Non-Disclosure and Confidentiality Agreement

This Non-Disclosure and Confidentiality Agreement (the “Agreement”) is entered into

__________________ (the “Effective Date”) by and between HID SIPS LLC (“The Customer”) located at
1908 Tripshaw Ln Austin TX 78741 and ____________________ (“The Supplier”) located at
___________________________, also individually referred to as the “Party”, and collectively the “Parties”.

The Parties are interested in exploring a potential business opportunity (the “Opportunity”). In order to
adequately evaluate whether the Parties would like to pursue the Opportunity, it is necessary for both
Parties to exchange certain confidential information.

IN CONSIDERATION OF disclosing and receiving confidential information, the Parties agree as follows:

1. Confidential Information. The confidential information (“Confidential Information”) includes any

information that is only known by the disclosing Party, and not known by the general public at the
time it is disclosed, whether tangible or intangible, and through whatever means it is disclosed.

Confidential Information does not include information that:

1.1. The receiving Party lawfully gained before the disclosing Party actually disclosed it;

1.2. Is disclosed to the receiving Party by a third party who is not bound by a confidentiality
agreement;

1.3. Becomes available to the general public by no fault of the receiving Party; or

1.4. Is required by law to be disclosed.

2. Use of Confidential Information. During the course of this Agreement, the Parties will have
access to and learn of each others’ Confidential Information, including trade secrets, industry
knowledge, and other confidential information. The Parties will not share any of this proprietary
information at any time. The Parties also will not use any of this proprietary information for either
Party’s personal/business benefit at any time. This section remains in full force and effect even
after termination of the Parties’ relationship by its natural termination or early termination by either
Party.

The receiving Party may disclose the Confidential Information to its personnel on an as-needed
basis. The personnel must be informed that the Confidential Information is confidential and the
 personnel must agree to be bound by the terms of this Agreement. The receiving Party is liable for
any breach of this Agreement by their personnel.

In the event a Party loses Confidential Information or inadvertently discloses Confidential

Information, that Party must notify the other Party within twenty-four (24) hours. That Party must
also take any and all steps necessary to recover the Confidential Information and prevent further
unauthorized use.

In the event a Party is required by law to disclose Confidential Information, that Party must notify
the other Party of the legal requirement to disclose within three (3) business days of learning of the
requirement.

Notices must be made in accordance with Section 9 of this Agreement.

3. Ownership and Title. Nothing in this Agreement will convey a right, title, interest, or license in the
Confidential Information to the receiving party. The Confidential Information will remain the
exclusive property of the disclosing party.

4. Return of Confidential Information. Upon termination of this Agreement, the receiving party must
return all tangible materials it has that contain the Confidential Information it received, including all
electronic and hard copies. This includes, but is not limited to, any notes, memos, drawings,
summaries, excerpts and anything else derived from the Confidential Information.

5. Term and Termination. This Agreement shall commence upon the Effective Date as stated above
and continue indefinitely.

Either Party may end this Agreement at any time by providing written notice to the other Party. The
Parties’ obligation to maintain confidentiality of all Confidential Information received during the term
of this Agreement will remain in effect indefinitely.

6. Remedies. The Parties agree the Confidential Information is unique in nature and money damages
will not adequately remedy the irreparable injury breach of this Agreement may cause the injured
Party. The injured Party is entitled to seek injunctive relief, as well as any other remedies that are
available in law and equity.

7. Relationship of the Parties.

7.1. No Binding Agreement to Pursue Opportunity. The Parties agree they are exploring a
potential Opportunity and sharing their Confidential Information is not a legal obligation to
pursue the Opportunity. Either Party is free to terminate discussions or negotiations related
to the Opportunity at any time.
 7.2. No Exclusivity. The Parties understand this Agreement is not an exclusive arrangement.
The Parties agree they are free to enter into other similar agreements with other parties.

7.3. Independent Contractors. The Parties to this Agreement are independent contractors.
Neither Party is an agent, representative, partner, or employee of the other Party.

8. General.

8.1. Assignment. The Parties may not assign their rights and/or obligations under this
Agreement.

8.2. Choice of Law. This Agreement will be interpreted based on the laws of the State of
Texas, regardless of any conflict of law issues that may arise. The Parties agree that any
dispute arising from this Agreement will be resolved at a court of competent jurisdiction
located in the State of Texas.

8.3. Complete Contract. This Agreement constitutes the Parties entire understanding of their
rights and obligations. This Agreement supersedes any other written or verbal
communications between the Parties. Any subsequent changes to this Agreement must
be made in writing and signed by both Parties.

8.4. Severability. In the event any provision of this Agreement is deemed invalid or
unenforceable, in whole or in part, that part shall be severed from the remainder of the
Agreement and all other provisions should continue in full force and effect as valid and
enforceable.

8.5. Waiver. Neither Party can waive any provision of this Agreement, or any rights or
obligations under this Agreement, unless agreed to in writing. If any provision, right, or
obligation is waived, it is only waived to the extent agreed to in writing.

9. Notices. All notices under this Agreement must be sent by email with return receipt requested or
certified or registered mail with return receipt requested.

The Parties agree to the terms and conditions set forth above as demonstrated by their signatures as
follows:
Name

Signed: _____________________________________

Name: _____________________________________

Date: _____________________________________

Name

Signed: _____________________________________

Name: _____________________________________

Date: _____________________________________