-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Lxvxpoxp9uQJMy5cGJBGlYSHawvRu6vvQQ9bSQ5nmbWaaVET1tV9sNasMOuSae6z VjSkaHfhcC2KX6Y4hT8WDQ== 0001047469-03-011871.txt : 20030404 0001047469-03-011871.hdr.sgml : 20030404 20030404080853 ACCESSION NUMBER: 0001047469-03-011871 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 20030404 GROUP MEMBERS: BIENVENU MANAGEMENT, LLC GROUP MEMBERS: BROKEN ARROW I, L.P. GROUP MEMBERS: CHARTER OAK PARTNERS, L.P. GROUP MEMBERS: DANIEL HOOGTERP GROUP MEMBERS: EDWARD SANCHEZ, JR. GROUP MEMBERS: EMPIRE CAPITAL MANAGEMENT, L.L.C. GROUP MEMBERS: EMPIRE CAPITAL PARTNERS, L.P. GROUP MEMBERS: EMPIRE GP, L.L.C. GROUP MEMBERS: JAMES DENNEDY GROUP MEMBERS: MICHAEL P. WODOPIAN GROUP MEMBERS: PETER J. BONI GROUP MEMBERS: PETER J. RICHARDS GROUP MEMBERS: RODNEY BIENVENU GROUP MEMBERS: SCOTT A. FINE GROUP MEMBERS: SEAN P. SEARS GROUP MEMBERS: STRATEGIC SOFTWARE HOLDINGS, LLC FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: STRATEGIC SOFTWARE HOLDINGS LLC CENTRAL INDEX KEY: 0001208084 IRS NUMBER: 300091524 STATE OF INCORPORATION: CT FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 1465 POST ROAD EAST 2ND FLOOR CITY: WESTPORT STATE: CT ZIP: 06880 BUSINESS PHONE: 2032597387 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: MERCATOR SOFTWARE INC CENTRAL INDEX KEY: 0001039276 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 061132156 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-51317 FILM NUMBER: 03639406 BUSINESS ADDRESS: STREET 1: 45 DANBURY RD CITY: WILTON STATE: CT ZIP: 06897 BUSINESS PHONE: 2037617600 MAIL ADDRESS: STREET 1: 45 DANBURY CITY: WILTON STATE: CT ZIP: 06897 FORMER COMPANY: FORMER CONFORMED NAME: TSI INTERNATIONAL SOFTWARE LTD DATE OF NAME CHANGE: 19970514 SC 13D/A 1 a2107658zsc13da.txt SC 13D/A UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ---------- SCHEDULE 13D UNDER THE SECURITIES EXCHANGE ACT OF 1934 (Amendment No. 4) MERCATOR SOFTWARE, INC. - -------------------------------------------------------------------------------- (Name of Issuer) COMMON STOCK, PAR VALUE $0.01 PER SHARE - -------------------------------------------------------------------------------- (Title of Class of Securities) 587587106 - -------------------------------------------------------------------------------- (CUSIP Number) with a copy to: Rodney Bienvenu Kyle C. Badger Strategic Software Holdings, LLC McDermott, Will & Emery 1465 Post Road East, Second Floor 227 West Monroe Westport, Connecticut 06880 Chicago, Illinois 60606 Tel. No.: (203) 259-7387 Tel. (312) 372-2000 - -------------------------------------------------------------------------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) APRIL 1, 2003 - -------------------------------------------------------------------------------- (Date of Event which Requires Filing of this Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition which is the subject of this Schedule 13D, and is filing this statement because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following box: [ ] The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the act (however, see the Notes). 1 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON BROKEN ARROW I, L.P. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) 38-3664612 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES 1,672,500 BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,672,500 ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,672,500 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.76% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- 2 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON STRATEGIC SOFTWARE HOLDINGS, LLC I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) 30-0091524 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION CONNECTICUT - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- 3 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON BIENVENU MANAGEMENT, LLC I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION CONNECTICUT - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- 4 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON RODNEY BIENVENU I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 5 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON JAMES DENNEDY I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 6 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON EMPIRE CAPITAL PARTNERS, L.P. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- 7 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON EMPIRE GP, L.L.C. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF/OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- 8 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON EMPIRE CAPITAL MANAGEMENT, L.L.C. