EDERON TERMS OF USE

EDERON®

Last Updated February 4, 2011

YOU SHOULD CAREFULLY READ THE FOLLOWING EDERON TERMS OF USE AGREEMENT (THE “TERMS OF USE” OR “AGREEMENT”).

Welcome to 1337 Entertainment, Inc.’s (“1337”) EDERON® (the “Game”). The Game includes two components: (a) the software program along with any accompanying materials or documentation (collectively, the “Game Client”), and (b) 1337’s proprietary EDERON online service (the “Service”). Your use of the Game Client is subject to the EDERON End User License Agreement (the “EULA“). Your use of the Service is subject to this Terms of Use , incorporated herein by this reference. You must accept the EULA, the Terms of Use (collectively, the “1337 Agreements”) prior to playing the Game.

You must obtain an EDERON log in to play the Game. The Game is available for use only by authorized end users in accordance with the terms of the 1337 Agreements. Any use, reproduction or modification of the Game not expressly authorized by the terms of the 1337 Agreements is expressly prohibited.

Grant of a Limited License to Use the Service

Subject to your agreement to and continuing compliance with the 1337 Agreements, you may use the Service solely for your own entertainment purposes by accessing it with an authorized, unmodified Game Client. You may not use the Service for any other purpose, or in connection with any other software.

Additional License Limitations.

The license granted to you in Section 1 is subject to the limitations set forth in Sections 1 and 2 (collectively, the “License Limitations”). Any use of the Service or the Game Client in violation of the License Limitations will be regarded as an infringement of 1337’s copyrights in and to the Game. You agree that you will not, under any circumstances:

A. use cheats, automation software (bots), hacks, mods or any other unauthorized third-party software designed to modify the EDERON experience;

B. exploit the Game or any of its parts, including without limitation the Service, for any commercial purpose, performing in-game services in exchange for payment outside the Game;

C. use any unauthorized third-party software that intercepts, “mines,” or otherwise collects information from or through the Game or the Service, including without limitation any software that reads areas of RAM used by the Game to store information; provided, however, that 1337 may, at its sole and absolute discretion, allow the use of certain third party user interfaces;

D. modify or cause to be modified any files that are a part of the Game Client or the Service in any way not expressly authorized by 1337;

E. host, provide or develop matchmaking services for the Game or the Service, or intercept, emulate or redirect the communication protocols used by 1337 in any way, for any purpose, including without limitation unauthorized play over the internet, network play, or as part of content aggregation networks;

F. facilitate, create or maintain any unauthorized connection to the Game or the Service, including without limitation (a) any connection to any unauthorized server that emulates, or attempts to emulate, the Service; and (b) any connection using programs or tools not expressly approved by 1337;

G. violate any applicable law or regulation in connection with your use of the Game Client or the Service; or

H. disrupt or assist in the disruption of (i) any computer used to support the Service (each a “Server”); or (ii) any other player's Game experience. ANY ATTEMPT BY YOU TO DISRUPT THE SERVICE OR UNDERMINE THE LEGITIMATE OPERATION OF THE GAME CLIENT MAY BE A VIOLATION OF CRIMINAL AND CIVIL LAWS.

Eligibility.

You represent that you are an adult in your country of residence. You agree to these Terms of Use on behalf of yourself and, at your discretion, for one (1) minor child for whom you are a parent or guardian and whom you have authorized to play the Game using the license granted to you.

Ownership.

All rights and title in and to the Service (including without limitation any user accounts, titles, computer code, themes, objects, characters, character names, stories, dialogue, catch phrases, concepts, artwork, animations, sounds, musical compositions, any related documentation, “applets,” transcripts of the chat rooms, character profile information, recordings of games) are owned by 1337 or its licensors. The Game and the Service are protected by international laws, and may contain certain licensed materials in which 1337’s licensors may enforce their rights in the event of any violation of this Agreement.

No Ownership Rights in Account.

NOTWITHSTANDING ANYTHING TO THE CONTRARY HEREIN, YOU ACKNOWLEDGE AND AGREE THAT YOU SHALL HAVE NO OWNERSHIP OR OTHER PROPERTY INTEREST IN ANY ACCOUNT STORED OR HOSTED ON A 1337 SYSTEM, INCLUDING WITHOUT LIMITATION ANY EDERON ACCOUNT, AND YOU FURTHER ACKNOWLEDGE AND AGREE THAT ALL RIGHTS IN AND TO SUCH ACCOUNTS ARE AND SHALL FOREVER BE OWNED BY AND INURE TO THE BENEFIT OF 1337.

