1)   Acceptance    -   The   terms   and   conditions   herein   contained   and   any   additional   “Supplement   to   Sales Agreement”    shall    constitute    the    only    agreement    between    the    Seller    and    the    Buyer.        Any    terms    and conditions   originating   with   the   Buyer   are   hereby   expressly   rejected   and   shall   not   become   part   of   the contract   between   the   Buyer   and   the   Seller   unless   specifically   accepted   in   writing   by   a   duly   authorized officer   of   the   Seller.   The   Seller’s   quotation   is   made   subject   to   prior   sales   to   third   parties.      In   any   event,   said quotation   will   become   void   if   not   accepted   by   the   Buyer   within   30   days   from   the   date   of   the   offer.   Seller reserves    the    right    to    hold    shipment    of    telephone    or    oral    orders    until    written    confirmation    has    been received   from   Buyer.      Buyer   assumes   full   responsibility   for   inaccurate   or   incomplete   date   supplied   on special orders. 2)   Prices   -   All   prices   are   subject   to   change   without   notice   at   any   time   and   are   based   in   part   on   the applicability   of   Sales   Agreement   set   forth   herein.      Should   the   Buyer   desire   other   or   different   terms,   the prices   may   be   adjusted   accordingly.      Prices   are   those   in   effect   at   the   time   the   order   is   received   at   Avestin, Inc.,   Ottawa,   Ontario,   Canada.      Prices   for   any   Avestin   Product,   including   shipping   charges,   if   applicable,   are outlined   on   a   quotation   prepared   by   the   Seller.      If   Buyer   should   delay   shipment   beyond   original   contact date,   the   prices   charged   will   be   those   in   effect   at   the   time   the   shipment   is   made.      Seller   reserves   the   right   to cancel   Buyer’s   order   in   the   event   that   (a)   any   government   price   regulation,   schedule   or   ceiling   prescribes   a price   lower   than   Seller’s   price   as   established   in   the   order   acknowledgement   or   in   any   way   prevents   Seller from   purchasing   or   otherwise   acquiring   any   commodity   or   service   necessary   to   the   performance   of   the order,   or   in   any   way   prevents   Seller   from   adjusting   its   prices   when   the   cost   of   any   such   commodity   or service    is    increased,    and    (b),    in    the    event    any    major    change    in    economic    conditions    renders    Seller’s performance unprofitable. 3)   Taxes/Duty   -   Prices   do   not   include   any   sales,   use,   excise,   property   or   other   such   taxes,   or   duties,   that may   be   levied   on   the   transaction   by   local,   provincial,   federal   or   foreign   governments.      Any   taxes/duties Seller is required to collect from the Buyer will be added to the invoice or billed separately to the Buyer. 4)   Terms   of   Payment    -   Unless   otherwise   specified   in   the   Seller’s   quotation,   the   terms   of   payment   will   be net   cash   30   days   from   date   of   shipment,   subject   to   credit   approval   by   Seller’s   credit   department.      Payment terms   that   have   been   negotiated   between   Seller   and   Buyer   will   be   outlined   on   the   quotation   prepared   by the   Seller.      In   cases   where   shipment   of   a   completed   product   is   delayed   at   the   request   of   the   Buyer,   Seller reserves   right   to   issue   invoice   for   the   product   as   of   the   date   it   becomes   ready   for   shipment.      Late   charges   at the   rate   of   2%   per   month   (24%   annually)   may   be   charged   on   past   due   accounts.      Choice   of   currency   of payment will be outlined on the quotation prepared by the Seller. 5)   Production   and   Performance   Estimates    -   Any   projected   production   figures   and   performance   data   are estimates   based   on   Seller’s   understanding   of   routinely   available   facilities,   operator   skill,   and   other   specified factors   affecting   production,   and   do   not   constitute   a   guarantee   of   production.      The   Seller   makes   no   claims concerning   the   suitability   of   its   products   with   regard   to   the   Buyer's   current   or   future   requirements.      It   is   the sole   responsibility   of   the   Buyer   to   evaluate   the   product   to   the   Buyer's   satisfaction   under   actual   service conditions prior to product purchase. 6)   Warning    -   The   Seller’s   equipment   is   capable   of   producing   very   high   fluid   pressures.      It   is   the   Buyer’s responsibility to train its operators to use the Seller’s equipment safely. 7)   Delivery    -   The   quoted   delivery   dates   are   approximate   and   a   more   specific   date   will   be   established   upon the   Seller’s   acceptance   of   Buyer’s   order.      Delivery   dates   are   subject   to   revision   at   any   time   due   to   causes beyond   the   Seller’s   control.      