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF/OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- 9 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON SCOTT A. FINE I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF/OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 10 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON PETER J. RICHARDS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF/OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON SEE ITEM 5 WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER SEE ITEM 5 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON SEE ITEM 5 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) SEE ITEM 5 - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 11 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON CHARTER OAK PARTNERS, L.P. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION CONNECTICUT - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES 906,900 BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 906,900 ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 906,900 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.58% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- 12 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON PETER J. BONI I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS N/A - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON -0- - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) N/A - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 13 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON DANIEL HOOGTERP I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS N/A - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON -0- - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) N/A - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 14 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON EDWARD SANCHEZ, JR. I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF/PF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES 17,410 BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -19,200- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 17,410 ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -19,200- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 36,610 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.10% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 15 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON SEAN P. SEARS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS PF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES 3,450 BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 3,450 ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 3,450 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.01% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 16 SCHEDULE 13D CUSIP NO. 587587106 - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON MICHAEL R. WODOPIAN I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS N/A - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF SHARES -0- BENEFICIALLY ------------------------------------------------------- OWNED BY EACH 8 SHARED VOTING POWER REPORTING PERSON -0- WITH ------------------------------------------------------- 9 SOLE DISPOSITIVE POWER -0- ------------------------------------------------------- 10 SHARED DISPOSITIVE POWER -0- - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON -0- - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) N/A - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- 17 SCHEDULE 13D The following constitutes Amendment No. 4 to the Schedule 13D filed by the undersigned on November 29, 2002, as amended on February 4, 2003, March 14, 2003 and March 31, 2003, and amends such Schedule 13D only to the extent set forth herein. ITEM 1. SECURITY AND ISSUER This Amendment No. 4 to Schedule 13D relates to the Common Stock, par value $0.01 per share (the "Common Stock") of Mercator Software, Inc., a Delaware corporation (the "Issuer"), having its principal executive offices at 45 Danbury Road, Wilton, Connecticut 06897. ITEM 2. IDENTITY AND BACKGROUND This Amendment No. 4 to Schedule 13D is filed by Broken Arrow I, L.P., a Delaware limited partnership ("Broken Arrow"); Strategic Software Holdings, LLC, a Connecticut limited liability company ("SSH"); Bienvenu Management, LLC, a Connecticut limited liability company ("Bienvenu Management"), Rodney Bienvenu, James Dennedy, Empire Capital Partners, L.P., a Delaware limited partnership ("Empire Capital"); Empire GP, L.L.C., a Delaware limited liability company ("Empire GP"); Empire Capital Management, L.L.C., a Delaware limited liability company ("Empire Capital Management") Charter Oak Partners, L.P., a Connecticut limited partnership ("Charter Oak"), Scott A. Fine, Peter J. Richards, Peter J. Boni, Daniel Hoogterp, Edward Sanchez, Jr., Sean P. Sears and Michael R. Wodopian (all of such persons, collectively, the "Reporting Persons"). ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION The shares of Common Stock originally purchased by Broken Arrow were purchased with working capital of Broken Arrow received as proceeds from a loan to Broken Arrow by Empire Capital. Empire Capital loaned Broken Arrow $2,000,000 on November 14, 2000, which loan is evidenced by a Secured Demand Note in the stated principal amount of $2,300,000 with no stated interest. The Secured Demand Note is secured by a first priority lien on all of the property of Broken Arrow, including any property of Broken Arrow acquired after the date thereof, which would include the Common Stock of the Issuer held by Broken Arrow. The Secured Demand Note is payable upon demand after 90 days notice. A copy of the Secured Demand Note is attached hereto as Exhibit 7.10. ITEM 4. PURPOSE OF TRANSACTION On April 1, 2003, SSH held a meeting with the Issuer to discuss the terms of a proposal to acquire the Issuer contained in a letter from SSH to the Issuer dated March 31, 2003. SSH had hoped to have a meaningful, collaborative discussion on all elements of its proposal and to discuss the basis on which the parties could come to a friendly agreement. The Issuer refused to discuss such terms or to discuss the basis on which the parties could come to a friendly agreement. A copy of SSH's press release with regard to the meeting was filed with the Securities and Exchange Commission on April 1, 2003. 18 ITEM 5. INTEREST IN SECURITIES OF THE ISSUER (a) and (b) Empire Capital does not directly own any shares of Common Stock but because it holds a 25% interest in SSH, it may be deemed to be a beneficial owner of the 1,672,500 shares of Common Stock representing 4.76% of the outstanding shares of Common Stock held by Broken Arrow. In addition, all investment decisions with regard to Broken Arrow are subject to the determinations of the Investment Committee, which is comprised of a representative of SSH and a representative of Empire Capital. (c) None of the Reporting Persons has purchased or sold any of the Issuer's Common Stock since the date of the their most recent filing on Schedule 13D. ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER Empire Capital loaned Broken Arrow $2,000,000 on November 14, 2000, which loan is evidenced by a Secured Demand Note in the stated principal amount of $2,300,000 with no stated interest. The Secured Demand Note is secured by a first priority lien on all of the property of Broken Arrow, including any property of Broken Arrow acquired after the date thereof, which would include the Common Stock of the Issuer held by Broken Arrow. The Secured Demand Note is payable upon demand after 90 days notice. A copy of the Secured Demand Note is attached hereto as Exhibit 7.10. ITEM 7. MATERIAL TO BE FILED AS EXHIBITS Exhibit 7.10 Secured Demand Note 19 SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Dated: April 1, 2003 By: /s/ Rodney Bienvenu ------------------------------------ Rodney Bienvenu, individually, and as Chairman & CEO of Strategic Software Holdings, LLC, for itself and as general partner of Broken Arrow I., L.P., and as the sole member of RB Holdings, LLC as a member of Bienvenu Management, LLC By: /s/ James Dennedy ------------------------------------ James Dennedy, individually, and as a member of Bienvenu Management, LLC By: /s/ Scott A. Fine ------------------------------------ Scott A. Fine, individually, and as managing member of Empire GP, L.L.C., and as general partner of Empire Capital Partners, L.P.; and as managing member of Empire Capital Management, L.L.C., and as attorney-in-fact of Charter Oak Partners, L.P. By: /s/ Peter J. Richards ------------------------------------ Peter J. Richards, individually, and as managing member of Empire GP, L.L.C., and as general partner of Empire Capital Partners, L.P.; and as managing member of Empire Capital Management, L.L.C., and as attorney-in-fact of Charter Oak Partners, L.P. By: /s/ Peter J. Boni ------------------------------------ Peter J. Boni By: /s/ Daniel Hoogterp ------------------------------------ Daniel Hoogterp By: /s/ Edward Sanchez, Jr. ------------------------------------ Edward Sanchez, Jr. 20 By: /s/ Sean P. Sears ------------------------------------ Sean P. Sears By: /s/ Michael R. Wodopian ------------------------------------ Michael R. Wodopian 21 EX-7.10 3 a2107658zex-7_10.txt EX-7.10 EXHIBIT 7.10 THIS HAS BEEN ACQUIRED FOR INVESTMENT PURPOSES ONLY AND NOT WITH A VIEW TO DISTRIBUTION. THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), NOR UNDER ANY STATE SECURITIES LAW, AND MAY NOT BE OFFERED FOR SALE, SOLD, PLEDGED OR TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT PURSUANT TO THE ACT AND SUCH LAWS OR AN EXEMPTION FROM SUCH REGISTRATION REQUIREMENTS. TRANSFER OF THIS NOTE IS RESTRICTED BY THE TERMS HEREOF. BROKEN ARROW I, L.P. SECURED DEMAND NOTE NOVEMBER 14, 2002 U.S. $2,300,000 BROKEN ARROW I, L.P., a Delaware limited partnership ("MAKER"), hereby promises to pay to EMPIRE CAPITAL PARTNERS, L.P. (together with its successors and assigns, the "HOLDER") under the terms of this secured demand note (this "NOTE") the sum of Two Million Three Hundred Thousand Dollars (U.S.$ 2,300,000) (the "PRINCIPAL") on the date which is the earlier of (i) any date on which Holder delivers written notice to Maker demanding payment, PROVIDED, HOWEVER, that such date is no earlier than ninety (90) days after Maker receives such notice, and (ii) the date designated by Maker for prepayment in accordance with Section 1.2. (such earlier date is referred to as the "MATURITY DATE"). There is no interest on the Principal hereunder. The payment of Principal required hereunder shall be made in lawful money of the United States of America at such address as Holder shall hereafter give to Maker by written notice made in accordance with the provisions hereof. The following terms apply to this Note: ARTICLE I LOAN; PREPAYMENT 1.1 This Note is issued in connection with that certain Loan described above. 1.2 This Note may be prepaid, in whole or in part, without premium or penalty, and without the consent of Holder. If Maker desires to prepay this Note it shall provide Holder with written notice of Maker's intention to so prepay this Note setting forth the date of prepayment, and the amount thereof, which date shall be not less than 15 days from the date Holder receives such notice. ARTICLE II SECURITY INTEREST; COLLATERAL; MAKER COVENANTS 2.1 GRANT OF SECURITY INTEREST. Maker hereby grants to Holder a first priority security interest in and to all of the property, real, fixed, or intangible, accounts, securities, and any other property or assets of the Maker whatsoever, including without limitation, any property or assets acquired after the date hereof (including without limitation, any property or assets whatsoever received, or which the Maker as record holder thereof has the right to receive, with respect to any securities held by the Maker). Collectively any and all of such property and assets are referred to as the "COLLATERAL." Maker agrees to take or refrain from taking any and all actions necessary and proper to file, register or otherwise perfect the security interest hereby granted and in furtherance thereof. Maker represents and warrants that it has not, and hereby agrees that it will not, grant any security interest in or to any of the Collateral, or otherwise permit a lien or encumbrance B-1 thereon (other than liens for unpaid taxes and otherwise in accordance with applicable law protecting employees), without the prior written consent of the Holder. 2.2 MAKER DISTRIBUTIONS AND EXPENSES. Maker agrees not to make any distributions or other payments to its partners, general or limited, or to any other person, except for payment of ordinary and necessary expenses incurred in the ordinary course of business. ARTICLE III RESTRICTIONS ON TRANSFER This Note has been issued by Maker pursuant to the exemption from registration under the Securities Act of 1933 (the "ACT"). This Note may not be offered, sold or otherwise transferred unless (i) it first shall have been registered under the Act and applicable state securities laws or (ii) Maker shall have been furnished with an opinion of legal counsel (in form, substance and scope reasonably acceptable to Maker) to the effect that such sale or transfer is exempt from the registration requirements of the Act. In addition, this Note may not be sold, exchanged, transferred, assigned, pledged, encumbered, or otherwise disposed, nor may any right or interest herein be granted, other than (i) to a person who controls, is controlled by or is under common control with the Holder upon written notice by Holder to Maker, or (ii) with the prior written consent of the Maker. ARTICLE IV RESTRICTION ON INDEBTEDNESS Maker covenants that it will not incur, create, assume or guaranty any Indebtedness (as defined herein) without the consent of all of the Holders. "INDEBTEDNESS" means (i) any