UNIVERSAL TRACKING SOLUTIONS, INC. SUBSCRIPTION AGREEMENT UP TO 3,000,000 SHARES OF COMMON STOCK AT $.20 PER SHARE
Name
of Subscriber:_________________
Principal
Amount: $_________________
UNIVERSAL
TRACKING SOLUTIONS, INC.
UP
TO 3,000,000 SHARES OF COMMON STOCK AT $.20 PER SHARE
AGREEMENT
dated as
of the date set forth below, by and between Universal Tracking Solutions, Inc.,
a Nevada corporation (the “Company”) having a principal office at 0000 X. Xxxxxx
Xx., Xxxxx 000-000, Xxxxxxx, Xxxxxxx, 00000, and the person or entity whose
signature appears at the end of this Agreement (the “Investor”).
WITNESSETH:
WHEREAS,
the
Company desires to sell shares of its Common Stock (the “Stock”) in the
aggregate amount of not more than U.S. $300,000 to certain persons, including
the Investor.
WHEREAS,
the
Investor wishes, pursuant to the terms and conditions hereinafter set forth,
to
purchase the amount of Shares set forth on the signature page of this
Agreement.
NOW
THEREFORE,
in
consideration of the premises, and the respective representations and warranties
hereinafter set forth, the Company and the Investor agree as
follows:
1. SUBSCRIPTION.
Upon
the
terms and subject to the conditions of this Agreement, the Investor, intending
to be legally bound, hereby irrevocably subscribes for and agrees to purchase
the amount of the Company’s Shares indicated on the signature page hereof.
2. PURCHASE
AND CLOSING.
The
Investor delivers herewith the consideration in United States dollars (the
“Purchase Price”) required to purchase the Shares subscribed for hereunder. The
Purchase Price is being paid simultaneously herewith by delivery to the Company
of a wire transfer or check payable to the Company in the amount of the Purchase
Price.
2.2 At
the
Closing, the Company will deliver the following to the Investor:
(a) a
certificate, in due and proper form, representing the Shares purchased;
and
(b) a
counterpart of this Agreement executed by the Company.
3. INVESTOR
REPRESENTATIONS AND WARRANTIES.
The
Investor hereby acknowledges, represents and warrants to, and agrees with,
the
Company as follows:
3.1
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The
undersigned acknowledges his understanding that the offering and
sale of
the Shares are restricted and will be included in a Registration
Statement
to be filed with the Securities and Exchange Commission. In furtherance
thereof, the undersigned represents and warrants to and agrees with
the
Company that 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.
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3.2 The
Investor:
(a)
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has
been given the opportunity to ask questions of and receive answers
from
the Company concerning the terms and conditions of the offering and
other
matters pertaining to this investment, and has been given the opportunity
to obtain such additional information necessary to verify the accuracy
of
the information contained in the Documents or that which was otherwise
provided in order for him to evaluate the merits and risks of purchase
of
the Stock to the extent the Company possesses such information or
can
acquire it without unreasonable efforts or expense, and has not been
furnished any other offering literature or prospectus except as mentioned
herein or in the Documents;
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(b) has
been
provided an opportunity to obtain additional information concerning the
offering, the Company and all other information to the extent the Company
possesses such information or can acquire it without unreasonable effort or
expense;
(c) has
not
been furnished with any oral representation or oral information in connection
with the offering of the Stock which is not contained in the Documents;
and
(d) has
determined that the Stock is a suitable investment for him/her and that at
this
time (s)he could bear a complete loss of his investment.
3.3 The
undersigned is not relying on the Company thereof with respect to economic
considerations involved in this investment. The undersigned has relied on the
advice of, or has consulted with, in regard to the economic considerations
involved in this investment, only those persons, if any, named as Purchaser
Representative. The undersigned is capable of evaluating the merits and risks
of
this investment on the terms and conditions set forth in the Documents and
each
has disclosed to the undersigned in writing (a copy of which is annexed to
this
agreement) the specific details of any and all past, present or future
relationships, actual or contemplated, between himself and the Company or any
affiliate or subsidiary of any of the foregoing;
3.4 If
the
Investor is a corporation, partnership, trust or other entity, the person
signing this Subscription Agreement on behalf of such entity has been duly
authorized by such entity to do so;
3.5 No
representation or warranties have been made to the Investor by the Company,
or
any officer, employee, agent, affiliate or subsidiary of the Company, other
than
the representations of the Company herein.
