Document:

ex10-1.htm

    

       EXHIBIT
        10.1

       

                                          EXECUTION
        COPY

       

      SECURED
        PROMISSORY NOTE

       

      Up
        to $1,500,000 January 31, 2008

       

      FOR
        VALUE
        RECEIVED, Enterprise Informatics Inc., a California corporation (“Borrower”),
        promises to pay to the order of ERP2 Holdings, LLC, a Delaware limited liability
        company (“Lender”), on January 31, 2010 (the “Maturity Date”), or such earlier
        date as the indebtedness evidenced hereby shall become due and payable pursuant
        to the terms hereof, the principal sum of up to ONE MILLION FIVE HUNDRED
        THOUSAND DOLLARS ($1,500,000), pursuant to the terms hereof, in lawful money
        of
        the United States of America, in immediately available funds and at the office
        of the Lender as indicated from time to time in writing to the Borrower,
        together with interest thereon at the rate and in the amounts set forth herein
        (including interest capitalized from time to time as additional principal
        hereunder and interest accrued on such additional principal).

       

      
        	
                1.

              	
                Definitions.  The
                  following terms shall have the meanings ascribed to them below:
                  

              

      

       

      (a)             
        “Additional Loan” has the meaning ascribed to such term in Section 3(b).

       

      (b)            
        “Additional Warrant” shall have the meaning ascribed to such term in Section
        7(p).

       

      (c)             
        “Affiliate” means, as to any person, any other person (i) that, directly or
        indirectly through one or more intermediaries, controls, is controlled by,
        or is
        under common control with, such person; (ii) who is a director or officer
        (A) of
        such person; (B) of any subsidiary of such person; or (C) of any person
        described in clause (i) above with respect to such person; or (iii) which,
        directly or indirectly through one or more intermediaries, is the beneficial
        or
        record owner (as defined in Rule 13d-3 of the Exchange Act, as is in effect
        on
        the date hereof) of 10% or more of any class of the outstanding voting stock,
        securities or other equity or ownership interests of such person; provided that
        notwithstanding anything else herein to the contrary, the Lender shall be
        deemed
        not to be an Affiliate of the Borrower or any subsidiary.  For
        purposes of this definition, the term “control” (and the correlative terms,
“controlled by” and “under common control with”) shall mean the possession,
        directly or indirectly, of the power to direct or cause the direction of
        the
        management or policies, whether through ownership of securities or other
        interests, by contract or otherwise.

       

      (d)             
        “Affiliate Transaction” has the meaning ascribed to such term in Section
        7(j).

       

      
        
           

        

        
          1

          
            

          

        

        
           

        

      

      (e)             
        “Asset Sale” means (i) the sale, lease, conveyance or other disposition of any
        assets or rights (including, without limitation, a sale/leaseback transaction)
        other than any sale, lease, conveyance or other disposition involving assets
        or
        rights (or a series of related sales, leases, conveyances or other dispositions)
        having a fair market value less than $20,000 individually and $100,000 in
        the
        aggregate during the period from the date hereof until the Repayment Date
        (which
        fair market value shall in each case be determined as of the date of such
        disposition), and other than sales, conveyances or transfers of inventory
        in the
        ordinary course of business consistent with past practices and, in the case
        of
        sales, transfers or conveyances of source code for Software (as defined in
        the
        Security Agreements), with the prior written consent of the Lender (which
        shall
        not be unreasonably withheld) ; and (ii) the issuance or sale by the Borrower
        or
        any of the subsidiaries of the Borrower of Equity Interests of any of the
        Borrower’s subsidiaries.  Notwithstanding the foregoing, the following
        items shall not be deemed to be Asset Sales: (i) a transfer of assets by
        the
        Borrower to a subsidiary or by a subsidiary to the Borrower or to another
        subsidiary; (ii) an issuance or sale of Equity Interests by a subsidiary
        to the
        Borrower or to another subsidiary; (iii) a sale or other disposition of property
        or equipment that has become worn out, obsolete or otherwise unsuitable for
        its
        purpose; (iv) a disposition of Cash Equivalents; (v) transactions consummated
        in
        compliance with Section 7(i) or Restricted Payments made in accordance with
        Section 7(m); and (vi) the exercise of rights (including foreclosure) in
        respect
        of any Lien permitted by Section 7(f).

       

      (f)             
        “Board of Directors” means the board of directors of the Borrower.

       

      (g)             
        “Borrower Actions” means all actions required to be completed by the Borrower in
        order to effectuate a 1000-to-1 reverse split of the Common Stock and the
        deregistration of the Common Stock under the Exchange Act, in each case,
        in
        accordance with applicable law.

       

      (h)             
        “Capital Lease” means, for any person, a lease of any interest in any kind of
        property (whether real, personal or mixed) or asset by such person as lessee
        that is, should be or should have been recorded as a “capital lease” on the
        balance sheet of such person in accordance with GAAP.

       

      (i)             
        “Cash Equivalents” means (i) Dollars, including demand deposit accounts, (ii)
        securities issued or directly and fully guaranteed or insured by the United
        States government or any agency or instrumentality thereof (provided that
        the
        full faith and credit of the United States is pledged in support thereof)
        having
        maturities of not more than 6 months from the date of acquisition, (iii)
        certificates of deposit and eurodollar time deposits with maturities of 6
        months
        or less from the date of acquisition, bankers’ acceptances with maturities not
        exceeding 6 months and overnight bank deposits, in each case with any domestic
        commercial bank having capital and surplus in excess of $500,000,000, (iv)
        repurchase obligations with a term of not more than 7 days for underlying
        securities of the types described in clauses (ii) and (iii) above entered
        into
        with any financial institution meeting the qualifications specified in clause
        (iii) above, (v) commercial paper having the highest rating obtainable from
        Moody’s Investors Service, Inc. or Standard & Poor’s Ratings Group and in
        each case maturing within 6 months after the date of acquisition and (vi)
        money
        market funds at least 95% of the assets of which constitute Cash Equivalents
        of
        the kinds described in clauses (i) - (v) of this definition.

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      (j)             
        “Claim” means any civil, criminal or administrative suit, claim, proceeding,
        investigation, or request for relief (whether under law or equity) brought
        by or
        before any court, tribunal, administrative agency, governmental authority
        or
        regulatory or self-regulatory entity.

       

      (k)             
        “Code” means the Uniform Commercial Code in effect in the State of New York;
provided, that
        in the event that, by reason of mandatory provisions of law, any or all of
        the
        attachment, perfection or priority of, or remedies with respect to the Lender’s
        Lien on any Collateral is governed by the Uniform Commercial Code as enacted
        and
        in effect in a jurisdiction other than the State of New York, the term “Code”
shall mean the Uniform Commercial Code as enacted and in effect in such other
        jurisdiction solely for purposes of the provisions thereof relating to such
        attachment, perfection, priority or remedies and for purposes of definitions
        related to such provisions.

       

      (l)             
        “Collateral” has the meaning ascribed to such term in Section 3 of the Security
        Agreement.

       

      (m)            
        “Common Stock” has the meaning ascribed to such term in Section 8(f).

       

      (n)             
        “Consulting Agreements” has the meaning ascribed to such term in Section
        10.

       

      (o)             
        “Default” means any event that, with the giving of notice or the lapse of time
        or both would constitute an Event of Default.

       

      (p)             
        “Dollars” or “$” means lawful money of the United States.

