Plaintiff e.Digital Corporation (“e.Digital”) and Defendant Nikon Inc. (“Nikon”) hereby move for a partial stay, through February 28, 2009, of this action as it relates to the claims and counter-claims that e.Digital and Nikon have asserted against each other. In support of this Joint Motion, e.Digital and Nikon state as follows:

1. e.Digital and Nikon have reached a settlement of their dispute and are finalizing a settlement agreement. e.Digital and Nikon expect to file a joint dismissal of their claims and counter-claims against each other by February 28, 2009.

2. In light of the impending dismissal of e.Digital’s and Nikon’s claims and counterclaims against each other, a stay is necessary to avoid the parties expending unnecessary costs and resources.

3. The granting of this Motion will not prejudice any party and is being sought in good faith and not for the purpose of delay or any other improper purpose.