THE PHYSICIAN'S SHIELD

Services Provided by

Medical Justice Services Inc.

INTRODUCTION

Medical Justice Services Inc. (Medical Justice) has been established to deter the pursuit of
frivolous malpractice claims and lawsuits and to make available services to physicians, medical
doctors, and other medical specialists (Providers) who have been subjected to such lawsuits. The
primary purpose of this Plan is to prevent meritless claims. This principal objective is addressed
through the use of copyrighted template language and the implementation of a patient- physician
contract, in which the parties agree in advance to use only qualified and competent expert
witnesses in any potential claim, among other items ("Deterrence Plan Benefits"). The
secondary purpose of this Plan is to enable Providers with effective responses and recourses if
such frivolous suits are filed. These responsive options to the filing of non-meritorious medical
malpractice lawsuits may include the ability to file counterclaims in such a suit, to pursue
effective complaints against medical experts and others in their professional societies and in
other administrative venues, and to bring potential counterclaims against the Plaintiffs.
("Responsive Plan Benefits"). The Plan Benefits are provided by or administered by Medical
Justice to current individual Plan Members of Medical Justice.

I. DETERRENCE BENEFITS

Plan Deterrence Benefits include the licensing of copyrighted contract template language to Plan
Members. Plan Members are licensed to incorporate this language into a patient- physician
contract (Patient Contract), preferably with the assistance of an attorney licensed in the State
where they practice. Through this licensed contractual language, patients agree in advance only
to bring meritorious medical malpractice claims against the Provider. Both parties mutually agree
that they will only use expert witnesses who are certified by the American Board of Medical
Specialties in the same specialty as the Provider and members of the medical specialty society to
which the Provider belongs. The licensed contractual language recognizes patients’ rights to
pursue meritorious malpractice claims or suits. The parties also acknowledge the detrimental
effect of frivolous malpractice lawsuits on the cost and availability of medical care to all patients.

The Deterrence Plan Benefits, including the use of the copyrighted license contract template
language, is provided to current individual Plan Members of Medical Justice as long as the Plan
Member remains active with a prospective plan. These benefits do not cover non-member
providers who are partners, shareholders, members, or other principals of a professional
organization or entity that contains a Medical Justice Plan Member.

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II. RESPONSE BENEFITS

The Response Plan Benefits set forth in this section are available to any Plan Member who has
been named as a Defendant in an action in a Court of Law (or arbitration) for medical
malpractice, in whole or in part. The Plan Benefits set forth in sections B and C below are
available to individual Plan Members for whom there has been a termination in favor of the Plan
Member. “Termination in favor of the Plan Member” means that (a) the patient (or
representative) received no recovery from the malpractice claim or lawsuit; (b) the Plan
Member prevailed on the merits; and (c) court or arbitration forum found and concluded Plan
Member had no liability.

A. Counterclaim in Malpractice Lawsuit -- If a patient violates the contract by bringing a

frivolous lawsuit or attempting to use an unqualified expert witness, a counterclaim may
be brought against the patient in the underlying suit. An unqualified expert witness
would be one that was not board-certified in the Provider’s specialty and a member of the
Provider's medical specialty society. Such a counterclaim could be filed by the attorney
defending the Provider directly in response to the malpractice lawsuit. Such a
counterclaim could seek dismissal of the lawsuit. It could also seek to prevent the use of
the unqualified expert witness in the suit and thereby force the patient either to obtain a
qualified expert or dismiss the suit.

B. Medical Malpractice Expert Witnesses Testimony --If a lawsuit is terminated in favor

of a Plan Member, Medical Justice will provide services in connection with potential
complaints or proceedings before administrative bodies or professional societies. Upon
Plan Member’s delivering of documents detailing full expert witness testimonial record,
Medical Justice will arrange for review and analysis of the delivered medical malpractice
expert witnesses’ testimony provided during discovery or at trial/arbitration in the
terminated lawsuit. This review and analysis typically is performed by other Plan
Member Providers, who agree to do so as part of their membership. This medical
analysis will address whether the expert’s conduct or testimony violated any of the
guidelines or codes of conduct for such professional agencies or societies. If this
analysis determines that such guidelines or codes were violated, Medical Justice may
proceed, in its sole discretion, with filing and pursuing a complaint against the expert
witness with the respective agencies or societies in its own name whenever permitted. If
such a complaint must be filed by the Plan Member Provider, Medical Justice will
provide the Plan Member with all information it developed in the above review and
analysis to assist with filing such a complaint with one or more of the following:
(a) National, State or County Medical Associations,
(b) Fellowships of National or State Specialty Societies,
(c) State Agencies for Physician Disciplinary Action,
(d) State Medical Licensing Boards, or
(e) American Board of Medical Specialties.

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 C. Countersuits -- If a lawsuit has been terminated in favor of a Plan Member, a countersuit
potentially also may be brought against the Patient for breach of the Patient Contract and
possibly other claims. The Plan Member may pursue such a potential countersuit
directly. Alternatively, the Plan Member may submit a request that Medical Justice
accept an assignment of the plan member's breach of Patient Contract claim. If such a
request is submitted, Medical Justice will conduct a review and analysis to determine
whether it is willing to accept such an assignment of this claim. Based on this review
and analysis, Medical Justice will determine, in its sole and exclusive discretion, whether
to accept the requested assignment of such a claim.

