REGISTRATION RIGHTS AGREEMENT
THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement") is made and
entered into as of June 27, 2000, by and among xXxxxxxxxxx.xxx Corporation, a
Nevada corporation (the "Company"), Thomson Kernaghan & Co. Limited (the
"Agent"), and the Purchasers named in that certain Securities Stock Securities
Purchase Agreement (the "Securities Securities Purchase Agreement") of even date
herewith among the parties hereto. Capitalized terms used in this Agreement and
not otherwise defined herein shall have the respective meanings ascribed to such
terms in the Securities Purchase Agreement.
Preliminary Statements
In connection with the consummation of the transactions contemplated by
the Securities Securities Purchase Agreement, the Company has agreed, upon the
terms and subject to the conditions of the Securities Securities Purchase
Agreement, to issue and sell to the Purchasers up to 500 shares of the Company's
Series A Convertible Preferred Stock (the "Preferred Shares"). Each Preferred
Share may, at the option of the Holder, be converted into shares (the
"Conversion Shares")of the Company's common stock, par value $.001 per share
("Common Stock"), as provided in the Certificate of Designations for the
Preferred Shares.
The Company has also agreed, upon the terms and subject to the
conditions of the Securities Securities Purchase Agreement,(i) to issue to each
Purchaser Warrants (each a "Purchasers' Warrant") to purchase shares of Common
Stock (the "Purchasers' Warrant Shares"), and (ii) to issue the Agent warrants
(each an Agent's Warrant) shares of Common Stock (the "Agent's Warrant Shares")
To induce the Purchasers to execute and deliver the Securities Purchase
Agreement, the Company has agreed, pursuant to the terms and conditions of this
Agreement, to provide certain registration rights with respect to the Common
Shares, the Conversion Shares and the Warrant Shares.
Agreement
In consideration of the foregoing, the mutual covenants and conditions
set forth in this Agreement and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties, intending
to become legally bound, hereby agree as follows:
ARTICLE I
DEFINITIONS
As used in this Agreement, the following terms shall have the following
respective meanings:
"Agent" shall mean Thomson Kernaghan & Co. Limited.
"Agent's Warrant" shall have the meaning ascribed to such term in the
Preliminary Statements to this Agreement.
"Agent's Warrant Shares" shall have the meaning ascribed to such term
in the Preliminary Statements to this Agreement.
"Agreement" shall mean this Registration Rights Agreement, made and
entered into as of June 27, 2000, by and between the Company and the Purchasers.
"Closing Date" shall mean July __, 2000.
"Commission" shall mean the Securities and Exchange Commission or any
other federal agency at the time administering the Securities Act.
"Common Stock" shall have the meaning ascribed to such term in the
Preliminary Statements to this Agreement.
"Company" shall mean xXxxxxxxxxx.xxx, Inc., a Nevada corporation.
"Conversion Shares" shall have the meaning ascribed to such term in the
Preliminary Statements to this Agreement.
"Exchange Act" shall mean the Securities Exchange Act of 1934, as
amended, or any successor federal statute, and the rules and regulations of the
Commission thereunder, all as in effect from time to time.
"Filing Deadline" shall have the meaning ascribed to such term in
Section 2.1 of this Agreement.
"Holder" or "Holders" shall mean (a) each Purchaser, to the extent that
the Purchaser holds Registrable Securities, (b) the Agent, to the extent that
the Agent holds Registrable Securities, and (c) any Person holding Registrable
Securities as a transferee of a Purchaser or the Agent (directly or indirectly,
including subsequent transfers).
"Preferred Shares" shall have the meaning ascribed to such term in the
Preliminary Statements to this Agreement.
"Purchasers" shall mean the Purchasers referred to in the Securities
Purchase Agreement..
"Purchasers's Warrant" shall have the meaning ascribed to such term in
the Preliminary Statements to this Agreement.