       

      (q)             
        “EBITDA” means, with respect to any person for any fiscal period, an amount
        equal to (a) consolidated net income of such person for such period, minus
        (b)
        the sum of (i) income tax credits, (ii) interest income, (iii) gain from
        extraordinary items for such period, (iv) any aggregate net gain (but not
        any
        aggregate net loss) during such period arising from the sale, exchange or
        other
        disposition of capital assets by such person (including any fixed assets,
        whether tangible or intangible, all inventory sold in conjunction with the
        disposition of fixed assets and all securities), and (v) any other non-cash
        gains which have been added in determining consolidated net income, in each
        case
        to the extent included in the calculation of consolidated net income of such
        person for such period in accordance with GAAP, but without duplication,
        plus
        (c) the sum of (i) any provision for income taxes, (ii) Interest Expense,
        (iii)
        fees paid by the Borrower pursuant to the Consulting Agreements (not to exceed
        $60,000 in any fiscal quarter); (iv) the closing fee paid by the Borrower
        paid
        pursuant to Section 11 (not to exceed $75,000); (v) the aggregate amount
        of
        legal fees, transfer agent fees, and printing and mailing costs, in each
        case,
        that are paid by Borrower in connection with Borrower’s entry into or
        performance of the Transaction Documents (including without limitation
        Borrower’s completion of the Borrower Actions) (not to exceed $200,000); (vi)
        depreciation and amortization for such period and (vii) any non-cash expenses
        or
        charges, including the amount of any deduction to consolidated net income
        as the
        result of (A) any grant to any officer, director, employee or consultant
        of such
        person of any stock, stock option or other stock-based award pursuant to
        any
        equity incentive plan approved by such person’s board of directors (including
        without limitation, with respect to the Borrower, the 2007 Stock Incentive
        Plan)
        or (B) any grant or issuance of any warrant or other right to acquire Equity
        Interests or any Equity Interests convertible into or exchangeable for other
        Equity Interests, including without limitation the Existing Warrants and
        the
        Additional Warrants, in each case to the extent included in the calculation
        of
        consolidated net income of such person for such period in accordance with
        GAAP,
        but without duplication.  For purposes of this definition, the
        following items shall be excluded in determining consolidated net income
        of a
        person: (1) the income (or deficit) of any other person accrued prior to
        the
        date it became a subsidiary of, or was merged or consolidated into, such
        person
        or any of such person’s subsidiaries; (2) the income (or deficit) of any other
        person (other than a subsidiary) in which such person has an ownership interest,
        except to the extent any such income has actually been received by such person
        in the form of cash dividends or distributions; (3) any restoration to income
        of
        any contingency reserve, except to the extent that provision for such reserve
        was made out of income accrued during such period; (4) any write-up of any
        asset; (5) any net gain from the collection of the proceeds of life insurance
        policies; (6) any net gain arising from the acquisition of any securities,
        or
        the extinguishment, under GAAP, of any Indebtedness, of such person; (7)
        in the
        case of a successor to such person by consolidation or merger or as a transferee
        of its assets, any earnings of such successor prior to such consolidation,
        merger or transfer of assets; and (8) any deferred credit representing the
        excess of equity in any subsidiary of such person at the date of acquisition
        of
        such subsidiary over the cost to such person of the investment in such
        subsidiary.

       

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

      (r)             
        “Equity Interest” means, (i) with respect to any person that is a corporation,
        any and all shares, interests, participations or other equivalents (however
        designated and whether or not voting) of corporate stock, including each
        class
        of common stock and preferred stock of such person and all options, warrants
        or
        other rights to purchase or acquire any of the foregoing; and (ii) with respect
        to any person that is not a corporation, any and all partnership, membership
        or
        other equity interests of such person, and all options, warrants or other
        rights
        to purchase or acquire any of the foregoing.

       

      (s)             
        “Event of Default” has the meaning ascribed to such term in Section 8.

       

      (t)             
        “Exchange Act” shall mean the Securities Exchange Act of 1934, as
        amended.

       

      (u)              “Existing
        Warrant” means the Warrant to Purchase Common Stock dated as of January 14, 2008
        issued by the Borrower to the Lender.

       

      (v)             
        “GAAP” means generally accepted accounting principles in the United States in
        effect from time to time as applied by nationally recognized accounting
        firms.

       

      (w)             
        “Hedge Agreement” means any and all transactions, agreements or documents now
        existing or hereafter entered into by the Borrower which provide for an interest
        rate, credit, commodity or equity swap, cap, floor, collar, forward foreign
        exchange transaction, currency swap, cross currency rate swap, currency option,
        or any combination of, or option with respect to, these or similar transactions,
        for the purpose of hedging exposure to fluctuations in interest or exchange
        rates, loan, credit exchange, security or currency valuations or commodity
        prices.

       

      (x)             
        “Indebtedness” of any person means, without duplication, (i) all obligations of
        such person for borrowed money; (ii) all obligations of such person evidenced
        by
        bonds, debentures, notes or other similar instruments and all reimbursement
        or
        other obligations in respect of letters of credit, bankers acceptances, interest
        rate swaps, hedges, derivatives or other financial products; (iii) all
        obligations of such person as a lessee under Capital Leases; (iv) all
        obligations or liabilities of others secured by a Lien on any asset of such
        person, irrespective of whether such obligation or liability is assumed;
        (v) all
        obligations of such person to pay the deferred purchase price of assets (other
        than (1) trade payables incurred in the ordinary course of business and (2)
        unearned compensation; (vi) all net payment obligations of such person owing
        under Hedge Agreements; and (vii) any obligations of such person guaranteeing
        or
        intended to guarantee (whether directly or indirectly guaranteed, endorsed,
        co-made, discounted, or sold with recourse) any obligation of any other person
        that constitutes Indebtedness of such other person under any of clauses (i)
        through (vi) above.

       

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

      (y)             
        “Initial Loan” shall have the meaning ascribed to such term in Section
        3(a).

       

      (z)             
        “Intellectual Property” shall mean all rights, priorities and privileges
        relating to intellectual property, whether arising under United States,
        multinational or foreign laws or otherwise, including know-how, copyrights,
        copyright licenses, patents, patent licenses, technology licenses, trademarks
        and trademark licenses, and all rights to sue at law or in equity for any
        infringement or other impairment thereof, including the right to receive
        all
        proceeds and damages therefrom.

       

      (aa)             
        “Interest Expense” means, with respect to any person for any fiscal period,
        interest expense (whether cash or non-cash) of such person determined in
        accordance with GAAP for the relevant period ended on such date, including,
        in
        any event, interest expense with respect to any Indebtedness of such
        person.

       

      (bb)             
        “Investment” means, (i) any direct or indirect purchase or other acquisition by
        the Borrower or any subsidiary of any Equity Interest, or other ownership
        interest in, any other person, and (ii) any direct or indirect loan, advance
        or
        capital contribution by the Borrower or any subsidiary to any other person,
        including all indebtedness and accounts receivable from that other person
        that
        are not current assets or did not arise from sales to that other person in
        the
        ordinary course of business.

       

      (cc)             
        “Lien” means any mortgage or deed of trust, pledge, hypothecation, assignment,
        security deposit arrangement, lien, charge, claim, security interest, easement
        or encumbrance, or preference, priority or other security agreement or
        preferential arrangement of any kind or nature whatsoever (including any
        lease
        or title retention agreement, any financing lease having substantially the
        same
        economic effect as any of the foregoing, and the filing of, or agreement
        to
        give, any financing statement perfecting a security interest under the Code
        or
        comparable law of any jurisdiction).

       

      (dd)             
        “Loan Documents” means this Note, the Old Notes, the Security Documents and any
        certificates, instruments, agreements or other documents executed in connection
        herewith or therewith.

       

      (ee)             
        “Net Cash Proceeds,” with respect to any issuance or sale of Equity Interests or
        Indebtedness, means the cash proceeds of such issuance or sale net of all
        reasonable and customary attorneys’ fees, accountants’ fees, underwriters’ or
        placement agents’ fees, discounts or commissions and brokerage, consultant and
        other fees actually incurred in connection with such issuance or sale and
        net of
        taxes actually paid as a result thereof.

