INTELLECTUAL PROPERTY SECURITY AGREEMENT
 
This Intellectual Property Security Agreement is entered into as of March 21, 2011 by and between BRIDGE BANK, NATIONAL ASSOCIATION (“Bank”) and VUZIX CORPORATION, a Delaware corporation (“Grantor”).
 
Recitals
 
A.           Bank has agreed to make certain advances of money and to extend certain financial accommodations to Grantor (the "Loans") in the amounts and manner set forth in that certain Loan and Security Agreement by and between Bank and Grantor dated of even date herewith (as the same may be amended, modified or supplemented from time to time, the "Loan Agreement"; capitalized terms used herein are used as defined in the Loan Agreement).  Bank is willing to make the Loans to Grantor, but only upon the condition, among others, that Grantor shall grant to Bank a security interest in certain Copyrights, Trademarks and Patents to secure the obligations of Grantor under the Loan Agreement.
 
B.           Pursuant to the terms of the Loan Agreement, Grantor has granted to Bank a security interest in all of Grantor's right, title and interest, whether presently existing or hereafter acquired, in, to and under all of the Collateral.
 
Now, Therefore, for good and valuable consideration, receipt of which is hereby acknowledged, and intending to be legally bound, as collateral security for the prompt and complete payment when due of its obligations under the Loan Agreement and all other agreements now existing or hereafter arising between Grantor and Bank, Grantor hereby represents, warrants, covenants and agrees as follows:
 
Agreement
 
To secure its obligations under the Loan Agreement and under any other agreement now existing or hereafter arising between Grantor and Bank, Grantor grants and pledges to Bank a security interest in all of Grantor’s right, title and interest in, to and under its Intellectual Property Collateral (including without limitation those Copyrights, Patents and Trademarks listed on Exhibits A, B and C hereto), and including without limitation all proceeds thereof (such as, by way of example but not by way of limitation, license royalties and proceeds of infringement suits), the right to sue for past, present and future infringements, all rights corresponding thereto throughout the world and all re-issues, divisions continuations, renewals, extensions and continuations-in-part thereof.
 
This security interest is granted in conjunction with the security interest granted to Bank under the Loan Agreement.  The rights and remedies of Bank with respect to the security interest granted hereby are in addition to those set forth in the Loan Agreement and the other Loan Documents, and those which are now or hereafter available to Bank as a matter of law or equity.  Each right, power and remedy of Bank provided for herein or in the Loan Agreement or any of the Loan Documents, or now or hereafter existing at law or in equity shall be cumulative and concurrent and shall be in addition to every right, power or remedy provided for herein and the exercise by Bank of any one or more of the rights, powers or remedies provided for in this Intellectual Property Security Agreement, the Loan Agreement or any of the other Loan Documents, or now or hereafter existing at law or in equity, shall not preclude the simultaneous or later exercise by any person, including Bank, of any or all other rights, powers or remedies.
 
Grantor represents and warrants that Exhibits A, B, and C attached hereto set forth any and all intellectual property rights in connection to which Grantor has registered or filed an application with either the United States Patent and Trademark Office or the United States Copyright Office, as applicable.
 
This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute the same instrument.
 
 
 
 

In Witness Whereof, the parties have caused this Intellectual Property Security Agreement to be duly executed by its officers thereunto duly authorized as of the first date written above.
 
 
Grantor:
   
Address of Grantor:
VUZIX CORPORATION
   
75 Town Centre Drive
By:
/s/ Paul J. Travers
Rochester, NY 14623
    
 
Title:
President and CEO
Attn:  Paul Travers, CEO & President
  
   
 
Bank:
   
Address of Bank:
BRIDGE BANK, NATIONAL ASSOCIATION
   
55 S. Almaden Blvd., Suite 100
By:
/s/ Dan Pistone
San Jose, CA 95113
    
 
Title:
Senior Vice President
Attention:  Technology Division
  
 
 
2.
 

Exhibit A
 
Copyrights
 
Title
  
Registration Number
  
Registration Date
N/A
        
         
 
 
3.
 

