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As filed with the Securities and Exchange Commission on May 1, 2006</B> </FONT></TD>
<TD WIDTH=30% align=right><FONT FACE="Times New Roman, Times, Serif" SIZE="1"><B>
Registration No. 333-</B> </FONT> </TD>
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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>SECURITIES AND
EXCHANGE COMMISSION <BR>
WASHINGTON, D.C. 20549 </FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=4>FORM S-8 </FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>REGISTRATION STATEMENT <BR>
UNDER THE SECURITIES ACT OF 1933 </FONT></H1>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=4>QSOUND LABS, INC. </FONT><BR>
<FONT FACE="Times New Roman, Times, Serif" SIZE=2>(Exact name of Registrant as specified in its charter) </FONT></P>

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<FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Alberta, Canada </B><BR>
(State or other jurisdiction of Incorporation <BR>
or organization) </FONT> </TD>
<TD WIDTH=50% align=center>
<FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>98-0152203 <BR>
</B>(I.R.S. Employer Identification No.) </FONT>
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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>400 &#150; 3115
12<SUP>th</SUP> Street NE <BR>
<U>Calgary, Alberta T2E 7J2</U> <BR>
Address of Principal Executive Offices </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="3"><B>Employee Stock Option
Plan <BR>
Stock Option Plan for Outside Directors <BR>
Stock Option Agreements between QSound Labs, Inc. and <BR>
Stanley McDougall, M. Patty Chakour, D. Tony Stelliga and Shawn Richards <BR></B> </FONT>
<FONT FACE="Times New Roman, Times, Serif" SIZE="2">(Full Title of the Plan) </FONT> </P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>M. Patty Chakour<BR>
5742 E. Le March Avenue, Scottsdale AZ 85254 <BR>
(Name, and address of agent for service) </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(602) 375-6468 <BR>
(telephone number, including area code, of agent for service) </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><I>Copies to: </I><BR>
Kimberley Anderson <BR>
Dorsey &amp; Whitney LLP <BR>
1420 Fifth Avenue, suite 3400 <BR>
Seattle, Washington 98101 </FONT> </P>


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<P align=center><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>CALCULATION OF REGISTRATION FEE</B> </FONT> </P>

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     <TD COLSPAN=10><HR NOSHADE COLOR=Black SIZE=1></TD></TR>
<TR VALIGN=Bottom>
     <TH COLSPAN=2 align=left>
<FONT FACE="Times New Roman, Times, Serif" SIZE="2">Title of Securities <BR>
to be Registered <SUP>(1)</SUP> </FONT></TH>
     <TH COLSPAN=2><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
   Amount to   <BR>
 Be Registered </FONT></TH>
     <TH COLSPAN=2>
<FONT FACE="Times New Roman, Times, Serif" SIZE="2">Proposed Maximum <BR>
Offering Price Per <BR>
Share <SUP>(1) </SUP></FONT></TH>
     <TH COLSPAN=2><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
  Proposed Maximum  <BR>
 Aggregate Offering <BR>
        Price       </FONT></TH>
     <TH COLSPAN=2><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
    Amount of     <BR>
 Registration Fee </FONT></TH></TR>
<TR>
     <TD COLSPAN=10><HR NOSHADE COLOR=Black SIZE=1></TD></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=26% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Common Shares to be issued upon</FONT></TD>
     <TD WIDTH=3% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=15% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>30,000</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=22% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$3.57 <SUP>(2)</SUP> </FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=15% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$  107,100</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=15% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$ 11.45</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>exercise of outstanding stock</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>options</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=10><HR NOSHADE COLOR=Black SIZE=1></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Common Shares to be issued upon</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>100,000</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$2.40 <SUP>(2)</SUP> </FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$  240,000</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$ 25.68</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>exercise of outstanding stock</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>options</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
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<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Common Shares to be issued upon</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>300,000</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$5.42 <SUP>(3)</SUP> </FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$1,626,000</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$173.98</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>exercise of options which may be</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>granted pursuant to the Option</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Plans</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=10><HR NOSHADE COLOR=Black SIZE=1></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Total</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>430,000</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$1,973,100</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$211.11</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>(1)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>Estimated
 solely for the purpose of calculating the  registration fee in accordance with Rule
457(c) and (h) under the Securities Act of 1933, as amended. </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>(2)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>Based
upon the actual option exercise price. </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>(3)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=1>Based
upon the average  high and low prices of our common  stock  reported on the NASDAQ
 Capital  Market for April 27, 2006. </FONT></TD>
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Page 1 of 7 pages. Exhibit Index begins at page 7. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The terms  &#147;QSound&#148;,  &#147;our company&#148;,
 &#147;the company&#148;,  &#147;we&#148;,  &#147;us&#148; and &#147;our&#148; as used in this prospectus on Form S-8 refer to
QSound Labs,  Inc. and its  subsidiaries,  including  QSound Ltd.,  QCommerce Inc. and
QTelNet Inc., as a combined  entity, except where the context requires otherwise. </FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>PART II INFORMATION REQUIRED
IN THE REGISTRATION STATEMENT </FONT></H1>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 3. &nbsp;&nbsp;Incorporation of
Certain Documents by Reference </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The documents listed below are
incorporated by reference in this Registration Statement. </FONT></P>