       

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

      (ff)             
        “Obligation” means all principal of and interest (including all interest that
        accrues after the commencement of any case or proceeding by or against Lender
        in
        bankruptcy, whether or not allowed in such case or proceeding) on this Note,
        and
        any penalties, fees, charges, expenses, indemnification payments, reimbursements
        and any other sum chargeable to the Borrower under this Note or any of the
        other
        Loan Documents.

       

      (gg)             
        “Old Notes” has the meaning ascribed to such term in Section 8(b).

       

      (hh)             
        “Original Pledge Agreement” means the Pledge Agreement, dated as of March 15,
        2002, between the Borrower, Spescom Ltd. and Solomon Ward Seidenwurm &
Smith, LLP.

       

      (ii)            
          “Original Security Agreement” means the Security Agreement, dated as of
        March 15, 2002, between the Borrower and Spescom Ltd.

       

      (jj)             
        “Permitted Liens” means the following: (i) Liens granted to secure payment of
        the Obligations (including pursuant to the Old Notes); (ii) Liens imposed
        by law
        for taxes (other than payroll taxes), assessments or charges of any governmental
        authority for claims not yet due or which are being contested in good faith
        by
        appropriate proceedings and with respect to which adequate reserves or other
        appropriate provisions are being maintained in accordance with GAAP to the
        satisfaction of the Lender, in its sole discretion; (iii) (A) statutory Liens
        of
        landlords; and (B) other Liens imposed by law or that arise by operation
        of law
        in the ordinary course of business from the date of creation thereof, in
        each
        case only for amounts not yet due or which are being contested in good faith
        by
        appropriate proceedings and with respect to which adequate reserves or other
        appropriate provisions are being maintained in accordance with GAAP to the
        satisfaction of the Lender, in its sole discretion; (iv) Liens (A) incurred
        or
        deposits made in the ordinary course of business (including, without limitation,
        surety bonds and appeal bonds) in connection with workers' compensation,
        unemployment insurance and other types of social security benefits or to
        secure
        the performance of tenders, bids, leases, contracts (other than for the
        repayment of Indebtedness), statutory obligations and other similar obligations;
        or (B) arising as a result of progress payments under government contracts;
        (v)
        purchase money Liens in connection with the purchase by the grantor of such
        Lien
        of equipment in the normal course of business; (vi) Liens subordinated in
        all
        respects to the Lien securing payment of the Obligations on terms and conditions
        and pursuant to an agreement in form and substance satisfactory to the Lender
        in
        its sole discretion; (vii) Liens to secure the financing of insurance premiums
        for insurance policies obtained pursuant to and in compliance with Section
        7(g),
provided, that
        such Liens are limited to the proceeds (including loss payments) of the
        insurance policies so financed, un-earned premiums on and dividends under
        such
        insurance policies, and the Borrower’s interest under any state insurance
        guarantee funds that may arise relating to such insurance policies; (viii)
        to
        the extent constituting a Lien, the transfer of technology licenses (including
        without limitation in connection with implementation of any source code escrow
        agreement in customary form into which Borrower enters for the benefit of
        any
        licensee of the Borrower’s Intellectual Property) in the ordinary course of
        business of the Borrower; (ix) Liens and Capital Leases existing on the date
        hereof; and (x) precautionary UCC financing statements filed in connection
        with
        operating leases for amounts which do not, individually or in the aggregate,
        exceed $100,000 in the aggregate.

       

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

      (kk)             
        “Repayment Date” means the date on which all Obligations are irrevocably repaid
        in full, in Dollars, to the Holder.

       

      (ll)            
          “Restricted Payment” means, with respect to the Borrower or any
        subsidiary: (i) the declaration or payment of any dividend or the incurrence
        of
        any liability to make any other payment or distribution of cash or other
        property or assets in respect of any Equity Interest of such person, other
        than
        a payment or distribution (A) of Equity Interests in connection with the
        exercise of any warrant, option or other right to acquire Equity Interests
        permitted under or issued pursuant to any Transaction Document, (B) of Equity
        Interests in respect of the outstanding shares of the Series F Convertible
        Preferred Stock of the Borrower (the “Series F Preferred
        Stock”), (C) of Equity Interests in connection with the 1000-to-1 reverse
        stock split contemplated hereby and (D) as a dividend or otherwise, made
        by a
        direct or indirect wholly owned subsidiary of Borrower to its immediate parent
        entity;  (ii) any payment on account of the purchase, redemption,
        defeasance, sinking fund or other retirement of any Equity Interest of such
        person or any other payment or distribution made in respect thereof, either
        directly or indirectly, other than a payment made in Equity Interests (A)
        in
        connection with the exercise of any warrant, option or other right to acquire
        Equity Interests permitted under or issued pursuant to any Transaction Document,
        (B) in respect of the outstanding shares of Series F Preferred Stock and
        (C) in
        connection with the 1000-to-1 reverse stock split contemplated hereby; (iii)
        any
        payment made to redeem, purchase, repurchase or retire, or to obtain the
        surrender of, any outstanding warrants, options or other rights to acquire
        any
        Equity Interest of such person now or hereafter outstanding, other than a
        payment made in Equity Interests (A) in connection with the exercise of any
        warrant, option or other right to acquire Equity Interests permitted under
        or
        issued pursuant to any Transaction Document, (B) in respect of the outstanding
        shares of Series F Preferred Stock and (C) in connection with the 1000-to-1
        reverse stock split contemplated hereby; (iv) any payment of a claim for
        the
        rescission of the purchase or sale of, or for material damages arising from
        the
        purchase or sale of, any Equity Interests of such person or of a claim for
        reimbursement, indemnification or contribution arising out of or related
        to any
        such claim for damages or rescission; (v) any payment, loan, contribution,
        or
        other transfer of funds or other property to any stockholder of such person,
        except as otherwise permitted hereunder or under the other Transaction
        Documents, and other than payment of compensation in the ordinary course
        of
        business to stockholders who are employees or directors of such person; and
        (vi)
        any payment of management fees (or other fees of a similar nature) or
        out-of-pocket expenses in connection therewith by such person to any
        stockholder, other than a payment to employees or directors of the Borrower
        or
        subsidiaries for their services, or otherwise permitted under any Transaction
        Document (including without limitation the Consulting Agreements).

       

      (mm)             
        “Securities Act” means the Securities Act of 1933, as amended.

       

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

      (nn)             
        “Security Agreements” has the meaning ascribed to such term in Section 4.

       

      (oo)             
        “Security Documents” means the Security Agreements and the UCC financing
        statements required to be filed and all other security documents hereafter
        delivered to the Lender in connection with granting a Lien on any of the
        assets
        of the Borrower or a subsidiary to secure the Obligations.

       

      (pp)             
        “Service Date Anniversary” has the meaning ascribed to such term in Section
        8(h).

       

      (qq)             
        “Term Sheet” means the Summary of Terms, dated as of January 14, 2008, by and
        between the Borrower and the Lender.

       

      (rr)             
        “Transaction Documents” means this Note, the other Loan Documents, the Term
        Sheet, the Consulting Agreements, the Existing Warrant and the Additional
        Warrant.

       

      
        	
                2.

              	
                Interest.  The
                  unpaid principal amount of indebtedness under this Secured Promissory
                  Note
                  (the “Note”) shall bear interest at a rate equal to ten percent (10%) per annum,
plus,
                  upon the
                  occurrence and continuation of an Event of Default (as herein defined),
                  an
                  additional three percent (3%) per annum.  Interest shall be
                  compounded annually and be due and payable in arrears (a) on the
                  last
                  calendar day of March, June, September and December of each calendar
                  year, in
                  cash, or, at the option of the Borrower, in kind, capitalized as
                  additional principal hereunder (and treated in all respects as
                  principal
                  hereunder, including without limitation with respect to the accrual
                  of
                  interest), and (b) on the date that any principal amount of the
                  indebtedness hereunder is repaid, to the extent accrued and unpaid
                  on the
                  principal amount so repaid.  Interest shall be computed for the
                  actual number of days elapsed on the basis of a year consisting
                  of 365 or
                  366 days, as applicable. 