If Medical Justice decides to accept the assignment, it will retain a locally-licensed

attorney to prepare and file a counterclaim complaint, conduct discovery and fully
prosecute said counterclaim within all legal and ethical boundaries. If Medical Justice
accepts the assignment, it will file and pursue the claim in its own name and will pay up
to $100,000 per assignment all the attorney's fees and expenses necessary to pursue the
matter. Medical Justice reserves the right to dismiss or conclude such claims in its sole
discretion. Any potential damages recovery from the countersuit will go to Medical
Justice and will be used to further the organization’s purposes (in the aggregate interests
of its members) noted above, including potentially paying the fees and expenses to
pursue future counterclaims in other matters. If Medical Justice declines to accept the
assignment of the breach of patient contract claim, the Plan Member retains the option of
pursuing such counterclaims directly.

III. OBLIGATIONS OF PLAN MEMBERS

The Plan Member shall notify Medical Justice in writing within 60 days of the termination in
favor of the Plan Member that the Plan Member wishes to exercises the Plan’s Responsive
Benefits. The Plan Member must cooperate with Medical Justice and furnish necessary and
relevant notes, records, copies of interviews, and shall assist Medical Justice in gathering
evidence and relevant materials and give necessary testimony by affidavit, deposition or at
trial/arbitration where the Plan Member elects to have Medical Justice pursue any remedies
directly. Plan Members also agree to participate in a medical review set forth in Section II.B
above for not more than a maximum of one case per year. Such review would be confined to the
specialty or area of expertise of the Plan Member.

IV. EXCLUSIONS

1. No Responsive Plan Benefits are provided unless the underlying medical malpractice
action has been terminated in favor of the Plan Member.
2. Pre-existing matters are not covered. No Responsive Plan Benefits will be provided
for alleged acts of malpractice alleged to have occurred before the effective date of
the Plan.
3. (A separate plan can be purchased for pre-existing cases not yet Terminated in Favor of
Plan Member. This is outlined in part V, paragraph 4.)
4. Any action filed by the named Plan Member or its representative without notice to the
Company by the Plan Member against any proponents alleging medical malpractice
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 against the Plan Member.
5. Any lawsuits filed against the Plan Member not considered medical malpractice. Any
action against Plan Member's role as Medical Director or for credentialing.
6. Any action filed relating to abuse of prescription or controlled substances or substances
requiring a Drug Enforcement Agency number.
7. Any penalties or judgments awarded against any Plan Member or ordered by any court.
8. Any matter that is not specifically listed in this Plan as a benefit under the Plan.
9. Other legal matters that are not medical malpractice including but not limited to
employment matters, managed care contract matters, disputes with hospitals or other
licensed health care facilities, real estate matters, taxation matters, and sexual harassment
matters.
10. Any action arising out of or related to use or abuse of any illegal substance, intoxicants,
or similar substances.
11. Any action arising out of or related to any fraudulent or dishonest acts, malicious acts or
omissions, or any acts of moral turpitude.
12. Any other legal matters that are not medical in nature.
13. Benefits are personal to individual Plan Member. No benefits accrue to Plan Member’s
shareholders, partners, LLC members, or corporate equivalents.

V. CONDITIONS PRECEDENT

1. The Plan Member shall notify the Plan in writing within 60 days of the "termination in
favor of the Plan Member" and of the Plan Member's desire to pursue Responsive Plan
Benefits.
2. The alleged act of malpractice complained of by the Plaintiff in the medical malpractice
suit must have occurred while coverage for the Plan Member was in effect under this
Plan.
3. For benefits to be available for a particular action, coverage under this Plan must have
been in force continuously, without lapse or termination, from and including the time of
the alleged act to and including the filing of the countersuit.
4. Not withstanding the provision of part IV, paragraph 3, coverage may be purchased for
pre-existing cases not yet Terminated in Favor of Plan Member for up to ten years prior
to the application and effective dates of this Plan and the Plan Member agrees that the
Plan Member will be responsible for a co-payment (as defined in the Endorsement) of all
reasonable claims or benefits provided to said health professional under the terms and
conditions of this Plan for these specific pre-existing cases. This prior year provision
will not apply to any existing or known to exist malpractice cases unless revealed to the
company and agreed to in writing between Medical Justice and the physician.

VI. GENERAL PROVISIONS

Nothing in this agreement precludes a Plan Member from obtaining (at his or her own
expense) separate or independent services from those that may be offered by this Plan.

