A settlement having been reached, Plaintiff e.Digital Corporation and Defendant LG Electronics USA, Inc. (“Settlement Defendant”), through their undersigned counsel, hereby move for an order that the Plaintiff’s claims for relief against the Settlement Defendant in the above-styled case and the Settlement Defendant’s counterclaims in the above-styled case be dismissed with prejudice.

The parties stipulate that the Court shall retain jurisdiction over any disputes arising out of or related to the parties’ confidential Patent License and Settlement Agreement, and that each party shall bear its own costs and attorneys’ fees.

A proposed form of Order is submitted herewith.

DATED: October 14, 2008.