              

      

       

      
        	
                3.

              	
                Grid.
                  

              

      

       

      (a)             
        Initial
        Loan.  On the date hereof, subject to fulfillment of all
        obligations of the Borrower set forth herein, Lender shall pay to the Borrower
        $300,000 by wire transfer of immediately available funds to an account specified
        by the Borrower, which amount shall become principal hereunder upon receipt
        of
        such funds by the Borrower (the “Initial Loan”).

       

      (b)             
        Additional
        Loan.  On the first business day following the date that all
        Borrower Actions shall have been consummated, subject to fulfillment of all
        obligations of the Borrower set forth herein, the Lender shall pay to the
        Borrower $1,200,000 by wire transfer of immediately available funds to an
        account specified by the Borrower, which amount shall become principal hereunder
        upon receipt of such funds by the Borrower. (the “Additional Loan”).

       

      (c)             
        Grid.  Lender
        shall be entitled to mark, from time to time, the Grid attached hereto as
Schedule A, to
        reflect any payment of, or addition to, the principal amount of the indebtedness
        evidenced hereby (including without limitation in respect of capitalized
        payments of interest);provided,
        that
        the failure by Lender to so mark such Grid shall not affect the obligation
        of
        Borrower hereunder to pay principal of the indebtedness evidenced hereby,
        interest thereon, or additional principal added in payment of capitalized
        interest (or interest on such additional principal), which obligations shall
        remain in full force and effect and be fully binding on Borrower.

       

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

      
        	
                4.

              	
                Security
                  Interest.  This Note and repayment of the indebtedness
                  evidenced hereby is secured by the Amended and Restated Security
                  Agreement, dated as of January 31, 2008, between the Lender and
                  the
                  Borrower (the “Security
                  Agreement”), and the Amended and Restated Pledge Agreement, dated
                  as of January 31, 2008, between the Lender and the Borrower (the
“Pledge
                  Agreement” and, together with the Security Agreement, each a
                  “Security Agreement” and, together, the “Security
                  Agreements”). 

              

      

       

      
        	
                5.

              	
                Representations
                  and
                  Warranties of Borrower.  The Borrower hereby represents
                  and warrants to the Lender, on the date hereof and on the date
                  of the
                  Additional Loan, as follows: 

              

      

       

      (a)             
        Organization;
        Authority.  Borrower is duly organized and validly existing
        under the laws of the jurisdiction of its organization.  Borrower has
        all the requisite power and authority to execute, deliver and perform the
        transactions contemplated by this Note.  This Note constitutes the
        legal, valid and binding obligations of Borrower and is enforceable against
        it
        in accordance with the terms hereof.

       

      (b)             
        Consents;
        Conflicts.  Except for the filing of the financing statements
        and any other documents necessary to effect the Liens contemplated by this
        Note,
        the execution and delivery of this Note by Borrower as contemplated hereby
        will
        not (i) require any consent, authorization, or approval of, or filing with,
        any
        governmental entity or third party, or (ii) result in any violation of, be
        in
        conflict with or constitute a default under, the charter or by-laws of Borrower,
        or any law, statute, regulation, ordinance, judgment, decree or order, or
        any
        material contract, agreement, or instrument to which Borrower is a party,
        or by
        which it is bound.

       

      (c)             
        Collateral.  Except
        for the liens granted to the Lender pursuant to this Note and the Security
        Documents, Borrower is, and as to Collateral acquired after the date hereof,
        Borrower shall and will be at the time of acquisition, the owner and holder,
        or
        has valid rights as a lessee or licensee of, or the power to transfer or
        pledge
        with respect to, all Collateral free and clear of any claim, security interest,
        encumbrance, lien, charge, or other right, title or interest of any person,
        other than Permitted Liens, has rights in or the power to transfer each other
        item of Collateral in which a Lien is granted by it hereunder, free and clear
        of
        any and all Liens, other than Permitted Liens.  Except for the
        Original Security Agreement, the Original Pledge Agreement, and any financing
        statement or public notice filed thereunder or in connection therewith, no
        security agreement, financing statement, or other public notice with respect
        to
        all or any part of the Collateral that is effective to perfect a lien or
        security interest on the Collateral is on file or of record in any government
        or
        public office against Borrower, and Borrower has not filed or consented to
        the
        filing of any such statement or notice.

       

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

      
        	
                6.

              	
                Representations
                  and
                  Warranties of Lender.  The Lender hereby represents and
                  warrants to the Borrower, on the date hereof and on the date of
                  the
                  Additional Loan, as follows: 

              

      

       

      (a)             
        Investment Intent;
        Lender Status:  The Lender:

       

      (i)           
        is acquiring the Note as a principal for investment purposes only, for its
        own
        account, and not as nominee or agent for any other person, and not with a
        view
        to resale or distribution of any part thereof in violation of the Securities
        Act;

       

      (ii)          
        is an “accredited investor”, within the meaning of Rule 501 of Regulation D
        under the Securities Act;

       

      (iii)           
        has such knowledge, sophistication and experience in financial and business
        matters as to be capable of evaluating the merits and risks of its purchase
        of
        the Note and investments in securities presenting an investment decision
        like
        that involved in the purchase of the Note; and

       

      (iv)          
        can bear the economic risk of a total loss of its investment in the Note.

       

      (b)             
        Restricted
        Securities.  The Lender understands that the Note is
        characterized as a “restricted security” as defined under Rule 144(a)(3) under
        the Securities Act and that under such laws and applicable regulations such
        Note
        may not be resold unless registered pursuant to the Securities Act, or an
        exemption from registration is available therefrom.  The Lender will
        not, directly or indirectly, offer, sell, pledge, transfer or otherwise dispose
        of (or solicit any offers to buy, purchase or otherwise acquire or take pledge
        of) the Note except in compliance with the Securities Act, applicable state
        securities laws and the respective rules and regulations promulgated
        thereunder.

       

      
        	
                7.

              	
                Covenants.
                  

              

      

       

      (a)             
        Compliance with
        Laws.  The Borrower shall comply in all material respects with
        all applicable laws, ordinances, rules, regulations, and requirements of
        governmental authorities.

       

      (b)             
        Maintenance of
        Existence; Lines of Business.  The Borrower shall preserve,
        renew and keep in full force and effect its corporate existence and its rights,
        privileges, franchises, and licenses necessary in the normal conduct of its
        business except where the failure to preserve any such rights, privileges,
        franchises or licenses would not reasonably be expected to have a material
        adverse effect on the Borrower.  

       

      (c)             
        Financial Statements;
        Reporting.  (i) The Borrower shall furnish to the Lender,
        within 45 days of the close of each of the first three quarters of each fiscal
        year, its consolidated balance sheets as at the close of such quarter and
        its
        income statement and statement of changes in financial position for such
        quarter, prepared in accordance with GAAP, applied on a basis consistent
        with
        that used in preparing its audited financial statements for prior years,
        certified by its chief financial officer as fairly presenting the financial
        condition of the Borrower and its subsidiaries as at the close of that quarter
        and the results of its operations for such quarter, subject to changes resulting
        from audit and normal year-end adjustments and the absence of footnotes.