"Purchasers's Warrant Shares" shall have the meaning ascribed to such
term in the Preliminary Statements to this Agreement.
"Person" shall mean any individual, corporation, partnership, joint
venture, association, joint-stock company, trust, unincorporated organization or
government or any agency or political subdivision thereof..
The terms "register," "registered" and "registration" shall refer to a
registration effected by preparing and filing with the Commission one or more
registration statements covering Registrable Securities in compliance with the
Securities Act that is declared or ordered effective by the Commission.
"Registrable Securities" shall mean the Conversion Shares, the
Purchasers' Warrant Shares the Agent's Warrant Shares and the Security Shares,
and any shares of capital stock issued or issuable with respect to the
Securities, the Purchasers's Warrant Shares or the Agent's Warrant Shares as a
result of any stock split, stock dividend, recapitalization, exchange or similar
event; provided, however, that such securities shall cease to be Registrable
Securities when (a) a registration statement with respect to such securities
shall have been declared effective under the Securities Act and such securities
shall have been disposed of pursuant to the registration statement, (b) such
securities are distributed to the public pursuant to Rule 144(k) (or any
successor provisions) promulgated under the Securities Act or (c) such
securities shall have ceased to be outstanding.
"Registration Deadline" shall have the meaning ascribed to such term in
Section 2.1 of this Agreement.
"Registration Expenses" shall mean all expenses incurred in order to
comply with Article II hereof, including, without limitation, all registration
and filing fees, printing expenses, fees and disbursements of counsel for the
Company, reasonable fees and disbursements of one (1) counsel for the Holders,
blue sky fees and expenses, and the expense of any special audits incident to or
required by any such registration, but excluding the compensation of regular
employees of the Company (which shall be paid in any event by the Company) and
excluding Selling Expenses.
"Restricted Securities" shall mean Registrable Securities that are
"restricted securities" as defined in Rule 144 under the Securities Act.
"Security Shares" shall mean the shares of Common Stock that constitute
the Collateral described in the Security Agreement between the Company and the
Agent dated as of the Effective Date.
"Securities" shall mean the Preferred Shares and the Registrable
Securities.
"Securities Securities Purchase Agreement" shall mean that certain
Securities Securities Purchase Agreement effective as of June 27, 2000 by and
among the Company, the Agent, and the Purchasers executing the Securities
Securities Purchase Agreement.
"Securities Act" shall mean the Securities Act of 1933, as amended, or
any successor federal statute, and the rules and regulations of the Commission
thereunder, all as in effect from time to time.
"Securities Securities Purchase Agreement" shall have the meaning
ascribed to such term in the Preliminary Statements to this Agreement.
"Selling Expenses" shall mean all underwriting discounts and selling
commissions incurred in connection with the sale of securities pursuant to a
registration effected hereunder.
"Warrant Shares" shall mean the Purchasers' Warrant Shares and the
Agent's Warrant Shares.
ARTICLE II
REGISTRATION RIGHTS
Section 2.1 Mandatory Registration.
(a) The Company shall prepare and file with the Commission
within forty-five (45) days from the Closing Date (the "Filing
Deadline") a registration statement (the "Registration Statement") on
Form S-3, if the Company is eligible to use that form, otherwise on
Form SB-2 or Form S-1, covering (i) the issuance of the Conversion
Shares and the Warrant Shares, and (ii) the resale of all of the
Registrable Securities. The Registration Statement shall initially
register for resale at least 200% of the Conversion Shares, calculated
by assuming that the Closing Date is the Covnersion Date, and 100% of
the Warrant Shares. The Company shall use its best efforts to have the
registration statement declared effective by the Commission within one
hundred and twenty (120) days after the Closing Date (the "Registration
Deadline"). The Company shall permit the registration statement to
become effective within five (5) business days after receipt of a "no
review" notice from the Commission. The Company shall keep registration
statement current and effective for)\ a period of at least ninety (90)
days after (x) all of the Debentures shall have been converted into
Conversion Shares or paid and (y) the Agent's Warrant and the Agent's
Warrant shall have been fully exercised or expired.
