Common use of Additional Investment Right Clause in Contracts

Additional Investment Right. Each Purchaser shall have the option to purchase from the Company, and the Company shall issue and sell to each such Purchaser who exercises such option up to fifty percent (50%) of the number of Preferred Shares purchased by such Purchaser pursuant to the terms hereof (the “Purchaser Option”). Upon the Purchaser Option being exercised, the Purchaser shall receive a Warrant (the “Additional Warrant”) to purchase a number of shares of Common Stock in accordance with the provisions of Section 1.1(b) hereof. The Purchaser Option shall expire ninety (90) days following the effective date of the registration statement under the Securities Act providing for the resale of the Conversion Shares and the Warrant Shares. Each Purchaser exercising the Purchaser Option shall deliver to the Company an Exercise Form in the form attached hereto as Exhibit D. Within five (5) days of receipt of such Exercise Form, the Company shall deliver to the Purchaser exercising such Purchaser Option a preferred stock certificate evidencing the number of Preferred Shares purchased pursuant to the Purchaser Option (the “Option Shares”) and the Purchaser’s Additonal Warrant.