       

      (ii)
        The
        Borrower shall furnish to the Lender, within 90 days of the close of each
        fiscal
        year, commencing with the fiscal year ending September 30, 2008, its
        consolidated balance sheets as at the close of such fiscal year and its income
        statement and statement of changes in financial position for such fiscal
        year,
        prepared in accordance with GAAP, applied on a basis consistent with that
        used
        in preparing its audited financial statements for prior years, certified
        by a
        firm of independent accountants selected by it and acceptable to the Lender
        as
        fairly presenting the financial condition of the Borrower and its subsidiaries
        as at the close of such fiscal year and the results of its operations for
        such
        fiscal year.  Either (a) such certification shall include or be
        accompanied by a statement that, during the examination by that firm of those
        financial statements, that firm observed or discovered no Default or Event
        of
        Default (or a detailed description of any Default or Event of Default so
        observed or discovered) or (b) the Borrower shall furnish to the Lender,
        within
        90 days of the close of the applicable fiscal year, a statement, certified
        by
        the chief financial officer of the Borrower, that, during such fiscal year,
        no
        Default, Event of Default or event that is reasonably likely to result in
        a
        Default or Event of Default has occurred (or a detailed description of any
        such
        Default, Event of Default or event that occurred during such fiscal
        year).

       

      (iii)
        The
        Borrower shall furnish to the Lender from time to time such other statements
        and
        information as the Lender may reasonably request.

       

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

      (d)             
        Books and Records;
        Inspection Rights.  The Borrower shall keep proper books and
        records in which full, true and correct entries are made of all dealings
        and
        transactions in relation to its business and activities.  The Borrower
        shall permit the Lender and representatives of the Lender to inspect its
        property and records at any reasonable times, and to make copies of such
        records
        as the Lender (or its representative) shall desire.

       

      (e)             
        Notices of
        Default.  The Borrower shall promptly notify the Lender of each
        Default or Event of Default, and each other event that has or could reasonably
        be expected to have a materially adverse effect on its ability to perform
        its
        obligations under this Note or the Security Documents, together with a detailed
        description of such Default, Event of Default or other event, and all actions
        taken or to be taken in response thereto.

       

      (f)             
        Liens and
        Encumbrances.  The Borrower shall not create or permit to be
        created or exist any Lien on any of its property now owned or hereafter
        acquired, other than Permitted Liens.

       

      (g)             
        Insurance.  The
        Borrower shall maintain, with financially sound and reputable insurance
        companies, insurance in such amounts and against such risks as are customarily
        maintained by companies engaged in the same or similar businesses operating
        in
        the same or similar locations.

       

      (h)             
        Consolidations,
        Mergers.  The Borrower shall not, directly or indirectly, by
        operation of law or otherwise, merge with or consolidate with another person,
        liquidate, windup or dissolve itself, or sell, transfer or lease or otherwise
        dispose of all or any substantial part of its assets or acquire by purchase
        or
        otherwise the business or assets of, or stock of, another person; except
        (i)
        that any subsidiary may merge into or consolidate with any other subsidiary;
        and
        (ii) any subsidiary may merge with or consolidate into the Borrower; provided that the
        Borrower is the surviving organization.

       

      
        
           

        

        
          11

          
            

          

        

        
           

        

      

      (i)             
        Asset
        Sales.  The Borrower shall not, and shall not permit any
        subsidiary to, directly or indirectly, consummate any Asset Sale, other than
        (i)
        the transfer of technology licenses to third parties in the ordinary course
        of
        business consistent with past practices (including without limitation in
        connection with implementation of any source code escrow agreement in customary
        form into which Borrower enters for the benefit of any licensee of the
        Borrower’s Intellectual Property) or (ii) with the prior written consent of the
        Lender (which shall not be unreasonably withheld).

       

      (j)             
        Transactions With
        Affiliates.  The Borrower shall not, and shall not permit any
        of its subsidiaries to, make any payment to, or sell, lease, transfer or
        otherwise dispose of any of its properties or assets to, or purchase any
        property or assets from, or enter into, make or amend any transaction, contract,
        agreement, understanding, loan, advance or guarantee with, or for the benefit
        of, any Affiliate (each of the foregoing, an “Affiliate
        Transaction”).  Notwithstanding the foregoing, the following items
        shall not be deemed to be Affiliate Transactions: (A) the payment of reasonable
        directors’ fees to persons who are not otherwise Affiliates of the Borrower or
        indemnification and similar arrangements, consulting fees, employee salaries,
        bonuses, employment agreements, compensation or employee benefit arrangements
        or
        incentive arrangements with any officer, director or employee of the Borrower
        or
        any subsidiary (including benefits under the foregoing and agreements directly
        in connection with the foregoing); (B) Restricted Payments made in compliance
        with Section 7(m); and (C) loans or advances to employees and reimbursement
        of
        actual out-of-pocket expenses incurred by officers, directors and employees,
        in
        each case in the ordinary course of business consistent with past
        practices.

       

      (k)             
        Payment of
        Taxes.  The Borrower shall pay all material taxes, assessments
        and other governmental charges of any kind imposed on or in respect of its
        income or any of its businesses or assets, or in respect of taxes and other
        amounts it is required by law to withhold from amounts paid by it to its
        employees, before any penalty or interest accrues on the amount payable and
        before any Lien or other encumbrance on any of its property exists as a result
        of nonpayment; provided, however,
        that the
        Borrower shall not be required by this section to pay any amount if it is
        diligently contesting its alleged obligation to pay that amount in good faith
        through appropriate proceedings and maintains appropriate reserves or other
        provisions in respect of the contested amount as may be required under
        GAAP.

       

      (l)             
        Limitation on
        Indebtedness.  The Borrower and its subsidiaries, on a
        consolidated basis, shall not directly or indirectly incur, create, assume,
        guarantee, become liable, contingently or otherwise, with respect to, or
        otherwise become responsible for the payment of, including, without limitation,
        by way of assumption or acquisition in a business combination, any Indebtedness
        other than (i) pursuant to this Note; (ii) any Indebtedness that is by its
        terms
        expressly subordinated in all respects to the Obligations, on terms and
        conditions satisfactory to the Lender, in its sole discretion; (iii)
        Indebtedness secured by Permitted Liens; and (iv) Indebtedness outstanding
        as of
        the date hereof.

       

      
        
           

        

        
          12

          
            

          

        

        
           

        

      

      (m)             
        Restricted
        Payments.  The Borrower shall not, and shall not permit any
        subsidiary, directly or indirectly, to make a Restricted Payment.

       

      (n)             
        Investments.  The
        Borrower shall not make or permit to remain outstanding any Investments
        except:

       

      (i)           
        Investments outstanding on the date hereof.

       

      (ii)           
        Deposit and securities accounts with banks for the purpose of holding cash
        or
        Cash Equivalents.

       

      (iii)           
        Investments in the Borrower or a subsidiary.

       

      (iv)           
        Hedging Agreements entered into in the ordinary course of the Borrower’s
        financial planning or business and not for speculative purposes.

       

      (v)           
        Advances to officers, directors and employers of such person in the ordinary
        course of business (provided that such advances have been approved by a majority
        of the disinterested members of the Board of Directors) and advances made
        pursuant to the Consulting Agreements.

       

      (vi)           
        Accounts receivable in the ordinary course of business on reasonable and
        customary trade terms, including notes receivable and other securities received
        in connection with the payment of such accounts receivable.

