Document:

REGISTRATION
      RIGHTS AGREEMENT

     

    REGISTRATION
      RIGHTS AGREEMENT
      (this
“Agreement”),
      dated
      as of June 15, 2007, between Tribeworks, Inc. a Delaware corporation, with
      headquarters located at 2001 152nd
      Avenue
      NE, Redmond, Washington 98052 (the “Company”)
      and
      West Coast Opportunity Fund, LLC, a Delaware limited liability company with
      headquarters located at 2151 Allesandro Drive, Suite 100, Ventura, California
      93001 (the “Buyer”
and
      collectively with the Company, the “Parties”).

     

    WHEREAS:

     

    A. In
      connection with the Securities Purchase Agreement between the Company and the
      Buyer of even date herewith (the “Securities
      Purchase Agreement”),
      (i)
      the Company has agreed to cause its subsidiary Atlas Technology Group (US),
      Inc.
      to issue and sell to Buyer two promissory notes, (the “Promissory
      Notes”);
      (ii)
      the Company has agreed to issue and sell to Buyer a yield enhancement consisting
      of up to 6,500,000 shares (each a “Yield
      Enhancement Share”)
      of the
      authorized but unissued shares of the Company’s common stock, $0.0004 par value
      per share (including any securities into which or for which such shares may
      be
      exchanged for, or converted into, pursuant to any stock dividend, stock split,
      stock combination, recapitalization, reclassification, reorganization or other
      similar event) (the “Common
      Stock”);
      and
      (iii) in connection with the sale of the Promissory Notes, the Company has
      agreed to issue warrants to purchase up to 6,500,000 shares of Common Stock
      (the
“Warrants”).

     

    B. To
      induce
      the Buyer to execute and deliver the Securities Purchase Agreement, the Company
      has agreed to provide certain registration rights to Buyer under the Securities
      Act of 1933, as amended, and the rules and regulations promulgated thereunder,
      or any similar successor statute (collectively, the “1933
      Act”),
      and
      applicable state securities laws.

     

    C. Pursuant
      to certain existing agreements that provide registration rights to certain
      Existing Investors (as defined below), the Company has agreed to provide certain
      registration rights to the Existing Investors under the 1933 Act and applicable
      state securities laws.

     

    NOW,
      THEREFORE,
      in
      consideration of the premises and the mutual covenants contained herein and
      other good and valuable consideration, the receipt and sufficiency of which
      are
      hereby acknowledged, the Company and Buyer hereby agree as follows:

     

    1. Definitions.

     

    Capitalized
      terms used herein and not otherwise defined herein shall have the respective
      meanings set forth in the Securities Purchase Agreement.  As used in this
      Agreement, the following terms shall have the following meanings:

     

    a. “Affiliates”
shall
      mean directors, officers and holders of 10% or greater of the outstanding Common
      Stock of the Company.

     

    b. “Business
      Day”
means
      any day other than Saturday, Sunday or any other day on which commercial banks
      in Los Angeles, California are authorized or required by law to remain
      closed.

     

    c. “Closing
      Date”
shall
      have the meaning set forth in the Securities Purchase Agreement.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    d. “Effective
      Date”
means
      the date that a Registration Statement has been declared effective by the
      SEC.

     

    e. “Effectiveness
      Deadline”
shall
      mean a date that is 150 days following the Closing Date.

     

    f. “Existing
      Common Stock”
see
      Existing Investors.

     

    g. “Existing
      Investors”
current
      investors of the Company that own restricted shares of Common Stock or
      restricted warrants of the Company with registration rights, in the amounts
      set
      forth on Schedule E,
      that
      elect to have the resale of their restricted Common Stock registered pursuant
      to
      a Registration Statement (“Existing
      Common Stock”)
      or the
      resale of restricted shares of Common Stock underlying outstanding warrants
      registered pursuant to a Registration Statement (“Existing
      Warrant Shares”
and
      collectively with the Existing Common Stock, the “Existing
      Securities”).

     

    h. “Existing
      Warrant Shares”
see
      Existing Investors.

     

    i. “Filing
      Deadline”
means
      the date which is 90 days after the Closing Date.

     

    j. “Follow-On
      Registration Statement”
means
      an additional Registration Statement(s) to be filed by the Company if the
      Company is able to register only the Target Registration Amount in the Initial
      Registration Statement.

     

    k. “Initial
      Registration Statement”
means
      the first Registration Statement to be filed by the Company.

     

    l. “Investor”
means
      Buyer or any transferee or assignee thereof to whom Buyer assigns its rights
      under this Agreement and who agrees to become bound by the provisions of this
      Agreement in accordance with Section
      11.

     

    m. “Management
      Stockholders”
means
      Robert Altinger, Peter Jacobson, Michael Murphy and AMJ Holdings and any entity
      beneficially controlled by them.

     

    n. “Person”
means
      an individual, a limited liability company, a partnership, a joint venture,
      a
      corporation, a trust, an unincorporated organization and a government or any
      department or agency thereof.

     

    o. “Public
      Float”
means
      the number of shares of Common Stock of the Company that are outstanding,
      excluding shares held by Affiliates.

     

    p. “Register,”
      “registered,”
and
      “registration”
refer
      to a registration effected by preparing and filing one or more Registration
      Statements (as defined below) in compliance with the 1933 Act and pursuant
      to
      Rule 415 and the declaration or ordering of effectiveness of such Registration
      Statement(s) by the SEC.

     

    q. “Registrable
      Securities”
means
      the Yield Enhancement Shares and Warrant Shares purchased pursuant to the
      Securities Purchase Agreement.

     

    r. “Registration
      Statement”
means
      a
      registration statement or registration statements of the Company filed under
      the
      1933 Act covering the Registrable Securities.

     

    
      
        
        

      

      
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    s. “Required
      Holders”
means
      the holders of at least a majority of the Registrable Securities.

     

    t. “Required
      Registration Amount”
means
      100% of the Yield Enhancement Shares and Warrant Shares. 

     

    u. “Rule
      415”
means
      Rule 415 under the 1933 Act or any successor rule providing for offering
      securities on a continuous or delayed basis.

     

    v. “SEC”
means
      the United States Securities and Exchange Commission.

     

    w. “SEC
      Share Reduction”
means
      a
      reduction in the number of shares to be registered on a Registration Statement
      if the Company is advised by the staff of the SEC in a written comment letter
      that it is not eligible to conduct the offering under Rule 415 without naming
      the Investors as underwriters thereunder because of the number of shares sought
      to be included in the Registration Statement.

     

    x. “Target
      Registration Amount”
means
      the number of shares of Common Stock to be registered in a Registration
      Statement that is the lesser of (i) the Required Registration Amount or the
      remainder thereof not deemed effective in the Initial Registration Statement
      and
      (ii) 30% of the Public Float of the Company.

     

    y. “Warrant
      Shares”
means
      shares of Common Stock underlying the Warrants.

     

    2. Registration.

     

    a. Mandatory
      Registration. 
      

     

    (i) The
      Company shall prepare, and, as soon as practicable, but in no event later than
      the Filing Deadline, file with the SEC the Initial Registration Statement on
      Form SB-2 covering the resale of the Target Registration Amount.  In the
      event that Form SB-2 is unavailable for such a registration, the Company shall
      use such other form as is available for such a registration on another
      appropriate form reasonably acceptable to the Required Holders, subject to
      the
      provisions of Section 2(d).  The Initial Registration Statement prepared
      pursuant hereto shall register for resale the number of shares of Common Stock
      equal to the Target Registration Amount as of the date the Initial Registration
      Statement is initially filed with the SEC.  The Initial Registration
      Statement shall contain (except if otherwise directed by the Required Holders)
      the “Selling
      Shareholders”
and
      “Plan
      of Distribution”
      sections in substantially the form attached hereto as Exhibit
      B. 
      The Company shall use its commercially reasonable efforts to have the Initial
      Registration Statement declared effective by the SEC as soon as practicable,
      but
      in no event later than the Effectiveness Deadline.  Each Investor agrees to
      furnish to the Company a completed questionnaire in the form of Exhibit
      C
      within
      three trading days after receiving the Company’s written request
      therefor.

     

    (ii) Notwithstanding
      the foregoing, if the Company is advised by the staff of the SEC in a written
      comment letter that it is not eligible to conduct the offering under Rule 415
      promulgated under the 1933 Act without naming the Investors as underwriters
      thereunder because of the number of shares sought to be included in a
      Registration Statement, then the Company may reduce (an “SEC
      Share Reduction”)
      the
      number of shares covered by such Registration Statement to the maximum number
      which would enable the Company to conduct such offering in accordance with
      the
      provisions of Rule 415 without naming any Investor as an underwriter, provided
      that in no event shall the number of shares covered by such Registration
      Statement be reduced to a number less than thirty percent (30%) (or such lower
      percentage of the Company’s Public Float as may be required, in writing, in
      correspondence from the SEC staff to the Company or in a telephone conversation
      with the SEC staff) of the Company’s Public Float on the actual filing date of
      the subject Registration Statement.

     

    
      
        
        

      

      
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    (iii) In
      the
      event that, due to an SEC Share Reduction or otherwise, a number of shares
      of
      Common Stock which is less than the Required Registration Amount or a Target
      Registration Amount for such Registration Statement is the maximum number of
      shares of Common Stock permitted to be registered by the SEC in such
      Registration Statement, the unregistered portion of the Required Registration
      Amount or Target Registration Amount shall be included in an initial Follow-On
      Registration Statement or additional Follow-On Registration Statements (if
      necessary).

     

    (iv) The
      Company will not register the resale of shares of Common Stock held by
      Management Stockholders until the earlier of (a) 50% of the Registrable
      Securities are registered for resale through one or more Registration
      Statement(s) and (b) the repayment of the Promissory Notes (as defined in
      the Securities Purchase Agreement) by the Company.

     

    (v) The
      Company will not register the resale of any shares of Common Stock other than
      those held by Existing Investors until the resale of fifty percent (50%) of
      the
      Registrable Securities are registered. 

     

    (vi) The
      Company shall use commercially reasonable efforts to cause the Follow-On
      Registration Statement(s) to become effective as soon as practicable following
      the filing thereof, but in any event, subject to the SEC Share Reduction, the
      Company shall cause such amendment and/or new Registration Statement to become
      effective within sixty (60) days of the date of filing of such Follow-On
      Registration Statement or as promptly as practicable.

     

    b. Allocation
      of Registrable Securities. 
      If the Company is unable to register all Registrable Securities and Existing
      Securities that elect to be registered in the Initial Registration Statement
      or
      a Follow-On Registration Statement, registration of the Registrable Securities
      on the Initial Registration Statement and Follow-On Registration Statement(s)
      shall be allocated pro rata among the Registrable Securities and the Existing
      Securities. In the event that an Investor sells or otherwise transfers any
      of
      such Investor’s Registrable Securities that elect to be registered as permitted
      by Section
      11
      (other
      than pursuant to the Plan of Distribution contained in the Registration
      Statement), each transferee shall be allocated a pro rata portion of the then
      remaining number of Registrable Securities included in such Registration
      Statement for such transferor.  Any shares of Common Stock or Investor
      Warrant Shares included in a Registration Statement and which remain allocated
      to any Person which ceases to hold any Registrable Securities covered by such
      Registration Statement shall be allocated to the remaining Investors , pro
      rata
      based on the number of Registrable Securities then held by such Investors which
      are covered by such Registration Statement, in accordance with the formula
      set
      forth above.  In no event shall the Company include any securities other
      than Registrable Securities or the Initial Securities on any Registration
      Statement without the prior written consent of the Required
      Holders.

     

    c. Legal
      Counsel. 
      At the expense of Required Holders, the Required Holders shall have the right
      to
      select one legal counsel to review and oversee any registration pursuant to
      Sections
      2 and 3
      which
      shall be McDermott Will & Emery LLP or such other counsel as thereafter
      designated by (“Legal
      Counsel”).
      The
      Company and Legal Counsel shall reasonably cooperate with each other in
      performing the Company’s obligations under this Agreement. The Company shall
      reimburse Legal Counsel an amount not to exceed $50,000 for reasonable legal
      fees associated with their review of any registration statements filed pursuant
      to Sections
      2 and 3.

     

    d. Ineligibility
      for Form SB-2. 
      In the event that Form SB-2 is not available for the registration of the resale
      of Registrable Securities hereunder, the Company shall (i) register the resale
      of the Registrable Securities on another appropriate form reasonably acceptable
      to the Required Holders and (ii) undertake to register the Registrable
      Securities on Form SB-2 as soon as such form is available, provided
      that the
      Company shall maintain the effectiveness of the Registration Statement then
      in
      effect until such time as a Registration Statement on Form SB-2 covering the
      Registrable Securities has been declared effective by the SEC.

