Document:

ps_ex10-9.htm

    EXHIBIT
10.9

    

    To:           Powersafe
Technology Corp.

    1400
Coney Island Avenue

    Brooklyn,
NY 11230

    

    REGULATION
D SUBSCRIPTION AGREEMENT

    AND
INVESTMENT REPRESENTATION

    

    SECTION
1

    

    1.1           Subscription.  The
undersigned, intending to be legally bound, hereby irrevocably subscribes for
and agrees to exchange a liability owed to it by Powersafe Technology Corp., a
Delaware corporation (the "Company") and/or a liability owed to it by
Amplification Technologies, Inc. (“ATI”), a Delaware corporation, a wholly owned
subsidiary of the Company, in a transaction exempt from the registration
requirements of the Securities Act of 1933, as amended (the “Securities Act”)
for the number of shares of Series D-1 Preferred Stock and Warrants indicated
below. The terms of the Series D-1 Preferred Stock and Warrants are more fully
described in the Certificate of Designation of the Preferred Stock and Warrant
Agreement attached hereto as Exhibits A and B,
respectively.

    

    The
undersigned understands that the securities are being offered, exchanged and
issued by the Company in a transaction exempt from the registration requirements
of the Securities Act.

    

    For
purposes of this agreement, the Series D-1 Preferred Stock shall be referred to
as the “Preferred Stock”, the shares of common stock of the Company issued upon
due conversion of the Preferred Stock in accordance with the terms thereof shall
be referred to as the “Converted Shares” and the shares of common stock of the
Company issued upon due conversion of the Warrants shall be referred to as the
“Warrant Shares”. The Preferred Stock, Warrants, Converted Shares and Warrant
Shares shall hereinafter be referred to collectively as the
“Shares”.

    

    1.2           Registration
Penalty.  The Company agrees to pay to the subscriber an amount
equal to one half of one percent (1/2%) of the aggregate purchase price of the
Shares acquired by the Subscriber  pursuant to this Agreement (the
“Monthly
Payment”), calculated day-to-day on a 30/360 basis, each month beginning
November 1, 2009 until the date that the Company shall have prepared and filed
with the Securities and Exchange Commission a registration statement
covering  the Converted Shares issuable upon conversion of the Preferred
Stock, and such registration statement shall have been declared effective under
the Securities Act, or the subscriber is then able to sell such Converted Shares
under Rule 144 promulgated pursuant to the Securities Act (the Monthly Fee to be
pro rated if this condition is satisfied with respect to only a portion of such
Converted Shares).

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    1.3           Release.  The
undersigned understands and acknowledges that _______________________ dollars
($___________________) owed to it by the Company and/or ATI, are to be exchanged
for _____ shares of Series D-1 Preferred Stock (“Preferred Stock”) and ______
Warrants.

    

    In
consideration of the issuance of the Preferred Stock and Warrants, the
undersigned hereby irrevocably and unconditionally releases, and forever
discharges the Company, ATI, and their officers, directors, stockholders,
employees, agents, representatives and affiliates and their respective
successors and assigns, and all persons, firms, corporations, and organizations
acting on their behalf (collectively referred to as the “Related Entities”) of
and from any and all actions, causes of actions, suits, potential lawsuits,
debts, charges, demands, complaints, claims, administrative proceedings,
liabilities, obligations, promises, agreements, controversies, damages and
expenses (including but not limited to compensatory, punitive or liquidated
damages, attorney’s fees and other costs and expenses incurred), of any kind or
nature whatsoever, whether presently known or unknown, which the undersigned may
have or claim to have against any of the Related Entities as of the date hereof
with respect to the payment of $______.

    

    

    SECTION
2

    

    2.1           Investor Representations and
Warranties.  The undersigned hereby acknowledges, represents
and warrants to, and agrees with, the Company and its affiliates as
follows:

    

    (a)           Investment
Purposes.  The undersigned is acquiring the Shares for his own
account as principal, not as a nominee or agent, for investment purposes only,
and not with a view to, or for, resale, distribution or fractionalization
thereof in whole or in part in any transactions that would be in violation of
the Securities Act or any state securities or "blue-sky" laws. No other person
has a direct or indirect beneficial interest in, and the undersigned does not
have any contract, undertaking, agreement or arrangement with any person to
sell, transfer or grant participations to such person or to any third person,
with respect to, the Shares or any part of the Shares for which the undersigned
is subscribing that would be in violation of the Securities Act or any state
securities or "blue-sky" laws.

    

    (b)           Authority.  The
undersigned has full power and authority to enter into this Agreement, the
execution and delivery of this Agreement has been duly authorized, if
applicable, and this Agreement constitutes a valid and legally binding
obligation of the undersigned.

    

    (c)           No General
Solicitation.  The undersigned is not subscribing for the
Shares as a result of or subsequent to any advertisement, article, notice or
other communication published in any newspaper, magazine or similar media or
broadcast over television or radio; or presented at any seminar or similar
gathering; or any solicitation of a subscription by a person, other than Company
personnel, previously not known to the undersigned.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    (d)           Investment
Experience.  The undersigned, or the undersigned’s professional
advisors, has such knowledge and experience in finance, securities, taxation,
investments and other business matters as to evaluate investments of the kind
described in this Agreement. By reason of the business and financial experience
of the undersigned or his professional advisors (who are not affiliated with or
compensated in any way by the Company or any of its affiliates or selling
agents), the undersigned or his advisors can protect his own interests in
connection with the transactions described in this Agreement. The undersigned is
able to afford the loss of his entire investment in the Shares.

