IDENTICA CORP. USA, INC FORM OF RESELLER AGREEMENT

IDENTICA
      CORP. USA, INC
    FORM
      OF RESELLER AGREEMENT
    This
      Agreement is made this _____day
      of
_________
      between
      Identica Corp. USA, Inc. (“Identica”) and Company name (“Reseller”)
    TERMS
      AND CONDITIONS
    WHEREAS
      Identica has exclusive rights to sell the Products within the Territory;
      and
    WHEREAS
      Identica wishes to grant the Reseller a non-exclusive right to resell the
      Products in the Territory (see “Schedule B”) under the terms and conditions
      defined herein; and
    WHEREAS
      Reseller wishes to accept such right as a non-exclusive reseller; 
    NOW
      THEREFORE in consideration of the mutual covenants contained herein, the parties
      hereto agree as follows:
    Article
      1. Definitions
    In
      this
      Agreement except where the context otherwise requires, the following terms
      and
      expressions shall have the meanings respectively defined as
      follows:
    | 1.1 | 
               “Products”
                shall mean those products described and listed in Schedule A.
                 
             | 
          
| 1.2 | 
               “Territory”
                means those areas identified in Schedule B.
 
             | 
          
| 1.3 | 
               “Manufacturer”
                The
                vascular pattern reader is made by Tech-Sphere Co. Ltd in Seoul Korea.
                The
                “smart card” card reader/writer control unit (Identica Universal
                Controller) is manufactured by Identica Holdings
                Corporation. 
             | 
          
Article
      2. Appointment and Acceptance
    | 
               2.1 
             | 
            
               During
                the term of this Agreement and subject to the terms and conditions
                set
                forth hereinafter, Identica hereby appoints Reseller as a non-exclusive
                reseller to resell the Products in the Territory, and Reseller accepts
                such appointment.  
             | 
          
| 
               2.2 
             | 
            
               Reseller
                shall not purchase, import, export, sell, distribute, advertise or
                otherwise deal in the Territory with any other products which utilize
                vascular technology to verify identity.
 
             | 
          
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      1
        | 2.3 | 
               Reseller
                shall not allow any individual and/or entity to sell, lease or otherwise
                deal with the Products outside the Territory, unless Reseller has
                the
                prior written consent of Identica or a separate agreement has been
                entered
                into between Identica and Reseller that allows such selling, leasing
                or
                dealing with Products outside the
                Territory. 
             | 
          
| 2.4 | 
               Reseller
                shall not be permitted to modify, customize, reconfigure or reverse
                engineer the Products in any way other than modification of the any
                computer based graphical user
                interface. 
             | 
          
Article
      3. Orders and Shipments
    | 3.1 | 
               Each
                order placed by Reseller shall clearly describe the quantity and
                type of Products required, and shall include all necessary instructions
                for packaging, invoicing and shipping. The orders shall not be binding
                unless and until they are accepted by Identica who shall be required
                to
                provide written notice to Reseller of its acceptance or rejection
                of any
                order within ten (10) days of receipt of such order. Identica will
                make
                its best efforts to accept all orders submitted by Reseller.
                 
             | 
          
| 3.2 | 
               All
                Products will be shipped to Reseller FOB Identica’s warehouse. Reseller
                shall arrange shipping and insurance for each shipment and shall
                be
                responsible for all costs and expenses associated therewith. If Reseller
                requests that Identica arrange for shipping and insurance of the
                Products
                then Identica shall obtain Reseller’s approval of shipping and insurance
                costs prior to shipment and shall invoice Reseller for any costs
                incurred.
                Identica will not be responsible, in any form, for delayed shipments
                once
                they have left Identica’s
                facilities. 
             | 
          