     

    
      
        
        

      

      
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    e.  Effect
      of Failure to File Registration Statement.
      If (i)
      a Registration Statement covering the Registrable Securities required to be
      covered thereby and required to be filed by the Company pursuant to this
      Agreement is not
      filed
      with the SEC on or before the respective Filing Deadline (a “Filing
      Failure”)
      or
      (ii) on any day after the Effective Date sales of all of the Registrable
      Securities required to be included on such Registration Statement cannot be
      made
      (other than during an Allowable Grace Period (as defined in Section
      3(p))
      pursuant to such Registration Statement (including, without limitation, because
      of a failure to keep such Registration Statement effective, to disclose such
      information as is necessary for sales to be made pursuant to such Registration
      Statement or to register a sufficient number of shares of Common Stock) (a
      “Maintenance
      Failure”)
      then,
      as partial relief for the damages to any holder by reason of any such delay
      in
      or reduction of its ability to sell the underlying shares of Common Stock (which
      remedy shall not be exclusive of any other remedies available at law or in
      equity), the Company shall pay to each holder of Registrable Securities relating
      to such Registration Statement an amount in cash equal to 1.0% of the aggregate
      Purchase Price (as such term is defined in the Securities Purchase Agreement)
      allocable
      to
      such
      Investor’s Registrable Securities included in such Registration Statement on
      each of the following dates: (i) the day of a
      Filing
      Failure
      and on every thirtieth day (pro rated for periods totaling less than thirty
      days) after a
      Filing
      Failure
      until such Filing
      Failure
      is cured; and
      (ii)
      the
      initial day of a Maintenance Failure and on every thirtieth day (pro rated
      for
      periods totaling less than thirty days) after a Maintenance Failure until such
      Maintenance Failure is cured. The payments to which a holder shall be entitled
      pursuant to this Section 2(e) are referred to herein as “Registration
      Delay Payments.”
      Registration Delay Payments shall be paid on the day of the Filing
      Failure and the initial day of a Maintenance Failure, as applicable, and
      thereafter on the earlier of (A) the thirtieth day after the event or failure
      giving rise to the Registration Delay Payments has occurred and (B) the third
      Business Day after the event or failure giving rise to the Registration Delay
      Payments is cured. In
      the
      event the Company fails to make Registration Delay Payments in a timely manner,
      such Registration Delay Payments shall bear interest at the rate of 2.0% per
      month (prorated for partial months) until paid in full. The
      cumulative Registration Delay Payments shall not exceed 5%
      of the
      aggregate Purchase Price (as such term is defined in the Securities Purchase
      Agreement).

     

    3. Related
      Obligations.

     

    At
      such
      time as the Company is obligated to file a Registration Statement with the
      SEC
      pursuant to Section 2(a) or 2(d), the Company shall use commercially reasonable
      efforts to effect the registration of the Registrable Securities in accordance
      with the intended method of disposition thereof and, pursuant thereto, the
      Company shall have the following obligations:

     

    a. The
      Company shall promptly prepare and file with the SEC a Registration Statement
      with respect to the Registrable Securities and use commercially reasonable
      efforts to cause such Registration Statement relating to the Registrable
      Securities to become effective as soon as practicable after such filing (but
      in
      no event later than the Effectiveness Deadline).  The Company shall keep
      each Registration Statement effective pursuant to Rule 415 at all times until
      the earlier of (i) the date as of which the Investors may sell all of the
      Registrable Securities covered by such Registration Statement without
      restriction pursuant to Rule 144(k) (or any successor thereto) promulgated
      under
      the 1933 Act or (ii) the date on which the Investors shall have sold all of
      the
      Registrable Securities covered by such Registration Statement (the “Registration
      Period”). 
      The Company shall ensure that each Registration Statement (including any
      amendments or supplements thereto and prospectuses contained therein) shall
      not
      contain any untrue statement of a material fact or omit to state a material
      fact
      required to be stated therein, or necessary to make the statements therein
      (in
      the case of prospectuses, in the light of the circumstances in which they were
      made) not misleading.  The term “commercially reasonable efforts” shall
      mean, among other things, that the Company shall submit to the SEC, within
      two
      Business Days after the later of the date (i) that the Company learns that
      no
      review of a particular Registration Statement will be made by the staff of
      the
      SEC or that the staff has no further comments on a particular Registration
      Statement, as the case may be,
      and
      (ii)
      of the approval of Legal Counsel pursuant to Section 3(c) (which approval is
      immediately sought), a request for acceleration of effectiveness of such
      Registration Statement to a time and date not later than 48 hours after the
      submission of such request.

     

    
      
        
        

      

      
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    b. The
      Company shall prepare and file with the SEC such amendments (including
      post-effective amendments) and supplements to each Registration Statement and
      the prospectus used in connection with such Registration Statement, which
      prospectus is to be filed pursuant to Rule 424 promulgated under the 1933 Act,
      as may be necessary to keep such Registration Statement effective at all times
      during the Registration Period, and, during such period, comply with the
      provisions of the 1933 Act with respect to the disposition of all Registrable
      Securities of the Company covered by such Registration Statement until such
      time
      as all of such Registrable Securities shall have been disposed of in accordance
      with the intended methods of disposition by the seller or sellers thereof as
      set
      forth in such Registration Statement.  In the case of amendments and
      supplements to a Registration Statement which are required to be filed pursuant
      to this Agreement (including pursuant to this Section 3(b)) by reason of the
      Company filing a report on Form 10-Q, Form 10-K or any analogous report under
      the Securities Exchange Act of 1934, as amended (the “1934
      Act”),
      the
      Company shall have incorporated such report by reference into such Registration
      Statement, if applicable, or shall file such amendments or supplements with
      the
      SEC on the same day on which the 1934 Act report is filed which created the
      requirement for Company to amend or supplement such Registration
      Statement.

     

    c. The
      Company shall (i) permit Legal Counsel to review and comment upon (y) a
      Registration Statement at least three Business Days prior to its filing with
      the
      SEC and (z) all amendments and supplements to all Registration Statements
      (except for Annual Reports on Form 10-K, and Reports on Form 10-Q and any
      similar or successor reports) within a reasonable number of days prior to their
      filing with the SEC, and (ii) to incorporate reasonable and timely comments
      of
      Legal Counsel.  The Company shall notify Legal Counsel prior to taking
      action to accelerate the effectiveness of a Registration Statement or any
      amendment or supplement thereto.  The Company shall furnish to Legal
      Counsel, without charge, (x) copies of any correspondence from the SEC or the
      staff of the SEC to the Company or its representatives relating to any
      Registration Statement, (y) promptly after the same is prepared and filed with
      the SEC, one copy of any Registration Statement and any amendment(s) thereto,
      including financial statements and schedules, all documents incorporated therein
      by reference, if requested by an Investor, and all exhibits and (z) upon the
      effectiveness of any Registration Statement, one copy of the prospectus included
      in such Registration Statement and all amendments and supplements thereto. 
The Company and Legal Counsel shall reasonably cooperate with each other in
      performing the Company’s obligations pursuant to this Section
      3.

     

    d. The
      Company shall furnish to each Investor whose Registrable Securities are included
      in any Registration Statement, without charge, (i) promptly after the same
      is
      prepared and filed with the SEC, at least one copy of such Registration
      Statement and any amendment(s) thereto, including financial statements and
      schedules, all documents incorporated therein by reference, if requested by
      an
      Investor, all exhibits and each preliminary prospectus, (ii) upon the
      effectiveness of any Registration Statement, 3 copies of the prospectus included
      in such Registration Statement and all amendments and supplements thereto (or
      such other number of copies as such Investor may reasonably request) and (iii)
      such other documents, including copies of any preliminary or final prospectus,
      as such Investor may reasonably request from time to time in order to facilitate
      the disposition of the Registrable Securities owned by such
      Investor.

     

    
      
        
        

      

      
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    e. The
      Company shall use commercially reasonable efforts to (i) register and qualify,
      unless an exemption from registration and qualification applies, the resale
      by
      Investors of the Registrable Securities covered by each Registration Statement
      under such other securities or “blue sky” laws of all applicable jurisdictions
      in the United States, (ii) prepare and file in those jurisdictions, such
      amendments (including post-effective amendments) and supplements to such
      registrations and qualifications as may be necessary to maintain the
      effectiveness thereof during each Registration Period, (iii) take such other
      actions as may be necessary to maintain such registrations and qualifications
      in
      effect at all times during each Registration Period, and (iv) take all other
      actions reasonably necessary or advisable to qualify the Registrable Securities
      for sale in such jurisdictions; provided,
      however,
      that
      the Company shall not be required in connection therewith or as a condition
      thereto to (x) qualify to do business in any jurisdiction where it would not
      otherwise be required to qualify but for this Section 3(e), (y) subject itself
      to general taxation in any such jurisdiction, or (z) file a general consent
      to
      service of process in any such jurisdiction.  The Company shall promptly
      notify Legal Counsel and each Investor who holds Registrable Securities of
      the
      receipt by the Company of any notification with respect to the suspension of
      the
      registration or qualification of any of the Registrable Securities for sale
      under the securities or “blue sky” laws of any jurisdiction in the United States
      or its receipt of actual notice of the initiation or threatening of any
      proceeding for such purpose.

     

    f. The
      Company shall notify Legal Counsel and each Investor in writing of the happening
      of any event, as promptly as practicable after becoming aware of such event,
      as
      a result of which the prospectus included in a Registration Statement, as then
      in effect, includes an untrue statement of a material fact or omission to state
      a material fact required to be stated therein or necessary to make the
      statements therein, in the light of the circumstances under which they were
      made, not misleading (provided
      that in
      no event shall such notice contain any material, nonpublic information), and,
      subject to Section 3(p), promptly prepare a supplement or amendment to such
      Registration Statement to correct such untrue statement or omission, and deliver
      3 copies of such supplement or amendment to Legal Counsel and each Investor
      (or
      such other number of copies as Legal Counsel or such Investor may reasonably
      request).  The Company  shall also promptly notify Legal Counsel and
      each Investor in writing (i) when a prospectus or any prospectus supplement
      or
      post-effective amendment has been filed, and when a Registration Statement
      or
      any post-effective amendment has become effective (notification of such
      effectiveness shall be delivered to Legal Counsel and each Investor by facsimile
      or e-mail on the same day of such effectiveness and by overnight mail), (ii)
      of
      any request by the SEC for amendments or supplements to a Registration Statement
      or related prospectus or related information, and (iii) of the Company’s
      reasonable determination that a post-effective amendment to a Registration
      Statement would be appropriate.

     

    g. The
      Company shall use commercially reasonable efforts to prevent the issuance of
      any
      stop order or other suspension of effectiveness of a Registration Statement,
      or
      the suspension of the qualification of any of the Registrable Securities for
      sale in any jurisdiction and, if such an order or suspension is issued, to
      obtain the withdrawal of such order or suspension at the earliest possible
      moment and to notify Legal Counsel and each Investor who holds Registrable
      Securities being sold of the issuance of such order or suspension and the
      resolution thereof or its receipt of actual notice of the initiation or threat
      of any proceeding for such purpose.

     

    h. If
      the
      Investors engage in an underwritten public offering of the Registrable
      Securities, at the reasonable request of any Investor, the Company shall furnish
      to such Investor, on the date of the effectiveness of the Registration Statement
      and thereafter from time to time on such dates as an Investor may reasonably
      request (i) a letter, dated such date, from the Company’s independent certified
      public accountants in form and substance as is customarily given by independent
      certified public accountants to underwriters in an underwritten public offering,
      addressed to the Investors, and (ii) an opinion, dated as of such date, of
      counsel representing the Company for purposes of such Registration Statement,
      in
      form, scope and substance as is customarily given in an underwritten public
      offering, addressed to the Investors.

     

    
      
        
        

      

      
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    i. The
      Company shall make available for inspection by (i) any Investor, (ii) Legal
      Counsel and (iii) one firm of accountants or other agents retained by the
      Investors (collectively, the “Inspectors”),
      all
      pertinent financial and other records, and pertinent corporate documents and
      properties of the Company (collectively, the “Records”),
      as
      shall be reasonably deemed necessary by each Inspector, and cause the Company’s
      officers, directors and employees, counsel and the Company’s independent
      certified public accountants to supply all information which may be necessary
      and any Inspector may reasonably request; provided,
      however,
      that
      each Inspector shall agree to hold in strict confidence and shall not make
      any
      disclosure (except to an Investor) or use of any Record or other information
      which the Company determines in good faith to be confidential, and of which
      determination the Inspectors are so notified, unless (a) the disclosure of
      such
      Records is necessary to avoid or correct a misstatement or omission in any
      Registration Statement or is otherwise required under the 1933 Act, (b) the
      release of such Records is ordered pursuant to a final, non-appealable subpoena
      or order from a court or government body of competent jurisdiction, or (c)
      the
      information in such Records has been made generally available to the public
      other than by disclosure in violation of this or any other agreement of which
      the Inspector has knowledge.  Each Investor agrees that it shall, upon
      learning that disclosure of such Records is sought in or by a court or
      governmental body of competent jurisdiction or through other means, give prompt
      notice to the Company and allow the Company, at its expense, to undertake
      appropriate action to prevent disclosure of, or to obtain a protective order
      for, the Records deemed confidential.  Nothing herein (or in any other
      confidentiality agreement between the Company and any Investor) shall be deemed
      to limit the Investors’ ability to sell Registrable Securities in a manner which
      is otherwise consistent with applicable laws and regulations.