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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Our
latest annual report on Form 20-F filed pursuant to Section 13(a) or 15(d)           of
the Securities Exchange Act of 1934, as amended (the &#147;Exchange           Act&#148;)
for the fiscal year ended December 31, 2005.  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>b)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>All
other reports filed pursuant to Section 13(a) or 15(d) of the Exchange Act
          since the end of the fiscal year covered by the annual report incorporated by
          reference herein pursuant to (a) above.  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>c)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
description of our securities contained in our registration statement under           on
Form 20-F filed with the Securities and Exchange Commission on September 28,
          1988.  </FONT></TD>
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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>All documents filed by the Registrant
pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act after the date hereof
and prior to the filing of a post-effective amendment which indicates that all securities
offered have been sold or which deregisters all securities then remaining unsold, shall be
deemed to be incorporated by reference herein and to be a part hereof from the date of
filing of such documents. </FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 4. &nbsp;&nbsp;Description of
Securities </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Not Applicable.</FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 5. &nbsp;&nbsp;Interests of
Named Experts and Counsel </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Not Applicable.</FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 6. &nbsp;&nbsp;Indemnification
of Directors and Officers </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The laws of Alberta and QSound&#146;s
Articles permit indemnification of its directors and officers against certain liabilities,
which would include liabilities arising under the Securities Act of 1933, as amended. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Section 124 of the Alberta Business
Corporation Act (the &#147;ABCA&#148;) provides as follows: </FONT></P>