Account Suspension/Deletion.

1337 MAY SUSPEND, TERMINATE, MODIFY, OR DELETE ANY EDERON ACCOUNT AT ANY TIME FOR ANY REASON OR FOR NO REASON, WITH OR WITHOUT NOTICE TO YOU. For purposes of explanation and not limitation, most account suspensions, terminations and/or deletions are the result of violations of this Terms of Use or the EULA.

Code of Conduct.

As with all things, your use of the Game is governed by certain rules. These rules (the “EDERON Code of Conduct”), maintained and enforced exclusively by 1337, must be adhered to by all players. It is your responsibility to know, understand and abide by this EDERON Code of Conduct. The following rules are not meant to be exhaustive, and 1337 reserves the right to determine which conduct it considers to be outside the spirit of the Game and to take such disciplinary measures as it sees fit up to and including termination and deletion of the Account. 1337 reserves the right to modify this Code of Conduct at any time.

1. A: Rules Related to Usernames and Clan Designations.

Each user will either select a character name or allow the Service to automatically select a character name at random. Additionally, users may form "clans" and such clans will be required to choose a name for the clan. When you choose a character name, create a clan, or otherwise create a label that can be seen by other players using the Game or the Service, you must abide by the following guidelines as well as the rules of common decency. If 1337 finds such a label to be offensive or improper, it may, in its sole and absolute discretion, change the name, remove the label and corresponding chat room, and/or suspend or terminate your use of the Service. In particular, you may not use any name:

(i) Belonging to another person with the intent to impersonate that person, including without limitation a "Game Master" or any other employee or agent of 1337;

(ii) That incorporates vulgar language or which are otherwise offensive, defamatory, obscene, hateful, or racially, ethnically or otherwise objectionable;

(iii) Subject to the rights of any other person or entity without written authorization from that person or entity;

(iv) That belongs to a popular culture figure, celebrity, or media personality;

(v) That is, contains, or is substantially similar to a trademark or service mark, whether registered or not;

(vi) Related to drugs, sex, alcohol, or criminal activity;

2. B. Rules Related to "Chat" and Interaction With Other Users. Communicating in-game with other Users and 1337 representatives, whether by text, or any other method, is an integral part of the Game and the Service and is referred to here as "Chat." When engaging in Chat, you may not:

(i) Transmit or post any content or language which, in the sole and absolute discretion of 1337, is deemed to be offensive, including without limitation content or language that is unlawful, harmful, threatening, abusive, harassing, defamatory, vulgar, obscene, hateful, sexually explicit, or racially, ethnically or otherwise objectionable, nor may you use a misspelling or an alternative spelling to circumvent the content and language restrictions listed above;

(ii) Carry out any action with a disruptive effect, such as intentionally causing the Chat screen to scroll faster than other users are able to read, or setting up macros with large amounts of text that, when used, can have a disruptive effect on the normal flow of Chat;

(iii) Disrupt the normal flow of dialogue in Chat or otherwise act in a manner that negatively affects other users including without limitation posting commercial solicitations and/or advertisements for goods and services available outside of the EDERON universe;

(iv) Sending repeated unsolicited or unwelcome messages to a single user or repeatedly posting similar messages in a Chat area, including without limitation continuous advertisements to sell goods or services;

(v) Communicate or post any user's personal information in the Game, or on websites or forums related to the Game, except that a user may communicate his or her own personal information in a private message directed to a single user;

(vi) Harass, threaten, stalk, embarrass or cause distress, unwanted attention or discomfort to any user of the Game;

(vii) Participate in any action that, in the sole and absolute opinion of 1337, results or may result in an authorized user of the Game being "scammed" or defrauded out of gold, cards, or any other items that user has earned through authorized game play in the Game;

(viii) Impersonate any real person, including without limitation any "game master" or any other 1337 agent or employee, nor may you communicate in the Game in any way designed to make others believe that your message constitutes a server message or was otherwise posted by any 1337 agent or employee.