     

    j. The
      Company shall hold in confidence and not make any disclosure of information
      concerning an Investor provided to the Company unless (i) disclosure of such
      information is necessary to comply with federal or state securities laws, (ii)
      the disclosure of such information is necessary to avoid or correct a
      misstatement or omission in any Registration Statement, (iii) the release of
      such information is ordered pursuant to a subpoena or other final,
      non-appealable order from a court or governmental body of competent
      jurisdiction, or (iv) such information has been made generally available to
      the
      public other than by disclosure in violation of this Agreement or any other
      agreement.  The Company agrees that it shall, upon learning that disclosure
      of such information concerning an Investor is sought in or by a court or
      governmental body of competent jurisdiction or through other means, give prompt
      written notice to such Investor and allow such Investor, at the Investor’s
      expense, to undertake appropriate action to prevent disclosure of, or to obtain
      a protective order for, such information.

    

    k. The
      Company shall cooperate with the Investors who hold Registrable Securities
      being
      offered and, to the extent applicable, facilitate the timely preparation and
      delivery of certificates (not bearing any restrictive legend) representing
      the
      Registrable Securities to be offered pursuant to a Registration Statement and
      enable such certificates to be in such denominations or amounts, as the case
      may
      be, as the Investors may reasonably request and registered in such names as
      the
      Investors may request.

     

    l. The
      Company shall use commercially reasonable efforts to cause the Registrable
      Securities covered by the Registration Statement to be registered with or
      approved by such other federal or state governmental agencies or authorities
      as
      may be necessary to consummate the disposition of such Registrable
      Securities.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    m. The
      Company shall make generally available to its security holders as soon as
      practical, but not later than 120 days after the close of the period covered
      thereby, an earnings statement (in form complying with, and in the manner
      provided by, the provisions of Rule 158 under the 1933 Act) covering a
      twelve-month period beginning not later than the first day of the Company’s
      fiscal quarter next following the Effective Date of the Registration
      Statement.

     

    n. The
      Company shall otherwise use commercially reasonable efforts to comply with
      all
      applicable rules and regulations of the SEC in connection with any registration
      hereunder.

     

    o. Within
      5
      Business Days after a Registration Statement which covers Registrable Securities
      is ordered effective by the SEC, the Company shall: (i) file a definitive
      prospectus with the SEC under Rule 424(b) of the 1933 Act; and (ii) deliver,
      and
      shall cause legal counsel for the Company to deliver, to the transfer agent
      for
      such Registrable Securities (with copies to the Investors whose Registrable
      Securities are included in such Registration Statement) confirmation that such
      Registration Statement has been declared effective by the SEC in the form
      attached hereto as Exhibit
      A.

    

    p. Notwithstanding
      anything to the contrary contained herein, at any time after the Registration
      Statement has been declared effective by the SEC, the Company may delay the
      disclosure of material, non-public information concerning the Company the
      disclosure of which at the time is not, in the good faith opinion of the Board
      of Directors of the Company and its counsel, in the best interest of the Company
      and, in the opinion of counsel to the Company, otherwise required (a
“Grace
      Period”);
      provided,
      that
      the Company shall promptly (i) notify the Investors in writing of the existence
      of material, non-public information giving rise to a Grace Period (provided
      that in
      each notice the Company will not disclose the content of such material,
      non-public information to the Investors) and the date on which the Grace Period
      will begin, and (ii) notify the Investors in writing of the date on which the
      Grace Period ends; and, provided
      further,
      that no
      Grace Period shall exceed 20 consecutive days and during any 365-day period
      such
      Grace Periods shall not exceed an aggregate of 30 days and the first day of
      any
      Grace Period must be at least two trading days after the last day of any prior
      Grace Period (each, an “Allowable
      Grace Period”). 
      For purposes of determining the length of a Grace Period above, the Grace Period
      shall begin on and include the date the Investors receive the notice referred
      to
      in clause (i) and shall end on and include the later of the date the Investors
      receive the notice referred to in clause (ii) and the date referred to in such
      notice.  The provisions of Section 3(g) hereof shall not be applicable
      during the period of any Allowable Grace Period.  Upon expiration of the
      Grace Period, the Company shall again be bound by the first sentence of Section
      3(f) with respect to the information giving rise thereto unless such material,
      non-public information is no longer applicable.  Notwithstanding anything
      to the contrary contained herein, the Company shall cause its transfer agent
      to
      deliver unlegended shares of Common Stock to a transferee of an Investor in
      accordance with the terms of the Securities Purchase Agreement in connection
      with any sale of Registrable Securities with respect to which an Investor has
      entered into a contract for sale, and, if required under applicable securities
      laws, deliver a copy of the prospectus included as part of the applicable
      Registration Statement, prior to the Investor’s receipt of the notice of a Grace
      Period and for which the Investor has not yet settled.

     

    q. The
      Company shall use commercially
      reasonable
      efforts
      to cause all of the Registrable Securities covered by a Registration Statement
      to be listed or quoted on each securities exchange or quotation service on
      which
      securities of the same class or series issued by the Company are then listed
      or
      quoted. The Company shall pay all fees and expenses in connection with
      satisfying its obligation under this Section 3(q).

     

    r.
       If
      reasonably requested by an Investor, The Company shall within 5 days of receipt
      of notice from such Investor (i) incorporate in a prospectus supplement or
      post-effective amendment such information as an Investor reasonably requests
      to
      be included therein relating to the sale and distribution of Registrable
      Securities, including, without limitation, information with respect to the
      number of Registrable Securities being offered or sold, the purchase price
      being
      paid therefor and any other terms of the offering of the Registrable Securities
      to be sold in such offering; (ii) make all required filings of such prospectus
      supplement or post-effective amendment after being notified of the matters
      to be
      incorporated in such prospectus supplement or post-effective amendment; and
      (iii) supplement or make amendments to any Registration Statement if reasonably
      requested by an Investor holding any Registrable Securities.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    s.
       On
      the
      date hereof, the Company shall furnish to the Investors lock-up agreements
      executed by each Person listed on Exhibit
      D
      hereto
      pursuant to which each such Person shall agree not to sell, transfer or dispose
      any shares of Common Stock owned by such Person pursuant to the terms thereof.
      

     

    4. Obligations
      of the Investors.

     

    a. At
      least
      5 Business Days prior to the first anticipated filing date of each Registration
      Statement, the Company shall notify each Investor in writing of the information
      the Company requires from such Investor if such Investor elects to have any
      of
      such Investor’s Registrable Securities included in such Registration
      Statement.  It shall be a condition precedent to the obligations of the
      Company to complete the registration pursuant to this Agreement with respect
      to
      the Registrable Securities of a particular Investor that such Investor shall
      furnish to the Company such information regarding itself, the Registrable
      Securities held by it and the intended method of disposition of the Registrable
      Securities held by it, as shall be reasonably required to effect and maintain
      the effectiveness of the registration of such Registrable Securities and shall
      execute such documents in connection with such registration as the Company
      may
      reasonably request.

     

    b. Each
      Investor, by such Investor’s acceptance of the Registrable Securities, agrees to
      cooperate with the Company as reasonably requested by the Company in connection
      with the preparation and filing of any Registration Statement hereunder, unless
      such Investor has notified the Company in writing of such Investor’s election to
      exclude all of such Investor’s Registrable Securities from such Registration
      Statement.

     

    c. Each
      Investor agrees that, upon receipt of any notice from the Company of the
      happening of any event of the kind described in Section 3(g) or the first
      sentence of Section 3(f), such Investor will immediately discontinue disposition
      of Registrable Securities pursuant to any Registration Statement(s) covering
      such Registrable Securities until such Investor’s receipt of the copies of the
      supplemented or amended prospectus contemplated by Section 3(g) or the first
      sentence of Section 3(f) or receipt of notice that no supplement or amendment
      is
      required.  Notwithstanding anything to the contrary contained herein, the
      Company shall, to the extent it may do so under applicable federal and state
      securities law, cause its transfer agent to deliver unlegended shares of Common
      Stock to a transferee of an Investor in accordance with the terms of the
      Securities Purchase Agreement in connection with any sale of Registrable
      Securities with respect to which an Investor has entered into a contract for
      sale prior to the Investor’s receipt of a notice from the Company of the
      happening of any event of the kind described in Section 3(g) or the first
      sentence of Section 3(f) and for which the Investor has not yet
      settled.

     

    d. Each
      Investor covenants and agrees that it will comply with the prospectus delivery
      requirements of the 1933 Act applicable to it in connection with sales of
      Registrable Securities pursuant to the Registration Statement.

     

    5. Holdback
      Agreement.

     

    a. Restrictions
      on Public Sale by Investor.
      To
      the
      extent not inconsistent with applicable law, if Investor’s Yield Enhancement
      Shares or Warrant Shares are included in a registration statement, Investor
      agrees not to effect any public sale or distribution of the issue being
      registered or a similar security of the Company, or any securities exercisable
      for such securities, including a sale pursuant to Rule 144 under the 1933 Act,
      during the fourteen (14) days prior to, and during the one hundred eighty (180)
      day period beginning on, the effective date of such registration statement
      (except as part of the registration), if and to the extent requested by the
      managing underwriter or underwriters in the case of an underwritten public
      offering, provided that management and the founding shareholders of the Company
      shall also be subject to similar holdback agreements, the terms of which are
      not
      more favorable than those of the Investor, based on each shareholder’s pro-rata
      ownership of the Common Stock.

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    b Restrictions
      on Public Sale by the Company and Others.
      Until
      the earlier of (a) the sale of all of the Registrable Securities by the
      Investor and (b) two years from the date of this Agreement, the Company
      agrees not to effect any public sale or distribution of any securities similar
      to those being registered, or any securities convertible into or exchangeable
      or
      exercisable for such securities during the 14 days prior to and during the
      90
      day period beginning on the Effective Date of any Registration Statement other
      than on Form S-8 or Form S-4.

     

    6. Lock-Up.

     

    a. Lock-Up.
      In
the
      event
      of a firmly-underwritten public offering of Common Stock or other equity
      interest of the Company for the account of the Company registered under the
      Securities Act by a nationally recognized investment bank resulting in at least
      US $35,000,000 in gross proceeds (before underwriters’ discounts and
      selling commissions) to the Company (the “Public
      Offering”),
      Investor agrees that, if so requested by the managing underwriter of such
      offering, for a period of six (6) months commencing on the effective date of
      the
      registration statement filed under the 1933 Act relating to the Public Offering
      (the “Lock-up
      Period”),
      Investor will not offer, sell, contract to sell, grant any option for the sale
      of, or otherwise dispose of, directly or indirectly, any of the Registrable
      Securities, any securities which the Registrable Securities are exercisable
      for
      any other securities of the Company, including, without limitation, any Yield
      Enhancement Shares or Warrant Shares, provided that management and the founding
      shareholders of the Company shall also be subject to similar lockup agreements,
      the terms of which are not more favorable than those of the Investor, based
      on
      each shareholder’s pro-rata ownership of the Common Stock. In order to enable
      the Company to enforce the aforesaid restrictions on transfer, Investor hereby
      agrees that the Company may impose stop-transfer instructions with respect
      to
      the securities of the Company owned beneficially or of record by Investor until
      the end of such six-month period.

     

    b. Extension
      of Lock-Up Period.
      In the
      event that the National Association of Securities Dealers, any other state
      or
      federal regulatory authority requires that the Lock-Up Period be extended in
      connection with the Public Offering, Investor agrees that it will use
      commercially reasonable efforts to execute any agreements and other documents
      to
      extend the Lock-Up Period to the extent required by the National Association
      of
      Securities Dealers or such regulatory authority. 

