Common use of Call Rights of Company Clause in Contracts

Call Rights of Company. At any time after the effective date of the SB-2, the Company will have the option, but not the obligation, to "Call" the investor's warrant (see Exhibit A) should the Company's closing stock price equal or exceed $3.00 per share ("Call Trigger"). If the Call Trigger occurs, the Investor will have ten (10) business days to deliver the necessary funds to exercise the warrant. Upon receipt of the funds, the Company will issue to the Investor the corresponding number of shares from the warrant exercise.