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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
124(1)&nbsp;&nbsp;
Except in respect of an
action by or on behalf of the corporation or body                     corporate to
procure a judgment in its favour, a corporation may indemnify a
                    director or officer of the corporation, a former director or officer
of the                     corporation or a person who acts or acted at the corporation&#146;s
request as a                     director or officer of a body corporate of which the
corporation is or was a                     shareholder or creditor, and the director&#146;s
or officer&#146;s heirs and                     legal representatives, against all costs,
charges and expenses, including an                     amount paid to settle an action or
satisfy a judgment, reasonably incurred by                     the director or officer in
respect of any civil, criminal or administrative                     action or proceeding
to which the director or officer is made a party by reason                     of being
or having been a director or officer of that corporation or body
                    corporate, if  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>the
director or officer acted honestly and in good faith with a view to the best
          interests of the corporation, and  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>in
the case of a criminal or administrative action or proceeding that is           enforced
by a monetary penalty, the director or officer had reasonable grounds           for
believing that the director&#146;s or officer&#146;s conduct was lawful.  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(2)
&nbsp;&nbsp;A corporation may with the
approval of the Court indemnify a person referred to                     in subsection
(1) in respect of an action by or on behalf of the corporation or
                    body corporate to procure a judgment in its favour, to which the
person is made                     a party by reason of being or having been a director
of officer of the                     corporation or body corporate, against all costs,
charges and expenses                     reasonably incurred by the person in connection
with the action if the person                     fulfills the conditions set out in
subsection (1)(a) and (b).  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(3)
&nbsp;&nbsp;                     Notwithstanding anything
in this section, a person referred to in subsection                     (1) is entitled
to indemnity from the corporation in respect of all costs,                     charges
and expenses reasonably incurred by the person in connection with the
                    defense of any civil, criminal or administrative action or proceeding
to which                     the person is made a party by reason of being or having been
a director or                     officer of the corporation or body corporate, if the
person seeking indemnity  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a) </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>was
substantially successful on the merits on the person&#146;s defense of the
          action or proceeding,  </FONT></TD>
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<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b) </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>fulfills
the conditions set out in subsection (1)(a) and (b), and  </FONT></TD>
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</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(c) </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>is
fairly and reasonably entitled to indemnity.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(3.1)
&nbsp;&nbsp;                     A corporation may advance
funds to a person in order to defray the costs,                     charges and expenses
of a proceeding referred to in subsection (1) or (2), but                     if the
person does not meet the conditions of subsection (3) he or she shall
                    repay the funds advanced.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(4)
&nbsp;&nbsp;                     A corporation may purchase
and maintain insurance for the benefit of any person                     referred to in
subsection (1) against any liability incurred by the person  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>in
the person&#146;s capacity as a director or officer of the corporation,
               except when the liability relates to the person&#146;s failure to act
honestly                and in good faith with a view to the best interests of the
corporation, or  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b)  </FONT></TD>
<TD><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=90%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>in
the person&#146;s capacity as a director or officer of another body corporate
               if the person acts or acted in that capacity at the corporation&#146;s
request,                except when the liability relates to the person&#146;s failure to
act honestly                and in good faith with a view to the best interests of the
body corporate.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(5)
&nbsp;&nbsp;                                        A
corporation or a person referred to in subsection (1) may apply to the Court
                    for an order approving an indemnity under this section and the Court
may so                     order and make any further order it thinks fit.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
(6)
&nbsp;&nbsp;                     On an application under
subsection (5), the Court may order notice to be given                     to any
interested person and that person is entitled to appear and be heard in
                    person or by counsel.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=5%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=95%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
For
the purposes of Section 124, &#147;Court&#148; means the Court of Queen&#146;s Bench of
Alberta.  </FONT></TD>
</TR>
</TABLE>
<BR>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Our Articles provide that, subject
to the provisions of the ABCA, except in respect of an action by or on behalf of QSound
or a body corporate to procure a judgment in its favour, we shall indemnify a current or
former director of officer, or a person who acts or acted at our request as a director or
officer of a corporation of which we are or were a shareholder or a creditor, and the
person&#146;s heirs and legal representatives from and against all costs, charges and
expenses, including an amount to settle an action or satisfy a judgment reasonably
incurred by the person in respect of any civil, criminal or administrative action or
proceeding to which the person is made a party by reason of being or  </FONT></P>
<BR><BR>





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<BR><BR>




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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>having been a director or officer of
QSound or body corporate, if: (a) the person acted honestly and in good faith with a view
to the best interests of QSound; and (b) in the case of a criminal or administrative
action or proceeding that is enforced by a monetary penalty, the person had reasonable
grounds for believing that his conduct was lawful.  </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Our Articles further provide that,
subject to the approval of a Court, we shall indemnify a current or former director or
officer, or a person who acts as a director or officer of a corporation of which we are or
were a shareholder or a creditor, and the person&#146;s heirs and legal representatives,
in respect of an action by or on behalf of QSound or a body corporate to procure a judgment in its favour,
to which the person is made a party by reason of being or having been a director or
officer or body corporate, from and against all costs, charges and expenses reasonably
incurred by the person in connection with such action if the person fulfills the
conditions set out in sections (a) and (b) of the preceding paragraph. A person referred
to in this paragraph shall be entitled to indemnity from QSound in respect of all costs,
charges and expenses reasonably incurred by the person in connection with the defense of
any civil, criminal or administrative action or proceeding to which the person is made a
party by reason of being or having been a director or officer of QSound or body corporate,
if the person seeking indemnity: (a) was substantially successful on the merits of the
person&#146;s defense of the action or proceeding; and (b) fulfills the conditions set out
in sections (a) and (b) of the preceding paragraph. </FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 7. &nbsp;&nbsp;Exemption from
Registration Claimed </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Not Applicable.</FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 8. &nbsp;&nbsp;Exhibits </FONT></H1>