Article
      4. Price and Payment
    The
      price
      of all Products sold to Reseller as well as payment terms shall be determined
      in
      accordance with Schedule C. 
    Article
      5. Purchase of Demonstration Units
    Reseller
      agrees to purchase demonstration units as specified in Schedule D. 
    Article
      6. Marketing
      and Technical Assistance
    | 6.1 | 
               Identica
                shall
                provide Reseller with materials that may be used by Reseller for
                marketing
                and promotion of the Products including, without limitation, brochures,
                catalogs and specification sheets.  
             | 
          
| 6.2 | 
               Identica
                shall provide technical training to technicians of the Reseller as
                specified in Schedule E.  
             | 
          
| 6.3 | 
               Identica
                shall supply all required technical and engineering information to
                Reseller such as will allow Reseller to maintain and perform after-sale
                service and maintenance on the
                Products 
             | 
          
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      2
        Article
      7. Spare Parts
    Reseller
      shall maintain a sufficient inventory of the spare parts in order to allow
      it to
      meet its service requirements with respect to the Products. Identica and
      Reseller shall agree on the particular spare parts that are required for this
      purpose. 
    Article
      8. Product Warranty
    | 8.1 | 
               Identica
                shall warrant
                that the Products will be free from defects in workmanship and materials,
                under normal use, for one year from the date of original purchase
                by end
                users from Reseller. If any Product or part thereof is found to be
                defective in any way or does not operate in compliance with the relevant
                specifications, Reseller shall return to Identica such Product or
                part
                thereof together with a full written description of the defect. Identica
                shall reimburse Reseller for any shipping costs cost so incurred
                and shall
                ship to Reseller at Identica’s expense a replacement Product or part
                thereof. Identica shall have no liability or obligation in connection
                with
                such Product or part thereof other than the obligation to replace
                such
                Product or part thereof. 
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| 8.2 | 
               Manufacturer’s
                warranty pursuant to Article 8.1 does not extend to any Product defect
                caused by (1) incorrect installation or placement of Products not
                conforming to the Product specifications, (2) misuse, neglect, abuse
                or
                accidental damage caused by Reseller or its customers, (3) improper
                repair, alteration or modification of any Product by Reseller or
                its
                customers, or (4) use in violation of instructions furnished by Identica
                or the manufacturer of the Product. 
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Article
      9. Forecasts and Reports
    Reseller
      shall provide forecasts of its product requirements and reports of its sales
      activities as detailed in Schedule F.
    Article
      10.
      Proprietary Rights
    | 10.1 | 
               Reseller
                acknowledges that Identica or the manufacturer of the Products is
                the
                owner of any and all intellectual property with respect to the Products,
                including, without limitation, trademarks, trade names, designs,
                copyrights, know-how and patents used on or for, or otherwise embodied
                in
                the Products ("Proprietary Rights"). Nothing in this Agreement shall
                be
                deemed to transfer any right, title or interest in the Proprietary
                Rights
                to Reseller. Upon termination of this Agreement for any reason, Reseller
                shall cease presenting itself as a reseller of the Products and cease
                using any of the Proprietary
                Rights. 
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| 10.2 | 
               Reseller
                shall not alter, deface, remove, cover or mutilate in any manner
                the
                trademarks, serial or model numbers, brand names of the Products
                or the
                manufacturer’s name attached or affixed to any of the
                Products. 
             | 
          
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      3
        | 10.3 | 
               In
                all of its sales and marketing activities in the Territory as well
                as in
                all marketing materials, brochures and catalogs Reseller shall clearly
                identify the manufacturer as the original manufacturer of the Products.
                Reseller shall obtain prior written approval from Identica (including
                electronic mail as a valid approval method) for any and all marketing
                materials designed and prepared by Reseller for the marketing and
                distribution of the Products.  
             | 
          
| 10.4 | 
               Reseller
                shall immediately report to Identica any infringement or improper
                or
                unauthorized use of Manufacturer’s Proprietary Rights in the Territory
                which come to Reseller’s attention. 
             | 
          