3.6 The
undersigned confirms that the decision to subscribe for the Stock was not made
as a result of any material information about the Company’s affairs that had not
been publicly disclosed;
3.7 The
undersigned acknowledges that:
(a)
the
undersigned is purchasing the Stock pursuant to an exemption under the Act
on
the basis that the undersigned is sophisticated and, as a
consequence:
(i) is
restricted from using most of the civil remedies available under securities
legislation,
(ii) may
not
receive information that would otherwise be required to be provided to him
under
securities legislation, and
(iii) the
Company is relieved from certain obligations that would otherwise apply under
securities legislation;
(b) the
Stock
is being purchased by the undersigned as principal for investment only and
not
with a view to the distribution thereof, and the undersigned is not
participating directly or indirectly in any underwriting of the
Stock.
(c) the
undersigned has had an opportunity to ask questions of, and receive answers
from
persons acting on behalf of the Company;
3.8 The
foregoing representations, warranties and agreements shall survive the
Closing.
4. INVESTOR
AWARENESS.
The
Investor acknowledges, represents, agrees and is aware that:
4.1 No
Federal or state agency has passed on the Stock or made any finding or
determination as to the fairness of this investment;
4.2 There
are
substantial risks incident to the purchase of Stock; and
4.3 The
foregoing acknowledgments, representations, warranties and agreements shall
survive the Closing Date and the return of subscriber’s funds if subscriptions
are not accepted.
5. INDEMNITY.
The
Investor agrees to indemnify and hold harmless the Company and each other
person, if any, who controls it within the meaning of Section 15 of the
Securities Act of 1933, as amended (the “Act”) against any and all loss,
liability, claim, damage and expense whatsoever (including, but not limited
to,
any and all expenses whatsoever reasonably incurred in investigating, preparing
for 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 Investor to comply with any covenant or agreement
made
by the Investor herein.
6. COMPANY
REPRESENTATIONS AND WARRANTIES.
The
Company hereby acknowledges, represents and warrants to, and agrees with the
Investor (which representations and will be true and correct as of the date
of
the Closing as if the Agreement were made on the date of Closing) as
follows:
6.1 The
Company has been duly organized, is validly existing and is in good standing
under the laws of Nevada.
6.2 The
Company has all requisite corporate power and authority to execute and deliver
this Agreement and to perform its obligations hereunder. The execution and
delivery of this Agreement by the Company do not, and the performance of its
obligations hereunder will not, violate or conflict with any provision of the
Company’s Certificate of Incorporation or Bylaws. All corporate action on the
part of the Company required for the authorization, execution and delivery
of
this Agreement and the performance of its obligations hereunder, including
the
issuance and delivery of the Stock, have been taken. This Agreement has been
duly executed and delivered by the Company, and assuming due execution and
delivery by the Purchaser, constitutes a valid and legally binding obligation
of
the Company enforceable in accordance with its terms, except as limited by
(i)
applicable bankruptcy, insolvency, reorganization, moratorium, and other laws
of
general application affecting enforcement of creditors’ rights generally and
(ii) equitable principles relating to the availability of specific performance,
injunctive relief and other equitable remedies.
6.3 The
Stock
which are being purchased by the Purchaser hereunder are duly authorized and,
when issued, sold and delivered in accordance with the terms hereof, will be
duly and validly issued, and, based upon the representations of the Purchaser
in
this Agreement, will be issued in compliance with the registration requirements
of all applicable federal and state securities laws. The Common Stock issuable
is duly authorized and has been duly and validly reserved for issuance and,
upon
issuance to the Purchaser in accordance with the terms of the Subscription
Agreement, will be duly and validly issued, fully paid and non assessable,
and
issued in compliance with the registration requirements of all applicable
federal and state securities laws or exemption therefrom, as presently in
effect, of the United States and will be freely tradable without further
restriction.
6.4 The
execution and delivery by the Company of, and the performance by the Company
of
its obligations under this Agreement in accordance with the terms of this
Agreement will not contravene any provision of applicable law or the charter
documents of the Company or any agreement or other instrument binding upon
the
Company, or any judgment, order or decree of any governmental body, agency
or
court having jurisdiction over the Company, and no consent, approval,
authorization or order of, or qualification with, any governmental body or
agency is required for the performance by the Company of its obligations under
this Agreement in accordance with the terms of this Agreement.
6.6 The
Company is not in violation of its charter or bylaws and is not in default
in
the performance of any bond, debenture, note or any other evidence of
indebtedness or any indenture, mortgage, deed of trust, license, contract,
lease
or other instrument to which the Company is a party or by which it is bound,
or
to which any of the property or assets of the Company is subject, except such
as
have been waived or which would not have, singly or in the aggregate, a material
adverse effect on the Company, taken as a whole.