       

      (o)             
        EBITDA.  The
        Borrower will not permit the EBITDA, on a consolidated basis, of Borrower
        and
        its subsidiaries for any period of four consecutive fiscal quarters beginning
        with the fiscal quarter ending December 31, 2007 or a later fiscal quarter
        and
        ending with the fiscal quarter ending December 31, 2009 or a prior fiscal
        quarter to be less than the sum of the amounts set forth below opposite the
        quarters comprising such period:

       

      
        	
                Fiscal
                  Quarter

                Ending
                  on:

                
                

              	
                Minimum
                  EBITDA

                
                

              
	
                December
                  31, 2007

                
                

              	
                ($338,046)

                
                

              
	
                March
                  31, 2008

                
                

              	
                ($809,460)

                
                

              
	
                June
                  30, 2008

                
                

              	
                ($145,630)

                
                

              
	
                September
                  30, 2008

                
                

              	
                ($33,307)

                
                

              
	
                December
                  31, 2008

                
                

              	
                $644,469

                
                

              
	
                March
                  31, 2009

                
                

              	
                $717,684

                
                

              
	
                June
                  30, 2009

                
                

              	
                $797,883

                
                

              
	
                September
                  30, 2009

                
                

              	
                $868,600

                
                

              
	
                December
                  31, 2009

                
                

              	
                $1,010,479

                
                

              

      

      

      
        
           

        

        
          13

          
            

          

        

        
           

        

      

      (p)             
        Additional
        Warrant.  On or prior to the date of the Additional Loan, the
        Borrower shall issue to the Lender a warrant for the purchase of shares of
        Common Stock in the form attached hereto as Exhibit A (the “Additional
        Warrant”), provided that the Additional Warrant (i) shall initially be
        exercisable for that number of shares of Common Stock equal to the greater
        of
        (A) 26,735,508 shares of Common Stock (subject to appropriate adjustment
        to
        reflect any stock split, subdivision, combination, reclassification or similar
        corporate event affecting the Common Stock, in each case, consummated prior
        to
        such issuance, including without limitation, if consummated prior to such
        issuance, the 1000-to-1 reverse stock split contemplated hereby), and (B)
        20% of
        the fully diluted outstanding shares of Common Stock as of the date of such
        issuance (including any equity granted under management option plans), and
        (ii)
        shall have an initial exercise price of $0.08 (subject to appropriate adjustment
        to reflect any stock split, subdivision, combination, reclassification or
        similar corporate event affecting the Common Stock, in each case, consummated
        prior to such issuance, including without limitation, if consummated prior
        to
        such issuance, the 1000-to-1 reverse stock split contemplated hereby).

       

      (q)             
        Intellectual Property
        Claim.  The Borrower shall promptly notify the Lender if any
        person shall have asserted or threatened in writing to assert any Claim (i)
        contesting the right of the Borrower to use, exercise, sell, license, transfer
        or dispose of any of the Borrower’s Intellectual Property or any products,
        processes, or materials covered thereby in any manner or (ii) challenging
        the
        ownership, validity or enforceability of any of the Borrower’s Intellectual
        Property (an “IP
        Claim”).  In the event of an IP Claim, (i) the Lender shall
        have the right to participate at its expense in, but not control, the compromise
        or defense of such IP Claim; (ii) the compromise or defense of such IP Claim
        shall be by counsel selected by the Borrower, which counsel must be reasonably
        satisfactory to the Lender; and (iii) the Borrower shall obtain the prior
        written approval (such approval not to be unreasonably withheld or delayed)
        of
        the Lender before entering into any settlement or adjustment of or otherwise
        completing the compromise of such IP Claim.

       

      (r)             
        Maintenance of
        Liquidity Value.  The Borrower shall maintain an amount of cash
        or Cash Equivalents with a value of not less than $100,000.

       

      

      
        	
                8.

              	
                Events
                  of
                  Default.  Upon the occurrence of any of the following
                  (each an “Event of Default”): 

              

      

       

      (a)             
        The Borrower shall fail to pay any principal, interest or other amount when
        due
        and payable hereunder;

       

      (b)             
        The Borrower or any subsidiary thereof shall default in the payment of any
        indebtedness under the Secured Promissory Notes, dated March 15, 2002 and
        April
        19, 2002, issued by the Borrower and payable to Spescom Ltd., assigned to
        Lender
        pursuant to the Securities Purchase Agreement, dated as of September 30,
        2007,
        by and among the Lender, Spescom Ltd. and Spescom Limited (as amended on
        the
        date hereof, the “Old Notes”) or shall default in the performance of any other
        obligation under such Old Notes;

       

      
        
           

        

        
          14

          
            

          

        

        
           

        

      

      (c)             
        The Borrower or any subsidiary thereof shall be dissolved or liquidated (or
        any
        judgment, order or decree therefore shall be entered), other than the
        liquidation of a subsidiary pursuant to the merger of such subsidiary with
        the
        Borrower or another subsidiary in accordance with Section 7(h) hereof; or
        if the
        Borrower or any such subsidiary shall have made a general assignment for
        the
        benefit of creditors or shall have been adjudicated bankrupt and if not an
        adjudication based on a filing by Borrower it shall not have been dismissed
        within sixty (60) days or shall have filed a voluntary petition in bankruptcy
        or
        for reorganization or to effect a plan or arrangement with creditors or shall
        fail to pay its debts generally as such debts become due in the ordinary
        course
        of business (except as contested in good faith and for which adequate reserves
        are made in such party’s financial statements); or shall file an answer to a
        creditor’s petition or other petition filed against it, admitting the material
        allegations thereof for an adjudication in bankruptcy or for reorganization;
        or
        shall have applied for or permitted the appointment of a receiver or trustee
        or
        custodian for any of its property or assets; or such receiver, trustee or
        custodian shall have been appointed for any of its property or assets (otherwise
        than upon application or consent of Borrower or any such subsidiary) and
        shall
        not have been removed within sixty (60) days; or if an order shall be entered
        approving any petition for reorganization of Borrower or any such subsidiary
        and
        shall not have been reversed or dismissed within sixty (60) days; or Borrower
        or
        any such subsidiary shall take any action (corporate or other) authorizing
        or in
        furtherance any of the actions described above in this subsection;

       

      (d)             
        Any material provision of any document securing or guaranteeing the indebtedness
        evidenced by this Note, or of any Lien or security interest purported to
        be
        granted thereby, shall at any time for any reason cease to be valid, binding
        and
        enforceable against the Borrower or any other party thereto (other than in
        accordance with the terms thereof), as applicable, or the validity, binding
        effect or enforceability thereof shall be contested by the Borrower or any
        other
        party thereto, or the Borrower or any other party thereto shall deny in writing
        that it has any or further liability or obligation under any such document,
        or
        any such document shall be terminated (other than in accordance with the
        terms
        thereof), invalidated, revoked or set aside or in any way cease to give or
        provide to the Lender the benefits purported to be created thereby;

       

      (e)             
        The Borrower fails to perform or observe any covenant contained in Section
        7 to
        be performed or observed by it, and does not remedy such failure on or before
        the 10th day after the Borrower first becomes aware of such occurrence;

       

      (f)             
        The Borrower fails to complete the Borrower Actions on or prior to April
        30,
        2008;

       

      (g)             
        Any person shall have prevailed pursuant to a final adjudication in any Claim
        against the Borrower or its subsidiaries in an aggregate amount equal to
        or
        greater than $500,000; or

       

      
        
           

        

        
          15

          
            

          

        

        
           

        

      

      (h)             
        Any person shall have filed a Claim (i) contesting the right of the Borrower
        to
        use, exercise, sell, license, transfer or dispose of any of the Borrower's
        Intellectual Property or any products, processes, or materials covered thereby
        in any manner having a total aggregate value greater than $250,000 or (ii)
        challenging the ownership, validity or enforceability of any of the Borrower's
        Intellectual Property having a total aggregate value greater than $250,000,
        and
        either (A) a preliminary injunction has been entered and become effective
        against the Company with respect to the Claim and such preliminary injunction
        has not been vacated within 60 days of the date of such effectiveness, (B)
        (i) a
        motion for summary judgment with respect to such Claim has not been filed
        by or
        on behalf of the Company on or before the date (the “Service Date Anniversary”)
        that is one year from the date on which such Claim is served on the Company
        and
        (ii) such Claim has not been dismissed, withdrawn or resolved in the Company’s
        favor by settlement or judgment on the merits on or before the Service Date
        Anniversary or (C) (i) a motion for summary judgment with respect to such
        Claim
        has been filed by or on behalf of the Company on or before the Service Date
        Anniversary and such motion has been denied and (ii) such Claim has not been
        dismissed, withdrawn or resolved in the Company’s favor by settlement or
        judgment on the merits on or before the date of such denial; and