3. C. Rules Related to Game Play. Game play is what EDERON is all about, and 1337 strictly enforces the rules that govern game play. Nonetheless, certain acts go beyond what is "fair" and are considered serious violations of these Terms of Use. Those acts include, but are not necessarily limited to, the following:

(i) Using or exploiting errors in design, features which have not been documented, and/or "program bugs" to gain access that is otherwise not available, or to obtain a competitive advantage over other players;

(ii) Conduct prohibited by the EULA or elsewhere in these Terms of Use; and

(iii) Anything that 1337 considers contrary to the "essence" of the Game.

Changes to the Terms of Use or the Game.

1337 reserves the right, at its sole and absolute discretion, to change, modify, add to, supplement or delete, at any time, any of the terms and conditions of this Agreement, any feature of the Game or the Service, hours of availability, content, data, software or equipment needed to access the Game or the Service, effective with or without prior notice; provided, however, that material changes to this Terms of Use Agreement will not be applied retroactively. If any future changes to this Agreement are unacceptable to you or cause you to no longer be in compliance with this Agreement, you must terminate, and immediately stop using, the Game. Your continued use of the Game following any revision to this Agreement constitutes your complete and irrevocable acceptance of any and all such changes. 1337 may change, modify, suspend, or discontinue any aspect of the Game at any time. 1337 may also impose limits on certain features or restrict your access to parts or all of the Game without notice or liability.

Termination.

This Agreement is effective until terminated. You may terminate this Agreement by deleting the Game Client and terminating all EDERON Accounts registered to you. In the event that you terminate or breach this Agreement, you will forfeit your right to any and all payments you may have made for game products to EDERON. You acknowledge and agree that you are not entitled to any refund for any amounts which were paid prior to any termination of this Agreement. 1337 may terminate this Agreement (and your access to the Game) with or without notice for any reason, or for no reason.

10.

Warranty Disclaimer.

THE GAME AND THE SERVICE ARE PROVIDED ON AN “AS IS” “AS AVAILABLE” BASIS, AND 1337 DOES NOT WARRANT THAT THE GAME OR THE SERVICE WILL BE UNINTERRUPTED OR ERROR-FREE, THAT DEFECTS WILL BE CORRECTED, OR THAT THE GAME OR THE SERVICE ARE FREE OF VIRUSES OR OTHER HARMFUL COMPONENTS. 1337 EXPRESSLY DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION THE WARRANTIES OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OR USE, AND NON-INFRINGEMENT.

11.

Limitation of Liability.

IN NO EVENT SHALL 1337, ITS PARENT, SUBSIDIARIES, LICENSORS OR AFFILIATES BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, PUNITIVE, LIQUIDATED, OR OTHER CONSEQUENTIAL DAMAGES, WHETHER UNDER CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY OR ANY OTHER THEORY OF LIABILITY, ARISING FROM YOUR USE OF THE GAME OR THE SERVICE. THE FOREGOING LIMITATIONS SHALL APPLY TO THE MAXIMUM EXTENT PERMITTED BY LAW, EVEN IF ANY REMEDY FAILS OF ITS ESSENTIAL PURPOSE. In no event shall 1337's aggregate liability, whether arising in contract, tort, strict liability or otherwise, exceed the total fees paid by you to 1337 during the six (6) months immediately prior to the time such claim arose.

Indemnification.

YOU HEREBY AGREE TO DEFEND, INDEMNIFY AND HOLD HARMLESS 1337, ITS PARENT, SUBSIDIARIES AND AFFILIATES, FROM AND AGAINST ANY CLAIM, LIABILITY, INJURY, DAMAGE, LOSS OR EXPENSE (INCLUDING REASONABLE ATTORNEYS’ FEES) INCURRED AS A RESULT OF, ARISING FROM, OR RELATING TO YOUR USE OF THE GAME AND/OR THE SERVICE.

13.

Force Majeure.

1337 shall not be liable for any delay or failure to perform resulting from causes outside the reasonable control of 1337, including without limitation any failure to perform hereunder due to unforeseen circumstances or cause beyond 1337's control such as acts of God, war, terrorism, riots, embargoes, acts of civil or military authorities, fire, floods, accidents, strikes, or shortages of transportation facilities, fuel, energy, labor or materials.

