negligence or willful misconduct of the
      Indemnified Party seeking indemnification hereunder. The Company also agrees
      that no Indemnified Party shall have any liability (whether direct or indirect,
      in contract or tort or otherwise) to the Company for or in connection with
      the
      engagement of Maxim by the Company or for any other reason, except to the extent
      that any such liability is found in a final judgment by a court of competent
      jurisdiction (not subject to further appeal) to have resulted primarily and
      directly from such Indemnified Party’s bad faith, gross negligence or willful
      misconduct.

    

    These
      Indemnification Provisions shall extend to the following persons (collectively,
      the “Indemnified
      Parties”):
      Maxim, its present and former affiliated entities, managers, members, officers,
      employees, legal counsel, agents and controlling persons (within the meaning
      of
      the federal securities laws), and the officers, directors, partners,
      stockholders, members, managers, employees, legal counsel, agents and
      controlling persons of any of them. These indemnification provisions shall
      be in
      addition to any liability which the Company may otherwise have to any
      Indemnified Party.

    

    If
      any
      action, suit, proceeding or investigation is commenced, as to which an
      Indemnified Party proposes to demand indemnification, it shall notify the
      Company with reasonable promptness; provided,
      however,
      that
      any failure by an Indemnified Party to notify the Company shall not relieve
      the
      Company from its obligations hereunder. An Indemnified Party shall have the
      right to retain counsel of its own choice to represent it, and the fees,
      expenses and disbursements of such counsel shall be borne by the Company. Any
      such counsel shall, to the extent consistent with its professional
      responsibilities, cooperate with the Company and any counsel designated by
      the
      Company. The Company shall be liable for any settlement of any claim against
      any
      Indemnified Party made with the Company’s written consent. The Company shall
      not, without the prior written consent of Maxim, settle or compromise any claim,
      or permit a default or consent to the entry of any judgment in respect thereof,
      unless such settlement, compromise or consent (i) includes, as an unconditional
      term thereof, the giving by the claimant to all of the Indemnified Parties
      of an
      unconditional release from all liability in respect of such claim, and (ii)
      does
      not contain any factual or legal omission by or with respect to an Indemnified
      Party or an adverse statement with respect to the character, professionalism,
      expertise or reputation of any Indemnified Party or any action or inaction
      of
      any Indemnified Party.

     

     

    Members
      NASD & SIPC

    405
      Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761 *
      fax
      (212) 895-3783 * www.maximgrp.com

    New
      York,
      NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MD

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	
            Healthcare
              Acquisition Corp.

          	
            

          
	
            January
              8, 2007

          
	
            Page 9
              of 9

          

     

    In
      order
      to provide for just and equitable contribution, if a claim for indemnification
      pursuant to these indemnification provisions is made but it is found in a final
      judgment by a court of competent jurisdiction (not subject to further appeal)
      that such indemnification may not be enforced in such case, even though the
      express provisions hereof provide for indemnification in such case, then the
      Company shall contribute to the Losses to which any Indemnified Party may be
      subject (i) in accordance with the relative benefits received by the Company
      and
      its stockholders, subsidiaries and affiliates, on the one hand, and the
      Indemnified Party, on the other hand, and (ii) if (and only if) the allocation
      provided in clause (i) of this sentence is not permitted by applicable law,
      in
      such proportion as to reflect not only the relative benefits, but also the
      relative fault of the Company, on the one hand, and the Indemnified Party,
      on
      the other hand, in connection with the statements, acts or omissions which
      resulted in such Losses as well as any relevant equitable considerations. No
      person found liable for a fraudulent misrepresentation shall be entitled to
      contribution from any person who is not also found liable for fraudulent
      misrepresentation. The relative benefits received (or anticipated to be
      received) by the Company and it stockholders, subsidiaries and affiliates shall
      be deemed to be equal to the aggregate consideration payable or receivable
      by
      such parties in connection with the transaction or transactions to which the
      Agreement relates relative to the amount of fees actually received by Maxim
      in
      connection with such transaction or transactions. Notwithstanding the foregoing,
      in no event shall the amount contributed by all Indemnified Parties exceed
      the
      amount of fees previously received by Maxim pursuant to the
      Agreement.