       

      (i)             
        Any of the Borrower’s Intellectual Property having a total aggregate value
        greater than $250,000 shall be subject to any outstanding order, judgment,
        decree, stipulation or agreement related to or restricting in any manner
        the
        licensing, assignment, transfer, use or conveyance thereof by the
        Borrower;then,
        Lender may
        declare the entire unpaid principal indebtedness evidenced by this Note
        immediately due and payable, without presentment, notice or demand, all of
        which
        are hereby expressly waived by Borrower (and in the event of the occurrence
        of
        any Event of Default specified in clause (b) above, and notwithstanding the
        lack
        of any declaration by Lender hereunder, the entire unpaid principal amount
        of
        such indebtedness shall become automatically and immediately due and
        payable).

       

      
        	
                9.

              	
                Waiver.  Borrower
                  and any endorser of this Note hereby waive presentment, demand,
                  protest
                  and notice of any kind.  No failure to exercise, and no delay in
                  exercising, any rights hereunder on the part of the holder hereof
                  shall
                  operate as a waiver of such rights.  In addition, no action by
                  any directors designated by Lender or actions by the Lender exercising
                  its
                  right as a stockholder shall operate as a waiver by the holder
                  hereof of
                  any rights hereunder. 

              

      

       

      
        	
                10.

              	
                Consulting
                  Agreements.  Each party agrees to use its reasonable best
                  efforts to enter into one or more agreements (each, a “Consulting
                  Agreement” and, collectively, the “Consulting Agreements”) pursuant to
                  which one or more designees of Lender shall provide management
                  consulting,
                  strategic and financial advisory services to Borrower during the
                  period
                  that any Indebtedness of Borrower is outstanding hereunder or under
                  the
                  Old Notes, on terms and conditions mutually satisfactory to the
                  Lender and
                  the Borrower.  The aggregate fees to be paid by the Borrower
                  provided pursuant to the Consulting Agreements shall not exceed
                  $60,000 in
                  any fiscal quarter. 

              

      

       

      
        
           

        

        
          16

          
            

          

        

        
           

        

      

      
        	
                11.

              	
                Fees
                  and Expenses;
                  Closing Fee.  The Borrower shall pay (A) all reasonable
                  fees and expenses of Lender in connection with the negotiation,
                  execution
                  and delivery of this Note and the amendments dated as of the date
                  hereof
                  to the Secured Promissory Notes referenced in Section 8(b) and
                  (B) no
                  later than three (3) business days after the date of the Initial
                  Loan, a
                  closing fee of $75,000 to Lender or Lender’s designee, as directed by
                  Lender.  Lender agrees that such fees paid pursuant to the
                  previous sentence shall include and constitute all fees and expenses
                  to be
                  reimbursed to Lender by Borrower pursuant to the letter agreement,
                  dated
                  October 22, 2007, between Lender and Borrower.

              

      

       

      
        	
                12.

              	
                Withholding
                  Tax.  The Borrower shall withhold any taxes required to
                  be withheld from interest payments made on this Note and the Old
                  Notes.  The Lender shall provide the Borrower with applicable
                  certifications (including any applicable IRS form W-8 and W-9 from
                  persons
                  who hold, directly or indirectly, an interest in the Lender) and
                  any other
                  information and calculations necessary to ascertain any withholding
                  obligation with respect to such interest payments.  The Borrower
                  shall be entitled to rely exclusively on such certifications, information,
                  and calculations provided by the Lender in making such withholding,
                  and
                  the Lender shall indemnify the Borrower for any liability incurred
                  by
                  Borrower in connection with such withholding
                  obligations.  Provided that the Lender complies with the
                  foregoing requirements, in determining Borrower’s withholding obligation,
                  Borrower shall be treated as having actual knowledge that Lender
                  is
                  receiving the interest payments as an agent (within the meaning
                  of
                  Treasury Regulations Section 1.1441-1(b)(2)(ii)) of its non-U.S.
                  investors, and thus, must treat the payments as being made directly
                  to
                  those non-U.S. investors.  The parties agree that the value
                  attributable to the Existing Warrant shall be $1,467 and the value
                  attributable to the Additional Warrant shall be $2,283.
                  

              

      

       

      THIS
        SECURED PROMISSORY NOTE AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER
        THIS
        SECURED PROMISSORY NOTE SHALL, PURSUANT TO NEW YORK COMMERCIAL LAW, BE GOVERNED
        BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE
        OF
        NEW YORK.

       

      

       

      [Signature
        Page Follows]

       

      
        
          
             

             

          

           

        

        
          17

          
            

          

        

        
           

        

      

      IN
        WITNESS WHEREOF, Borrower has caused this Note to be executed and delivered
        by
        its proper and duly authorized officer as of the date set forth above.

       

                          ENTERPRISE
        INFORMATICS INC.

       

       

      
        	 	                         By:	 /s/
                John W.
                Low	 
	 	                         Name:	     
                John W. Low	 
	 	                         Title:	     
                Chief Financial Officer	 

      

       

      Acknowledged
        and Agreed:

       

      ERP2
        HOLDINGS, LLC

       

      By:_ _/s/
        Kevin
        Wyman_________

           Name:  Kevin
        Wyman

           Title:    Majority
        Manager

       

      
        
          
            [Signature
              Page to New Note]

            

            

            

            

             

          

           

        

        
          18

          
            

          

        

        
           

        

      

      SCHEDULE
        A

       

      SECURED
        PROMISSORY NOTE

       

      GRID

       

      
        	
                Date

              	
                Interest
                  Capitalized as Principal

              	
                Amount
                  of Principal Paid This Date

              	
                Outstanding
                  Principal Balance at This Date

              	
                Notation
                  Made By

              
	
                January
                  31, 2008

              	
                $0.00

              	
                $0.00

              	
                $300,000.00ex10-2.htm

    
      
         

      

      
         

        
          

        

      

      
         

      

    

                                                                                EXHIBIT
      10.2

                                                                                                                            

     

                                                                              

     

                                                                            Execution
      Copy

    FIRST
      AMENDMENT

     

    TO
      THE

     

    SECURED
      PROMISSORY NOTE

     

    ISSUED
      ON
      MARCH 15, 2002

     

    BY
      ENTERPRISE INFORMATICS INC. (F/K/A ALTRIS SOFTWARE, INC.)

     

    TO
      SPESCOM LTD. AND ASSIGNED TO ERP2 HOLDINGS, LLC

     

    
      
        
           

        

         

      

      
         

        
          

        

      

      
         

      

    

    

     

    FIRST
      AMENDMENT dated as of January 31, 2008 (this “First Amendment”) to the Secured
      Promissory Note (the “Note”), in the original principal amount of $400,000,
      issued on March 15, 2002 by Enterprise Informatics Inc., f/k/a Altris Software,
      Inc., a California corporation (the “Obligor”), in favor of Spescom Ltd., a
      United Kingdom corporation (the “Parent”).

     

     

    W
      I T N E
      S S E T H :

     

     

    WHEREAS,
      the Parent assigned the Note to ERP2 Holdings, LLC, a Delaware limited liability
      company (the “Holder”), pursuant to the Securities Purchase Agreement, dated as
      of September 30, 2007, by and among the Holder, the Parent, and Spescom Limited,
      a South African corporation (the “Securities Purchase Agreement”);

     

     

    WHEREAS,
      concurrently herewith the Obligor executed and delivered a Secured Promissory
      Note to the Holder, in the principal amount of up to $1,500,000 (the “New
      Note”); and

     

     

    WHEREAS,
      the Obligor and the Holder wish to amend the Note on the terms and conditions
      provided for herein.

