TO THE CLERK OF THE UNITED STATES DISTRICT COURT FOR

THE SOUTHERN DISTRICT OF CALIFORNIA:

Plaintiff and Counter-Defendant e.Digital Corporation (“e.Digital” or

“Plaintiff”); and, Defendant and Counterclaimant Mach Speed Technologies LLC

(“Mach Speed” or “Defendant”) by their undersigned counsel, hereby present this

joint stipulation and notice of dismissal.

Plaintiff and the Defendant are collectively referred to hereafter as “the

Parties.” The Parties stipulate and provide notice as follows:

Plaintiff and Defendant have reached an agreement on a settlement of all

claims brought in this action.

On the basis of the settlement reached, the Parties hereby stipulate and agree

as follows:

1) Plaintiff hereby voluntarily dismisses all claims brought in this matter

against Defendant and Counterclaimant Mach Speed WITH

PREJUDICE.

2) Defendant Counterclaimant Mach Speed hereby voluntarily dismiss

all of its counterclaims brought in this matter against Plaintiff and

Counter-Defendant e.Digital WITH PREJUDICE; and,

3) Each party shall bear its own costs and attorneys’ fees.

Thus, it is thereby respectfully requested, in accordance with Federal Rules

of Civil procedure 41(a)(1)-(2), that the Court enter an order as follows:

1) Plaintiff and Counter-Defendant e.Digital Corporation’s claims made

it in its Complaint (Docket #1) against Mach Speed are dismissed

WITH PREJUDICE;

2) Defendant and Counterclaimant Mach Speed’s counterclaims (Docket

#38) are hereby dismissed WITH PREJUDICE; and,

3) Each party shall bear its own costs and attorneys’ fees.

Pursuant to Local Civil Rule 7.2, the parties hereto will separately submit a

Proposed Order granting the relief requested.

Dated: December 13, 2013

Dated: December 13, 2013

BILLINGSLEY & ASSOCIATES

By: /s/J. Wes Billingsley ______

J. Wes Billingsley

Attorneys for Defendant and

Counterclaimant

Mach Speed Technologies, LLC