Exhibit B
 
Patents
 
Title
  
Serial/ Patent Number
  
Application/ Issue Date
Methods of Adaptive Encoding and Decoding Video Signals
  
2009-547233
  
November 9, 2007
Adjustable Attachment Mechanism
  
D 596,012
  
July 14, 2009
Agile Holographic Optical Phased Array Device and Applications
  
12/061,390
  
April 2, 2008
Beam segmentor for enlarging viewing aperture of microdisplay
  
12/418,318
  
April 3, 2009
Beam segmentor for enlarging viewing aperture of microdisplay
  
PCT/US09/69910
  
December 31, 2009
Binocular Display With Improved Contrast Uniformity
  
2,636,283
  
December 20, 2006
Binocular Display With Improved Contrast Uniformity
  
06846708.3
  
December 20, 2006
Binocular Display with improved contrast uniformity
  
7,515,344
  
April 7, 2009
Compact near eye display with scanned image generation
  
12/631,083
  
December 4, 2009
Compound Light Guide for Video Display (PROVISIONAL)
  
61/219,630
  
June 23, 2009
Computer Hand Controller
  
D 385,539
  
December 21, 1995
Computer Hand Controller
  
D 380,208
  
June 24, 1997
Computer Hand Controller
  
D 376,790
  
December 24, 1996
Computer Tracking System (Controller for Graphical Display)
  
6,788,286
  
September 7, 2004
Controllable Light Array for Projection Image Display
  
12/631,073
  
December 4, 2009
Controllable Light Array for Projection Image Display
  
PCT/US09/66716
  
December 4, 2009
Foam Pad
  
D 378,700
  
December 21, 1995
Hand Controller
  
D 385,540
  
December 21, 1995
Hand Controller
  
D 385,541
  
October 28, 1997
Hand Controller R
  
D 385,263
  
October 21, 1997
Head Tracking Apparatus
  
5,373,857
  
December 20, 1994
Headset
  
D 381,646
  
July 29, 1997
Headset for Presenting Video and Audio Signals to a Wearer
  
6,150,998
  
August 11, 1997
Headset for Presenting Video and Audio Signals to a Wearer
  
5,682,172
  
October 28, 1997
Image Display
  
6,870,532
  
March 22, 2005
Methods of Adaptive Encoding And Decoding Video Signal
  
11/626,690
  
January 24, 2007
Methods of Displaying Portions of Split Screen Displays
  
12/251,878
  
October 15, 2008
Micro-Display Engine
  
7,133,207
  
November 7, 2006
Micro-Display Engine
  
7,397,607
  
July 8, 2008
Personal Video Display Device
  
D 566,744
  
April 15, 2008
Personal Video Display Device
  
1312096
  
September 7, 2007
Personal Video Display Device
  
000694435-0001
  
March 8, 2007
Personal Video Display Device
  
119784
  
September 25, 2008
Personal Video Display Device
  
ZL200730006385.3
  
May 6, 2009
Personal Video Display Device
  
11/470,985
  
September 7, 2006
Personal Video Display Device
  
D 579,014
  
October 21, 2008
Personal Video Display Device
  
000811906-0001
  
October 4, 2007
Personal Video Display Device
  
1335703
  
June 13, 2008
Personal Video Display Device
  
122544
  
June 22, 2009
Personal Video Display Device
  
ZL200730323717.X
  
April 29, 2009
Personal Video Display Device
  
68119
  
October 16, 2008
Personal Video Display Device
  
D 591,326
  
April 28, 2009
Personal Video Display Device
  
D 621,805
  
January 7, 2009
Portable Virtual Display
  
D 517,066
  
March 14, 2006
Portable Virtual Display
  
000347166-0001
  
May 30, 2005
Portable Virtual Display
  
1263271
  
January 6, 2006
Portable Virtual Display
  
200530016863.X
  
October 25, 2006
Portable Virtual Display
  
D 512,985
  
December 20, 2005
Prismatic ocular device and personal video display device incorporating same
  
12/618,456
  
November 13, 2009
Selectively Adjustible Mounting Assembly
  
7,568,672
  
August 4, 2009
Traveling Lens Video Display
  
11/938038
  
November 9, 2007
Two Stage Optical System for Head Mounted Display
  
2002-502497
  
June 8, 2001
Two Stage Optical System for Head Mounted Display
  
6,417,970
  
July 9, 2002
Two Stage Optical System for Head Mounted Display
  
6,636,359
  
October 23, 2003
Video Image Viewing Device and Method
  
5,973,727
  
October 26, 1999
Video Image Viewing Device and Method
  
6,181,367
  
January 30, 2001
Video Image Viewing Device and Method
  
ZL 98109836.3
  
January 12, 2005
Video Image Viewing Device and Method
  
4181660
  
September 5, 2008
Virtual Display Eyeglasses
  
000347174-0001
  
Mat 30, 2005
Virtual Display Eyeglasses
  
1282816
  
August 18, 2006
Virtual Display Eyeglasses
  
ZL200530016861.0
  
October 24, 2006
Virtual Display Eyeglasses
  
1283096
  
August 18, 2006
Virtual Display Eyeglasses
  
D 556,815
  
December 4, 2007
Virtual Display Eyeglasses
  
D 513,031
  
December 20, 2005
Virtual Display Eyeglasses
  
000191630-0001
  
June 17, 2004
Virtual Display Eyeglasses
  
1236623
  
March 4, 2005
Virtual Display Headset
  
7,190,330
  
March 13, 2007
Virtual Reality Headset
  
D 369,595
  
May 7, 1996
 
 
4.
 