liability for borrowed money, (ii) any liability evidenced by a note or similar obligation given in connection with the acquisition of any property or other assets (other than trade accounts payable incurred in the ordinary course of business); (iii) all guaranties, endorsements and other contingent obligations, in respect of Indebtedness of others, whether or not the same are or should be reflected in the Company's balance sheet (or the notes thereto), except guaranties by endorsement of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business, and (iv) the present value of any lease payments due under leases required to be capitalized in accordance with applicable Statements of Financial Accounting Standards, determined by discounting all such payments at the interest rate determined in accordance with applicable Statements of Financial Accounting Standards. ARTICLE V EVENTS OF DEFAULT; REMEDIES; CHANGE OF CONTROL 5.1 EVENTS OF DEFAULT. Each of the following shall be an "EVENT OF DEFAULT" hereunder: (a) the nonpayment when due of any amount payable under this Note including any amendment, refinancing, renewal, substitution, extension and/or modification thereof (hereinafter collectively referred to as the "OBLIGATIONS"); (b) the occurrence of any breach, default, violation or event of default (howsoever defined) under the this Note or any other note, or any other agreement, instrument or document issued in connection with or arising out of any of the Obligations (the "LOAN DOCUMENTS"); (c) the Company is in default in the payment or other performance of any Indebtedness; (d) if Maker becomes insolvent or makes an assignment for the benefit of creditors, or if any petition is filed by or against Maker under any provision of any state or federal law alleging that Maker is insolvent or unable to pay debts as they mature or under any provision of the United States Bankruptcy Code; (e) the entry of any judgment against Maker which remains unsatisfied for thirty (30) days or the enforcement of the same remains unstayed or the issuing of any attachment, levy or garnishment against any property of Maker; or (f) the occurrence of any substantial change in the financial condition of Maker which, in the sole, reasonable judgment of the Holder, is materially adverse. 5.2 HOLDER'S RIGHTS UPON DEFAULT. Upon the occurrence of any Event of Default and without the necessity of giving any prior written notice to Maker, Holder may do any one or all of the following: (a) B-2 accelerate the maturity of this Note and all amounts payable hereunder and demand immediate payment thereof; and (b) exercise all of the rights, benefits, privileges and remedies of a secured party under the Connecticut Uniform Commercial Code (or under the laws of any other applicable jurisdiction) and all of Holder's rights and remedies under any of the Loan Documents. 5.3 CHANGE OF CONTROL. Upon the occurrence of any acquisition, merger, consolidation, recapitalization or other reorganization or combination involving Maker, any transaction or series of related transactions in which any person (or group of affiliated or related persons) shall have acquired beneficial ownership of more than 50% of the partnership interests in the Maker or any sale of all or substantially all of the assets of Maker, then, in any such case, all of the obligations under this Note shall become immediately due and payable. 5.4 APPLICATION OF FUNDS. All sums realized by Holder on account of this Note, from whatever source received, shall be applied first to any fees, costs and expenses (including reasonable attorneys' fees) incurred by Holder, second to accrued and unpaid interest hereunder, and then to the principal balance of this Note. Maker waives and releases any right to require Holder to collect any of the Obligations from any other collateral under any theory of marshaling of assets or otherwise, and specifically authorizes Holder to apply any collateral in which Maker has any right, title or interest against any of the Obligation in any manner that Holder may determine. 