    

    (e)           Exemption from
Registration.  The undersigned acknowledges his understanding
that the offering and sale of the Shares is intended to be exempt from
registration under the Securities Act.  In furtherance thereof, in
addition to the other representations and warranties of the undersigned made
herein, the undersigned further represents and warrants to and agrees with the
Company and its affiliates as follows:

    

    (1)           The
undersigned has the financial ability to bear the economic risk of his
investment, has adequate means for providing for his current needs and personal
contingencies and has no need for liquidity with respect to his investment in
the Company; and

    

    (2)           The
undersigned has such knowledge and experience in financial and business matters
as to be capable of evaluating the merits and risks of the prospective
investment in the Shares.  The undersigned also represents it has not
been organized for the purpose of acquiring the Shares; and

    

    (3)           The
undersigned has been provided an opportunity for a reasonable period of time
prior to the date hereof to obtain additional information concerning the
offering of the Shares, the Company and all other information to the extent the
Company possesses such information or can acquire it without unreasonable effort
or expense.

    

    (4)           The
undersigned understands that the Shares are not being registered under the
Securities Act, or the securities laws of any state in reliance upon exemptions
therefrom for private offerings.  The undersigned understands that the
Shares must be held indefinitely unless the sale thereof is subsequently
registered under the Securities Act and applicable state securities laws or
exemptions from such registration are available.  All certificates
evidencing the undersigned Shares will bear a legend stating that the Shares
have not been registered under the Securities Act or state securities laws and
they may not be resold unless they are registered under the Securities Act and
applicable state securities laws or exempt therefrom.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    (f)           Economic
Considerations.  The undersigned is not relying on the Company,
or its affiliates or agents with respect to economic considerations involved in
this investment.  The undersigned has relied solely on its own
advisors.

    

    (g)           No Other Company
Representations.  No representations or warranties have been
made to the undersigned by the Company, or any officer, employee, agent,
affiliate or subsidiary of the Company, other than the representations of the
Company contained herein, and in subscribing for Shares the undersigned is not
relying upon any representations other than those contained herein.

    

    (h)           Accredited
Investor.  The undersigned is an “Accredited Investor” as that
term is defined in Rule 501(a) of Regulation D promulgated under the Securities
Act, and as specifically indicated in Exhibit C to this Agreement.

     

    (i)           State
Residency.  The undersigned’s principal residence (if
subscriber is an individual) or principal business address, as applicable,
is in the state indicated on the signature page, and the undersigned has no
present intention to move such residence or principal business address, as
applicable, from such State.

    

    (j)           Legend.  Each
certificate representing the Shares shall be endorsed with the following legend,
in addition to any other legend required to be placed thereon by applicable
federal or state securities laws:

    

    “THE SECURITIES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AND MAY
NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR WITHOUT AN
EXEMPTION THEREFROM OR AN OPINION OF COUNSEL IN A FORM SATISFACTORY TO THE
COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT OF
1933.”

    

    The
undersigned consents to the Company making a notation on its records or giving
instructions to any transfer agent of the Company in order to implement the
restrictions on transfer of the Shares set forth in this Section

    

    (k)           Potential Loss of
Investment.  The undersigned understands that an investment in
the Shares is a speculative investment which involves a high degree of risk and
the potential loss of his entire investment. The
undersigned has received and reviewed the filings made by the Company with the
SEC.  The undersigned understands and acknowledges that as a result
thereof, he may lose his entire investment in the Company.

    

    (l)           Investment
Commitment.  The undersigned's overall commitment to
investments which are not readily marketable is not disproportionate to the
undersigned's

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    net
worth, and an investment in the Shares will not cause such overall commitment to
become excessive.

    

    (m)           Receipt of
Information.  The undersigned has received all documents,
records, books and other information pertaining to the undersigned’s investment
in the Company that has been requested by the undersigned.

    

    (n)           No
Reliance.  Other than as set forth herein, the undersigned is
not relying upon any other information, representation or warranty by the
Company or any officer, director, stockholder, agent or representative of the
Company in determining to invest in the Shares.  The undersigned has
consulted, to the extent deemed appropriate by the undersigned, with the
undersigned’s own advisers as to the financial, tax, legal and related matters
concerning an investment in the Shares and on that basis believes that his or
its investment in the Shares is suitable and appropriate for the
undersigned.

    

    (o)           No Governmental
Review.  The undersigned is aware that no federal or state
agency has (i) made any finding or determination as to the fairness of this
investment, (ii) made any recommendation or endorsement of the Shares or the
Company, or (iii) guaranteed or insured any investment in the Shares or any
investment made by the Company.

    

    (p)           Price of
Shares.   The undersigned understands that the price of
the Shares offered hereby was determined by the Company without reference to the
assets or book value of the Company.  The undersigned further
understands that there is a substantial risk of further dilution of his or its
investment in the Company.

    

    

    SECTION
3

    

    Company’s Representations
and Warranties.  The Company represents and warrants to the
undersigned as follows:

    

    (a)           Organization of the
Company.  The Company is a corporation duly organized and
validly existing and in good standing under the laws of the State of
Delaware.

