DURHAM JONES & PINEGAR, P.C.

David W. Tufts (8736) Erin T. Middleton (10666) 111 E. Broadway, Suite 900 Salt Lake City, Utah 84111 Attorneys for digEcor, Inc.

Samuel C. Straight (7638)

Ryan B. Bell (9956)

36 South State Street, Suite 1400

Salt Lake City, Utah 84111

Attorneys for Defendants e.Digital Corporation, William Blakeley and Fred Falk

Pursuant to Rule 41(a)(1)(ii) and (c) of the Federal Rules of Civil Procedure, plaintiff digEcor, Inc. ("digEcor"), defendant and counterclaim Plaintiff e.Digital Corporation ("e.Digital"), and defendants William Blakeley and Fred Falk, by and through their undersigned

counsel, stipulate and hereby request that the Court enter an Order dismissing, with prejudice,

the following:

The Tenth Claim for Relief (Lanham Act (Federal Unfair Competition)), Eleventh

Claim for Relief (Common Law Unfair Competition), and Twelfth Claim for Relief (Statutory

Unfair Competition) set forth in digEcor's Amended Complaint (dkt 84), and

All claims in digEcor's pleadings against all individual defendants, William

Blakeley and Fred Falk;

The Sixth Counterclaim (Tortious Interference with Contractual and Expected

Business Relations) and Seventh Counterclaim (Defamation) set forth in e.Digital's Second

Amended Counterclaim (dkt 78); and

All counterclaims remaining in e.Digital's pleadings that seek any monetary

damage award against digEcor.

Nothing in this stipulation or the accompanying order is intended to alter or affect any

previous stipulated dismissals, with or without prejudice, of counterclaims in this case.

The parties stipulate and agree that these claims and counterclaims are to be dismissed

with prejudice, each party to bear its own attorneys' fees and costs incurred with respect to these

claims and counterclaims.

The parties request that the Court enter the order submitted herewith.