Exhibit 5 MCLAUGHLIN & STERN, LLP 260 MADISON AVENUE 18TH FLOOR NEW YORK, NEW YORK 10016 (212) 448-1100 FAX (212) 448-0066 Richard J. Blumberg Direct Phone: (212) 448-6205 New Jersey Office Millbrook Office 411 Hackensack Avenue Franklin Avenue Hackensack, New Jersey 07601 P.O. Box 1369 (201) 488-1105 Millbrook, New York 12545 Fax (201) 488-3679 (914) 677-5700 Fax (914) 677-0097 June 16, 1998 United States Securities and Exchange Commission 450 Fifth Street, N.W. Washington, D.C. 20549 Re: X-ceed, Inc. Gentlepersons: Reference is made to the Registration Statement on Form S-3 (the "Registration Statement") filed with the Securities and Exchange Commission by X-ceed, Inc. (the "Company"). We hereby advise you that we have examined originals or copies certified to our satisfaction of the Company's Certificate of Incorporation, minutes of the meetings of the Board of Directors and Shareholders and such other documents and instruments, and we have made such examination of law as we have deemed appropriate as a basis for the opinions hereinafter expressed. Based on the foregoing, we are of the opinion that: 1. The Company has been duly incorporated and is validly existing and in good standing under the laws of the State of Delaware. 2. The 100,000 Shares of Common Stock (the subject of the Registration Statement on Form S-3) subject to the exercise of options pursuant to the terms of the options granted to the Selling Shareholders will, upon issuance and the payment of the consideration provided to exercise such options, be validly issued, fully paid and non-assessable. In addition, we hereby consent to the reference to this Firm in this Registration Statement and to the filing of this opinion as an Exhibit to the Registration Statement. Very truly yours, /s/ McLaughlin & Stern, LLP McLAUGHLIN & STERN, LLP