    

    (b)           Authority.  (a)  The
Company has the requisite corporate power and authority to enter into and
perform its obligations under this Agreement and to issue the Shares;
(b)  the execution and delivery of this Agreement by the Company and
the consummation by it of the transactions contemplated hereby and thereby have
been duly authorized by all necessary corporate action and no further consent or
authorization of the Company or its Board of Directors or stockholders is
required; and (c)  this Agreement has been duly executed and delivered
by the Company and constitutes a valid and binding obligation of the Company
enforceable against the Company in accordance with its terms, except as
such  enforceability  may be limited by applicable
bankruptcy, insolvency, or similar
laws relating to, or affecting generally the enforcement of, creditors' rights
and remedies or by other equitable principles of general
application.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    (c)           Exemption from Registration;
Valid Issuances.  The sale and issuance of the Shares, in
accordance with the terms and on the bases of the representations and warranties
of the undersigned set forth herein, may and shall be properly issued by the
Company to the undersigned pursuant to any applicable federal or state law. When
issued and paid for as herein provided, the Shares shall be duly and validly
issued, fully paid, and non-assessable. Neither the sales of the Shares pursuant
to, nor the Company's performance of its obligations under, this Agreement shall
result in the creation or imposition of any liens, charges, claims or other
encumbrances upon the Shares or any of the assets of the Company. The Shares
shall not subject the undersigned to personal liability by reason of the
ownership thereof.

    

    (d)           No General Solicitation or
Advertising in Regard to this Transaction.  Neither the Company
nor any of its affiliates nor any person acting on its or their behalf (a) has
conducted or will conduct any general solicitation (as that term is used in Rule
502(c) of Regulation D) or general advertising with respect to any of the
Shares, or (b) made any offers or sales of any security or solicited any offers
to buy any security under any circumstances that would require registration of
the Common Stock under the Securities Act.

    

    

    SECTION
4

     

    4.1           Indemnity.  The
undersigned agrees to indemnify and hold harmless the Company, its officers and
directors, employees and its affiliates and their respective successors and
assigns and each other person, if any, who controls any thereof, against any
loss, liability, claim, damage and expense whatsoever (including, but not
limited to, any and all expenses whatsoever reasonably incurred in
investigating, preparing or defending against any litigation commenced or
threatened or any claim whatsoever) arising out of or based upon any false
representation or warranty or breach or failure by the undersigned to comply
with any covenant or agreement made by the undersigned herein or in any other
document furnished by the undersigned to any of the foregoing in connection with
this transaction.

    

    4.2           Modification.  Neither
this Agreement nor any provisions hereof shall be modified, discharged or
terminated except by an instrument in writing signed by the party against whom
any waiver, change, discharge or termination is sought.

    

    4.3           Notices.  Any
notice, demand or other communication which any party hereto may be required, or
may elect, to give to anyone interested hereunder shall be sufficiently given if
(a) deposited, postage prepaid, in a United States mail letter box, registered
or certified mail, return receipt requested, addressed to such address as may be
given herein, (b) delivered personally at such address, (c) upon the expiration
of twenty four (24) hours after transmission, if sent by facsimile if a
confirmation of transmission is

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    produced
by the sending machine (and a copy of each facsimile promptly shall be sent by
ordinary mail), (d)  upon the expiration of twenty four (24) hours
after transmission, if sent by email if a confirmation of transmission is
produced by the sending computer (and a copy of each email transmission promptly
shall be sent by ordinary mail) or (e)  on the third business day, if
sent by overnight recognized courier, in each case to the parties at their
respective addresses set forth below their signatures to this Agreement (or at
such other address for a party as shall be specified by like notice; provided
that the notices of a change of address shall be effective only upon receipt
thereof).

    

    4.4           Counterparts.  This
Agreement may be executed through the use of separate signature pages or in any
number of counterparts and by facsimile, and each of such counterparts shall,
for all purposes, constitute one agreement binding on all parties,
notwithstanding that all parties are not signatories to the same counterpart.
Signatures may be facsimiles.

    

    4.5           Binding
Effect.  Except as otherwise provided herein, this Agreement
shall be binding upon and inure to the benefit of the parties and their heirs,
executors, administrators, successors, legal representatives and
assigns.  If the undersigned is more than one person, the obligation
of the undersigned shall be joint and several and the agreements,
representations, warranties and acknowledgments herein contained shall be deemed
to be made by and be binding upon each such person and his heirs, executors,
administrators and successors.

    

    4.6           Entire
Agreement.  This Agreement and the documents referenced herein
contain the entire agreement of the parties and there are no representations,
covenants or other agreements except as stated or referred to herein and
therein.

    

    4.7           Assignability.  This
Agreement is not transferable or assignable by the undersigned.

    

    4.8           Applicable Law; Arbitration;
Jurisdiction.  This Agreement shall be governed by and
construed in accordance with the laws of the State of New York, without giving
effect to conflicts of law principles. The parties hereby irrevocably consent to
the in personam jurisdiction and venue of in a Rabbinical Court in Brooklyn, New
York under the principal of ZABLU (whereby each party picks one arbitrator and
the two selected arbitrators pick a third arbitrator). If there is any
litigation regarding the arbitration or otherwise relating to this section 4.8,
the parties hereto irrevocably consent to the jurisdiction of the courts of the
State of New York and of any federal court located in such State in connection
with any action or proceeding arising out of or relating to this
Warrant.  EACH PARTY HERETO WAIVES TRIAL BY JURY IN ANY ACTION, SUIT
OR PROCEEDING ARISING OUT OF THIS AGREEMENT.