14.

Acknowledgments.

You hereby acknowledge and agree that:

A. WHEN RUNNING, THE GAME MAY MONITOR YOUR COMPUTER'S RANDOM ACCESS MEMORY (RAM) AND/OR CPU PROCESSES FOR UNAUTHORIZED THIRD PARTY PROGRAMS RUNNING CONCURRENTLY WITH EDERON. AN “UNAUTHORIZED THIRD PARTY PROGRAM” AS USED HEREIN SHALL BE DEFINED AS ANY THIRD PARTY SOFTWARE THAT, WHEN USED SIMULTANEOUSLY OR IN CONNECTION WITH THE GAME, WOULD CONSTITUTE A VIOLATION OF SECTIONS 1, 2 OR 7. IN THE EVENT THAT THE GAME DETECTS AN UNAUTHORIZED THIRD PARTY PROGRAM, 1337 MAY (a) COMMUNICATE INFORMATION BACK TO 1337, INCLUDING WITHOUT LIMITATION THE ACCOUNT NAME, DETAILS ABOUT THE UNAUTHORIZED THIRD PARTY PROGRAM DETECTED, AND THE TIME AND DATE THE UNAUTHORIZED THIRD PARTY PROGRAM WAS DETECTED; AND/OR (b) EXERCISE ANY OR ALL OF ITS RIGHTS UNDER ANY 1337 AGREEMENT, WITH OR WITHOUT PRIOR NOTICE TO THE USER.

B. WHEN THE GAME IS RUNNING, 1337 MAY OBTAIN CERTAIN IDENTIFICATION INFORMATION ABOUT YOUR COMPUTER, INCLUDING WITHOUT LIMITATION YOUR HARD DRIVES, CENTRAL PROCESSING UNIT, IP ADDRESS(ES) AND OPERATING SYSTEM(S), FOR PURPOSES OF IMPROVING THE GAME AND/OR THE SERVICE, AND TO POLICE AND ENFORCE THE PROVISIONS OF ANY 1337 AGREEMENT.

C. 1337 may, with or without notice to you, disclose your Internet Protocol (IP) address(es), personal information, chat logs, and other information about you and your activities: (a) in response to a request by law enforcement, a court order or other legal process; or (b) if 1337 believes that doing so may protect your safety or the safety of others.

D. 1337 MAY MONITOR, RECORD, REVIEW, MODIFY AND/OR DISCLOSE YOUR CHAT SESSIONS, WHETHER VOICE OR TEXT, WITHOUT NOTICE TO YOU, AND YOU HEREBY CONSENT TO SUCH MONITORING, RECORDING, REVIEW, MODIFICATION AND/OR DISCLOSURE. Additionally, you acknowledge that 1337 is under no obligation to monitor your electronic communications, and you engage in those communications at your own risk.

E. You are wholly responsible for the cost of all telephone and Internet access charges along with all necessary equipment, servicing, repair or correction incurred in maintaining connectivity to the Servers.

15.

Equitable Remedies.

In the event that you breach this Agreement, you hereby agree that 1337 would be irreparably damaged if this Agreement were not specifically enforced, and therefore you agree that 1337 shall be entitled, without bond, other security, or proof of damages, to appropriate equitable remedies with respect to breaches of this Agreement, in addition to such other remedies as 1337 may otherwise have available to it under applicable laws. In the event any litigation is brought by either party in connection with this Agreement and consistent with Section 16, the prevailing party in such litigation shall be entitled to recover from the other party all the costs, attorneys' fees and other expenses incurred by such prevailing party in the litigation.

16.

Miscellaneous.

If any provision of this Agreement shall be unlawful, void, or for any reason unenforceable, then that provision shall be deemed severable from this Agreement and shall not affect the validity and enforceability of any remaining provisions. This Terms of Use Agreement is the complete and exclusive statement of the agreement between you and 1337 concerning the Service, and this Agreement supersedes any prior or contemporaneous agreement, either oral or written, and any other communications with regard thereto between you and 1337; provided, however that this Agreement is in addition to, and does not replace or supplant, the EULA. This Agreement may only be modified as set forth herein. The section headings used herein are for reference only and shall not be read to have any legal effect.