<TABLE CELLPADDING=0 CELLSPACING=0 BORDER=0 WIDTH=650>
<TR VALIGN=Bottom>
     <TH COLSPAN=2><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>EXHIBIT<BR>
<U>NUMBER</U></B> </FONT> </TH>
     <TH COLSPAN=2 align=left><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>
<U>DESCRIPTION</U></B> </FONT> </TH></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=8% ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>4</FONT></TD>
        <TD WIDTH=10% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>.1</FONT></TD>
     <TD WIDTH=79% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>M. Patty Chakour Option Agreement</FONT></TD>
     <TD WIDTH=2% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.2</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Stanley E. McDougall Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.3</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>D. Tony Stelliga Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.4</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Shawn Richards Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.5</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Employee Stock Option Plan</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.6</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Stock Option Plan for Outside Directors</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>5</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Opinion of Joanna Varvos, Esq.</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of Joanna Varvos, Esq. (included in Exhibit 5.1)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.2</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of Grant Thornton LLP, Independent Registered Public Accounting Firm</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.3</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of KPMG LLP, Independent Registered Public Accounting Firm</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>24</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Power of Attorney (see Signature Page)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
</TABLE>
<BR>


<!-- MARKER FORMAT-SHEET="Head Major Left Bold" FSL="Default" -->
<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 9. &nbsp;&nbsp;Undertakings </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Rule 415 Offering.  </FONT></P>

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<A NAME=A041></A>
<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>QSound hereby undertakes: </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          To
file, during any period in which offers or sales are being made, a
          post-effective amendment to this Registration Statement:  </FONT></P>
<BR><BR>





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<BR><BR>


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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(i)&nbsp;&nbsp;&nbsp;&nbsp;
          To include any prospectus required by Section 10(a)(3) of the Securities Act of
          1933; </FONT></P>

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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(ii)&nbsp;&nbsp;&nbsp;&nbsp;
          To reflect in the prospectus any facts or events arising after the effective
          date of this Registration Statement (or the most recent post-effective amendment
          thereof), which, individually or in the aggregate, represent a fundamental
          change in the information set forth in this Registration Statement.
          Notwithstanding the foregoing, any increase or decrease in volume of securities
          offered (if the total dollar value of securities offered would not exceed that
          which was registered) and any deviation from the low or high end of the
estimated maximum offering range may be reflected in the form of prospectus filed with the
Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price
represent no more than 20 percent change in the maximum aggregate offering price set forth
in the &#147;Calculation of Registration Fee&#148; table in the effective registration
statement; </FONT></P>

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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(iii)&nbsp;&nbsp;&nbsp;&nbsp;
          To include any material information with respect to the plan of distribution not
          previously disclosed in this Registration Statement or any material change to
          such information in this Registration Statement; </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2><I>provided, however, </I>that the
undertakings set forth in paragraphs (a)(1)(i) and (a)(1)(ii) above do not apply if this
Registration Statement is on Form S-3, Form S-8 or Form F-3, and the information required
to be included in a post-effective amendment by those paragraphs is contained in periodic
reports filed by us pursuant to Section 13 or Section 15(d) of the Securities Exchange Act
of 1934 that are incorporated by reference in this Registration statement. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          That,
for the purpose of determining any liability under Securities Act of 1933,           each
such post-effective amendment shall be deemed to be a new registration
          statement relating to the securities offered therein, and the offering of such
          securities as that time shall be deemed to be the initial <I>bona fide</I>          offering
thereof; and  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Large Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          To
remove from registration by means of post-effective amendment any of the
          securities being registered which remain unsold at the termination of the
          offering.  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para (List) Indent" FSL="Default" -->
     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
          <U>Filings Incorporating Subsequent Exchange Act Documents by Reference.</U> </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>QSound hereby undertakes that, for
the purposes of determining any liability under the Securities Act of 1933, each filing of
our annual report pursuant to Section 13(a) or Section 15(b) of the Securities Exchange
Act of 1934 (and, where applicable, each filing of an employee benefit plan&#146;s annual
report pursuant to Section 15(d) of the Securities Exchange Act of 1934) that is
incorporated by reference in the Registration Statement shall be deemed to be a new
registration statement relating to the securities offered therein and the offering of such
securities at that time shall be deemed to be the initial bona fide offering thereof. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Sub 2 Left" FSL="Default" -->
<A NAME=A042></A>
<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<U>Indemnification for Liabilities</U>. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Insofar as indemnification for
liabilities arising under the Securities Act of 1933 may be permitted to directors,
officers and controlling persons of QSound pursuant to the foregoing provisions, or
otherwise, we have been advised that in the opinion of the Securities and Exchange
Commission such indemnification is against public policy as expressed in the Securities
Act of 1933 and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by QSound of expense
incurred or paid by a director, officer or controlling person in the successful defense of
any action, suit or proceeding) is asserted by such director, officer or controlling
person in connection with the securities being registered, we will, unless in the opinion
of our counsel the matter has been settled by controlling precedent, submit to a court of
an appropriate jurisdiction the question whether such indemnification by it is against
public policy as expressed in the Securities Act of 1933 and will be governed by the final
adjudication of such issue. </FONT></P>
<BR><BR>