     

    c. Waiver
      of Lock-Up Provisions.
      Any one
      or more of the restrictions set forth in this Section
      6:
      (i) may
      be waived by the board of directors of the Company if it determines in good
      faith and in the exercise of its fiduciary duties that such waiver would be
      in
      the best interests of the Company and its stockholders for any valid business
      purpose, including, without limitation, to increase the liquidity of the Common
      Stock; and (ii) will be null and void upon the consummation of any tender offer
      to purchase all or substantially all of the Company’s issued and outstanding
      securities or any merger, consolidation or other reorganization of the Company
      with or into an unaffiliated Person if such transaction is approved by the
      affirmative vote of the requisite number of record and beneficial owners of
      the
      Company’s then outstanding and entitled to vote on such
      transaction.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    7. Expenses
      of Registration.

     

    All
      reasonable expenses, other than underwriting discounts, commissions or
      concessions and brokers’ or agents’ commissions or concessions or selling
      commissions or concessions, incurred in connection with registrations, filings
      or qualifications pursuant to Sections
      2 and 3,
      including, without limitation, all registration, listing and qualifications
      fees, printers and accounting fees, and fees and disbursements of counsel for
      Company shall be paid by the Company. 

     

    8. Indemnification.

     

    In
      the
      event any Registrable Securities are included in a Registration Statement under
      this Agreement:

     

    a. To
      the
      fullest extent permitted by law, the Company will, and hereby does, indemnify,
      hold harmless and defend each Investor, the directors, officers, members,
      partners, employees, agents, and representatives of, and each Person, if any,
      who controls any Investor within the meaning of the 1933 Act or the 1934 Act
      (each, an “Indemnified
      Person”),
      against any losses, claims, damages, liabilities, judgments, fines, penalties,
      charges, costs, reasonable attorneys’ fees, amounts paid in settlement or
      expenses, joint or several, (collectively, “Claims”)
      incurred in investigating, preparing or defending any action, claim, suit,
      inquiry, proceeding, investigation or appeal taken from the foregoing by or
      before any court or governmental, administrative or other regulatory agency,
      body or the SEC, whether pending or threatened, whether or not an Indemnified
      Person is or may be a party thereto (“Indemnified
      Damages”),
      to
      which any of them may become subject insofar as such Claims (or actions or
      proceedings, whether commenced or threatened, in respect thereof) arise out
      of
      or are based upon: (i) any untrue statement or alleged untrue statement of
      a
      material fact in a Registration Statement or any post-effective amendment
      thereto or in any filing made in connection with the qualification of the
      offering under the securities or other “blue sky” laws of any jurisdiction in
      which Registrable Securities are offered (“Blue
      Sky Filing”),
      or
      the omission or alleged omission to state a material fact required to be stated
      therein or necessary to make the statements therein not misleading, (ii) any
      untrue statement or alleged untrue statement of a material fact contained in
      any
      preliminary prospectus if used prior to the effective date of such Registration
      Statement, or contained in the final prospectus (as amended or supplemented,
      if
      the Company files any amendment thereof or supplement thereto with the SEC)
      or
      the omission or alleged omission to state therein any material fact necessary
      to
      make the statements made therein, in light of the circumstances under which
      the
      statements therein were made, not misleading, (iii) any violation or alleged
      violation by the Company of the 1933 Act, the 1934 Act, any other law,
      including, without limitation, any state securities law, or any rule or
      regulation thereunder relating to the offer or sale of the Registrable
      Securities pursuant to a Registration Statement or (iv) any violation by the
      Company of this Agreement (the matters in the foregoing clauses (i) through
      (iv)
      being, collectively, “Violations”). 
      Subject to Section 8(c), the Company shall reimburse the Indemnified Persons,
      promptly as such expenses are incurred and are due and payable, for any legal
      fees or other reasonable expenses incurred by them in connection with
      investigating or defending any such Claim.  Notwithstanding anything to the
      contrary contained herein, the indemnification agreement contained in this
      Section 8(a): (i) shall not apply to a Claim by an Indemnified Person arising
      out of or based upon a Violation which occurs in reliance upon and in conformity
      with information furnished in writing to the Company by such Indemnified Person
      for such Indemnified Person expressly for use in connection with the preparation
      of the Registration Statement or any such amendment thereof or supplement
      thereto, if such prospectus was timely made available by the Company pursuant
      to
      Section 3(d); (ii) with respect to any preliminary prospectus, shall not inure
      to the benefit of any such Person from whom the Person asserting any such Claim
      purchased the Registrable Securities that are the subject thereof (or to the
      benefit of any Person controlling such Person) if the untrue statement or
      omission of material fact contained in the preliminary prospectus was corrected
      in the prospectus, as then amended or supplemented, if such prospectus was
      timely made available by the Company pursuant to Section 3(d), and the
      Indemnified Person was promptly advised in writing not to use the incorrect
      prospectus prior to the use giving rise to a violation and such Indemnified
      Person, notwithstanding such advice, used it or failed to deliver the correct
      prospectus as required by the 1933 Act and such correct prospectus was timely
      made available pursuant to Section 3(d); (iii) shall not be available to the
      extent such Claim is based on a failure of the Investor to deliver or to cause
      to be delivered the prospectus made available by the Company, including a
      corrected prospectus, if such prospectus or corrected prospectus was timely
      made
      available by the Company pursuant to Section 3(d); and (iv) shall not apply
      to
      amounts paid in settlement of any Claim if such settlement is effected without
      the prior written consent of the Company, which consent shall not be
      unreasonably withheld or delayed.  Such indemnity shall remain in full
      force and effect regardless of any investigation made by or on behalf of the
      Indemnified Person and shall survive the transfer of the Registrable Securities
      by the Investor pursuant to Section
      11.

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    b. In
      connection with any Registration Statement in which an Investor is
      participating, each such Investor agrees to severally and not jointly indemnify,
      hold harmless and defend, to the same extent and in the same manner as is set
      forth in Section 8(a), the Company, each of its directors, each of its officers
      who signs the Registration Statement and each Person, if any, who controls
      the
      Company within the meaning of the 1933 Act or the 1934 Act (each, an
“Indemnified
      Party”),
      against any Claim or Indemnified Damages to which any of them may become
      subject, under the 1933 Act, the 1934 Act or otherwise, insofar as such Claim
      or
      Indemnified Damages arise out of or are based upon any Violation, in each case
      to the extent, and only to the extent, that such Violation occurs in reliance
      upon and in conformity with written information furnished to the Company by
      such
      Investor expressly for use in connection with such Registration Statement;
      and,
      subject to Section 8(c), such Investor will reimburse any legal or other
      expenses reasonably incurred by an Indemnified Party, promptly as such expenses
      are incurred and are due and payable, in connection with investigating or
      defending any such Claim; provided,
      however,
      that the
      indemnity agreement contained in this Section 8(b) and the agreement with
      respect to contribution contained in Section
      9
      shall
      not apply to amounts paid in settlement of any Claim if such settlement is
      effected without the prior written consent of such Investor, which consent
      shall
      not be unreasonably withheld or delayed; provided,
      further,
      however,
      that the Investor shall be liable under this Section 8(b) for only that amount
      of a Claim or Indemnified Damages as does not exceed the net proceeds to such
      Investor as a result of the sale of Registrable Securities pursuant to such
      Registration Statement.  Such indemnity shall remain in full force and
      effect regardless of any investigation made by or on behalf of such Indemnified
      Party and shall survive the transfer of the Registrable Securities by the
      Investors pursuant to Section
      11. 
      Notwithstanding anything to the contrary contained herein, the indemnification
      agreement contained in this Section 8(b) with respect to any preliminary
      prospectus shall not inure to the benefit of any Indemnified Party if the untrue
      statement or omission of material fact contained in the preliminary prospectus
      was corrected on a timely basis in the prospectus, as then amended or
      supplemented.

     

    c. Promptly
      after receipt by an Indemnified Person or Indemnified Party under this
Section
      8
      of
      notice of the commencement of any action or proceeding (including any
      governmental action or proceeding) involving a Claim, such Indemnified Person
      or
      Indemnified Party shall, if a Claim in respect thereof is to be made against
      any
      indemnifying party under this Section
      8,
      deliver
      to the indemnifying party a written notice of the commencement thereof, and
      the
      indemnifying party shall have the right to participate in, and, to the extent
      the indemnifying party so desires, jointly with any other indemnifying party
      similarly noticed, to assume control of the defense thereof with counsel
      mutually satisfactory to the indemnifying party and the Indemnified Person
      or
      the Indemnified Party, as the case may be; provided,
      however,
      that an
      Indemnified Person or Indemnified Party shall have the right to retain its
      own
      counsel with the fees and expenses of not more than one counsel for such
      Indemnified Person or Indemnified Party to be paid by the indemnifying party,
      if, in the reasonable opinion of counsel retained by the indemnifying party,
      the
      representation by such counsel of the Indemnified Person or Indemnified Party
      and the indemnifying party would be inappropriate due to actual or potential
      differing interests between such Indemnified Person or Indemnified Party and
      any
      other party represented by such counsel in such proceeding.  In the case of
      an Indemnified Person, legal counsel referred to in the immediately preceding
      sentence shall be selected by the Investors holding at least a
      majority in
      interest of the Registrable Securities included in the Registration Statement
      to
      which the Claim relates.  The Indemnified Party or Indemnified Person shall
      cooperate reasonably with the indemnifying party in connection with any
      negotiation or defense of any such action or Claim by the indemnifying party
      and
      shall furnish to the indemnifying party all information reasonably available
      to
      the Indemnified Party or Indemnified Person which relates to such action or
      Claim.  The indemnifying party shall keep the Indemnified Party or
      Indemnified Person fully apprised at all times as to the status of the defense
      or any settlement negotiations with respect thereto.  No indemnifying party
      shall be liable for any settlement of any action, claim or proceeding effected
      without its prior written consent, provided,
      however,
      that the
      indemnifying party shall not unreasonably withhold, delay or condition its
      consent.  No indemnifying party shall, without the prior written consent of
      the Indemnified Party or Indemnified Person, consent to entry of any judgment
      or
      enter into any settlement or other compromise which does not include as an
      unconditional term thereof the giving by the claimant or plaintiff to such
      Indemnified Party or Indemnified Person of a release from all liability in
      respect to such Claim or litigation.  Following indemnification as provided
      for hereunder, the indemnifying party shall be subrogated to all rights of
      the
      Indemnified Party or Indemnified Person with respect to all third parties,
      firms
      or corporations relating to the matter for which indemnification has been
      made.  The failure to deliver written notice to the indemnifying party
      within a reasonable time of the commencement of any such action shall not
      relieve such indemnifying party of any liability to the Indemnified Person
      or
      Indemnified Party under this Section
      8
      except
      to the extent that the indemnifying party is prejudiced in its ability to defend
      such action.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

     

    d. The
      indemnification required by this Section
      8
      shall be
      made by periodic payments of the amount thereof during the course of the
      investigation or defense, as and when bills are received or Indemnified Damages
      are incurred.

     

    e. The
      indemnity agreements contained herein shall be in addition to (i) any cause
      of
      action or similar right of the Indemnified Party or Indemnified Person against
      the indemnifying party or others and (ii) any liabilities the indemnifying
      party
      may be subject to pursuant to the law.

     

    9. Contribution.

     

    To
      the
      extent any indemnification by an indemnifying party is prohibited or limited
      by
      law, the indemnifying party agrees to make the maximum contribution with respect
      to any amounts for which it would otherwise be liable under Section
      8
      to the
      fullest extent permitted by law; provided,
      however,
      that:
      (i) no Person involved in the sale of Registrable Securities which Person is
      guilty of fraudulent misrepresentation (within the meaning of Section 11(f)
      of
      the 1933 Act) in connection with such sale shall be entitled to contribution
      from any Person involved in such sale of Registrable Securities who was not
      guilty of fraudulent misrepresentation; and (ii) contribution by any seller
      of
      Registrable Securities shall be limited in amount to the net amount of proceeds
      received by such seller from the sale of such Registrable Securities pursuant
      to
      such Registration Statement.

     

    10. Reports
      Under the 1934 Act.

     

    With
      a
      view to making available to the Investors the benefits of Rule 144 promulgated
      under the 1933 Act or any other similar rule or regulation of the SEC that
      may
      at any time permit the Investors to sell securities of the Company to the public
      without registration (“Rule
      144”),
      the
      Company agrees to: 

    

    a. make
      and
      keep public information available, as those terms are understood and defined
      in
      Rule 144;

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

     

    b. file
      with
      the SEC in a timely manner all reports and other documents required of the
      Company under the 1933 Act and the 1934 Act so long as the Company remains
      subject to such requirements (it being understood that nothing herein shall
      limit the Company’s obligations under Section 4(c) of the Securities Purchase
      Agreement) and the filing of such reports and other documents is required for
      the applicable provisions of Rule 144; and

     

    c. furnish
      to each Investor so long as such Investor owns Registrable Securities, promptly
      upon request, at Investor’s expense, (i) a written statement by the Company, if
      true, that it has complied with the reporting requirements of Rule 144, the
      1933
      Act and the 1934 Act, (ii) a copy of the most recent annual or quarterly report
      of the Company and such other reports and documents so filed by the Company,
      and
      (iii) such other information as may be reasonably requested to permit the
      Investors to sell such securities pursuant to Rule 144 without
      registration.

