Common use of Limitation on Future Financing Clause in Contracts

Limitation on Future Financing. The Company agrees that ------------------------------- it will not enter into any sale of its securities for cash at a discount to its then-current closing price during the Commitment Period without the prior approval of the Investor, which will not be unreasonably withheld, or, without first offering to the Investor the right of first refusal, to elect to participate, in such subsequent transaction. Such right of first refusal must be exercised in writing within seven (7) Trading Days of the Investor's receipt of notice of the proposed terms of such financing. This limitation shall not prohibit the Company from a) entering into any sale of securities pursuant to any presently existing employee benefit plan which plan has been approved by the Company's stockholders, or, b) offering securities pursuant to any compensatory plan for a full-time employee or key consultant, but the Company shall not be allowed to enter into any sale under any other equity-based line of credit. Conditions Precedent to the Obligation of the Company to Issue and Sell Common - ------------------------------------------------------------------------------ Stock. The obligation hereunder of the Company to issue and sell the Put Shares - ----- to the Investor incident to each Closing is subject to the satisfaction, at or before each such Closing, of each of the conditions set forth below. (a) Accuracy of the Investor's Representation and Warranties. -------------------------------------------------------- The representations and warranties of the Investor shall be true and correct in all material respects as of the date of this Agreement and as of the date of each such Closing as though made at each such time.

Limitation on Future Financing. The Company agrees that ------------------------------- it will not enter into any sale of its securities for cash at a discount to its then-current closing price during the Commitment Period without the prior approval of the Investor, which will not be unreasonably withheld, or, without first offering to the Investor the right of first refusal, to elect to participate, in such subsequent transaction. Such right of first refusal must be exercised in writing within seven (7) Trading Days of the Investor's receipt of notice of the proposed terms of such financing. This limitation shall not prohibit the Company from a) entering into any sale of securities pursuant to any presently existing employee benefit plan which plan has been approved by the Company's stockholders, or, b) offering securities pursuant to any compensatory plan for a full-time employee or key consultant, but the Company shall not be allowed to enter into any sale under any other equity-based line of credit. Conditions Precedent to the Obligation of the Company to Issue and Sell Common - ------------------------------------------------------------------------------ -------------------------------------------------------------------------------- Stock. The obligation hereunder of the Company to issue and sell the Put Shares - ----- to the Investor incident to each Closing is subject to the satisfaction, at or before each such Closing, of each of the conditions set forth below. (a) Accuracy of the Investor's Representation and Warranties. -------------------------------------------------------- The representations and warranties of the Investor shall be true and correct in all material respects as of the date of this Agreement and as of the date of each such Closing as though made at each such time.

Limitation on Future Financing. The Company agrees that ------------------------------- it will not enter into any sale of its securities for cash at a discount to its then-current closing price during the Commitment Period without the prior approval of the Investor, which will not be unreasonably withheld, or, without first offering to the Investor the right of first refusal, to elect to participate, in such subsequent transaction. Such right of first refusal must be exercised in writing within seven (7) Trading Days of the Investor's receipt of notice of the proposed terms of such financing. This limitation shall not prohibit the Company from a) entering into any sale of securities pursuant to any presently existing employee benefit plan which plan has been approved by the Company's stockholders, or, b) offering securities pursuant to any compensatory plan for a full-time employee or key consultant, but the Company shall not be allowed to enter into any sale under any other equity-based line of credit. Conditions Precedent to the Obligation of the Company to Issue and Sell Common - ------------------------------------------------------------------------------ - ---------------------------------------------------------------------------- Stock. The obligation hereunder of the Company to issue and sell the Put Shares - - ----- to the Investor incident to each Closing is subject to the satisfaction, at or before each such Closing, of each of the conditions set forth below. (a) Accuracy of the Investor's Representation and Warranties. -------------------------------------------------------- --------------------------------------------------------- The representations and warranties of the Investor shall be true and correct in all material respects as of the date of this Agreement and as of the date of each such Closing as though made at each such time.