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<BR><BR>





<!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>SIGNATURES </FONT></H1>

<!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Pursuant to the requirements of the
Securities Act of 1933, QSound Labs, Inc. certifies that it has reasonable grounds to
believe that it meets all the requirements for filing on Form S-8 and has duly caused this
Registration Statement to be signed on its behalf by the undersigned, thereunto duly
authorized, in the City of Calgary, Province of Alberta, on April 28, 2006. </FONT></P>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=50%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=50%>
<FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>QSOUND LABS, INC. <BR>
</B><BR><BR>
BY:&nbsp;&nbsp; /s/ David Gallagher <BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;___________________________________________<BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;David Gallagher <BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Director, President and Chief Executive Officer </FONT></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>POWER OF ATTORNEY </FONT></H1>

<!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Each person whose signature appears
below constitutes and appoints David Gallagher and Joanna Varvos, or either of them,
his/her attorneys-in-fact, with the power of substitution, for him/her in any and all
capacities, to sign any amendments to this Registration Statement, and to file the same,
with exhibits thereto and other documents in connection therewith, with the Securities and
Exchange Commission, hereby ratifying and confirming all that each of said
attorneys-in-fact, or their substitute or substitutes, may do or cause to be done by
virtue hereof. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Pursuant to the requirements of the
Securities Act of 1933, this Registration Statement has been signed by the following
persons in the capacities and on the dates indicated. </FONT></P>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="37%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="40%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="18%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Signature</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Title</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Date</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ <FONT style="font-variant: SMALL-CAPS">David Gallagher</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
David Gallagher
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;
President, Chief Executive Officer and Director<BR>
(Principal Executive, Accounting and Financial <BR>
Officer)                                       </TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">April 28, 2006</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ <FONT style="font-variant: SMALL-CAPS">Stanley McDougall</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Stanley McDougall
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;Director</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">April 28, 2006</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/<FONT style="font-variant: SMALL-CAPS">Patty Chakour</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
M. Patty Chakour
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;Director and Authorized U.S. Representative</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">April 28, 2006</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ <FONT style="font-variant: SMALL-CAPS">Tony Stelliga</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Tony Stelliga
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;Director</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">April 28, 2006</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"></TD>
</TR>
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<P align=center><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>EXHIBIT INDEX</B> </FONT> </P>