Exhibit C
 
Trademarks
 
Description
  
Serial / Registration Number
  
Application /Registration Date
3DZONE
  
77/267,078
  
August 29, 2007
3DZone
  
6571511
  
February 29, 2008
3DZone
  
1,386,229
  
February 28, 2008
3DZone
  
2008705858
  
February 29, 2008
3DZone
  
006713028
  
January 29, 2009
3DZone
  
5223916
  
March 17, 2008
ACCUTILT
  
3,385,610
  
February 19, 2008
ACCUTILT
  
351842
  
June 4, 2008
ACCUTILT
  
5934594
  
December 14, 2009
ACCUTILT
  
5080732
  
September 28, 2007
ACCUTILT
  
005734058
  
February 19, 2008
ACCUTILT
  
TMA729,137
  
November 21, 2008
BLADE
  
77/766,228
  
June 23, 2009
BLADE
  
1464603
  
December 18, 2009
BLADE
  
(China)
  
n/a
BLADE
  
2009-96902
  
December 22, 2009
BLADE
  
008773012
  
June 15, 2010
EYETONOMY
  
006874655
  
May 20, 2009
GMD Mark & Skull Design
  
1366653
  
October 1, 2007
GMD Mark & Skull Design
  
3,478,846
  
August 5, 2008
GMD Mark & Skull Design
  
00630625
  
September 11, 2008
IWEAR
  
3,245,574
  
May 22, 2007
IWEAR
  
TMA729,667
  
November 27, 2008
IWEAR
  
5502224
  
July 7, 2009
IWEAR
  
005211867
  
June 14, 2007
IWEAR
  
5096931
  
December 7, 2007
IWEAR
  
335327
  
October 8, 2007
ODIN
  
85/136,685
  
September 23, 2010
SIGHTMATE
  
6683297
  
April 25, 2008
SIGHTMATE
  
3,763,926
  
March 23, 2010
SIGHTMATE
  
TMA756,420
  
May 5, 2010
SIGHTMATE
  
006873046
  
June 5, 2009
SIGHTMATE
  
375565
  
March 25, 2009
Swoosh design
  
6493110
  
January 4, 2008
Swoosh design
  
3,513,644
  
October 7, 2008
Swoosh design
  
006356951
  
October 23, 2008
Swoosh design
  
5206237
  
February 20, 2009
Swoosh design
  
TMA755,704
  
December 18, 2009
Swoosh design
  
366056
  
December 1, 2008
TAC-EYE
  
3,387,883
  
February 26, 2008
TAC-EYE
  
TMA740,374
  
May 20, 2009
TAC-EYE
  
006277909
  
August 18, 2009
THE NEW VIRTUAL REALITY
  
3,506,062
  
September 23, 2008
THE NEW VIRTUAL REALITY
  
006447973
  
October 23, 2008
THE WAY IN
  
2,145,089
  
March 17, 1998
VIDEO EYEWEAR
  
4933504
  
March 3, 2006
VIDWEAR
  
78/663,698
  
July 5, 2006
VIDWEAR
  
004797445
  
January 22, 2007
VIEW THE FUTURE
  
6493111
  
January 4, 2008
VIEW THE FUTURE
  
1,385,408
  
February 22, 2008
VIEW THE FUTURE
  
3,640,396
  
June 16, 2009
 
 
5.
 
 
Description
  
Serial / Registration Number
  
Application /Registration Date
VIEW THE FUTURE
  
006355879
  
December 3, 2008
VIEW THE FUTURE
  
5206239
  
February 20, 2009
VIEW THE FUTURE
  
370978
  
February 2, 2009
VUZIX
  
6493114
  
January 4, 2008
VUZIX
  
3,603,362
  
April 7, 2009
VUZIX
  
006355002
  
October 23, 2008
VUZIX
  
5206238
  
February 20, 2009
VUZIX
  
TMA758,617
  
February 2, 2010
VUZIX
  
368567
  
December 25, 2008
WRAP
  
77/766,237
  
June 23, 2009
WRAP
  
1,464,772
  
December 23, 2009
WRAP
  
n/a
  
n/a
WRAP
  
n/a
  
n/a
WRAP
  
008773475
  
June 15, 2010
 
 
6.