(b) If the Company has not filed a Registration Statement with
respect to the Registrable Securities by the Filing Deadline, the
Company shall pay the Purchasers liquidated damanges per day equal to
two percent (2%) per month of the original principal amount of all
issued Debentures plus two percent (2%) per month of the aggergate
exercise price of all issued Purchasers' Warrants, and shall pay the
the Agent liquidated damages per day equal to two percent (2%) of the
aggregate exercise price of all issued Agent's Warrants, for each day
after the Filing Deadline until the Company files a Registration
Statement.
(c) If a Registration Statement with respect to the
Registrable Securities is not effective on any day after the
Registration Deadline, the Company shall pay the Purchasers liquidated
damanges per day equal to two percent (2%) per month of the original
principal amount of all issued Debentures plus two percent (2%) per
month of the aggergate exercise price of all issued Purchasers'
Warrants, and shall pay the the Agent liquidated damages per day equal
to two percent (2%) of the aggregate exercise price of all issued
Agent's Warrants, for each day after the Registration Deadline that the
Registration Statement is not effective.
Section 2.2 Expenses of Registration. All Registration Expenses
incurred in connection with any registration, qualification or compliance
pursuant to Section 2.1 shall be borne by the Company; and all Selling Expenses
in connection with such registration, qualification or compliance shall be borne
by the holders of the securities so registered pro rata on the basis of the
number of shares so registered.
Section 2.3 Registration Procedures. In the case of each registration,
qualification or compliance effected by the Company pursuant to this Article II,
the Company will keep each Holder advised in writing as to the initiation of
each registration, qualification and compliance and as to the completion
thereof. At its expense, the Company will:
(a) prepare and file with the Commission such amendments and
supplements to such registration statement and the prospectus used in
connection with such registration statement as may be necessary to
comply with the provisions of the Securities Act with respect to the
disposition of all securities covered by such registration statement;
(b) furnish to the Holders such numbers of copies of a
prospectus, including a preliminary prospectus, in conformity with the
requirement of the Securities Act, and such other documents as they may
reasonably request (including a conformed copy of the registration
statement filed with the Commission and any amendments thereto and an
original executed underwriting agreement entered into in connection
with such registration) in order to facilitate the disposition of
Registrable Securities owned by them;
(c) use reasonable efforts to register and qualify the
securities covered by such registration statement under such other
securities or blue sky laws of one (1) jurisdiction (in addition to
those jurisdictions in which the Company has otherwise agreed to so
register and qualify such securities) as shall be reasonably requested
by the Holders, provided that the Company shall not be required in
connection therewith or as a condition thereto to qualify to do
business or to file a general consent to service of process in any such
states or jurisdictions;
(d) in the event of any underwritten public offering, enter
into and perform its obligations under an underwriting agreement with
the managing underwriter(s) of such offering; each Holder participating
in such underwriting shall also enter into and perform its obligations
under such underwriting agreement;
(e) notify each Holder of Registrable Securities covered by
such registration statement, at any time when a prospectus relating
thereto is required to be delivered under the Securities Act, of the
happening of any event as a result of which the prospectus included in
such registration statement, as then in effect, includes an untrue
statement of a material fact or omits to state a material fact required
to be stated therein or necessary to make the statements therein not
misleading in the light of the circumstances then existing; and
(f) furnish, at the request of any Holder requesting
registration of Registrable Securities pursuant to this Article II, on
the date that such Registrable Securities are delivered to the
underwriters for sale in connection with registration pursuant to this
Article II, if such securities are being sold through underwriters, or
on the date that the registration statement with respect to such
securities becomes effective, if such securities are not being sold
through underwriters, (i) a copy of any opinion, dated such date, of
the counsel representing the Company for the purposes of such
registration, addressed to the underwriters of the Company, and (ii) a
copy of any letter, dated such date, from the independent accountants
of the Company, addressed to the underwriters of the Company.