<TABLE CELLPADDING=0 CELLSPACING=0 BORDER=0 WIDTH=650>
<TR VALIGN=Bottom>
     <TH COLSPAN=2><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>EXHIBIT<BR>
<U>NUMBER</U></B> </FONT> </TH>
     <TH COLSPAN=2 align=left><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>
<U>DESCRIPTION</U></B> </FONT> </TH></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=8% ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>4</FONT></TD>
        <TD WIDTH=10% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>.1</FONT></TD>
     <TD WIDTH=79% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>M. Patty Chakour Option Agreement</FONT></TD>
     <TD WIDTH=2% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.2</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Stanley E. McDougall Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.3</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>D. Tony Stelliga Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.4</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Shawn Richards Option Agreement</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.5</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Employee Stock Option Plan</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.6</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Stock Option Plan for Outside Directors</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>5</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Opinion of Joanna Varvos, Esq.</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of Joanna Varvos, Esq. (included in Exhibit 5.1)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.2</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of Grant Thornton LLP, Independent Registered Public Accounting Firm</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.3</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Consent of KPMG LLP, Independent Registered Public Accounting Firm</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>24</FONT></TD>
        <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>.1</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Power of Attorney (see Signature Page)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
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{"company-data": {"conformed-name": "QSOUND LABS INC", "cik": "0000840518", "assigned-sic": "6794", "irs-number": "000000000", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-133714", "film-number": "06796226"}, "business-address": {"street1": "400-3115 12 STREET NE", "city": "CALGARY", "state": "A0", "zip": "T2E7J2", "phone": "403 291 2492"}, "mail-address": {"street1": "400-3115 12 STREET NE", "city": "CALGARY", "state": "A0", "zip": "T2E7J2"}, "former-company": [{"former-conformed-name": "ARCHER COMMUNICATIONS INC", "date-changed": "19930706"}, {"former-conformed-name": "ARCHER INTERNATIONAL DEVELOPMENTS LTD", "date-changed": "19890510"}]}
As filed with the Securities and Exchange Commission on May 1, 2006
Registration No. 333-
SECURITIES AND
EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
UNDER THE SECURITIES ACT OF 1933
QSOUND LABS, INC.
(Exact name of Registrant as specified in its charter)
Alberta, Canada
(State or other jurisdiction of Incorporation
or organization)
98-0152203
(I.R.S. Employer Identification No.)
400 – 3115
12
th
Street NE
Calgary, Alberta T2E 7J2
Address of Principal Executive Offices
Employee Stock Option
Plan
Stock Option Plan for Outside Directors
Stock Option Agreements between QSound Labs, Inc. and
Stanley McDougall, M. Patty Chakour, D. Tony Stelliga and Shawn Richards
(Full Title of the Plan)
M. Patty Chakour
5742 E. Le March Avenue, Scottsdale AZ 85254
(Name, and address of agent for service)
(602) 375-6468
(telephone number, including area code, of agent for service)
Copies to:
Kimberley Anderson
Dorsey & Whitney LLP
1420 Fifth Avenue, suite 3400
Seattle, Washington 98101
CALCULATION OF REGISTRATION FEE
Title of Securities
to be Registered
(1)
Amount to
Be Registered
Proposed Maximum
Offering Price Per
Share
(1)
Proposed Maximum
Aggregate Offering
Price
Amount of
Registration Fee
Common Shares to be issued upon
30,000
$3.57
(2)
$  107,100
$ 11.45
exercise of outstanding stock
options
Common Shares to be issued upon
100,000
$2.40
(2)
$  240,000
$ 25.68
exercise of outstanding stock
options
Common Shares to be issued upon
300,000
$5.42
(3)
$1,626,000
$173.98
exercise of options which may be
granted pursuant to the Option
Plans
Total
430,000
$1,973,100
$211.11
(1)
Estimated
 solely for the purpose of calculating the  registration fee in accordance with Rule
457(c) and (h) under the Securities Act of 1933, as amended.
(2)
Based
upon the actual option exercise price.
(3)
Based
upon the average  high and low prices of our common  stock  reported on the NASDAQ
 Capital  Market for April 27, 2006.
Page 1 of 7 pages. Exhibit Index begins at page 7.
The terms  "QSound",  "our company",
 "the company",  "we",  "us" and "our" as used in this prospectus on Form S-8 refer to
QSound Labs,  Inc. and its  subsidiaries,  including  QSound Ltd.,  QCommerce Inc. and
QTelNet Inc., as a combined  entity, except where the context requires otherwise.
PART II INFORMATION REQUIRED
IN THE REGISTRATION STATEMENT
Item 3.   Incorporation of
Certain Documents by Reference
The documents listed below are
incorporated by reference in this Registration Statement.
a)
Our
latest annual report on Form 20-F filed pursuant to Section 13(a) or 15(d)           of
the Securities Exchange Act of 1934, as amended (the "Exchange           Act")
for the fiscal year ended December 31, 2005.
b)
All
other reports filed pursuant to Section 13(a) or 15(d) of the Exchange Act
          since the end of the fiscal year covered by the annual report incorporated by
          reference herein pursuant to (a) above.
c)
The
description of our securities contained in our registration statement under           on
Form 20-F filed with the Securities and Exchange Commission on September 28,
          1988.
All documents filed by the Registrant
pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act after the date hereof
and prior to the filing of a post-effective amendment which indicates that all securities
offered have been sold or which deregisters all securities then remaining unsold, shall be