5.5 ATTORNEYS' FEES AND COSTS. In the event that Holder engages an attorney to represent it in connection with (a) any default, violation or event of default (howsoever defined) by Maker under any of the Loan Documents issued in connection with or arising out of the Obligations, (b) the enforcement of any of Holder's rights and remedies under any of the Loan Documents, or the negotiation and preparation of any amendment to any of the Loan Documents (c) any potential and/or actual bankruptcy or other insolvency proceedings commenced by or against Maker and/or (d) any actual litigation arising out of or related to any of the foregoing, the Loan Documents or any of the Obligations, then Maker shall be liable to and shall reimburse Holder on demand for all reasonable attorneys' fees, costs and expenses incurred by the Holder in connection with any of the foregoing. Maker shall also be liable and shall also reimburse Holder on demand for all other reasonable costs and expenses (including reasonable attorneys' fees) incurred by Holder in connection with the collection, preservation and/or liquidation of any collateral security for any of the Obligations and/or in the enforcement of the Obligations. ARTICLE VI MISCELLANEOUS 6.1 CHOICE OF LAW. Maker agrees to the exclusive jurisdiction of the federal and state courts located in Connecticut, without regard to principles of conflicts of laws, in connection with any matter arising hereunder, including the collection and enforcement hereof, except as the Holder may otherwise elect. This Note has been delivered to and accepted by holder in and shall be governed by the laws of the State of Connecticut. 6.2 WAIVER OF RIGHT TO JURY TRIAL. Maker hereby knowingly, voluntarily, and intentionally waives any rights it may have to a trial by jury in respect of any litigation based hereon or arising out of, under or in connection with this Note or any course of conduct, course of dealing, statements (whether verbal or written) or actions of holder. 6.3 FAILURE OR INDULGENCY NOT WAIVER. No failure or delay on the part of the Holder in the exercise of any power, right or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any such power, right or privilege preclude other or further exercise thereof or of any other right, power or privilege. All rights and remedies existing hereunder are cumulative to, and not exclusive of, any rights or remedies otherwise available. 6.4 NOTICES. All notices, requests, demands and other communications provided for hereunder shall be in writing (including telegraphic and facsimile communications with confirmation of receipt) and mailed, telegraphed or delivered to each applicable party (i) if to the Maker: Strategic Software Holdings, LLC, B-3 General Partner, 1465 Post Road East, Westport, CT 06880; and (ii) if to the Holder: One Gorham Island, Westport, CT 06880; or at such other address as to which such party may inform the other parties in writing in compliance with the terms of this Section. 6.5 AMENDMENT PROVISION. This Note and any provision hereof may be amended only by an instrument in writing signed by Maker and Holder. 6.6 ASSIGNABILITY. This Note shall be binding upon Maker and its successors and assigns and shall inure to be the benefit of Holder and its successors and assigns. 6.7 REPLACEMENT OF NOTE. Upon receipt of evidence reasonably satisfactory to Maker of the loss, theft, destruction or mutilation of this Note and, in the case of any such loss, theft or destruction, upon delivery of an indemnity agreement reasonably satisfactory in form and amount to Maker, or, in the case of any such mutilation, upon surrender and cancellation of this Note, Maker, at its expense, will execute and deliver, in lieu thereof, a new Note of like tenor. 6.8 INVESTMENT PURPOSE. The Holder of this Note, by acceptance hereof, agrees that this Note is being acquired for investment and that such Holder will not offer, sell or otherwise dispose of this Note except under circumstances that will not result in a violation of the Act or any applicable state securities laws or similar laws relating to the sale of securities. The Holder hereof also agrees, by acceptance hereof, to provide all required investment representations and documentation required to fulfill the requirements of Regulation D under the Act and the USA Patriot Act. 6.9 SEVERABILITY. In case any provision of this Note is held by a court of competent jurisdiction to be excessive in scope or otherwise invalid or unenforceable, such provision shall be adjusted rather than voided, if possible, so that it is enforceable to the maximum extent possible, and the validity and enforceability of the remaining provisions of this Note will not in any way be affected or impaired thereby. [The remainder of this page is blank; the signature page follows.] B-4 IN WITNESS WHEREOF, Maker has caused this Note to be executed this 14th day of November, 2002. BROKEN ARROW I, L.P. By: Strategic Software Holdings, LLC Its: General Partner ---------------------------------------- James Dennedy President Accepted and Agreed: EMPIRE CAPITAL PARTNERS, L.P. - ---------------------------------------- Peter Richards Duly Authorized Representative B-5 -----END PRIVACY-ENHANCED MESSAGE-----