These   would   include,   but   not   be   limited   to,   delay   in   receipt   of   Purchaser’s signed   order   or   complete   specifications,   fire,   shortages   of   material,   transportation   delays,   strikes,   failure   of suppliers   or   subcontractors   to   meet   delivery   schedules,   war,   riots,   and   any   action   by   or   prior   system imposed   by   authority   of   any   government   agency.      Any   delay   or   non-delivery   caused   by   the   foregoing   shall not   result   in   liability   for   the   Seller.      Delivery   to   a   common   carrier   or   licensed   tracker   shall   constitute   tender of   delivery   to   the   Buyer   and   all   risk   of   loss   or   damage   in   transit   shall   be   borne   by   the   Buyer   from   the   time the    Product    leaves    the    Seller's    premises.    From    this    time    on,    the    Buyer    must    pay    the    purchase    price notwithstanding   the   loss   of   the   goods.   In   no   event   shall   the   Seller   be   held   liable   for   damages   or   contingent expenses   caused   by   delays   in   delivery.   Seller   reserves   the   right   to   stoppage   in   transit   and   to   repossess equipment   notwithstanding   delivery   to   the   carrier,   until   payment   in   full   has   been   made   to   Seller.   Buyer,   by acceptance   of   the   products,   grants   a   security   interest   to   Seller   in   such   products   until   paid   in   full   together with   all   of   the   rights   and   remedies   of   a   secured   party   under   the   Personal   Property   Security   Act   or   other similar   legislation.   No   claim   relating   to   quantity,   condition,   loss   or   damage   to   the   goods   made   by   Buyer   will be accepted by Seller after thirty (30) days after date of shipment. 8)   Warranty,   Disclaimer,   Limitation   of   Liability   and   Remedy    -   Seller   warrants   to   the   original   Buyer   only that    Product    manufactured    by    the    Seller    and    sold    directly    by    the    Seller    or    through    an    authorized representative   and   used   by   the   original   Buyer   within   limits   of   rated   and   normal   usage   will   be   free   from defects   which   are   not   commercially   acceptable   in   material   and   workmanship   for   a   period   of   one   year   from date   of   shipment,   or   500   operating   hours,   whichever   comes   first.   This   warranty   does   not   include   parts subject   to   wear   and   tear   nor   failures   caused   by   lack   of   proper   maintenance,   incompatible   fluids,   foreign materials   in   air   and/or   fluid   media,   or   application   of   pressures   beyond   published   values.   Seller's   obligation and   liability   with   respect   to   components   not   manufactured   by   the   Seller   shall   be   limited   to   the   extent   of express   warranties   received   by   Seller   from   such   component   manufacturers.   This   warranty   is   void   and   of   no effect   and   Seller   shall   not   be   liable   for   any   breach   of   warranty,   express   or   implied,   if   the   equipment   or   any part   or   component   thereof   shall   have   been   repaired   or   altered   by   persons   other   than   the   Seller   unless expressly   authorized   in   writing   by   Seller,   or   if   the   equipment   is   operated   or   installed   contrary   to   Seller's instruction   or   subjected   to   misuse,   negligence   or   accident.   Written   notice   of   any   claimed   defect   within   the warranty   period   must   be   presented   to   the   Seller   immediately   upon   Buyer's   discovery   of   the   defect.   Seller shall   have   the   option   to   inspect   any   parts   claimed   to   be   defective   either   at   the   Buyer's   place   of   business   or at   the   Seller's   place   of   manufacture   while   the   product   is   in   the   claimed   defective   condition.   No   return   shall be   accepted   unless   Seller   has   had   an   opportunity   to   inspect   the   equipment   or   has   expressly   authorized   the return.    Operation    of    the    product    must    be    suspended    until    written    clearance    is    issued    for    continued operation   provided   that   Seller   upon   receipt   of   written   notice   of   a   claimed   defect   will   proceed   without unreasonable   delay   to   remedy   any   defect   coming   within   the   warranty   which   is   found   to   exist.   During   the warranty   period,   parts   found   to   be   defective   by   Seller's   inspection   will   be   furnished   free   of   charge.   There are   no   other   warranties   that   extend   beyond   the   warranty   herein   contained.      The   warranty   stated   herein   is in   lieu   of   all   other   warranties   express   or   implied,   including   but   not   limited   to   any   implied   warranty   of merchantability   or   fitness   for   a   particular   purpose   and   is   in   lieu   of   any   and   all   other   obligations   or   liabilities on   Seller's   part.   No   statement,   oral   or   written,   inconsistent   with   this   warranty   is   binding   on   the   Seller.   