Each Holder of Registrable Securities agrees that upon receipt of any
notice from the Company of the happening of any event of the kind described in
clause (f) of this Section 2.3, such Holder will forthwith discontinue
disposition of Registrable Securities pursuant to the registration statement
covering such Registrable Securities until such Holder's receipt of the copies
of a supplemented or amended prospectus and, if so directed by the Company, such
Holder will deliver to the Company (at the Company's expense), all copies, other
than permanent file copies then in such Holder's possession, of the prospectus
covering such Registrable Securities that was in effect prior to such amendment
or supplement. In the event the Company shall give any such notice, the period
set forth in clause (a) of this Section 2.3 shall be extended by the number of
days during the period from and including the date of the giving of such notice
pursuant to clause (e) of this Section 2.3 to and including the date when each
seller of Registrable Securities covered by such registration statement shall
have received the copies of a supplemented or amended prospectus.
Section 2.4 Indemnification.
(a) The Company will indemnify each Holder, each Holder's
officers, directors and partners, and each Person controlling such
Holder (collectively, "Holder's Parties"), participating in any
registration, qualification, or compliance effected pursuant to this
Article II with respect to Registrable Securities held by such Holder
and each underwriter, if any, and each Person who controls any
underwriter, against all claims, losses, damages and liabilities (or
actions in respect thereof), including any of the foregoing incurred in
settlement of any litigation, commenced or threatened, to which they
may become subject under the Securities Act, the Exchange Act or other
federal or state law, arising out of or based on (i) any untrue
statement (or alleged untrue statement) of a material fact contained in
any prospectus, offering circular or other similar document (including
any related registration statement, notification or the like) incident
to any such registration, qualification or compliance, or based on any
omission (or alleged omission) to state therein a material fact
required to be stated therein or necessary to make the statements
therein not misleading, or (ii) any violation by the Company of any
federal, state or common law rule or regulation applicable to the
Company in connection with any such registration, qualification or
compliance, and will reimburse each such Holder's Parties each such
underwriter, and each Person who controls any such underwriter, for any
legal and any other expenses reasonably incurred in connection with
investigating or defending any such claim, loss, damage, liability or
action, as incurred, provided that the Company will not be liable in
any such case to the extent that any such claim, loss, damage,
liability or expense arises out of or is based on any untrue statement
or omission, made in reliance on and in conformity with written
information furnished to the Company by such Holder's Parties or
underwriter or Person controlling such underwriter specifically for use
in the preparation thereof.
(b) Each Holder will, if Registrable Securities held by such
Holder are included in the securities as to which such registration,
qualification or compliance is being effected, severally and not
jointly, indemnify the Company, each of its directors and officers,
each underwriter, if any, of the Company securities covered by such a
registration statement, and each Person who controls the Company or
such underwriter within the meaning of the Securities Act, against all
claims, losses, damages and liabilities (or actions in respect thereof)
arising out of or based on (i) any untrue statement (or alleged untrue
statement) of a material fact contained in any such registration
statement, prospectus, offering circular or other similar document, or
any omission (or alleged omission) to state therein a material fact
required to be stated therein or necessary to make the statements
therein not misleading, and will reimburse the Company, such directors,
officers, Persons, underwriters or control Persons for any legal or any
other expenses reasonably incurred in connection with investigating or
defending any such claim, loss, damage, liability or action, as
incurred, in each case to the extent, but only to the extent, that such
untrue statement (or alleged untrue statement) or omission (or alleged
omission) is made in such registration statement, prospectus, offering
circular or other document in reliance upon and in conformity with the
written information furnished to the Company by such Holder
specifically for use in the preparation thereof, or (ii) any violation
by any such Holder of any federal, state or common law rule or
regulation applicable to such Holder in connection with the
distribution of securities pursuant to a registration statement, and
will reimburse the Company, such Holders, such directors, officers,
Persons, underwriters or control Persons for any legal any other
expenses reasonably incurred in connection with investigating or
defending any such claim, loss, damage, liability, or action, as
incurred; provided, however, that the obligations of each such Holder
hereunder shall be limited to an amount equal to the aggregate proceeds
received by such Holder in such offering.