Article
      11. Status of Reseller
    | 11.1 | 
               This
                Agreement shall not be deemed in any way to create the relationship
                of
                principal and agent between Identica and Reseller; and under no
                circumstances shall Reseller be considered to be the agent of Identica.
                Reseller shall not act or attempt to act, or present itself, explicitly
                or
                implicitly, as an agent of Identica. Reseller shall not in any manner
                assume or make, or attempt to assume or make, any obligation, liability,
                representation, warranty or guarantee on behalf of, or in the name
                of
                Identica. 
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| 11.2 | 
               Reseller
                shall at all times comply with all applicable laws, regulations,
                and
                orders of any government of the Territory or political subdivisions
                thereof relating to or in any way affecting this Agreement and Reseller's
                performance hereunder, including obtaining of any required licenses,
                permits or approvals to perform Reseller’s obligations under this
                Agreement. 
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| 11.3 | 
               Reseller
                shall not disclose to any third party, without the prior written
                consent
                of Identica, or use for any purpose other than the performance of
                its
                obligations under this Agreement, any confidential information concerning
                the Products or information concerning the business affairs of Identica
                or
                the contents of this Agreement (including, but not limited to, prices,
                discounts, terms and conditions) which it receives directly or indirectly
                from Identica, or which it acquires or develops in the course of
                its
                transactions with Identica. 
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| 11.4 | 
               Reseller
                agrees that it shall at no time communicate directly with the manufacturer
                of the Products and shall deal only with Identica in connection with
                any
                matter arising out of this
                Agreement. 
             | 
          
Article
      12.
      Term
    This
      Agreement shall become effective upon signing and shall continue for
      an
      indefinite period unless terminated on 90 days written notice by either party
      hereto or earlier as provided in Article 13. 
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      4
        Article
      13. Termination
    | 13.1 | 
               In
                the event that either of the parties to this agreement commits a
                material
                default or breach any of the provisions of this Agreement the other
                party
                shall have the right to terminate this Agreement by giving thirty
                (30)
                days written notice, provided, however, that if within thirty (30)
                days
                after receipt of said notice the defaulting or breaching party cures
                the
                said default or breach, then said termination notice shall be
                cancelled. 
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| 13.2 | 
               Notwithstanding
                Article 13.1, Identica shall have the right to terminate this Agreement
                upon immediate written notice upon the occurrence of any one of the
                following: 
             | 
          
| 
               (a)
                 
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               Reseller
                is declared bankrupt or insolvent, or is managed by a receiver, assignee
                or trustee, whether by voluntary act of the said party or otherwise;
                 
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| 
               (b)
                 
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               Reseller
                assigns or attempts to assign this Agreement or any rights hereunder
                without the written consent of Identica, such consent not to be
                unreasonably withheld;  
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| 
               (c)
                 
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               Reseller
                ceases to function as a going concern or to conduct its operations
                in the
                normal course of business. 
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| 
               (d)
                 