No agent,   employee   or   representative   of   the   Seller,   other   than   an   officer,   duly   authorized,   has   any   authority   to bind   the   Seller   to   any   confirmation,   representation   or   warranty   concerning   the   Seller's   product   beyond   that specifically   included   in   the   confirmation,   representation   or   warranty   concerning   the   Seller's   product   beyond that   specifically   included   in   the   warranty   contained   herein.   Under   no   circumstances   will   the   Seller   be   liable for   any   incidental   or   consequential   damage   or   expense   of   any   kind,   including   but   not   limited   to   personal injuries   and   loss   of   profits,   arising   in   connection   with   any   contract   or   with   the   use,   abuse,   unsafe   use   or inability   to   use   Seller's   products.   Seller's   maximum   liability   shall   not   exceed,   and   Buyer's   remedy   is   limited to   either   (a)   repair   or   replacement   of   the   defective   part   or   product   or   at   the   Seller's   option,   (b)   return   of   the product   and   refund   of   the   purchase   price;   and   such   remedy   shall   be   the   Buyer's   entire   and   exclusive remedy.   The   sole   purpose   of   the   stipulated   exclusive   remedy   shall   be   to   provide   the   Buyer   with   free   repair or   replacement   of   defective   products,   or   refund   of   the   purchase   price   at   the   Seller's   option,   in   the   manner provided   herein.   This   exclusive   remedy   shall   not   be   deemed   to   have   failed   of   its   essential   purpose   so   long as   Seller   is   willing   and   able   to   repair   or   replace   defective   products,   or   to   refund   the   purchase   price,   in   the prescribed manner. 9)   Indemnification   -   Buyer   agrees   to   indemnify   and   hold   Seller   harmless   from   any   and   all   liability,   loss   or damages   which   Seller   may   suffer   as   a   result   of   claims,   demands,   costs   or   judgements   made   against   Seller arising   out   of   any   use   whatsoever   of   the   machinery   and   equipment   sold   pursuant   to   this   Agreement,   which liability,   loss   or   damages,   claims,   demands   or   judgements   are   based   upon   or   result   from   (a)   any   alteration or   modification   of   the   machinery   or   equipment   by   Buyer,   Buyer's   officers,   agents   or   employees;   or   (b)   the failure   of   Buyer,   Buyer's   officers,   agents   or   employees   to   follow   manufacturer's   instructions,   warnings   or recommendations   which   are   communicated   by   Seller   to   Buyer   in   any   form   before,   during   or   after   the   time of   this   sale;   or   (c)   the   failure   of   Buyer,   Buyer's   officers,   agents   or   employees   to   comply   with   federal,   state,   or local   laws   or   regulations   applicable   to   the   use   of   such   machinery   or   equipment;   or   (d)   the   failure   of   Buyer, Buyer's    officers,    agents    or    employees    to    properly    train    and    instruct    anyone    using    such    machinery    or equipment. 10)   Repair   and   Service   -   Non-Warranty    -   The   cost   of   all   servicing   of   equipment   not   provided   for   in preceding    sections    may    be    charged    for    by    the    Seller    at    a    per    diem    rate    per    man    per    workday    plus transportation and living expenses. 11)   Property   Rights    -   Seller   retains   for   itself   any   and   all   property   rights   in   and   to   all   designs,   engineering details   and   other   data   pertaining   to   any   equipment   designed   in   connection   herewith   and   to   all   rights   of discovery,   invention   or   patent   rights   arising   out   of   work   done   for   Buyer.   The   Buyer   expressly   agrees   that   it will   not   assert   any   property   rights   therein,   except   the   rights   for   itself   and   subsequent   owners   to   use   the equipment.   Any   prints,   brochures,   drawings   or   other   information   furnished   to   the   Buyer   by   the   Seller   are intended   solely   for   the   confidential   use   by   the   Buyer   and   shall   remain   the   property   of   the   Seller,   and   shall not be used to the detriment of the Seller's competitive position. 12)   Patent   Indemnity    -   If   any   product   furnished   by   the   Seller   is   rightfully   claimed   to   infringe   any   Canadian or   United   States   Patent   issued   at   the   time   Buyer's   order   is   accepted,   Seller   agrees   at   its   option;   (1)   to procure   for   the   Buyer   the   right   to   use   the   product,   or   (2)   to   modify   or   replace   the   product   so   as   to   avoid infringement,   or   (3)   to   accept   redelivery   of   the   product   and   reimburse   Buyer   for   the   purchase   price   and   any transportation   expenses   incurred   by   Buyer.   