     

     

    NOW,
      THEREFORE, in consideration of the mutual covenants and conditions set forth
      herein, the sufficiency of which is hereby acknowledged, the parties hereto
      agree as follows:

     

    ARTICLE
      I

     

    DEFINITIONS
      AND INTERPRETATION

     

    SECTION
      1.1  Definitions and
      Interpretation.

     

    
      	
               

            	
              (a)

            	
              All
                capitalized terms used herein which are not otherwise specifically
                defined
                herein shall have the respective meaning as ascribed thereto in the
                Note.
                

            

    

     

    
      	
               

            	
              (b)

            	
              Unless
                otherwise expressly indicated, all references contained herein to
                Sections
                or other subdivisions, Schedules, Annexes or Exhibits refer to the
                corresponding Sections and other subdivisions, Schedules, Annexes
                or
                Exhibits of the Note. 

            

    

     

    
      	
               

            	
              (c)

            	
              The
                sections and the headings in the sections in this First Amendment
                are for
                convenience only. Such sections and headings shall not be deemed
                to be
                part of this First Amendment and in no way define, limit, extend
                or
                describe the scope or intent of its provisions.

            

    

     

    ARTICLE
      II

     

    AMENDMENTS

     

    SECTION
      2.1  Amendment to
      Preamble. The preamble of the Note is hereby amended by inserting the
      following after the comma following the phrase “per annum” in the last line of
      the preamble:

     

    
      
        
          
             

          

        

      

      
        2

        
          

        

      

      
         

      

    

    “compounded
      annually, payable in arrears on the last calendar day of March, June, September
      and December of each calendar year, in cash or, at the option of the Obligor,
      in
      kind, capitalized as additional principal hereunder (which shall be treated
      in
      all respects as principal hereunder, including without limitation with respect
      to the accrual of interest), at the option of the Obligor,”

     

    

    SECTION
      2.2  Amendment to Section
      1.  Section 1 of the Note is hereby amended and restated in its
      entirety to read as follows:

     

    “All
      unpaid principal and accrued interest under this Note shall be immediately
      due
      and payable on January 31, 2010.”

    

    SECTION
      2.3  Amendment to Section
      5.  Section 5 of the Note is hereby amended by deleting the
      phrase “fourteen percent (14%)” in the third line and replacing it with the
      phrase “thirteen percent (13%)”.

     

    SECTION
      2.4  Amendment to Section
      8.  Section 8 of the Note is hereby amended and restated in its
      entirety to read as follows:

     

    “This
      Note is governed by and construed in accordance with the laws of the State
      of
      New York, irrespective of New York’s choice-of-law principles.”

     

    SECTION
      2.5  Amendment to Section
      10.  Section 10 of the Note is hereby amended and restated in
      its entirety to read as follows:

     

    “All
      actions and proceedings arising in connection with this Note must be tried
      and
      litigated exclusively in the Federal courts located in New York, New York,
      which
      courts have personal jurisdiction and venue over each of the parties to this
      Note for the purpose of adjudicating all matters arising out of or related
      to
      this Note.  Each party authorizes and accepts service of process sufficient
      for personal jurisdiction in any action against it as contemplated by this
      paragraph by registered or certified mail, return receipt requested, postage
      prepaid, to its address for the giving of notices set forth in this
      Note.”

     

    SECTION
      2.6  Amendment to Section
      16.  Section 16 of the Note is hereby amended by (i) inserting
      the phrase “ sent by facsimile or electronic mail,” immediately following the
      phrase “personally delivered,” in the first sentence thereof and (ii) deleting
      that portion thereof beginning with “Holder: Spescom LTD” and ending with
“Attention: John Low” and replacing such portion with the following:

     

    
      	
              Holder:

            	
              ERP2
                Holdings, LLC

              c/o
                Richard Shorten

              694
                Weed Street

              New
                Canaan, CT 06840

              Attention:  Board
                of Managers

              Fax:  (702)
                995-4535

              Email:  rshorten@silverminecapital.com

            

    

      

    
      	
              with
                a copy to:

            	
              Stroock
                & Stroock & Lavan LLP

              180
                Maiden Lane

              New
                York, NY 10038

              Attention:  Brett
                Lawrence

              Fax:  (212)
                806-6006

              Email:  blawrence@stroock.com

            

    

    
      	
              Maker:

            	
              Enterprise
                Informatics Inc.

              10052
                Mesa Ridge Court, Suite 100

              San
                Diego, CA 92121

              Attention:  John
                W. Low

              Fax:  (858)
                625-3010

              Email:
                jlow@enterpriseinformatics.com

            

    

    

    
      	
              with
                a copy to:

            	
              Gibson,
                Dunn & Crutcher LLP

              1881
                Page Mill Road

              Palo
                Alto, CA 94304

              Attention:
                Russell C. Hansen

              Fax:  (650)
                849-5333

              Email:  rhansen@gibsondunn.com

            

    

    

    SECTION
      2.7  Addition of Section
      18.  The Note is hereby amended by inserting the following
      after Section 17:

     

    
      	
               

            	
              “18.  Events
                of
                Default.  Following the occurrence of an Event of Default
                (as such term is defined in the New Note), the Holder may declare
                the
                entire unpaid principal indebtedness evidenced by this Note immediately
                due and payable, without presentment, notice or demand, all of which
                are
                expressly waived by the Obligor (a “Demand”); provided,
however,
                the
                Holder may not declare a Demand prior to September 30, 2008.”
                

            

    

    

    SECTION
      2.8  Addition of Section
      19.  The Note is hereby amended by inserting the following
      after Section 18:

     

    “19.  Fees
      and
      Expenses.  The Obligor shall pay all reasonable fees and
      expenses of the Holder in connection with the negotiation, execution and
      delivery of this First Amendment.”

    

    ARTICLE
      III

     

    MISCELLANEOUS

     

    SECTION
      3.1  The
      Note.  Except as amended by this First Amendment, the Note
      shall remain in full force and effect in accordance with its
      terms.  This First Amendment shall be deemed to be part of the
      Note.

     

    SECTION
      3.2  Governing
      Law.  This First Amendment shall be governed by and construed
      in accordance with the laws of the State of New York without reference to choice
      of law doctrine.

     

    
      
        
          --

           

        

         

      

      
        3

        
          

        

      

      
         

      

    

    SECTION
      3.3  Legal,
      Valid and Binding Obligation.  Each party hereto hereby
      represents and warrants that this First Amendment is a legal, valid and binding
      obligation of such party and is enforceable against such party in accordance
      with its terms.

     

    SECTION
      3.4  References to
      Note.  Whenever in any certificate, letter, notice or other
      instrument reference is made to the Note, such reference without more shall include
      reference to this First Amendment.

     

    SECTION
      3.5  Counterparts.  This
      First Amendment may be executed simultaneously in counterparts, each of which
      shall be deemed an original.

     

     

    [Signature
      Page Follows]

     

    
      
        
          --

           

        

         

      

      
        4

        
          

        

      

      
         

      

    

    

     

    IN
      WITNESS WHEREOF this First Amendment has been executed by duly authorized
      representatives of the parties hereto as of the day, month, and year first
      above
      written.

     

    

                    ENTERPRISE
      INFORMATICS INC.

        

    
      	 	
                                       By:

            	 /s/
              John W.
              Low	 

    

                               
      John W. Low

                    Chief
      Financial OfficerA

                    

    

    
      
        
          [Signature
            Page to March Note Amendment]

          

          

          

        

         

      

      
        5

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