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               Reseller
                is acquired by, or acquires, in whole or in part, a manufacturer
                or
                distributor of products which in the reasonable judgment of Identica
                competes to a material extent with the
                Products. 
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| 13.3 | 
               Upon
                termination of this Agreement pursuant to Article 13.2 Reseller shall
                immediately return all Products in its possession to Identica for
                a full
                credit and any amounts still owed to Identica by Reseller shall become
                immediately due and payable. Any amounts owed to Reseller will be
                paid
                within 30 days of termination. 
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Article
      14. Force Majeure
    | 14.1 | 
               Neither
                party shall be liable to the other party for nonperformance or delay
                in
                performance of any of its obligations under the Agreement due to
                war,
                revolution, riot, strike or other labor dispute, fire, flood, acts
                of
                government or any other causes reasonably beyond its control. Upon
                the
                occurrence of such condition the party that is unable to perform
                its
                obligations under this Agreement due to the occurrence of such force
                majeure condition shall immediately notify the other party thereof.
                Immediately after such conditions are removed or cured, such notifying
                party shall perform its obligation promptly unless such force majeure
                conditions made such performance permanently
                impossible. 
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Article
      15.
      Governing Law
    This
      Agreement shall be interpreted and governed by the laws of the State of Florida,
      USA.
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      5
        Article
      16. Jurisdiction
    With
      respect to any judicial proceeding, without limitation, any claim, litigation
      and hearing, arising out of this Agreement, the parties shall submit to the
      exclusive jurisdiction of the courts
      of
      the State of Florida, USA.
    Article
      17.
      Miscellaneous Provisions 
    17.1
      Notices
    Any
      notice required or permitted shall be in writing, and may be given by personal
      service, registered mail, or facsimile. The other party shall confirm the
      receipt of such notice in writing by personal service, registered mail, or
      facsimile. Notices and confirmations should be addressed to the parties hereto
      as follows; 
    17.2
      Entire Agreement and Amendments
    This
      Agreement constitutes the entire understanding of Identica and Reseller with
      respect to the subject matter hereof. No amendment, modification or alteration
      of any term of this Agreement shall be binding on either party unless the same
      shall be made in writing and executed by or on behalf of the parties
      hereto.
    17.3
      No Assignment and Succession.
    This
      Agreement shall inure to the benefit of and be binding upon the parties hereto
      and their respective successors. No assignment of this Agreement by Reseller
      shall be valid without the prior written consent of Identica. 
    17.4
      Waiver
    All
      waivers hereunder must be in writing, and the failure of any party at any time
      to require the other party's performance of any obligations under this Agreement
      shall not affect the right of such party to require subsequently the performance
      of the obligation of such the other party. Any waiver of any breach of any
      provision of this Agreement shall not be construed as a waiver of any continuing
      or succeeding breach of such provision or a waiver or modification of the
      provision. 
    17.5
      Severability
    If
      any
      one or more of the provisions contained in this Agreement shall be declared
      invalid, illegal or unenforceable in any respect under any applicable law,
      in
      whole or in part, the validity, legality and enforceability of the remaining
      provision or portion of a provision shall not in any way be affected and be
      valid and enforceable. In such case the parties hereto oblige themselves to
      reach the intended purpose of the invalid provision by a new, valid and legal
      stipulation.
    17.6
      Headings.
    The
      section headings herein are intended for purpose of convenience only and any
      shall not affect the construction or interpretation of any of the provisions
      of
      this Agreement.
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      6
        17.7
      Facsimile delivery
    The
      parties may sign and deliver this Agreement by facsimile transmission. Each
      party agrees that the delivery of the Agreement by facsimile shall have the
      same
      force and effect as delivery of original signatures and that each party may
      use
      such facsimile signatures as evidence of the execution and delivery of the
      Agreement by all parties to the same extent that an original signature could
      be
      used. 
    17.8
      Indemnification
    Reseller
      hereby agrees to indemnify, defend and hold harmless Identica, its directors,
      officers, employees and agents from and against all losses incurred by Identica,
      its directors, officers, employees and agents based upon, arising out of or
      otherwise incurred in respect of any breach by Reseller of its obligations
      under
      this Agreement.
    17.9
      Survival
    Articles
      8.1, 8.2, 10.1, 10.2, 11.3, 13.3, 15, 16 and 17.8 shall survive the termination
      of this Agreement.
    IN
      WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
      by
      their respective duly authorized officers.
    RESELLER: ‘”RESELLER’S
      FORMAL NAME”
    Per:
      ___________________________________
    Name:
    Title:
      ………………………………………….......
    Address:
      …………………………………………
    ………………………………………....................
    Phone
      #:
…………………………………………
    Fax
      #:
…………………………………………....
    Email:
      …………………………………………… 
    IDENTICA
      CORP USA, Inc.
    Per:
    Name:
      ▇▇.
      ▇▇▇▇▇ ▇▇▇▇▇▇▇
    Title:
      President
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      7
        SCHEDULE
      A
    PRODUCTS
    The
      products to be supplied to Reseller under this Agreement are biometric products,
      software, hardware and custom development services which utilize hand vascular
      patterns to verify the identity of persons as listed below:
    Techsphere
      Scanners and Bundles:
    VP-II
      S
    VP-II
      S
      UC-2 Bundle
    VP-II
      S
      UC-2 Integrated Proximity Reader Bundle
    VP-II
      M Networking Components:
    Internal
      Module
    T-Module
    UC-2
    IONcontrol
      Software:
    IONcontrol
      Basic
    IONcontrol
      Professional
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      8
        SCHEDULE
      B
    TERRITORY
    The
      Territory shall be limited to the following: USA
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      9
        SCHEDULE
      C
    PRICING
    | 
               PRODUCT
                DESCRIPTION 
             | 
            