    

    4.9           Pronouns.  The
use herein of the masculine pronouns "him" or "his" or similar terms shall be
deemed to include the feminine and neuter genders as well and the use herein of
the singular pronoun shall be deemed to include the plural as well.

     

    
      4.10           Further
Assurances.  Upon request from time to time, the undersigned
shall execute and deliver all documents and do all other acts that may be
necessary or desirable, in the reasonable opinion of the Company or its counsel,
to effect the subscription for the Shares in accordance herewith.

      

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    

    SIGNATURE
PAGE

     

    IN WITNESS WHEREOF, the
parties hereto have executed this Agreement as of the day and year this
subscription has been accepted by the Company as set forth below.

     

    
      	
              Number
      of Shares Subscribed For:

            	 
      	
              Print
      Name of Subscriber

            
	 
      	 
      	 
      

    

    

    
      
        	 
      	 
      	
                By.

              	 
      
	 
      	 
      	 
      	
                (Signature
      of Subscriber or Authorized Signatory)

              
	 
      	 
      	
                Address:

              	 
      
	 
      	 
      	 
      	 
      
	 
      	 
      	
                Telephone:

              	 
      
	 
      	 
      	
                Fax:

              	 
      

      

    

    

    
      	 
      	 
      	 
      
	
              Social
      Security Number or other Taxpayer Identification Number

            	 
      	 
      

    

    

    If the
Shares will be held as joint tenants, tenants in common, or community property,
please complete the following:

    

    
      
        
          
            	 
      	 
      	 
      
	 
      	 
      	
                    Print
      name of spouse or other co-subscriber

                  
	 
      	 
      	 
      
	 
      	 
      	
                    Signature
      of spouse or other co-subscriber

                  
	 
      	 
      	 
      
	 
      	 
      	
                    Print
      manner in which Shares will be
held

                  

          

        

      

    

    

    
      	 
      	 
      	 
      
	
              Social
      Security Number or other Taxpayer Identification Number

            	 
      	 
      

    

    

    If the
Shares have been purchased through a broker or other intermediary, please
identify such entity:

    
      	 
      

    

    

     

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    ACCEPTANCE
OF SUBSCRIPTION

    

    

    
      	 
      	 
      	 
      
	 
      	 
      	
              Name
      of Subscriber

            

    

    

    

    

    ACCEPTED
BY:

    

    POWERSAFE
TECHNOLOGY CORP.

     

    
      	
              By:

            	 
      	 
      
	
              Name:

            	 
      	 
      
	
              Title:

            	 
      	 
      

    

    

     

    Date:  _______________________,
2009

    

    

    

    Accepted
for __________________________ Number of Series D-1 Preferred
Shares

    

    

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    Exhibit
C

     

    ACCREDITED INVESTOR
STATUS

     

    The
undersigned subscriber represents that it is an Accredited Investor on the basis
that it is (check one):

     

    _____(i)  A
bank as defined in Section 3(a)(2) of the Act, or a savings and loan association
or other institution as defined in Section 3(a)(5)(A) of the Act, whether acting
in its individual or fiduciary capacity; a broker or dealer registered pursuant
to Section 15 of the Securities Exchange Act of 1934; an insurance company as
defined in Section 2(13) of the Act; an investment company registered under the
Investment Company Act of 1940 (the “Investment Company Act”) or a business
development company as defined in Section 2(a)(48) of the Investment Company
Act; 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; 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; an employee benefit plan within the meaning of the
Employee Retirement Income Security Act of 1974 (“ERISA”), if 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 advisor, or if the employee benefit plan has total assets
in excess of $5,000,000 or, if a self-directed plan, with investment decisions
made solely by persons that are accredited investors.

     

    _____(ii)  A
private business development company as defined in Section 202(a)(22) of the
Investment Advisers Act of 1940.

     

    _____(iii)  An
organization described in Section 501(c)(3) of the Internal Revenue Code,
corporation, Massachusetts or similar business trust, or partnership, not formed
for the specific purpose of acquiring the securities offered, with total assets
in excess of $5,000,000.

     

    _____(iv)  A
director or executive officer of the Company.

     

    _____(v)  A
natural person whose individual net worth, or joint net worth with that person’s
spouse, at the time of his or her purchase exceeds $1,000,000.

     

    _____(vi)  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 that person’s 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.

     

    _____(vii)  A
trust, with total assets in excess of $5,000,000, not formed for the specific
purpose of acquiring the securities offered, whose purchase is directed by a
sophisticated person as described in Rule 506(b)(2)(ii) (i.e., a person who has
such knowledge and experience in financial and business matters that he is
capable of evaluating the merits and risks of the prospective
investment).

     

    _____(viii)  An
entity in which all of the equity owners are accredited
investors.  (If this alternative is checked, the Subscriber must
identify each equity owner and provide statements signed by each demonstrating
how each is qualified as an accredited investor.  Further, the
Subscriber represents that it has made such investigation as is reasonably
necessary in order to verify the accuracy of this
alternative.)ps_ex10-10.htm

    

      EXHIBIT
10.10

      

      

      
        	 
      	
                WARRANT

              	 
      
	
                NO.  ___

              	
                POWERSAFE
      TECHNOLOGY CORP.