    

    Neither
      termination nor completion of the Agreement shall affect these Indemnification
      Provisions which shall remain operative and in full force and effect. The
      Indemnification Provisions shall be binding upon the Company and its successors
      and assigns and shall inure to the benefit of the Indemnified Parties and their
      respective successors, assigns, heirs and personal representatives.

     

    
       

      Members
        NASD & SIPC

      405
        Lexington Ave. * New York, NY 10174 * tel (212) 895-3500 * (800) 724-0761
        * fax
        (212) 895-3783 * www.maximgrp.com

      New
        York,
        NY * Woodbury, NY * Chicago, IL* Red Bank, NJ * Baltimore, MDEX 10.1

    EXHIBIT
      10.1

    

    FIRST
      AMENDMENT TO

    SECURITIES
      PURCHASE AGREEMENT

    

    THIS
      FIRST AMENDMENT TO SECURITIES PURCHASE AGREEMENT (the “First Amendment”) is made
      and entered into as of this 18th
      day of
      January, 2007, by and among Rancher Energy Corp., a Nevada corporation (the
      “Company”), and the undersigned Buyers.

     

    A.    The
      Company and the investors listed on the Schedule of Buyers (collectively, the
      “Buyers”) entered into a Securities Purchase Agreement dated as of December 21,
      2006 (the “Agreement”).

     

    B.    The
      Company and certain of the Buyers desire to amend the Agreement to increase
      the
      maximum size of the offering from $76,343,130 to $79,500,000.

     

    C.    Section
      9(c) of the Agreement provides that an instrument signed by the Company and
      the
      holders of at least 60% of the aggregate amount of Registrable Securities issued
      and issuable under the Agreement and the Notes is necessary to amend the
      Agreement and such holders desire to amend the Agreement to increase the maximum
      size of the offering.

     

    NOW,
      THEREFORE, the Company and the Buyers hereby agree:

     

    1.    The
      first
      sentence of 1(c) is hereby deleted in its entirety and the following substituted
      therefor:

     

    (c)    Subsequent
      Sales of Common Shares, Notes and Warrants.
      At any
      time on or before February 19, 2007, or such later time as the Company and
      the
      holders of at least 60% of the Registrable Securities issued and issuable under
      the Agreement may mutually agree, the Company may sell additional securities
      (including Notes) up to a maximum raised hereby (including the securities sold
      at the Closing) of $79,500,000 to such persons (the “Additional Buyers”) as may
      be approved by the Board of Directors of the Company. 

     

    2.    Except
      as
      modified by this First Amendment, all terms of the Agreement shall remain in
      full force and effect without modification. 

     

    3.    This
      First Amendment may be executed in any number of counterparts, each of which
      when so executed and delivered will be deemed an original, and all of which
      together shall constitute one and the same Agreement. A facsimile signature
      shall be considered due execution and shall be binding upon the signatory
      thereto with the same force and effect as if the signature were an original
      and
      not a facsimile signature.

     

    4.    Capitalized
      terms not otherwise defined herein have the respective meanings ascribed to
      them
      in the Agreement.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the parties have executed this First Amendment effective as
      of
      the day first above written.

     

    
      	COMPANY	
            	BUYERS
	 	 	 	 	 
	RANCHER
              ENERGY CORP.	 	 	 
	 	
            	 	
              By:

            	   

	 	 	 	 	
              Name:

            
	 	 	 	 	
              Title:

            
	By:	    
	 	 	 
	 	
              Name:

            	 	ADDRESS:
	 	
              Title:

            	 	  

	 	 	 	  

	 	 	 	  
      

    

      

     

    
      
         

      

        2

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