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Title: |
Registration Rights Agreement |
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Entities: |
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Date: |
2000 |
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Size: |
Preview shows 6KB of 41KB total |
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Price: |
$41 |
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ID: |
#1168704 |
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REGISTRATION RIGHTS AGREEMENT
THIS REGISTRATION RIGHTS AGREEMENT, dated as of February 3, 2000 (this
"Agreement"), is made by and between INTERACTIVE TECHNOLOGIES.COM, LTD., a
Delaware corporation, with headquarters located at 110 East Atlantic Avenue,
Suite 400, Delray Beach, Florida 33444 (the "Company"), and each entity named on
the signature page hereto (each, an "Initial Investor") (each agreement with an
initial Investor being deemed a separate and independent agreement between the
Company and such Initial Investor, except that each Initial Investor
acknowledges and consents to the rights granted to each other Initial Investor
under such agreement)
W I T N E S S E T H:
WHEREAS, upon the terms and subject to the conditions of the Common Stock
Purchase Agreement, dated as of February 3, 2000, between Investor and the
Company (the "Common Stock Purchase Agreement;" terms not otherwise defined
herein shall have the meanings ascribed to them in the Common Stock Purchase
Agreement), the Company has agreed to issue and sell to Investor the Initial
Shares, together with the Repriced Shares (collectively, the "Shares");
WHEREAS, the Company has agreed to issue the Warrant to Investor in
connection with the issuance of the Shares; and
WHEREAS, to induce Investor to execute and deliver the Common Stock
Purchase Agreement, the Company has agreed to provide certain registration
rights under the Securities Act of 1933, as amended, and the rules and
regulations thereunder, or any similar successor statute (collectively, the
"Securities Act"), with respect to the Shares and the Warrant Shares (as defined
below).
NOW, THEREFORE, in consideration of the premises and the mutual covenants
contained herein and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Company and Investor hereby
agree as follows:
1. Definitions. As used in this Agreement, the following terms shall have
the following meanings:
(a) "Potential Material Event" means any of the following: (i) the
possession by the Company of material information not ripe for disclosure in a
Registration Statement, which shall be evidenced by determinations in good faith
by the Board of Directors of the Company that disclosure of such information in
the Registration Statement would be detrimental to the business and affairs of
the Company; or (ii) any material engagement or activity by the Company which
<PAGE>
would, in the good faith determination of the Board of Directors of the Company,
be adversely affected by disclosure in a Registration Statement at such time,
which determination shall be accompanied by a good faith determination by the
Board of Directors of the Company that the Registration Statement would be
materially misleading absent the inclusion of such information;
(b) "Register," "Registered," and "Registration" refer to a Registration
effected by preparing and filing a Registration Statement or Statements in
compliance with the Securities Act and pursuant to Rule 415 under the Securities
Act or any successor rule providing for offering securities on a continuous
basis, and the declaration or ordering of effectiveness of such Registration
Statement by the United States Securities and Exchange Commission (the "SEC");
(c) "Registrable Securities" mean the Shares and the Warrant Shares; and
(d) "Registration Statement" means a registration statement of the Company
under the Securities Act, or an amendment to an existing registration statement.
2. Registration.
(a) Mandatory Registration.
(i) The Company shall prepare and file with the SEC, as soon as possible
after the Initial Closing and no later than a date (the "Required Filing Date"),
which is thirty (30) days following the Initial Closing, either a Registration
Statement on Form S-1 (or other applicable registration statement form), or an
amendment to an existing Registration Statement, in either event Registering for
resale by Investor a sufficient number of shares of Common Stock for Investor to
sell the Registrable Securities (or such lesser number as may be required by the
SEC, but in no event less than two hundred percent (200%) of the aggregate
number of Initial Shares and the number of shares of Common Stock that would be
issued upon exercise of the Warrant (the "Warrant Shares") at the time of filing
of the Registration Statement (assuming for such purposes that the Warrant had
been eligible to be exercised and had been exercised in accordance with its
terms, whether or not such eligibility or exercise had in fact occurred as of
such date). The Registration Statement (W) shall include only the Registrable
Securities, and (X) shall state that, in accordance with Rule 416 and 457 under
the Securities Act, it covers such indeterminate number of additional shares of
Common Stock as may become issuable upon repricing of the Initial Shares and the
exercise of the Warrant to prevent dilution resulting from stock splits or stock
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