All unresolved disputes, controversies, or legal claims arising out of, relating to, or in connection
with Benefits related to the Physician's Shield (or its Endorsements), or breach, termination or
validity thereof, shall be submitted to binding arbitration conducted in accordance with the rules
of the American Arbitration Association. Such arbitration shall take place in Greensboro, North
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Carolina, and North Carolina law will govern all issues. The determination of the arbitrator(s)
shall be conclusive and binding on the parties, and any determination by the arbitrator(s) of an
award may be filed with the clerk of a court of competent jurisdiction as a final adjudication of
the claim involved, or application may be made to such court for judicial acceptance of the
award and an order of enforcement, as the case may be. The arbitrator(s) shall designate the
party to bear the expenses of the arbitrator(s) or the respective amounts of such expense to be
borne by each party.

The parties understand that the Physician's Shield (and its Endorsements) contain an
agreement to arbitrate. After adoption of this agreement the parties understand that
neither will be able to bring a lawsuit concerning any dispute that may arise which is
covered by the arbitration agreement, unless it involves a question of constitutional rights.
Instead, each party agrees to submit any such dispute to an impartial arbitrator or
arbitrators.

The Physician's Shield (and eligibility for Plan Benefits) will begin at 12:01 Eastern Standard
Time on _____________ and terminate on ________________(unless renewed). If the
aforementioned start and termination dates are blank, they will alternatively be labeled on the
attached receipt for payment. Reapplication for continued coverage is required and renewability
is not guaranteed.

The Physician's Shield is the plan itself and the application/receipt for plan membership. The
application has a release / disclaimer (which is also stated in the Physician's Shield) which
should be read carefully. No change of the terms is valid unless an Endorsement (signed by an
executive officer of Medical Justice) is attached to the Physician's Shield. No agent has the
authority to change any of the provisions

Medical Justice reserves the right to assign the revenue and service obligations to a licensee.

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RELEASE / DISCLAIMER / OTHER PROVISIONS

Plan member understands that restricted licenses to use copyrighted intellectual property will be
granted and services will be provided as outlined in the contract. Restricted licensed use of the
template language (or essentially similar language), in part or in whole, in any format, is granted
only to current individual plan members of Medical Justice Services, Inc. and only for the time
interval that the plan membership is documented as being active with prospective plan. License
is not granted to non-member doctors who are partners, shareholders, or members of a corporate
entity containing a Medical Justice member. I also understand that the licenses are not granted
related to the use of any trade-named product, trade-named professional service or procedure,
and/or franchise entity. Further, Plan member may not sublicense any rights licensed to me
under this agreement. Template language, if used, like all agreements, should be reviewed with
plan member’s local counsel.

Plan member authorizes for plan membership dues to be collected as indicated above or by any
other method plan member should change to in the future. Plan member understands and agrees
no refunds, credits, or rebates will be offered, allowed, or tendered; prorated or otherwise.

Plan member understands that any attorney-client relationship, if applicable, is confidential and
such relationship is with plan member’s attorney and not with Plan Sponsor.

Plan member represents that no person to be covered under the plan is now involved in any
litigation, court proceedings, or other matter which could result in legal action except to the
extent that it has been fully disclosed and specific coverage agreed to in writing by Medical
Justice Services, Inc. Examples of "other matter(s) which could result in legal action" include,
but are not limited to (a) Request for records by patient and/or attorney; (b) Request for pre-
litigation panel evaluation; (c) Intent to sue or equivalent (including any procedure for extending
statute of limitations); (d) Request for arbitration or mediation; (e) Demand for refund or any
threat by patient that litigation is one of several next steps; (f) Complaint to government bodies,
such as Medical Board or equivalent, Federal Trade Commission; or Attorney General; (g)
Complaint to consumer advocacy group(s); (h) Summons; or (i) High-risk medical event, known
to provider, likely to escalate into legal action; for example, wrong-sided surgery; retained
sponge; unexpected death.

Plan member certifies that he has an active license to practice medicine in the state for which
coverage is being applied (as referenced in the application – paper or website). Said license is
without Restrictions and without sanctions imposed by licensing authority. Plan member also
practices medicine primarily in the referenced state. Plan member represents, that to the best of
his knowledge, all information provided to the Plan Sponsor is true and correct.

Plan member understand that he has a positive obligation to review the web site from time to
time to verify that the data representing him is true and accurate. If the data is found to be
inaccurate or missing, for any reason whatsoever, plan member understand he must notify
Medical Justice Services, Inc. immediately to have the data corrected.

Plan member understands the Plan has specific conditions that must be met before benefits are
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provided. Plan member also understands there are specific circumstances that are not covered by
the Plan. No guarantee or warranty of result is implied including, but not limited to
counterclaim(s) in any venue; current or future malpractice case(s). Plan member agrees to
indemnify and hold harmless, Medical Justice Corp., Medical Justice Services Inc., Jeffrey
Segal, Medical Justice Client Services LLC, any or all of its principals, officers, directors,
employees, licensees, or affiliates against any claim and/or consequential, indirect, incidental,
punitive, or special damages. The Plan represents the entire contract. Statements by brokers or
agents are not part of this contract.

Only an Executive Officer of the Plan Sponsor or Medical Justice Services, Inc. can approve a
change in this contract. Approved changes must be contained in a written amendment to the Plan
document signed in ink. Email or other electronic statements will not be binding on Plan
Sponsor or Medical Justice Corp. or Medical Justice Services, Inc.