     

    11. Assignment
      of Registration Rights.

     

    The
      rights under this Agreement shall be assignable by the Investor to any
      transferee of all or any portion of such Investor’s Registrable Securities if:
      (i) the Investor agrees in writing with the transferee or assignee to assign
      such rights, and a copy of such agreement is furnished to the Company within
      a
      reasonable time after such assignment; (ii) the Company is, within a reasonable
      time after such transfer or assignment, furnished with written notice of (a)
      the
      name and address of such transferee or assignee, and (b) the Registrable
      Securities with respect to which such registration rights are being transferred
      or assigned; (iii) immediately following such transfer or assignment the further
      disposition of such securities by the transferee or assignee is restricted
      under
      the 1933 Act and applicable state securities laws; (iv) at or before the time
      the Company receives the written notice contemplated by clause (ii) of this
      sentence the transferee or assignee agrees in writing with the Company to be
      bound by all of the provisions contained herein; and (v) such transfer shall
      have been made in accordance with the applicable requirements of the Securities
      Purchase Agreement.

     

    12. Mergers,
      Etc.
      

     

    The
      Company will not, directly or indirectly, enter into any merger, consolidation
      or reorganization in which the Company will not be the surviving corporation
      unless the proposed surviving corporation, prior to such merger, consolidation
      or reorganization, agrees in writing to assume the obligations of the Company
      under this Agreement, and for that purpose references hereunder to “Registrable
      Securities” shall be deemed to be references to the securities the Investors
      would be entitled to receive in exchange for Registrable Securities under any
      such merger, consolidation or reorganization; provided,
      however,
      that
      the provisions of this Section 12
      shall
      not apply in the event of any merger, consolidation or reorganization in which
      the Company is not the surviving corporation if each Investor is entitled to
      receive in exchange for its Registrable Securities consideration consisting
      solely of (a) cash; (b) securities of the acquiring corporation which may be
      immediately sold to the public without registration under the 1933 Act; or
      (c)
      securities of the acquiring corporation which the acquiring corporation has
      agreed to register within 90 days of completion of the transaction for resale
      to
      the public pursuant to the 1933 Act.

     

    13. Amendment
      of Registration Rights.

     

    Provisions
      of this Agreement may be amended and the observance thereof may be waived
      (either generally or in a particular instance and either retroactively or
      prospectively), only with the written consent of the Company and the Required
      Holders.  Any amendment or waiver effected in accordance with this
Section
      13
      shall be
      binding upon each Investor and the Company.  No such amendment shall be
      effective to the extent that it applies to less than all of the holders of
      the
      Registrable Securities.  No consideration shall be offered or paid to any
      Person to amend or consent to a waiver or modification of any provision of
      any
      of this Agreement unless the same consideration also is offered to all of the
      parties to this Agreement.

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

    14. Miscellaneous.

     

    a. A
      Person
      is deemed to be a holder of Registrable Securities whenever such Person owns
      or
      is deemed to own of record such Registrable Securities.  If the Company
      receives conflicting instructions, notices or elections from two or more Persons
      with respect to the same Registrable Securities, the Company shall act upon
      the
      basis of instructions, notice or election received from the such record owner
      of
      such Registrable Securities.

     

    b. Any
      notices, consents, waivers or other communications required or permitted to
      be
      given under the terms of this Agreement must be in writing and will be deemed
      to
      have been delivered: (i) upon receipt, when delivered personally; (ii) upon
      receipt, when sent by facsimile (provided
      confirmation of transmission is mechanically or electronically generated and
      kept on file by the sending party); or (iii) one Business Day after deposit
      with
      a nationally recognized overnight delivery service, in each case properly
      addressed to the party to receive the same.  The addresses and facsimile
      numbers for such communications shall be:

     

    If
      to the
      Company: 
Tribeworks,
      Inc.

    2001
      152nd Avenue NE

    Redmond,
      Washington 98052

    Attn:
      Peter B. Jacobson 

    Facsimile:
      (949) 723-0970 

     

    With
      a
      copy (which shall not constitute notice) sent to:

     

    Hughes
      & Luce, LLP

    1717
      Main
      Street, Suite 2800

    Dallas,
      Texas 75201

    Attn:
      I.
      Bobby Majumder, Esq.

    Facsimile:
      (214) 939-5849

     

    If
      to
      Buyer: 
 West
      Coast Opportunity Fund, LLC

    2151
      Alessandro Drive, Suite 100

    Ventura,
      CA 93001 

    Attention:
      Atticus Lowe, CFA

    Facsimile:
      (805) 648-6488

    

    With
      a
      copy (which shall not constitute notice) sent to:

     

    McDermott
      Will & Emery LLP

    340
      Madison Avenue

    New
      York,
      New York 10173

    Attn:  
      Stephen
      E. Older, Esq.

                        Meir
      A. Lewittes, Esq.

    Facsimile:
      (212) 547-5400

    

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    

     Written
      confirmation of receipt (A) given by the recipient of such notice, consent,
      waiver or other communication, (B) mechanically or electronically generated
      by
      the sender’s facsimile machine containing the time, date, recipient facsimile
      number and an image of the first page of such transmission or (C) provided
      by a
      courier or overnight courier service shall be rebuttable evidence of personal
      service, receipt by facsimile or receipt from a nationally recognized overnight
      delivery service in accordance with clause (i), (ii) or (iii) above,
      respectively. 

    

    c. Failure
      of any party to exercise any right or remedy under this Agreement or otherwise,
      or delay by a party in exercising such right or remedy, shall not operate as
      a
      waiver thereof.

     

    d. This
      Agreement shall be governed by and construed in accordance with the internal
      laws of the State of Delaware applicable to contracts made and to be performed
      wholly within that state, without regard to the conflict of law rules thereof.
      Any suit, action or proceeding seeking to enforce any provision of, or based
      on
      any dispute or matter arising out of or in connection with, this Agreement
      must
      be brought in the state and federal courts located in the state of Delaware.
      Each of the parties (a) consents to the exclusive jurisdiction of such courts
      (and of the appropriate appellate courts therefrom) in any such suit, action
      or
      proceeding, (b) irrevocably waives, to the fullest extent permitted by law,
      any
      objection which it may now or hereafter have to the laying of the venue of
      any
      such suit, action or proceeding in any such court or that any such suit, action
      or proceeding which is brought in any such court has been brought in an
      inconvenient forum, (c) will not attempt to deny or defeat such personal
      jurisdiction by motion or other request for leave from any such court, and
      (d) will not bring any action relating to this Agreement in any other
      court.

     

    e. This
      Agreement, the other Transaction Documents (as defined in the Securities
      Purchase Agreement) and the instruments referenced herein and therein constitute
      the entire agreement among the parties hereto with respect to the subject matter
      hereof and thereof.  There are no restrictions, promises, warranties or
      undertakings, other than those set forth or referred to herein and
      therein.  This Agreement, the other Transaction Documents and the
      instruments referenced herein and therein supersede all prior agreements and
      understandings among the parties hereto with respect to the subject matter
      hereof and thereof.

     

    f. Subject
      to the requirements of Section
      11,
      this
      Agreement shall inure to the benefit of and be binding upon the permitted
      successors and assigns of each of the parties hereto.

     

    g. The
      headings in this Agreement are for convenience of reference only and shall
      not
      limit or otherwise affect the meaning hereof.

     

    h. This
      Agreement may be executed in identical counterparts, each of which shall be
      deemed an original but all of which shall constitute one and the same
      agreement.  This Agreement, once executed by a party, may be delivered to
      each other party hereto by facsimile transmission of a copy of this Agreement
      bearing the signature of the party so delivering this Agreement.

     

    i. Each
      party shall do and perform, or cause to be done and performed, all such further
      acts and things, and shall execute and deliver all such other agreements,
      certificates, instruments and documents, as any other party may reasonably
      request in order to carry out the intent and accomplish the purposes of this
      Agreement and the consummation of the transactions contemplated
      hereby.

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    j. The
      language used in this Agreement will be deemed to be the language chosen by
      the
      parties to express their mutual intent and no rules of strict construction
      will
      be applied against any party.

     

    k. This
      Agreement is intended for the benefit of the parties hereto and their respective
      permitted successors and assigns, and is not for the benefit of, nor may any
      provision hereof be enforced by, any other Person, except as expressly provided
      in Section 11 hereof.

     

    l. All
      consents and other determinations required to be made by the Investors pursuant
      to this Agreement shall be made, unless otherwise specified in the Agreement,
      by
      the Required Holders.

     

    m. If
      attorneys’ fees or other costs are incurred to secure performance of any
      obligations hereunder, or to establish damages for the breach thereof or to
      obtain any other appropriate relief, or to defend
      against
      any of the foregoing actions, the prevailing party will be entitled to recover
      reasonable attorneys’ fees and costs incurred in connection
      therewith.

     

    [SIGNATURE
      PAGE FOLLOWS]

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF,
      Buyer
      and the Company has caused its respective signature page to this Registration
      Rights Agreement to be duly executed as of the date first written
      above.

     

    
      	 	 	 
	 	COMPANY:
	 	 
	 	TRIBEWORKS, INC.
	 
 	 
 	 
 
	
            	By:  	
            
	 	
              
Name:
              Peter B. Jacobson
	 	Title: 
Chief
              Executive Officer

    

    
       

      
        	 	 	 
	 	
                BUYER:

              
	 	 
	 	
                WEST
                  COAST OPPORTUNITY FUND, LLC

              
	 
 	 
 	 
 
	
              	By:  	
              
	 	
                
Name:
                Atticus Lowe
	 	
                Title: 
                  Chief Investment Officer

              

      

       

    

    
      [Signature
        Page to Registration Rights Agreement]

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A

     

    FORM
      OF NOTICE OF EFFECTIVENESS

    OF
      REGISTRATION STATEMENT

     

                ,
      200   

     

    [Transfer
      Agent]

    [Address]

    Attention: 
      [                       ]

     

    
      	 	
              Re:

            	
              Tribeworks,
                Inc.

            

    

     

    Ladies
      and Gentlemen:

     

    [We
      are][I am] counsel to Tribeworks, Inc., a Delaware corporation (the
“Company”),
      and
      have represented the Company in connection with that certain Securities Purchase
      Agreement (the “Securities
      Purchase Agreement”)
      entered into by and among the Company and the buyer named therein (the
“Buyer”)
      pursuant to which the Company issued to the Holders [*] shares (the
“Shares”)
      of
      Common Stock, $0.0004 par value (“Common
      Stock”)
      of the
      Company and warrants (the “Warrants”)
      exercisable of the purchase of [*] shares of Common Stock of the Company. 
Pursuant to the Securities Purchase Agreement, the Company also has entered
      into
      a Registration Rights Agreement with the Holders (the “Holders”)
      (the
“Registration
      Rights Agreement”)
      pursuant to which the Company agreed, among other things, to register the
      Registrable Securities (as defined in the Registration Rights Agreement),
      including the Shares, under the Securities Act of 1933, as amended (the
“1933
      Act”). 
      In connection with the Company’s obligations under the Registration Rights
      Agreement, on
            
   , 200 , the Company filed a Registration Statement on
      Form SB-2 (File No.
      333-             )
      (the “Registration
      Statement”)
      with
      the Securities and Exchange Commission (the “SEC”)
      relating to the Registrable Securities which names each of the Holders as a
      selling shareholder thereunder.

     

    In
      connection with the foregoing, [we][I] advise you that a member of the SEC’s
      staff has advised [us][me] by telephone that the SEC has entered an order
      declaring the Registration Statement effective under the 1933 Act at
[ENTER
      TIME OF EFFECTIVENESS]
      on
[ENTER
      DATE OF EFFECTIVENESS]
      and
      [we][I] have no knowledge, after telephonic inquiry of a member of the SEC’s
      staff, that any stop order suspending its effectiveness has been issued or
      that
      any proceedings for that purpose are pending before, or threatened by, the
      SEC
      and the Registrable Securities are available for resale under the 1933 Act
      pursuant to the Registration Statement.

     

    This
      letter shall serve as our notice to you that the shares of Common Stock
      registered pursuant to the Registration Statement are currently freely
      transferable by the Holders pursuant to the Registration Statement.