              	
                ________
      Shares

              
	 
      	 
      	 
      

      

      WARRANT TO PURCHASE COMMON
STOCK

       

      VOID
AFTER 5:30 P.M., EASTERN

      TIME,
ON THE EXPIRATION DATE

       

      THIS
WARRANT AND ANY SHARES ACQUIRED UPON THE EXERCISE OF THIS WARRANT HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), AND MAY NOT BE
SOLD, PLEDGED, HYPOTHECATED, DONATED OR OTHERWISE TRANSFERRED WITHOUT COMPLIANCE
WITH THE REGISTRATION OR QUALIFICATION PROVISIONS OF APPLICABLE FEDERAL AND
STATE SECURITIES LAWS OR APPLICABLE EXEMPTIONS THEREFROM.

       

      FOR VALUE
RECEIVED, POWERSAFE TECHNOLOGY CORP., a Delaware corporation (the “Company”), hereby
agrees to sell upon the terms and on the conditions hereinafter set forth, but
no later than 5:30 p.m., Eastern Time, on the Expiration Date (as hereinafter
defined) to ________________ or registered
assigns (the “Holder”), under the
terms as hereinafter set forth, __________________
(_____________) fully paid and non-assessable shares of the Company’s
Common Stock, par value $0.0001 per share (the “Warrant Stock”), at a
purchase price of SEVENTY-FIVE CENTS ($0.75) per share (the “Warrant Price”),
pursuant to this warrant (this “Warrant”).  The
number of shares of Warrant Stock to be so issued and Warrant Price are subject
to adjustment in certain events as hereinafter set forth.  The term
“Common Stock”
shall mean, when used herein, unless the context otherwise requires, the stock
and other securities and property at the time receivable upon the exercise of
this Warrant.

       

      1.           Exercise of
Warrant.

       

      a.           The
Holder may exercise this Warrant according to its terms by (i) surrendering this
Warrant, properly endorsed, to the Company at the address set forth in Section
10, (ii) the subscription form attached hereto having then been duly executed by
the Holder (the “Form
of Exercise”), and (iii) payment of the purchase price being made to the
Company for the number of shares of the Warrant Stock specified in the
subscription form, or as otherwise provided in this Warrant, prior to 5:30 p.m.,
Eastern Time, on October 31, 2010 (the “Expiration
Date”).  Such exercise
shall be effected by the surrender of the Warrant, together with a duly executed
copy of the Form of Exercise, to Company at its principal office and (i) the
payment to the Company of an amount equal to the aggregate Warrant Price for the
number of shares of Warrant Stock being purchased in cash, certified check or
bank draft or (ii) by surrendering such number of shares of Warrant Stock
received upon exercise of this Warrant with a Fair Market Value (as defined
below) equal to the aggregate Warrant Price for the Warrant Stock being
purchased (a “Cashless
Exercise”).

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      If the
Holder elects the Cashless Exercise method of payment, the Company shall issue
to the Holder a number of shares of Warrant Stock determined in accordance with
the following formula:

       

      X               =              Y(A -
B)
                                  A

      

      with:                 X
=              the
number of shares of Warrant Stock to be issued to the Holder;

      

      
        	
                 
      

              	
                Y
      =

              	
                the
      number of shares of Warrant Stock with respect to which the Warrant is
      being exercised;

              

      

      

      
        	
                 
      

              	
                A
      =

              	
                the
      fair value per share of Common Stock on the date of exercise of this
      Warrant; and

              

      

      

       B
=              the
then-current Warrant Price of the Warrant

      

      For the purposes of this Section
1(b), “fair value” per share of Common Stock shall mean
(A) the average of the
closing sales prices, as quoted on the primary national or regional stock
exchange on which the Common Stock is listed, or, if not listed, the OTC
Bulletin Board if quoted thereon, on the ten (10) trading days immediately preceding the
date on which the Form of Exercise is deemed to have been sent
to the Company, or (B) if the Common Stock is not publicly traded as set forth
above, as reasonably and in good faith determined by the Board of Directors of
the Company as of the date which the notice of exercise is deemed to have been sent to the
Company.

      

      b.           This
Warrant may be exercised in whole or in part so long as any exercise in part
hereof would not involve the issuance of fractional shares of Warrant
Stock.  If exercised in part, the Company shall deliver to the Holder
a new Warrant, identical in form, in the name of the Holder, evidencing the
right to purchase the number of shares of Warrant Stock as to which this Warrant
has not been exercised, which new Warrant shall be signed by the Chairman, Chief
Executive Officer or President and the Secretary or Assistant Secretary of the
Company.  The term Warrant as used herein shall include any subsequent
Warrant issued as provided herein.

       

      c.           No
fractional shares or scrip representing fractional shares shall be issued upon
the exercise of this Warrant.  The Company shall pay cash in lieu of
fractions with respect to the Warrants based upon the fair market value of such
fractional shares of Common Stock (which shall be the closing price of such
shares on the exchange or market on which the Common Stock is then traded) at
the time of exercise of this Warrant.