(c) Each party entitled to indemnification under this Section
2.4 (the "Indemnified Party") shall give notice to the party required
to provide indemnification (the "Indemnifying Party") promptly after
such Indemnified Party has received written notice of any claim as to
which indemnity may be sought, and shall permit the Indemnifying Party
to assume the defense of any such claim or any litigation resulting
therefrom, provided that counsel for the Indemnifying Party, who shall
conduct the defense of such claim or litigation, shall be approved by
the Indemnified Party (whose approval shall not unreasonably be
withheld). The Indemnified Party may participate in such defense at
such party's expense; provided, however, that the Indemnifying Party
shall bear the expense of such defense of one counsel representing the
Indemnified Party if representation of both parties by the same counsel
would be inappropriate due to actual or potential conflicts of
interest. The failure of any Indemnified Party to give notice as
provided herein shall not relieve the Indemnifying Party of its
obligations under this Section 2.4, except to the extent such failure
to give notice shall materially and adversely prejudice the
Indemnifying Party in the defense of any such claim or any such
litigation. No Indemnifying Party, in the defense of any such claim or
litigation, shall, except with the consent of each Indemnified Party,
consent to entry of any judgment or enter into any settlement that does
not include as an unconditional term thereof the giving by the claimant
or plaintiff to such Indemnified Party of a release from all liability
in respect to such claim or litigation.
(d) (i) If the indemnification provided for in this Section
2.4 is held by a court of competent jurisdiction to be
unavailable to an Indemnified Party with respect to any loss,
liability, claim, damage or expense referred to herein, then
the Indemnifying Party hereunder shall contribute to the
amount paid or payable by such Indemnified Party as a result
of such loss, liability, claim, damage or expense, in such
proportion as is appropriate to reflect the relative fault of
the Indemnifying Party on the one hand and the Indemnified
Party on the other hand in connection with the statements or
omissions which resulted in such loss, liability, claim,
damage or expense as well as any other relevant equitable
considerations. The relative fault of the Indemnifying Party
and of the Indemnified Party shall be determined by reference
to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission to state a
material fact relates to information supplied by the
Indemnifying Party or by the Indemnified Party and the
parties' relevant intent, knowledge, access to information and
opportunities to correct or prevent such statement or
omission.
(ii) The parties agree that it would not be just and
equitable if contribution pursuant to this Section 2.4 were
determined by pro rata allocation or by any other method of
allocation that does not take account of the equitable
considerations referred to above. The amount paid or payable
by an Indemnified Party as a result of the claims, losses,
damages and liabilities referred to above shall be deemed to
include, subject to the limitations set forth above, any legal
or other expenses reasonably incurred by such Indemnified
Party in connection with investigating or defending any such
action or claim.
(iii) No Holder that is a seller of Registrable
Securities covered by such registration statement or Person
controlling such seller other than the Company shall be
obligated to make contribution hereunder that in the aggregate
exceeds the total public offering price of the Registrable
Securities sold by such Holder, less the aggregate amount of
any damages that such Holder and its controlling Persons have
otherwise been required to pay pursuant to this Section 2.4.
The obligations of such Holders to contribute are several in
proportion to their respective ownership of the securities
covered by such registration statement and not joint.
(iv) The indemnity and contribution provided herein
shall be in addition to, and not in lieu of, any other
liability that one party may have to another.
Section 2.5 Information by Holder. Each Holder of Registrable
Securities included in any registration shall furnish to the Company such
information regarding such Holder and the distribution proposed by such Holder
as the Company may request in writing and as shall be required in connection
with any registration, qualification or compliance referred to in this Article
II.