6.8 The
execution and delivery by the Company of, and the performance by the Company
of
its respective obligations under this Agreement will not contravene any
provision of law known by the Company to be applicable to it, or the charter
documents of, the Company or any subsidiary of the Company, or any judgment,
order or decree of any governmental body, agency or court having jurisdiction
over the Company or any subsidiary of the Company and no consent, approval,
authorization or order of, or qualification with, any governmental body or
agency is required for the performance by the Company of its obligations under
this Agreement in accordance with the terms of this Agreement.
6.9 There
is
no material litigation or governmental proceeding pending, or to the knowledge
of the Company, threatened against, or involving the property or the business
of
the Company, or, to the best knowledge of the Company which would adversely
affect the condition (financial or otherwise), business, prospects or results
of
operations of the Company, taken as a whole.
6.10 The
foregoing representations, warranties and agreements shall survive the
Closing.
7. MISCELLANEOUS.
7.1 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.
7.2 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, or (b) delivered personally at such address.
7.3 Counterparts.
This
Agreement may be executed through the use of separate signature pages or in
any
number of counterparts, and each of such counterparts shall, for all purposes,
constitute one agreement binding on all the parties, notwithstanding that all
parties are not signatories to the same counterpart.
7.4 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 Investor 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.
7.5 Entire
Agreement.
This
instrument contains the entire agreement of the parties, and there are no
representations, covenants or other agreements except as stated or referred
to
herein.
7.6 Assignability.
This
Agreement is not transferable or assignable by the Investor except as may be
provided herein.
7.7 Applicable
Law.
(a)
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It
is the intention of the parties that the laws of the State of Arizona
shall govern the validity of this Agreement, the construction of
its terms
and the interpretation of the rights and duties of the parties.
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(b)
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In
the case of any dispute, question, controversy or claim arising among
the
parties hereto which shall arise out of or in connection with this
Agreement, the same shall be submitted to arbitration before a panel
of
three arbitrators in Gilbert, Arizona, in accordance with the rules
of the
American Arbitration Association. One arbitrator shall be appointed
by the
party or parties bringing the claims ("Claimant") and one arbitrator
shall
be appointed by the party or parties defending the claim ("Respondent").
The arbitrators selected by such parties shall be selected within
thirty
(30) days after notification by the Claimant to the Respondent that
it has
determined to submit such dispute, question, controversy or claim
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to
arbitration. The two arbitrators so selected shall select a third arbitrator
within thirty (30) days after the selection of the arbitrator selected by such
parties. Should a party fail to select an arbitrator within the specified time
period, or should the arbitrators selected by the parties fail to select a
third
arbitrator, the missing arbitrator or arbitrators shall be appointed by the
Gilbert, Arizona office of the American Arbitration Association. The decision
of
the panel shall be final and binding on the parties and enforceable in any
court
of competent jurisdiction. The costs of the arbitration will be imposed upon
the
Claimant and Respondent as determined by the arbitration panel or, failing
such
determination, will be borne equally by the Claimant and the Respondent. The
successful or prevailing party or parties shall be entitled to recover
reasonable attorneys fees in addition to any other relief to which it may be
entitled.
(c)
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In
the event of any dispute, question, controversy or claim arising
among the
parties hereto which shall arise out of or in connection with this
Agreement, the parties shall keep the proceeding related to such
controversy in strict confidence and shall not disclose the nature
of said
dispute, the status of the proceeding or any testimony, documents
or
information obtained or exchanged in the course of said proceeding
without
the express written consent of all parties to such
dispute.
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8. EXECUTION.
8.1
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Subscriber.
The Investor has executed this Subscription Agreement on this ____
day of
____________, 2006.
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Number
of
Shares of Stock to be purchased at $.20 per share:
Total
Purchase Price: $
8.2 The
Company.
Accepted
this _________ day of ________________, 2006.
Universal
Tracking Solutions, Inc.
By: ______________________________
Xxxxx
Xxxxx, CEO
The
undersigned hereby subscribes for ____________ shares of Stock, and agrees
to
pay herewith funds in the amount of ____________________________U.S. Dollars
($________________ U.S.).
The
undersigned acknowledges that this subscription shall not be effective unless
accepted by the Company as indicated below.
Dated
this _____ day of ________________, 2006.
Delivery
Instructions: Please print the address to which you want your securities
delivered to
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(Signature)
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Attn:
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Name:
Please Print
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Name
of Addressee
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Title/Representative
Capacity
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Street
Address
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Name
of Company You Represent
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City,
State Zip Code
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Place
of Execution
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Phone
Number (For Overnight Packages)
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REGISTERED
HOLDER:
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Email
Address
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Exact
Name You Want the Security to be Registered to (Please Print Exact
Registered Name)
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Social
Security or Tax ID Number of Subscriber
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