Summary of contingency fee arrangements

The Company is represented in its litigation in the United States against Citrix and LogMeIn by Baker & Hostetler,

a U.S. law firm. Under the terms of its engagement with Baker & Hostetler, the Company is responsible for certain

out of pocket expenses associated with the litigation (with respect to the Citrix litigation, expenses have reached a

cap and Baker & Hostetler is now responsible for such expenses for which they are to be reimbursed out of proceeds


of settlement or an award of damages, if any) and will pay Baker & Hostetler a contingency fee on the conclusion of

the litigation if there is either a settlement or an award of damages. The contingency fee will be a percentage of any

such settlement or award (which may include any ongoing royalty or other payments received by the Company) with

such percentage being within the range which management believes is customary for contingency fee arrangements

for litigation of this nature. If, as opposed to a settlement or award of damages, there is a business resolution

resulting in the sale of the Company or all or substantially all of the assets of the Company or a transfer of the

patents owned by the Company then Baker & Hostetler will be entitled to receive a portion of any payments

received by the Company in connection with the business resolution if such resolution results in a termination of the

litigation or materially changes the nature of any such lawsuit. Management believes that the contingency fee is

within the range of percentages customary for agreements of this nature.

There can be no guarantee that the Company will be successful in any of its litigation