Should   any   litigation   be   instituted   against   Buyer   based   on   a claim   that   any   product   in   the   condition   received   from   Seller   infringes   any   Canadian   or   United   States   patent, Seller   will   undertake   the   defence   thereof   in   Buyer’s   behalf   and   pay   any   damages   and   costs   awarded   therein against   Buyer,   provided   Seller   is   given   prompt   written   notice   and   is   furnished   with   copies   of   all   demands, process   and   pleadings,   and   Buyer   cooperates   fully   in   giving   Seller   authority,   information   and   assistance   at Seller's   expense   for   such   defense,   as   well   as   control   over   the   defence   and   any   negotiations   with   regard   to settlement.   The   foregoing   represents   Seller's   entire   and   exclusive   obligation   with   respect   to   any   charge   of patent   infringement   and   is   in   lieu   of   any   statutory   warranty   relating   to   infringement.      Seller   shall   have   no responsibility   insofar   as   any   product   is   modified   by   Buyer   or   is   made   or   modified   by   Seller   in   accordance with   Buyer's   order   and   Buyer   shall   indemnify   Seller   in   accordance   with   the   indemnity   in   paragraph   "15" above   for   any   claim   which   arises   out   of   Seller's   compliance   with   Buyer's   specifications.      Seller   shall   also have   no   responsibility   with   regard   to   any   settlement,   admission   or   promise   made   by   Buyer   without   Seller's prior   written   consent,   nor   shall   Seller   be   liable   for   any   indirect,   special   or   consequential   damages   of   any nature   whatsoever,   including   loss   of   profits,   claimed   to   have   been   sustained   by   Buyer   or   any   user   of   the product   arising   out   of   any   claim   of   infringement.      Seller   is   not   responsible   for   the   infringement   of   any Patent   resulting   from   the   Buyer's   use   of   any   of   the   Seller's   products.   Seller   is   entitled   to   indemnity   from certain   of   its   suppliers   and   the   rights   and   options   vested   in   Seller   shall   extend   to   such   suppliers   and   may   be exercised by them. 13)   Reservation   of   Rights   -   Seller   reserves   the   right   to   make   subsequent   improvements   and   changes   in design   in   its   products   without   imposing   any   obligation   to   make   such   changes   or   improvements   upon products sold to the Buyer. 14)   Limitation   of   Action    -   Any   action   for   breach   of   Seller's   warranty   must   be   commenced   within   twelve (12)   months   from   the   time   the   cause   of   action   accrues   unless   the   period   for   action   shall   be   extended   by Seller   in   writing.   In   the   interpretation   of   this   limitation   of   action   for   breach   of   Seller's   warranty   it   is   expressly agreed   that   there   are   no   warranties   of   future   performance   of   the   equipment   that   would   extend   the   period of   limitation   herein   contained   for   bringing   an   action.      It   is   expressly   understood   that   any   effort   by   Buyer, Seller   or   agents   to   repair   any   product   shall   not   extend   the   twelve   (12)   month   period   of   limitation   unless Seller   agrees   in   writing.   The   warranty   set   forth   in   paragraph   "10"   applies   to   replacement   parts   as   well   as equipment   originally   sold,   and   nothing   except   Seller's   written   consent   shall   extend   its   obligation   more   than the period specified in paragraph "9". 15)   Installation   Costs   -    All   costs   incident   to   installation   or   erection   or   both   of   any   product   shall   be   borne solely by Buyer. 16)   Authority    -   All   parties   executing   this   agreement   on   behalf   of   a   corporation   hereby   affirm   that   they   have the   authority   to   bind   their   respective   corporations,   as   required,   and   that   all   necessary   resolutions   and   by- laws have been passed allowing such authority to be legally binding. 17)   Interpretation    -   This   Agreement   and   any   contract   resulting   from   this   Agreement   is   subject   to   and   shall be   construed   in   accordance   with   the   laws   of   the   Province   of   Ontario,   Canada.      The   parties   agree   that   this Agreement and any contract resulting therefrom is formed in the Province of Ontario. 18)   Jurisdiction    -   The   parties   hereby   agree   that   any   legal   action   or   dispute   arising   from   this   Agreement   or resulting   contract   shall   be   commenced   in   the   Province   of   Ontario,   which   shall   have   exclusive   jurisdiction.     No   court   other   than   that   of   the   Province   of   Ontario   shall   have   any   jurisdiction   in   relation   thereto,   and   this Agreement   shall   be   construed   without   giving   effect   to   the   principles   of   conflict   of   laws.      The   place   of   Court is Ottawa, Ontario. 19)   Execution   in   Parts   -    This   Agreement   may   be   executed   in   any   number   of   counterparts,   each   of   which shall be an original, but all of which together shall constitute one instrument having full binding legal effect.