               SUGGESTED 
              LIST
                PRICE 
             | 
            
               MINIMUM 
              SALES 
              PRICE 
             | 
            
               VOLUME
                 
             | 
            
               LEVELS 
             | 
            
               CUMULATIVE 
             | 
            
               SALES 
             | 
          |
| 
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          ||||
| 
               Techsphere
                Scanners 
             | 
            |||||||
| 
               VP-II
                S 
             | 
            
               * 
             | 
            
               *
                 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               VP-II
                S UC- Bundle 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               VP-II
                S Proximity Bundle 
             | 
            
               * 
             | 
            
               *
                 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               Networking
                Components 
             | 
            |||||||
| 
               Internal
                Module 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               T-Module 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               UC-2 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               IONcontrol
                Software 
             | 
            |||||||
| 
               IONcontrol
                Basic 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               IONcontrol
                Professional 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
            
               * 
             | 
          |
| 
               EFFECTIVE:
                JULY 5, 2006 
             | 
            |||||||
| 
               PRIVATE
                and CONFIDENTIAL 
             | 
            |||||||
2.
      Payment Terms
    Reseller
      shall pay 50% of the total purchase price for any order upon delivery. The
      balance of the purchase price will be due within 30 days after date of
      delivery.
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      10
        SCHEDULE
      D
    INITIAL
      ORDER AND PURCHASE OF DEMONSTRATION UNITS
    Reseller
      shall purchase a minimum of One VP-II S UC-2 Integrated Proximity Reader Bundle
      with wireless and case within [*] days of the signing of this Agreement to
      be
      used for demonstration and training purposes * to the applicable Reseller Price
      listed in Schedule C. 
    “RESELLER”
      and Identica will determine the joint marketing commitments required to promote
      Identica’s products effectively:
    i) Press
      Releases.
    ii) Seminars
      and Conferences.
    iii) Web
      Sites presence and cross links.
    iv) Internal
      Sales and Technical presentations and training.
    v) Development
      of Business, Sales Plans and Forecasts and ongoing review
      process.
    vi) Appropriate
      literature.
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      11
        SCHEDULE
      E
    TRAINING
      OF RESELLER’S PERSONNEL
    Identica
      shall provide technical [and sales] to Reseller’s
      personnel either at Identica’s
      or
      Reseller’s
      facilities, such training to include the provision of all required instruction
      and information with respect to the features, operation, installation,
      maintenance and servicing of the Products. Training will be provided free of
      charge at Identica facilities in Toronto, Canada for up to 6 employees of
      reseller.
    Reseller
      will pay all travel, hotel, meal and associated costs should training be
      provided at Resellers premises or any location other than Identica
      facilities.
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      12
        SCHEDULE
      F
    FORECASTS
      AND REPORTS
    | 
               1. 
             | 
            
               Within
                [90]
                days of the execution of this Agreement Reseller shall provide to
                Identica
                a forecast of the volume of products it expects to sell by quarter
                during
                the following [12]
                months and shall thereafter update such forecast on a quarterly
                basis. 
             | 
          
| 
               2. 
             | 
            
               Reseller
                shall provide quarterly reports to Identica regarding general market
                conditions in the Territory, Product sales, Product inventory and
                such
                other information as Identica may reasonably
                request. 
             | 
          
| 3. | 
                   In
                    order to avoid any channel conflict with other resellers of Distributor
                    in
                    the Territory Reseller shall communicate/register all qualified
                    sales
                    opportunities in the Territory with Identica, addressed to the
                    attention
                    of VP Sales and Marketing.  
                 | 
              
IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      13
        SCHEDULE
      G
    PRODUCT
      MAINTENANCE PROVISIONS
    If
      the
      Agreement is to include provision for an “ongoing/extended maintenance/warranty
      contract” and./or “technology obsolescence replacement contract” then this will
      be negotiated and referred to in Schedule G
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      14
        SCHEDULE
      H
    LEASING
      PROGRAM
    Not
      applicable.
    IDENTICA
          CORP. USA, INC. - Confidential Initials____,_____
      15