     

    
      	
               

            	
              Very
                truly yours,

            
	
               

            	
               

            
	
               

            	
              [ISSUER’S
                COUNSEL]

            
	
               

            	
               

            
	
               

            	
              By:

            	
               

            	
               

            
	
               

            	
               

            	
               

            
	
              cc:

            	
              [LIST
                NAMES OF HOLDERS]

            
	 	 	 	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B

     

    SELLING
      SHAREHOLDERS

     

    The
      shares of Common Stock being offered by the selling shareholders were originally
      issued by the Company to investors in certain private placement
      transactions.  We are registering the resale of these shares of Common
      Stock in order to permit the selling shareholders to offer the shares for resale
      from time to time.  Except for the ownership of the shares of Common Stock
      issued pursuant to the Securities Purchase Agreement or pursuant to a
      Subscription Agreement, the selling shareholders have not had any material
      relationship with us within the past three years.

     

    The
      table
      below lists the selling shareholders and other information regarding the
      beneficial ownership of the shares of Common Stock by each of the selling
      shareholders.  The second column lists the shares of Common Stock being
      offered by this prospectus by the selling shareholders as of the date
      hereof.

     

    The
      third
      column lists the shares of Common Stock being offered by this prospectus by
      the
      selling shareholders.

     

    In
      accordance with the terms of a registration rights agreement with the selling
      shareholders, this prospectus generally covers the resale of up to 100% of
      the
      shares of Common Stock issued by the Company to the Securities Purchase
      Agreement.

     

    The
      fourth column assumes the sale of all of the shares offered by the selling
      shareholders pursuant to this prospectus.

     

    The
      selling shareholders may sell all, some or none of their shares in this
      offering.  See “Plan of Distribution.”

     

    
      	
              Name
                of Selling Shareholder

            	
               

            	
              Number
                of Shares of

              Common
                Stock Owned

              Prior
                to Offering

            	
               

            	
              Maximum
                Number of

              Shares
                of Common Stock to

              be
                Sold Pursuant to this

              Prospectus

            	
               

            	
              Number
                of Shares of

              Common
                Stock Owned

              After
                Offering

            
	
               

            	
               

            	
               

            	
               

            	
               

            	
               

            	
               

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    PLAN
      OF DISTRIBUTION

     

    We
      are
      registering the shares of Common Stock issued to investors pursuant to the
      Securities Purchase Agreement and certain Subscription Agreements to permit
      the
      resale of these shares of Common Stock by the selling shareholders from time
      to
      time after the date of this prospectus.  We will not receive any of the
      proceeds from the sale by the selling shareholders of the shares of Common
      Stock.  We will bear all fees and expenses incident to our obligation to
      register the shares of Common Stock.

     

    The
      selling shareholders may sell all or a portion of the shares of Common Stock
      beneficially owned by them and offered hereby from time to time directly or
      through one or more underwriters, broker-dealers or agents pursuant to the
      terms
      of the Registration Rights Agreement.  If the shares of Common Stock are
      sold through underwriters or broker-dealers, the selling shareholders will
      be
      responsible for underwriting discounts and commissions and brokers’ or agents’
commissions or selling commissions.  The shares of Common Stock may be sold
      in one or more transactions at fixed prices, at prevailing market prices at
      the
      time of the sale, at varying prices determined at the time of sale, or at
      negotiated prices.  These sales may be effected in transactions, which may
      involve crosses or block transactions:

     

    
      	
            	·	
              on
                any national securities exchange or quotation service on which the
                securities may be listed or quoted at the time of
                sale;

            

      	 	 	 

      	 	·	in the over-the-counter
              market;

      	 	 	 

      	 	·	in transactions otherwise than on these
              exchanges or systems or in the over-the-counter
              market;

      	 	 	 

      	 	·	through the writing of options, whether
              such
              options are listed on an options exchange or
              otherwise;

      	 	 	 

      	 	·	ordinary brokerage transactions and
              transactions in which the broker-dealer solicits
              purchasers;

      	 	 	 

      	 	·	block trades in which the broker-dealer
              will
              attempt to sell the shares as agent but may position and resell a portion
              of the block as principal to facilitate the
              transaction;

      	 	 	 

      	 	·	purchases by a broker-dealer as principal
              and
              resale by the broker-dealer for its account;

      	 	 	 

      	 	·	an exchange distribution in accordance
              with
              the rules of the applicable exchange;

      	 	 	 

      	 	·	privately negotiated
              transactions;

      	 	 	 

      	 	·	sales pursuant to Rule
              144;

      	 	 	 

      	 	·	broker-dealers may agree with the selling
              shareholders to sell a specified number of such shares at a stipulated
              price per share;

      	 	 	 

      	 	·	a combination of any such methods of
              sale;
              and

      	 	 	 

      	 	·	any other method permitted pursuant
              to
              applicable law.

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    If
      the
      selling shareholders effect such transactions by selling shares of Common Stock
      to or through underwriters, broker-dealers or agents, such underwriters,
      broker-dealers or agents may receive commissions in the form of discounts,
      concessions or commissions from the selling shareholders or commissions from
      purchasers of the shares of Common Stock for whom they may act as agent or
      to
      whom they may sell as principal (which discounts, concessions or commissions
      as
      to particular underwriters, broker-dealers or agents may be in excess of those
      customary in the types of transactions involved).  

     

    The
      selling shareholders and any broker-dealer participating in the distribution
      of
      the shares of Common Stock may be deemed to be “underwriters” within the meaning
      of the Securities Act, and any commission paid, or any discounts or concessions
      allowed to, any such broker-dealer may be deemed to be underwriting commissions
      or discounts under the Securities Act.  At the time a particular offering
      of the shares of Common Stock is made, a prospectus supplement, if required,
      will be distributed which will set forth the aggregate amount of shares of
      Common Stock being offered and the terms of the offering, including the name
      or
      names of any broker-dealers or agents, any discounts, commissions and other
      terms constituting compensation from the selling shareholders and any discounts,
      commissions or concessions allowed or reallowed or paid to
      broker-dealers.

     

    Under
      the
      securities laws of some states, the shares of Common Stock may be sold in such
      states only through registered or licensed brokers or dealers.  In
      addition, in some states the shares of Common Stock may not be sold unless
      such
      shares have been registered or qualified for sale in such state or an exemption
      from registration or qualification is available and is complied
      with.

     

    There
      can
      be no assurance that any selling shareholder will sell any or all of the shares
      of Common Stock registered pursuant to the shelf registration statement, of
      which this prospectus forms a part.

     

    The
      selling shareholders and any other person participating in such distribution
      will be subject to applicable provisions of the Securities Exchange Act of
      1934,
      as amended, and the rules and regulations thereunder, including, without
      limitation, Regulation M of the Exchange Act, which may limit the timing of
      purchases and sales of any of the shares of Common Stock by the selling
      shareholders and any other participating person.  Regulation M may also
      restrict the ability of any person engaged in the distribution of the shares
      of
      Common Stock to engage in market-making activities with respect to the shares
      of
      Common Stock.  All of the foregoing may affect the marketability of the
      shares of Common Stock and the ability of any person or entity to engage in
      market-making activities with respect to the shares of Common
      Stock.

     

    We
      will
      pay all expenses of the registration of the resale of the shares of Common
      Stock
      pursuant to the registration rights agreement, estimated to be
      $[     ] in total, including, without limitation, Securities
      and Exchange Commission filing fees and expenses of compliance with state
      securities or “blue sky” laws; provided,
      however,
      that a
      selling shareholder will pay all underwriting discounts, commissions and
      concessions and brokers’ or agents’ commissions and concessions or selling
      commissions and concessions, if any.  We will indemnify the selling
      shareholders against liabilities, including some liabilities under the
      Securities Act, in accordance with the registration rights agreement, or the
      selling shareholders will be entitled to contribution.  We will be
      indemnified by the selling shareholders against civil liabilities, including
      liabilities under the Securities Act, that may arise from any written
      information furnished to us by the selling shareholder specifically for use
      in
      this prospectus, in accordance with the related registration rights agreement,
      or we may be entitled to contribution.

     

    Once
      sold
      under the shelf registration statement, of which this prospectus forms a part,
      the shares of Common Stock will be freely tradable in the hands of persons
      other
      than our affiliates.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      C

     

    INVESTOR
      QUESTIONNAIRE

     

    The
      information contained in this questionnaire will be relied upon by Tribeworks
      Inc. (the “Company”) and its advisors.  Accordingly, by signing this
      questionnaire, you represent as follows:

     

    (i) The
      information contained herein is complete and accurate and may be relied upon
      by
      the Company and its advisors; and

     

    (ii) You
      will
      notify the Company immediately of any material change in any information
      provided herein.

     

    Although
      the Company will use commercially reasonable efforts to keep the information
      provided in the answers to this questionnaire strictly confidential, the Company
      may present this questionnaire and the information provided in it to such
      parties as the Company reasonably deems advisable if called upon to establish
      the availability under any federal or state securities laws of an exemption
      from
      registration or if the contents thereof are relevant to any issue in any action,
      suit, or proceeding to which the Company is a party or by which it is or may
      be
      bound.

     

    This
      questionnaire does not constitute an offer by the Company, but rather is a
      request for information.

     

    Thank
      you
      for taking the time to complete this questionnaire.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Investor
      Information

     

    INSTRUCTIONS: Please
      print or type all answers. If the answer to any question is “none” or “not
      applicable,” please so state.

     

    
      	
              Part
                A - General

            
	 	 
	
               

            	
              For
                Entities:

            
	 	 
	
               

            	
              1.
                Name: 

            
	 	 
	
               

            	
              2.
                Taxpayer Identification Number: 

            
	 	 
	
               

            	
              3.
                Jurisdiction and Year of Organization: 

            
	 	 
	
               

            	
              4.
                Nature of Business: 

            
	 	 
	
               

            	
              5.
                Business Address: 

            
	 	 
	
               

            	
              6.
                Business Telephone Number: 

            

    

     

    Part
      B -
      Type of Investor

     

    1. Are
      you:

     

    
      	 	
              (i)

            	
              A
                bank as defined in Section 3(a)(2) of the Securities Act of 1933
                (the
                “Securities Act”) or a savings and loan association or other institution
                as defined in Section 3(a)(5)(A) of the Securities Act whether acting
                in
                its individual or fiduciary
                capacity?

            

    

    Yes
            No      

     

    
      	 	
              (ii)

            	
              A
                broker or dealer registered pursuant to Section 15 of the Securities
                Exchange Act of 1934?
                Yes       No      

            

    

     

    
      	 	
              (iii)

            	
              An
                insurance company as defined in Section 2(a)(13) of the Securities
                Act?

            

    

    Yes      No      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	 	
              (iv)

            	
              An
                investment company registered under the Investment Company Act of
                1940
                (the “Company Act”) or a business development company as defined in
                Section 2(a)(48) of the Company Act?
                Yes      No      

            

    

     

    
      	 	
              (v)

            	
              A
                small business investment company licensed by the U.S. Small Business
                Administration under Section 301(c) or (d) of the Small Business
                Investment Act of 1958?
                Yes      No      

            

    

     

    
      	 	
              (vi)

            	
              A
                plan established and maintained by a state, its political subdivisions,
                or
                any agency or instrumentality of a state or its political subdivisions,
                for the benefit of its employees, if such plan has total assets in
                excess
                of $5,000,000?
                Yes      No      

            

    

     

    
      	 	
              (vii)

            	
              An
                employee benefit plan within the meaning of the Employee Retirement
                Income
                Security Act of 1974 (“ERISA”) whose the investment decision is made by a
                plan fiduciary, as defined in Section 3(21) of ERISA, which is either
                a
                bank, savings and loan association, insurance company, or registered
                investment adviser, or that has total assets in excess of $5,000,000?
                Yes      No      

            

    

     

    
      	 	
              (viii)

            	
              A
                private business development company as defined in Section 202(a)(22)
                of
                the Investment Advisers Act of 1940?
                Yes      No      

            

    

     

    
      	 	
              (ix)

            	
              An
                organization described in Section 501(c)(3) of the Internal Revenue
                Code
                of 1986, as amended, a corporation, Massachusetts or similar business
                trust, or partnership with total assets in excess of $5,000,000,
                which was
                not formed for the specific purpose of acquiring the securities of
                a
                particular issuer? 
                Yes      No      

            

    

     

    
      	 	
              (x)

            	
              An
                entity in which all of the equity owners are “accredited investors,” as
                such term is defined under the Securities Act of 1933? 
                Yes      No      

            

    

     

    
      	 	
              (xi)

            	
              A
                self-directed plan with investment decisions made solely by persons
                who
                are accredited investors?
                Yes      No      Please
                attach a separate sheet setting forth the basis for the representation
                that they are “accredited
                investors.”