Section 2.6 Rule 144 Reporting. With a view to making available the
benefits of certain rules and regulations of the Commission that may at any time
permit the sale of the Restricted Securities to the public without registration,
the Company agrees to:
(a) use its best efforts to facilitate the sale of the
Restricted Securities to the public without registration under the
Securities Act, pursuant to Rule 144 under the Securities Act;
(b) make and keep public information available, as those terms
are understood and defined in Rule 144 under the Securities Act, at all
times after the effective date of the first registration statement
filed by the Company for an offering of its securities to the general
public;
(c) file with the Commission in a timely manner all reports
and other documents required of the Company under the Securities Act
and the Exchange Act (at any time after it has become subject to such
reporting requirements); and
(d) so long as a Holder owns any Restricted Securities to
furnish to the Holder forthwith upon request a written statement by the
Company as to its compliance with the public information requirements
of said Rule 144, and the reporting requirements of the Securities Act
and the Exchange Act, a copy of the most recent annual or quarterly
report of the Company, and such other reports and documents so filed by
the Company as a Holder may reasonably request in availing itself of
any rule or regulation of the Commission allowing a Holder to sell any
such securities without registration.
Section 2.7 Transfer of Registration Rights. The rights granted under
this Article II may be assigned or otherwise conveyed by any Holder of
Registrable Securities to any transferee, subject to compliance with all
applicable securities laws and regulations.
Section 2.8 Certain Limitations in Connection with Future Grants of
Registration Rights.
From and after the date of this Agreement, without the prior written
consent of the Holders of a majority of the Registrable Securities, the Company
shall not enter into any agreement with any holder or prospective holder of any
securities of the Company providing for the granting to such holder of
registration rights that would be superior to those granted to Holders pursuant
to Section 2.1.
Section 2.9 Restrictions on Market Manipulation. In the event any
shares of Common Stock are offered or sold by any Holder in a registration, each
such Holder will:
(a) advise the Company in writing of any offer, sale or other
disposition by it of any Common Stock in any manner other than as set
forth in the registration statement or any prospectus included therein
on or for the 30-day period prior to the filing of such registration
statement until the distribution under the registration statement has
been completed;
(b) not effect any stabilization activity in connection with
the Company's Common Stock;
(c) not bid or purchase, for any account in which it has a
beneficial interest, any Common Stock except as may be permitted
pursuant to Rule 10b-6 under the Exchange Act (if applicable);
(d) not until it has sold all of such shares of Common Stock,
attempt to induce any Person to purchase any Common Stock except as may
be permitted pursuant to Rule 10b-6; and
(e) not until it has sold all such shares of Common Stock, pay
any compensation for soliciting another to purchase any securities of
the Company, except as may be permitted pursuant to Rule 10b-6.
ARTICLE III
MISCELLANEOUS
Section 3.1 Governing Law; Jurisdiction and Venue. This Agreement shall
be governed by and interpreted in accordance with the laws of the Province of
Ontario, Canada; provided, however, that if any provision of this Agreement is
unenforceable under the laws of the Province of Ontario , but is enforceable
under the laws of the State of Florida, then such provision shall be governed by
and interpreted in accordance with the laws of the State of Florida. The parties
agree that the courts of the Province of Ontario, Canada, shall have
jurisdiction and venue for the adjudication of any civil action between or among
any of them arising out of relating to this Agreement or any other Transaction
Document. The parties hereby irrevocably consent to such jurisdiction and venue,
and hereby irrevocably waive any claim of forum non conveniens or right to
change venue.
Section 3.2 Successors and Assignees. Except as otherwise provided
herein, the provisions hereof shall inure to the benefit of, and be binding
upon, the successors, assignees, heirs, executors and administrators (as the
case may be) of the parties hereto.
Section 3.3 Entire Agreement. This Agreement constitutes the full and
entire understanding and agreement between the parties with regard to the
subject matter hereof.