       

      d.           In
the event of any exercise of the rights represented by this Warrant, a
certificate or certificates for the Warrant Stock so purchased, registered in
the name of the Holder, shall be delivered to the Holder within a reasonable
time after such rights shall have been so exercised.  The person or
entity in whose name any certificate for the Warrant Stock is issued upon
exercise of the rights represented by this Warrant shall for all purposes be
deemed to have become the holder of record of such shares immediately prior to
the close of business on the date on which the Warrant was surrendered and
payment of the Warrant Price and any applicable taxes was made, irrespective of
the date of delivery of such  

       

      
        
           

        

        
          - 2
-

          
            

          

        

        
           

        

      

      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 opening of business on the next
succeeding date on which the stock transfer books are open. The Company shall
pay any and all documentary stamp or similar issue or transfer taxes payable in
respect of the issue or delivery of shares of Common Stock on exercise of this
Warrant.

       

      2.           Disposition of Warrant Stock
and Warrant.

       

      a.           The
Holder hereby acknowledges that this Warrant and any Warrant Stock purchased
pursuant hereto are, as of the date hereof, not registered: (i) under the
Securities Act of 1933, as amended (the “Act”), on the ground
that the issuance of this Warrant is exempt from registration under Section 4(2)
of the Act as not involving any public offering or (ii) under any applicable
state securities law because the issuance of this Warrant does not involve any
public offering; and that the Company’s reliance on the Section 4(2) exemption
of the Act and under applicable state securities laws is predicated in part on
the representations hereby made to the Company by the Holder that it is
acquiring this Warrant and will acquire the Warrant Stock for investment for its
own account, with no present intention of dividing its participation with others
or reselling or otherwise distributing the same, subject, nevertheless, to any
requirement of law that the disposition of its property shall at all times be
within its control.

       

      The
Holder hereby agrees that it will not sell or transfer all or any part of this
Warrant and/or Warrant Stock unless and until it shall first have given notice
to the Company describing such sale or transfer and furnished to the Company
either (i) an opinion, reasonably satisfactory to counsel for the Company, of
counsel (skilled in securities matters, selected by the Holder and reasonably
satisfactory to the Company) to the effect that the proposed sale or transfer
may be made without registration under the Act and without registration or
qualification under any state law, or (ii) an interpretative letter from the
Securities and Exchange Commission to the effect that no enforcement action will
be recommended if the proposed sale or transfer is made without registration
under the Act.

       

      b.           If,
at the time of issuance of the shares issuable upon exercise of this Warrant, no
registration statement is in effect with respect to such shares under applicable
provisions of the Act, the Company may at its election require that the Holder
provide the Company with written reconfirmation of the Holder’s investment
intent and that any stock certificate delivered to the Holder of a surrendered
Warrant shall bear legends reading substantially as follows:

       

      “THE SHARES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AND MAY
NOT BE SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 OR AN OPINION
OF COUNSEL SATISFACTORY TO THE ISSUER OF THIS CERTIFICATE THAT REGISTRATION IS
NOT REQUIRED UNDER SAID ACT.”

       

      
        
           

        

        
          - 3
-

          
            

          

        

        
           

        

      

      In addition, so long as the foregoing
legend may remain on any stock certificate delivered to the Holder, the Company
may maintain appropriate “stop transfer” orders with respect to such
certificates and the shares represented thereby on its books and records and
with those to whom it may delegate registrar and transfer
functions.

       

      3.           Reservation of
Shares.  The Company hereby agrees that at all times there
shall be reserved for issuance upon the exercise of this Warrant such number of
shares of its Common Stock as shall be required for issuance upon exercise of
this Warrant.  The Company further agrees that all shares which may be
issued upon the exercise of the rights represented by this Warrant will be duly
authorized and will, upon issuance and against payment of the exercise price, be
validly issued, fully paid and non-assessable, free from all taxes, liens,
charges and preemptive rights with respect to the issuance thereof, other than
taxes, if any, in respect of any transfer occurring contemporaneously with such
issuance and other than transfer restrictions imposed by federal and state
securities laws.

       

      4.           Exchange, Transfer or
Assignment of Warrant.  This Warrant is exchangeable, without
expense, at the option of the Holder, upon presentation and surrender hereof to
the Company or at the office of its stock transfer agent, if any, for other
Warrants of different denominations, entitling the Holder or Holders thereof to
purchase in the aggregate the same number of shares of Common Stock purchasable
hereunder.  Upon surrender of this Warrant to the Company or at the
office of its stock transfer agent, if any, with the Assignment Form annexed
hereto duly executed and funds sufficient to pay any transfer tax, the Company
shall, without charge, execute and deliver a new Warrant in the name of the
assignee named in such instrument of assignment and this Warrant shall promptly
be canceled.  This Warrant may be divided or combined with other
Warrants that carry the same rights upon presentation hereof at the office of
the Company or at the office of its stock transfer agent, if any, together with
a written notice specifying the names and denominations in which new Warrants
are to be issued and signed by the Holder hereof.

       

      5.           Capital
Adjustments.  This Warrant is subject to the following further
provisions:

       

      a.           If
any recapitalization of the Company or reclassification of its Common Stock or
any merger or consolidation of the Company into or with a corporation or other
business entity, or the sale or transfer of all or substantially all of the
Company’s assets or of any successor corporation’s assets to any other
corporation or business entity (any such corporation or other business entity
being included within the meaning of the term “successor corporation”) shall be
effected, at any time while this Warrant remains outstanding and unexpired,
then, as a condition of such recapitalization, reclassification, merger,
consolidation, sale or transfer, lawful and adequate provision shall be made
whereby the Holder of this Warrant thereafter shall have the right to receive
upon the exercise hereof as provided in Section 1 and in lieu of the shares of
Common Stock immediately theretofore issuable upon the exercise of this Warrant,
such shares of capital stock, securities or other property as may be issued or
payable with respect to or in exchange for a number of outstanding shares of
Common Stock equal to the number of shares of Common Stock immediately
theretofore issuable upon the exercise of this Warrant had such
recapitalization, reclassification, merger, consolidation, sale or transfer not
taken place, and in each such case, the terms of this Warrant shall be
applicable to the shares of stock or other securities or property receivable
upon the exercise of this Warrant after such consummation.