            

    

     

    
      	 	
              (xii)

            	
              A
                natural person whose individual net worth, or joint net worth with
                your
                spouse, exceeds $1,000,000? (In calculating your net worth, you may
                include all assets, such as your home, home furnishings and automobiles,
                less your liabilities.)
                Yes      No      

            

    

     

    
      	 	
              (xiii)

            	
              A
                natural person who had an individual income in excess of $200,000
                in each
                of the two most recent years or joint income with your spouse in
                excess of
                $300,000 in each of those years, and has a reasonable expectation
                of
                reaching the same income level in the current year?
                Yes      No      

            

    

     

    
      	 	
              (xiv)

            	
              A
                trust, with total assets in excess of $5,000,000, not formed for
                the
                specific purpose of acquiring the securities of a particular issuer,
                whose
                investments are directed by a sophisticated person with sufficient
                knowledge and experience in financial and business matters to evaluate
                the
                merits and risks of the trust’s investments?
                Yes      No      

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Part
      C -
      Financial and Other Data

     

    1. If
      you
      are an entity, please indicate the range of your total amount of
      assets.

     

    $0
      -
      $5,000,000

     

    Over
      $5,000,000

     

    2. Do
      you
      have adequate liquid assets (defined as cash, cash equivalents and freely
      marketable securities) to meet your current needs and personal
      contingencies? 
Yes         No         

     

    3. Please
      indicate your other investment experience (e.g., stocks, real estate,
      etc.)

     

    4. Do
      you or
      the persons who make investment decisions on your behalf have sufficient
      knowledge and experience in financial and business matters to evaluate the
      merits and risks of your investments?

    Yes         No         

     

    5. Do
      you
      typically use a purchaser representative in connection with your investments
      (i.e., someone who has such knowledge and experience in financial and business
      matters that he or she is capable of evaluating the merits and risks of your
      investments and whom you acknowledge in writing during the course of your
      investment to be your purchaser representative)? 
Yes         No         

     

    If
      so,
      please provide the name, address and telephone number of your purchaser
      representative.

     

    IN
      WITNESS WHEREOF, the undersigned has executed this questionnaire as of
                ,
      200  , and declared that it is truthful and correct.

     

    
      	 	 	 
	 
 	 
 	 
 
	
            	By:  	
            
	 	
              

              Name:

            
	 	
              Title:

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      D

     

    PERSONS
      EXECUTING LOCK-UP AGREEMENTS PURSUANT TO

    SECTION
      3(s) OF THE AGREEMENT

    

    Robert
      Altinger

    AMJ
      Holdings

    Gordon
      Blankstein

    Robert
      Blankstein

    Yvonne
      Blankstein

    Peter
      B.
      Jacobson

    Michael
      T. MurphyWarrant
      No. _____

    

    TRIBEWORKS,
      INC.

    (A
      Delaware Corporation)

     

    
      
        

      

    WARRANT
      TO PURCHASE

    SHARES
      OF COMMON STOCK

     

    
      
        

      

    

    

    Effective
      June 15, 2007

     

    THIS
      WARRANT HAS NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933,
      AS AMENDED (THE “SECURITIES
      ACT”),
      OR
      ANY APPLICABLE STATE SECURITIES LAWS. THIS WARRANT MAY NOT BE SOLD, OFFERED
      FOR
      SALE, PLEDGED, HYPOTHECATED, OR OTHERWISE DISPOSED OF OR TRANSFERRED IN THE
      ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION THEREFROM UNDER THE SECURITIES
      ACT
      AND APPLICABLE STATE SECURITIES LAWS.

     

    THIS
      CERTIFIES THAT, for value received, WEST COAST OPPORTUNITY FUND, a Delaware
      limited liability company, or its registered assigns (“Holder”),
      is
      entitled to purchase, subject to the conditions set forth below, at any time
      or
      from time to time during the Exercise Period (as defined in subsection
      1.2
      below),
      THREE MILLION TWO HUNDRED FIFTY THOUSAND (3,250,000) shares (“Shares”)
      of
      fully paid and non-assessable common stock, par value $0.0004 per share (the
      “Common
      Stock”),
      of
      TRIBEWORKS, INC., a Delaware corporation (the “Company”),
      at
      the per share purchase price (the “Warrant
      Price”)
      set
      forth in subsection
      1.1
      below,
      subject to the further provisions of this Warrant.

     

    
      	
              1.

            	
              EXERCISE
                OF WARRANT

            

    

     

    The
      terms
      and conditions upon which this Warrant may be exercised, and the Shares subject
      hereto may be purchased, are as follows:

     

    1.1 Warrant
      Price.
      The
      Warrant Price shall be $2.60 per Share, subject to adjustment as provided in
      Section
      4
      below.

     

    1.2 Method
      Of Exercise.
      Holder
      may at any time beginning on the effective date of this Warrant and for five
      (5)
      years from such date of effectiveness, or such later date as the Company may
      in
      its sole discretion determine (the “Exercise
      Period”),
      exercise in whole or in part the purchase rights evidenced by this Warrant.
      Such
      exercise shall be effected by:

     

    (a) the
      surrender of this Warrant, together with a duly executed copy of the form of
      subscription attached hereto as Exhibit
      A,
      to the
      Secretary of the Company at its principal offices; and 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (b) the
      payment to the Company, by cash, certified or cashier’s check payable to
      Company’s order or wire transfer to the Company’s account, of an amount equal to
      the aggregate Warrant Price for the number of Shares for which the purchase
      rights hereunder are being exercised.

     

    1.3 Acceleration
      of Exercise.
      

     

    (a) Other
      than during a Lock-up Period (as defined in Section 9), the Company shall be
      able to force the exercise of this Warrant if, at anytime after six (6) months
      from the Effective Date (as such term is defined in that certain Securities
      Purchase Agreement, dated June 15, 2007, by and between the Company and the
      Holder): (i) the resale of the Shares has been registered on a shelf
      registration statement filed with the Securities and Exchange Commission (the
      “SEC”)
      and
      declared effective; (ii) the Common Stock has a closing price of ten dollars
      ($10.00) (as adjusted for any stock dividend, stock split, stock combination,
      recapitalization, reclassification, reorganization or other similar event)
      or
      higher during twenty (20) out of any thirty (30) trading day period immediately
      prior to the acceleration date (the “Trading
      Period”);
      (iii)
      the Common Stock has an average daily trading volume of at least 100,000 shares
      during the Trading Period; (iv) the Common Stock has a median daily trading
      volume of at least 10,000 shares during the Trading Period; (v) all of the
      Yield
      Enhancement Shares (as defined in the Securities Purchase Agreement) have either
      (y) been sold by the Holder or (z) the resale of such shares has been
      registered on a shelf registration statement filed with the SEC for the entire
      time period set forth in Section 1.3(a)(ii); and (vi) the Company provides
      notice of the Company’s intent to accelerate the exercise of the Warrant,
      pursuant to this Section 1.3(a), at least three days prior to the date of
      acceleration of exercise (“Acceleration
      Exercise Date”).

     

    (b) Upon
      a
      forced exercise of the Warrant pursuant to Section 1.3(a), the Holder shall
      be
      permitted to pay the total exercise price in one-third increments due (a) on
      the
      Acceleration Exercise Date, (b) thirty days after the Acceleration Exercise
      Date
      and (c) sixty days after the Acceleration Exercise Date. These shares will
      be delivered as they are paid off.

    

    (c) The
      Company shall not be able to accelerate the exercise of the Warrant if the
      Shares are subject to a “lock-up” as set forth in the Registration Rights
      Agreement.

    

    1.4 Issuance
      Of Shares and New Warrant.
      If the
      purchase rights evidenced by this Warrant are exercised in whole or in part,
      one
      or more certificates for the purchased Shares shall be issued to Holder within
      three business days following the date of exercise. If the purchase rights
      evidenced by this Warrant are exercised only in part, the Company shall also
      deliver to Holder at such time a new Warrant evidencing the purchase rights
      regarding the number of Shares (if any) for which the purchase rights under
      this
      Warrant remain unexercised and continue in force and effect. All new Warrants
      issued in connection with the provisions of this Section
      1.5
      shall
      bear the same date as this Warrant and shall be substantially identical in
      form
      and provisions to this Warrant except for the number of Shares purchasable
      thereunder. Each person in whose name any certificate for Shares is to be issued
      shall for all purposes be deemed to have become the holder of record of such
      Shares on the date on which this Warrant was surrendered and payment of the
      Warrant Price was made, irrespective of the date of delivery of such stock
      certificate, except that if the date of such surrender and payment is a date
      when the stock transfer books of the Company are closed, such person shall
      be
      deemed to have become the holder of such Shares at the close of business on
      the
      next succeeding date on which the stock transfer books are open.

     

    1.5
       Company’s
      Failure to Timely Deliver Securities.
      If
      within three (3) trading days after (x) the Company’s receipt of the
      facsimile copy of an Exercise Notice and (y) receipt by the Company’s legal
      counsel of all documentation required to deliver an opinion of counsel related
      to the delivery of the Securities, the Company shall fail to issue and deliver
      a
      certificate to the Holder and register such shares of Common Stock on the
      Company’s share for the number of shares of Common Stock to which the Holder is
      entitled upon such holder’s exercise hereunder, and if on or after such Trading
      Day the Holder purchases (in an open market transaction or in another bona
      fide
      transaction) shares of Common Stock to deliver in satisfaction of a sale by
      the
      Holder of shares of Common Stock issuable upon such exercise that the Holder
      anticipated receiving from the Company (a “Buy-In”),
      then
      the Company shall, within three Business Days after the Holder’s request and in
      the Holder’s discretion, either (i) pay cash to the Holder in an amount equal to
      the Holder’s total purchase price (including brokerage commissions, if any) for
      the shares of Common Stock so purchased (the “Buy-In
      Price”),
      at
      which point the Company’s obligation to deliver such certificate (and to issue
      such shares of Common Stock) shall terminate, or (ii) promptly honor its
      obligation to deliver to the Holder a certificate or certificates representing
      such shares of Common Stock and pay cash to the Holder in an amount equal to
      the
      excess (if any) of the Buy-In Price over the product of (A) such number of
      shares of Common Stock, times (B) the Closing Bid Price on the date of
      exercise.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	
              2.

            	
              TRANSFERS

            

    

     

    2.1 Transfers.
      This
      Warrant and all rights hereunder are transferable in whole or in part by the
      Holder subject to the provisions of Section 7 below. The transfer shall be
      recorded on the books of the Company upon (i) the surrender of this Warrant
      (together with a duly executed and endorsed copy of the form of transfer
      certificate attached hereto as Exhibit
      B)
      to the
      Secretary of the Company at its principal offices, and (ii) the payment to
      the
      Company of all transfer taxes and other governmental charges imposed on such
      transfer. In the event of a partial transfer, the Company shall issue to the
      several holders one or more appropriate new Warrants.

     

    2.2 Registered
      Holder.
      Each
      holder of this Warrant agrees that until such time as any transfer pursuant
      to
subsection
      2.1
      above is
      recorded on the books of the Company, the Company may treat the registered
      Holder of this Warrant as the absolute owner.

     

    2.3 Form
      Of New Warrants.
      All new
      Warrants issued in connection with transfers of this Warrant shall bear the
      same
      date as this Warrant and shall be substantially identical in form and provisions
      to this Warrant except for the number of Shares purchasable
      thereunder.

     

    
      	
              3.

            	
              NO
                FRACTIONAL SHARES

            

    

     

    Notwithstanding
      any adjustment (as required hereby) to the number of Shares purchasable upon
      the
      exercise of this Warrant, the Company shall not be required to issue any
      fraction of a Share upon exercise of this Warrant. If, by reason of any change
      made pursuant to Section
      4
      below,
      the Holder would be entitled, upon the exercise of any rights evidenced hereby,
      to receive a fractional interest in a Share, the Company shall, upon such proper
      exercise of this Warrant, purchase such fractional interest for an amount in
      cash equal to the Fair Market Value of such fractional interest, determined
      as
      of the date of such exercise of this Warrant. For purposes of this Section
      3,
      the
      term “Fair Market Value” means (a) if the primary market for the Shares is a
      National Securities Exchange, the NASDAQ Stock Market, or any other market
      or
      quotation system in which last sale transactions are reported on a
      contemporaneous basis, the last reported sales price of such Shares, as of
      the
      time of authorization of the transaction giving rise to the right to receive
      such Shares; or (b) if the primary market for such Shares is not an exchange
      or
      quotation system, the fair value thereof as shall be determined in good faith
      by
      the Board of Directors of the Company at the time of authorization of the
      transaction giving rise to the right to receive such Shares.

     

    
      	
              4.

            	
              ANTIDILUTION
                PROVISIONS

            

    

     

    4.1 Stock
      Splits And Combinations.
      If the
      Common Stock shall at any time be subdivided into a greater number of shares,
      then the number of Shares purchasable upon exercise of this Warrant and the
      Warrant Price shall be proportionately increased; and, conversely, if the Common
      Stock shall at any time be combined into a smaller number of shares, then the
      number of Shares purchasable upon exercise of this Warrant and the Warrant
      Price
      shall be proportionately reduced. Any adjustments under this subsection
      4.1
      shall
      become effective at the close of business on the date the subdivision or
      combination becomes effective. 