Section 3.4 Notices, etc. All notices given under this Agreement and under
the other Transaction Documents shall be in writing, addressed to the parties as
set forth below, and shall be effective on the earliest of (i) the date
received, or (ii) if given by facsimile transmittal on the date given if
transmitted before 5:00 p.m. the recipient's time, otherwise it is effective the
next day, or (iii) on the second Trading Day after delivery to a major
international air delivery or air courier service (such as Federal Express or
Network Couriers):
If to the Agent:
Thomson Kernaghan & Co. Ltd.
000 Xxx Xxxxxx
Xxxxxxx, Xxxxxxx X0X 0X0
Attention: Xx. Xxxxx Xxxxxx, Xx. V.P.
Facsimile No. (000) 000-0000
If to the Company:
xXxxxxxxxxx.xxx, Inc.
2708 Alternate 00 Xxxxx
Xxxxx 000
Xxxx Xxxxxx, Xxxxxxx 00000
Attention: Xxxx X. X. Xxxxxx, President
Facsimile No. (000) 000-0000
If to the Purchasers
c/o Thomson Kernaghan & Co. Ltd.
as Agent
000 Xxx Xxxxxx
Xxxxxxx, Xxxxxxx X0X 0X0
Attention: Xx. Xxxxx Xxxxxx, Xx. V.P.
Facsimile No. (000) 000-0000
With a copy (that does not constitute
notice) to:
Johnson, Blakely, Pope, Bokor, Xxxxxx & Xxxxx, P.A.
000 Xxxxxxxx Xxxxxx, X.X. Xxx 0000
Xxxxxxxxxx, Xxxxxxx 00000-0000
Attention: Xxxxxxx X. Xxxxxx
In either case, with a copy (that does not
constitute notice) to:
Xxxx X. Xxxx
Attorney at Law
0000 Xxxx Xxx Xxxxxxxxx, Xxxxx 0000
Xxxxxxx, Xxxxx 00000-0000
Facsimile No. (000) 000-0000
Section 3.5 Delays or Omissions. No delay or omission to exercise any
right, power or remedy accruing to any Holder of any Registrable Securities,
upon any breach or default of the Company under this Agreement, shall impair any
such right, power or remedy of such Holder nor shall it be construed to be a
waiver of any such breach or default or an acquiescence therein or of or in any
similar breach or default thereunder occurring nor shall any waiver of any
single breach or default be deemed a waiver of any other breach or default
theretofore or thereafter occurring. Any waiver, permit, consent or approval of
any kind or character on the part of any Holder of any breach or default under
this Agreement or any waiver on the part of any Holder of any provisions or
conditions of this Agreement must be in writing and shall be effective only to
the extent specifically set forth in such writing. All remedies, either under
this Agreement or by law or otherwise afforded to any Holder shall be cumulative
and not alternative.
Section 3.6 Counterparts. This Agreement may be executed in any number
of counterparts, each of which may be executed by less than all of the parties
hereto, each of which shall be enforceable against the parties actually
executing such counterparts and all of which together shall constitute one
instrument.
Section 3.7 Severability. In the event any provision of this Agreement
shall be invalid, illegal or unenforceable, the validity, legality and
enforceability of the remaining provisions shall not in any way be affected or
impaired thereby.
Section 3.8 Amendments. The provisions of this Agreement may be amended
at any time and from time to time, and particular provisions of this Agreement
may be waived, with and only with, an agreement or consent in writing signed by
the Company and by the Holders of a majority of the Registrable Securities
voting as a single class.
The parties have executed this Registration Rights Agreement as of the
date first written above.
The Agent:
Thomson Kernaghan & Co. Ltd.
By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________
The Company:
xXxxxxxxxxx.xxx, INC.
By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________
The Purchasers:
By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________
By ________________________________
Name ______________________________
Title _______________________________
Date signed _________________________