       

      
        
           

        

        
          - 4
-

          
            

          

        

        
           

        

      

      If the
Company at any time while this Warrant remains outstanding and unexpired shall
subdivide or combine its Common Stock, the number of shares of Warrant Stock
purchasable upon exercise of this Warrant and the Warrant Price shall be
proportionately adjusted.

       

      b.           If
the Company at any time while this Warrant is outstanding and unexpired shall
issue or pay the holders of its Common Stock, or take a record of the holders of
its Common Stock for the purpose of entitling them to receive, a dividend
payable in, or other distribution of, Common Stock, then (i) the Warrant Price
shall be adjusted in accordance with Section 5(f) and (ii) the number of shares
of Warrant Stock purchasable upon exercise of this Warrant shall be adjusted to
the number of shares of Common Stock that the Holder would have owned
immediately following such action had this Warrant been exercised immediately
prior thereto.

       

      c.           If
the Company shall at any time after the date of issuance of this Warrant
distribute to all holders of its Common Stock any shares of capital stock of the
Company (other than Common Stock) or evidences of its indebtedness or assets
(excluding cash dividends or distributions paid from retained earnings or
current year’s or prior year’s earnings of the Company) or rights or warrants to
subscribe for or purchase any of its securities (excluding those referred to in
the immediately preceding paragraph) (any of the foregoing being hereinafter in
this paragraph called the “Securities”), then in each such case, the Company
shall reserve shares or other units of such securities for distribution to the
Holder upon exercise of this Warrant so that, in addition to the shares of the
Common Stock to which such Holder is entitled, such Holder will receive upon
such exercise the amount and kind of such Securities which such Holder would
have received if the Holder had, immediately prior to the record date for the
distribution of the Securities, exercised this Warrant.

       

      d.           Except
as otherwise provided herein, whenever the number of shares of Warrant Stock
purchasable upon exercise of this Warrant is adjusted, as herein provided, the
Warrant Price payable upon the exercise of this Warrant shall be adjusted to
that price determined by multiplying such Warrant Price immediately prior to
such adjustment by a fraction (i) the numerator of which shall be the number of
shares of Warrant Stock purchasable upon exercise of this Warrant immediately
prior to such adjustment, and (ii) the denominator of which shall be the number
of shares of Warrant Stock purchasable upon exercise of this Warrant immediately
thereafter.

       

      e.           The
number of shares of Common Stock outstanding at any given time for purposes of
the adjustments set forth in this Section 5 shall exclude any shares then
directly or indirectly held in the treasury of the Company.

       

      f.           The
Company shall not be required to make any adjustment pursuant to this Section 5
if the amount of such adjustment would be less than one percent (1%) of the
Warrant Price in effect immediately before the event that would otherwise have
given rise to such adjustment.  In such case, however, any adjustment
that would otherwise have been required to be made shall be made at the time of
and together with the next subsequent adjustment which, together with any
adjustment or adjustments so carried forward, shall amount to not less than one
percent (1%) of the Warrant Price in effect immediately before the event giving
rise to such next subsequent adjustment.

       

      
        
           

        

        
          - 5
-

          
            

          

        

        
           

        

      

      Following
each computation or readjustment as provided in this Section 5, the new adjusted
Warrant Price and number of shares of Warrant Stock purchasable upon exercise of
this Warrant shall remain in effect until a further computation or readjustment
thereof is required.

       

      6.           Notice to
Holders.

       

      a.           In
case:

       

      (i)           the
Company shall take a record of the holders of its Common Stock (or other stock
or securities at the time receivable upon the exercise of this Warrant) for the
purpose of entitling them to receive any dividend (other than a cash dividend
payable out of earned surplus of the Company) or other distribution, or any
right to subscribe for or purchase any shares of stock of any class or any other
securities, or to receive any other right;

       

      (ii)           of
any capital reorganization of the Company, any reclassification of the capital
stock of the Company, any consolidation with or merger of the Company into
another corporation, or any conveyance of all or substantially all of the assets
of the Company to another corporation; or

       

      (iii)           of
any voluntary dissolution, liquidation or winding-up of the
Company;

       

      then, and in each such case, the Company
will mail or cause to be mailed to the Holder hereof at the time outstanding a
notice specifying, as the case may be, (i) the date on which a record is to be
taken for the purpose of such dividend, distribution or right, and stating the
amount and character of such dividend, distribution or right, or (ii) the date
on which such reorganization, reclassification, consolidation, merger,
conveyance, dissolution, liquidation or winding-up is to take place, and the
time, if any, is to be fixed, as of which the holders of record of Common Stock
(or such stock or securities at the time receivable upon the exercise of
this Warrant) shall be entitled to exchange their shares of Common Stock (or
such other stock or securities) for securities or other property deliverable
upon such reorganization, reclassification, consolidation, merger, conveyance,
dissolution or winding-up.  Such notice shall be mailed at least
thirty (30) days prior to the record date therein specified, or if no record
date shall have been specified therein, at least thirty (30) days prior to such
specified date, provided, however, failure to provide any such notice shall not
affect the validity of such transaction.

