PROMISSORY NOTE
$69,897 San Diego, California
October 26 , 1995
For value received, the undersigned hereby promises to pay to DAOU SYSTEMS,
INC., a California corporation, or order (the "Holder") at San Diego,
California, the principal amount of Sixty nine thousand eight hundred ninety
seven dollars ($69,897), plus interest accrued thereon.
This Promissory Note will bear six percent (6%) simple interest per annum,
whether prior to or after maturity. All principal and accrued interest will be
due and payable in one lump sum on the earlier to occur of (a) October 24, 2000,
and (b) the business day next preceding the date of filing of the initial draft
of a registration statement with respect to a firm commitment underwritten
public offering under the Securities Act of 1933 covering the offer and sale of
the Company's Common Stock. This promissory Note may be prepaid, in whole or
part, at any time without premium or penalty.
The provisions of this Promissory Note are intended by Maker to be
severable and divisible and the invalidity or unenforceability of a provision or
term in this Note will not invalidate or render unenforceable the remainder of
this Promissory Note or any part thereof.
This Promissory Note will be governed by and construed and interpreted in
accordance with the internal laws of the State of California.
/s/ Daniel Daou
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Daniel Daou
WITNESS:
/s/ Neil Cassidy
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Name: Neil Cassidy
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RECEIPT
DAOU SYSTEMS, INC., does hereby acknowledge receipt of ($69,896) as partial
payment of those certain loans to Daniel J. Daou as referenced in
Attachment 2.10 (b(iii)1) to the Schedule of Exceptions.
Dated: October 26, 1995 DAOU SYSTEMS, INC.
By: /s/ Neil Cassidy
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Neil Cassidy, Director of Finance
10360 Sorrento Valley Road - San Diego, California 92121 - TEL: (619) 452-221
FAX: (619) 452-1338