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    4.2 Reclassification,
      Exchange and Substitution.
      If the
      Common Stock shall be changed into shares of any other class or classes of
      stock
      or other securities of the Company, whether by capital reorganization,
      reclassification, or otherwise, Holder shall, upon exercise of this Warrant,
      be
      entitled to purchase for the same aggregate consideration, in lieu of the Shares
      that Holder would have become entitled to purchase but for such change, a number
      of shares of such other class or classes of stock or other securities of the
      Company equivalent to the number of Shares that would have been subject to
      purchase by Holder on exercise of this Warrant immediately before that change.
      Any adjustments under this subsection
      4.2
      shall
      become effective at the close of business on the date such change of the Common
      Stock into shares of any other class or classes of stock or other securities
      of
      the Company becomes effective.

     

    4.3 Reorganizations,
      Mergers, Consolidations Or Sale Of Assets.
      If at
      any time there shall be a reorganization involving the Common Stock (other
      than
      a stock split, combination, reclassification, exchange, or subdivision of shares
      provided for in subsections
      4.1
      and
4.2
      above)
      or a merger or consolidation of the Company with or into another corporation,
      or
      the sale of all or substantially all of the Company’s assets to any other
      person, then, as a part of such reorganization, merger, consolidation or sale,
      lawful provision shall be made so that Holder shall thereafter be entitled
      to
      receive upon exercise of this Warrant, in accordance with the terms hereof,
      in
      lieu of the Shares that Holder would have become entitled to purchase but for
      such event, such other securities or property of the Company, or of the
      successor corporation resulting from such event, to which Holder would have
      been
      entitled in such reorganization, merger, consolidation or sale if this Warrant
      had been exercised immediately before that reorganization, merger, consolidation
      or sale. In any such case, appropriate adjustment (as determined in good faith
      by the Company’s Board of Directors) shall be made in the application of the
      provisions of this Warrant with respect to the rights and interests of Holder
      after the reorganization, merger, consolidation, or sale to the end that the
      provisions of this Warrant (including adjustment of the Warrant Price then
      in
      effect and number of Shares purchasable upon exercise of this Warrant) shall
      be
      applicable after that event, as near as reasonably may be, in relation to any
      shares or other property deliverable after that event upon exercise of this
      Warrant.

     

    4.4 Adjustments
      of Other Distributions.
      If the
      Company shall at any time declare and pay or deliver to the holders of Common
      Stock a distribution payable in securities of other persons, evidences of
      indebtedness issued by the Company or other persons, assets (excluding cash
      dividends) or options or rights, in any case of a kind not referred to above,
      then, upon exercise of this Warrant, Holder shall be entitled to receive a
      proportionate share of any such distribution as though Holder was the holder
      of
      the number of shares of Common Stock into which this Warrant may be exercised
      as
      of the record date fixed for the determination of the holders of Common Stock
      entitled to receive such distribution.

     

    4.5 Certificate
      as to Adjustments.
      In the
      case of each adjustment (including a readjustment) under this Section
      4,
      the
      Company will promptly, and in any event within thirty (30) days after the event
      requiring the adjustment, compute such adjustment in accordance with the terms
      hereof and deliver or cause to be delivered to Holder a certificate describing
      in reasonable detail the event requiring the adjustment and setting forth such
      adjustment and the calculations and results of such adjustment.

     

    4.6 Reservation
      of Stock Issuable Upon Exercise.
      The
      Company shall at all times reserve and keep available out of its authorized
      but
      unissued shares of Common Stock such number of shares of Common Stock as shall
      from time to time be sufficient to effect the exercise of this Warrant. If
      at
      any time the number of authorized but unissued shares of Common Stock shall
      not
      be sufficient to effect the exercise of this Warrant, the Company will take
      such
      corporate action as may, in the opinion of its counsel, be necessary to increase
      its authorized but unissued shares of Common Stock to such number of shares
      as
      shall be sufficient for such purpose.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    4.7 Method
      of Calculation.
      All
      calculations under this Section
      4
      shall be
      made to the nearest one hundredth of a share.

     

    
      	
              5.

            	
              RIGHTS
                PRIOR TO EXERCISE OF
                WARRANT

            

    

     

    This
      Warrant does not entitle Holder to any of the rights of a stockholder of the
      Company, including (without limitation) the right to receive dividends or other
      distributions, to vote or consent, or to receive notice as a stockholder of
      the
      Company. If, however, at any time prior to the expiration of this Warrant and
      prior to its exercise,

     

    (a) the
      Company shall declare any dividend payable in any securities upon outstanding
      shares of Common Stock or make any other distribution (other than a regular
      cash
      dividend) to the holders of shares of Common Stock;

     

    (b) the
      Company shall offer to the holders of shares of Common Stock any additional
      shares of Common Stock or securities convertible into or exchangeable for shares
      of Common Stock or any right to subscribe for or purchase any thereof;
      or

     

    (c) a
      dissolution, liquidation or winding-up of the Company (other than in connection
      with a reorganization, consolidation, merger, or sale of all or substantially
      all of its assets as an entirety) shall be approved by the Company’s Board of
      Directors,

     

    then,
      in
      any one or more of such events the Company shall give notice in writing of
      such
      event to Holder, at its address as it shall then appear on the Company’s
      records, at least twenty (20) days prior to the date fixed as a record date
      or
      the date of closing the transfer books for the determination of the stockholders
      entitled to such dividends, distribution, or subscription rights, or for the
      determination of stockholders entitled to vote on such proposed dissolution,
      liquidation or winding-up. Such notice shall specify such record date or the
      date of closing the transfer books, as the case may be.

     

    Any
      failure to give such notice or any defect therein, however, shall not affect
      the
      validity of any action taken in connection with such dividend, distribution
      or
      subscription rights, or such proposed dissolution, liquidation or
      winding-up.

     

    
      	
              6.

            	
              SUCCESSORS
                AND ASSIGNS

            

    

     

    The
      terms
      and provisions of this Warrant shall inure to the benefit of, and be binding
      upon, the Company and its successors and assigns and Holder and its successors
      and permitted assigns.

     

    
      	
              7.

            	
              RESTRICTED
                SECURITIES

            

    

     

    To
      enable
      the Company to comply with the Securities Act of 1933, as amended (the
“Securities
      Act”)
      and
      applicable state securities laws, the Company may require Holder, as a condition
      of the transfer or exercise of this Warrant, to give written assurance
      satisfactory to the Company that this Warrant, or in the case of an exercise
      hereof the Shares, are being acquired for its own account, for investment only,
      with no view to the distribution of the same in violation of the Securities
      Act
      or applicable state securities laws. Any disposition of all or any portion
      of
      this Warrant or the Shares shall not be made unless and until: 

     

    (a) There
      is
      then in effect a registration statement under the Securities Act covering such
      proposed disposition and such disposition is made in accordance with such
      registration statement; or

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    (b) Holder
      has (i) notified the Company of the proposed disposition and furnished the
      Company with a detailed statement of the circumstances surrounding the proposed
      disposition, and (ii) furnished the Company with an opinion of counsel,
      satisfactory to the Company, that such disposition will not require registration
      of such securities under the Securities Act and applicable state securities
      laws.

     

    Holder
      acknowledges that this Warrant is, and each of the Shares issuable upon the
      exercise hereof will be, a restricted security, and that the certificate or
      certificates evidencing such Shares will bear a legend substantially similar
      to
      the following:

     

    “THE
      OFFER AND SALE OF THE SHARES REPRESENTED BY THIS CERTIFICATE HAS NOT BEEN
      REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES
      ACT”),
      OR UNDER THE SECURITIES LAWS OF ANY STATE. THEY MAY NOT BE SOLD, TRANSFERRED
      OR
      OTHERWISE DISPOSED OF IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT
      COVERING THESE SECURITIES UNDER THE SECURITIES ACT OR STATE SECURITIES LAWS,
      OR
      AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY AND ITS COUNSEL THAT
      REGISTRATION IS NOT REQUIRED THEREUNDER.”

     

    
      	
              8.

            	
              LOSS
                OR MUTILATION

            

    

     

    Upon
      receipt by the Company of satisfactory evidence of the ownership of and the
      loss, theft, destruction, or mutilation of this Warrant, and (i) in the case
      of
      loss, theft, or destruction, upon receipt by the Company of indemnity
      satisfactory to it, or (ii) in the case of mutilation, upon receipt of this
      Warrant and upon surrender and cancellation of this Warrant, the Company shall
      execute and deliver in lieu thereof a new Warrant representing the right to
      purchase an equal number of Shares.

     

    
      	
              9.

            	
              NON-CIRCUMVENTION
                

            

    

     

    The
      Company hereby covenants and agrees that the Company will not, by amendment
      of
      its Certificate of Incorporation, Bylaws or through any reorganization, transfer
      of assets, consolidation, merger, scheme of arrangement, dissolution, issue
      or
      sale of securities, or any other voluntary action, avoid or seek to avoid the
      observance or performance of any of the terms of this Warrant, and will at
      all
      times in good faith carry out all of the provisions of this Warrant and use
      commercially reasonable efforts to protect the rights of the Holder of this
      Warrant.

     

    
      	
              10.

            	
              NOTICES

            

    

     

    All
      notices, requests, demands and other communications under this Warrant shall
      be
      in writing and shall be deemed to have been duly given on the date of receipt
      (or refusal of receipt) if delivered personally or by courier by the party
      to
      whom notice is to be given, or on the earlier of the third business day after
      the date of mailing or receipt if mailed to the party to whom notice is to
      be
      given by first class mail, registered or certified, postage prepaid, and
      properly addressed as follows: if to Holder, at its address as shown in the
      Company’s records; and if to the Company, at its principal office. Either party
      may change its address for purposes of this Section
      10
      by
      giving the other party written notice of the new address in the manner set
      forth
      above.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    
      	
              11.

            	
              GOVERNING
                LAW

            

    

     

    This
      Warrant and any dispute, disagreement or issue of construction or interpretation
      arising hereunder, whether relating to its execution, its validity, the
      obligations provided herein or performance, shall be governed or interpreted
      according to the laws of the State of Delaware, without regard to conflicts
      of
      law.

     

    [THE
      REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    Warrant
      No. _____

     

    DATED
      AS
      OF JUNE ___, 2007.

     

    
      	 	 	 
	 	
              TRIBEWORKS,
                INC.

            
	 
 	 
 	 
 
	
            	By:  	
            
	 	
              

              PETER
                B. JACOBSON,

            
	 	
              Chief
                Executive Officer

            

    

     

    
      [Signature
        Page to Warrant]

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

    

    EXHIBIT
      “A”

    

    SUBSCRIPTION

     

    TRIBEWORKS,
      INC.

    2001
      -
      152nd
      Ave.
      NE

    Redmond,
      WA   98052

    

    Gentlemen:

    

    The
      undersigned, _______________________, hereby elects to purchase, pursuant to
      the
      provisions to the foregoing Warrant held by the undersigned, ____________shares
      of the Common Stock, $0.0004 (the “Common
      Stock”),
      of
      Tribeworks, Inc.

    

    The
      undersigned herewith encloses the Warrant and:

    

    cash
      or a
      certified or cashier’s check (drawn in favor of the Company) in the amount of
      $__________ in payment of the Warrant Price.

     

    DATED:______________,
      ___________.

    

    
      	 	 	 
	
            	Signature:	
            
	 	
              

            
	 	Address:	 
	 	 	
              

            
	 	 	
              
 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      “B”

    

    ASSIGNMENT
      FORM

    

    FOR
      VALUE
      RECEIVED the undersigned registered owner of this Warrant hereby sells, assigns
      and transfers unto the Assignee named below all of the rights of the undersigned
      under this Warrant, with respect to the number of Shares of Common Stock set
      forth below:

    

    
      	
               

               

              Name
                and Address of Assignee

            	 	
               

              No.
                of Shares

              Common
                Stock

            
	 	 	 
	 	 	 
	 	 	 

    

    

    and
      does
      hereby irrevocably constitute and appoint as Attorney
      ________________________________ to register such transfer on the books of
      _______________________________________ maintained for the purpose, with full
      power of substitution in the premises.

    

    Dated: __________________________,
      _______.

    

    
      	 	 	 
	
            	
            	
            
	 	
              

            
	 	
            	 
	 	 	
              

            
	 	 	
              
 

    

     

    NOTICE: The
      signature to this assignment must correspond with the name as written upon
      the
      face of the within Warrant in every particular, without alternation or
      enlargement or any change whatsoever.

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