BUSINESS LOAN AGREEMENT
THIS BUSINESS LOAN AGREEMENT dated August 19, 2008, is made and executed between Nocopi
Technologies, Inc. (“Borrower”) and Sovereign Bank, a federal savings bank (“Lender”) on the following terms
and conditions. Borrower has received prior commercial loans from Lender or has applied to Lender for a
commercial loan or loans or other financial accommodations, including those which may be described on any
exhibit or schedule attached to this Agreement. Borrower understands and agrees that: (A) in granting, renewing,
or extending any Loan, Lender is relying upon Borrower’s representations, warranties, and agreements as set
forth in this Agreement; (B) the granting, renewing, or extending of any Loan by Lender at all times shall be
subject to Lender’s sole judgment and discretion; and (C) all such Loans shall be and remain subject to the terms
and conditions of this Agreement.
TERM. This Agreement shall be effective as of August 19, 2008, and shall continue in full force and effect until
such time as all of Borrower’s Loans in favor of Lender have been paid in full, including principal, interest, costs,
expenses, attorneys’ fees, and other fees and charges, or until such time as the parties may agree in writing to
terminate this Agreement.
ADVANCE AUTHORITY. The following person or persons are authorized to request advances and authorize
payments under the line of credit until Lender receives from Borrower, at Lender’s address shown above, written
notice of revocation of such authority: Michael Feinstein, President of Nocopi Technologies, Inc.
CONDITIONS PRECEDENT TO EACH ADVANCE. Lender’s obligation to make the initial Advance and
each subsequent Advance under this Agreement shall be subject to the fulfillment to Lender’s satisfaction of all of
the conditions set forth in this Agreement and in the Related Documents.
Loan Documents. Borrower shall provide to Lender the following documents for the Loan: (1) the Note;
(2) Security Agreements granti