Entry into a Material Definitive Agreement.

On or about January 6^th, 2016, we entered into an Exclusive Distribution Agreement with Kimberly Gleeson, now DBA Blow & Drive of Houston (“B&DH”), under which we granted BD&H the exclusive right to lease, install, service, remove and support our proprietary breath alcohol ignition interlock device (the “BDI-747/1”) for the Texas counties of Harris, Montgomery, Walker, San Jacinto, Liberty, Chambers, Galveston, Grimes, Fort Bend, Brazoria, and Waller. Texas is the leading state in the United States for ignition interlock devices (leading in terms of number of units on the road) and this will be our second service center in the state. This is in keeping with our general goal to have centers servicing the entire state of Texas. In exchange for the exclusive rights in these Texas counties, BD&H paid us a onetime software license and support fee of $10,000, as well as a $150 per unit registration fee and $35 per month for each BDI-747/1 unit BD&H has in their inventory or on the road beginning thirty (30) days after BD&H receives the unit. We received the $10,000 license and support fee on or about January 6^th, 2016.