       

      b.           Whenever
any adjustment shall be made pursuant to Section 5 hereof, the Company shall
promptly make a certificate signed by its Chairman, Chief Executive Officer,
President, Vice President, Chief Financial Officer or Treasurer, setting forth
in reasonable detail the event requiring the adjustment, the amount of the
adjustment, the method by which such adjustment was calculated and the Warrant
Price and number of shares of Warrant Stock purchasable upon exercise of this
Warrant after giving effect to such adjustment, and shall promptly cause copies
of such certificates to be mailed (by first class mail, postage prepaid) to the
Holder of this Warrant.

       

      7.           Loss, Theft, Destruction or
Mutilation.  Upon receipt by the Company of evidence
satisfactory to it, in the exercise of its reasonable discretion, of the
ownership and the loss, theft, destruction or mutilation of this Warrant and, in
the case of loss, theft or destruction, of indemnity
reasonably satisfactory to the Company and, in the case of mutilation, upon
surrender and cancellation thereof, the Company will execute and deliver in lieu
thereof, without expense to the Holder, a new Warrant of like tenor dated the
date hereof.

       

      
        
           

        

        
          - 6
-

          
            

          

        

        
           

        

      

       

      8.           Warrant Holder Not a
Stockholder.  The Holder of this Warrant, as such, shall not be
entitled by reason of this Warrant to any rights whatsoever as a stockholder of
the Company.

       

      9.           Notices.  Any
notice required or contemplated by this Warrant shall be deemed to have been
duly given if transmitted by registered or certified mail, return receipt
requested, or nationally recognized overnight delivery service, to the Company at its
principal executive offices located at 1400 Coney Island Avenue, Brooklyn, New
York  11230, Attn: Jack Mayer, President, or to the Holder at the name
and address set forth in the Warrant Register maintained by the
Company.

       

      10.           Choice of
Law.  THIS WARRANT IS ISSUED UNDER AND SHALL FOR ALL PURPOSES
BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE
OF NEW YORK, WITHOUT GIVING EFFECT TO PRINCIPLES OF CONFLICTS OF
LAW.

       

      11.           Jurisdiction and
Venue.  The parties hereby irrevocably consent to the in
personam jurisdiction and venue of in a Rabbinical Court in Brooklyn, New York
under the principal of ZABLU (whereby each party picks one arbitrator and the
two selected arbitrators pick a third arbitrator). If there is any litigation
regarding the arbitration or otherwise relating to this section 11, the parties
hereto irrevocably consent to the jurisdiction of the courts of the State of New
York and of any federal court located in such State in connection with any
action or proceeding arising out of or relating to this Warrant.  EACH
PARTY HERETO WAIVES TRIAL BY JURY IN ANY ACTION, SUIT OR PROCEEDING ARISING OUT
OF THIS WARRANT .

       

      [REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

       

      
        
           

        

        
          - 7
-

          
            

          

        

        
           

        

      

      IN WITNESS WHEREOF, the Company has duly
caused this Warrant to be signed on its behalf, in its corporate name and by its
duly authorized officer, as of this ___ day of _________,
2009.

       

      
        
          	 
      	 
      	
                  POWERSAFE TECHNOLOGY
      CORP.

                
	 
      	 
      	 
      
	 
      	 
      	
                  By.

                	 
      
	 
      	 
      	
                  Name:

                	
                  Jack N.
    Mayer

                
	 
      	 
      	
                  Title:

                	
                  President

                

        

      

      

       

      
        
           

        

        
          - 8
-

          
            

          

        

        
           

        

      

      FORM OF EXERCISE

       

      (to be executed by the registered holder
hereof)

       

      

       

      The undersigned hereby exercises the
right to purchase _________ shares of common stock, par value $0.0001 per share
(“Common
Stock”), of Powersafe
Technology Corp. evidenced by the within Warrant Certificate for a Warrant Price
of $______ per share and herewith makes payment of the purchase price in full of
(i) $__________ in cash or (ii) shares of Common Stock (pursuant to a Cashless
Exercise in accordance with Section 1(b)).  Kindly issue certificates
for shares of Common Stock (and for the unexercised balance of the Warrants
evidenced by the within Warrant Certificate, if any) in accordance with the
instructions given below.

       

      
        	 
      	
                Dated:____________________,
      20___.

              	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                Instructions for registration of
      stock

              	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                Name (Please
      Print)

              	 
      
	 
      	 
      	 
      
	 
      	
                Social Security or other
      identifying Number:

              	 
      	 
      
	 
      	 
      	 
      
	 
      	
                Address:

              	 
      	 
      
	 
      	
                City/State and Zip
      Code

              	 
      
	 
      	 
      	 
      
	 
      	
                Instructions for registration of
      certificate representing the unexercised balance of Warrants (if
      any)

              	 
      
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                Name (Please
      Print)

              	 
      
	 
      	 
      	 
      
	 
      	
                Social Security or other
      identifying Number:

              	 
      	 
      
	 
      	 
      	 
      
	 
      	
                Address:

              	 
      	 
      
	 
      	
                City/State and Zip
      Code

              	 
      

      

      

       

      

- 9
-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00157-of-00352.parquet"}]]