deemed to be incorporated by reference herein and to be a part hereof from the date of
filing of such documents.
Item 4.   Description of
Securities
Not Applicable.
Item 5.   Interests of
Named Experts and Counsel
Not Applicable.
Item 6.   Indemnification
of Directors and Officers
The laws of Alberta and QSound's
Articles permit indemnification of its directors and officers against certain liabilities,
which would include liabilities arising under the Securities Act of 1933, as amended.
Section 124 of the Alberta Business
Corporation Act (the "ABCA") provides as follows:
124(1)  
Except in respect of an
action by or on behalf of the corporation or body                     corporate to
procure a judgment in its favour, a corporation may indemnify a
                    director or officer of the corporation, a former director or officer
of the                     corporation or a person who acts or acted at the corporation's
request as a                     director or officer of a body corporate of which the
corporation is or was a                     shareholder or creditor, and the director's
or officer's heirs and                     legal representatives, against all costs,
charges and expenses, including an                     amount paid to settle an action or
satisfy a judgment, reasonably incurred by                     the director or officer in
respect of any civil, criminal or administrative                     action or proceeding
to which the director or officer is made a party by reason                     of being
or having been a director or officer of that corporation or body
                    corporate, if
(a)
the
director or officer acted honestly and in good faith with a view to the best
          interests of the corporation, and
(b)
in
the case of a criminal or administrative action or proceeding that is           enforced
by a monetary penalty, the director or officer had reasonable grounds           for
believing that the director's or officer's conduct was lawful.
(2)
  A corporation may with the
approval of the Court indemnify a person referred to                     in subsection
(1) in respect of an action by or on behalf of the corporation or
                    body corporate to procure a judgment in its favour, to which the
person is made                     a party by reason of being or having been a director
of officer of the                     corporation or body corporate, against all costs,
charges and expenses                     reasonably incurred by the person in connection
with the action if the person                     fulfills the conditions set out in
subsection (1)(a) and (b).
(3)
                       Notwithstanding anything
in this section, a person referred to in subsection                     (1) is entitled
to indemnity from the corporation in respect of all costs,                     charges
and expenses reasonably incurred by the person in connection with the
                    defense of any civil, criminal or administrative action or proceeding
to which                     the person is made a party by reason of being or having been
a director or                     officer of the corporation or body corporate, if the
person seeking indemnity
(a)
was
substantially successful on the merits on the person's defense of the
          action or proceeding,
(b)
fulfills
the conditions set out in subsection (1)(a) and (b), and
(c)
is
fairly and reasonably entitled to indemnity.
(3.1)
                       A corporation may advance
funds to a person in order to defray the costs,                     charges and expenses
of a proceeding referred to in subsection (1) or (2), but                     if the
person does not meet the conditions of subsection (3) he or she shall
                    repay the funds advanced.
(4)
                       A corporation may purchase
and maintain insurance for the benefit of any person                     referred to in
subsection (1) against any liability incurred by the person
(a)
in
the person's capacity as a director or officer of the corporation,
               except when the liability relates to the person's failure to act
honestly                and in good faith with a view to the best interests of the
corporation, or
(b)
in
the person's capacity as a director or officer of another body corporate
               if the person acts or acted in that capacity at the corporation's
request,                except when the liability relates to the person's failure to
act honestly                and in good faith with a view to the best interests of the
body corporate.
(5)
                                          A
corporation or a person referred to in subsection (1) may apply to the Court
                    for an order approving an indemnity under this section and the Court
may so                     order and make any further order it thinks fit.
(6)
                       On an application under
subsection (5), the Court may order notice to be given                     to any
interested person and that person is entitled to appear and be heard in
                    person or by counsel.
For
the purposes of Section 124, "Court" means the Court of Queen's Bench of
Alberta.
Our Articles provide that, subject
to the provisions of the ABCA, except in respect of an action by or on behalf of QSound
or a body corporate to procure a judgment in its favour, we shall indemnify a current or
former director of officer, or a person who acts or acted at our request as a director or
officer of a corporation of which we are or were a shareholder or a creditor, and the
person's heirs and legal representatives from and against all costs, charges and
expenses, including an amount to settle an action or satisfy a judgment reasonably
incurred by the person in respect of any civil, criminal or administrative action or
proceeding to which the person is made a party by reason of being or
having been a director or officer of
QSound or body corporate, if: (a) the person acted honestly and in good faith with a view
to the best interests of QSound; and (b) in the case of a criminal or administrative
action or proceeding that is enforced by a monetary penalty, the person had reasonable
grounds for believing that his conduct was lawful.
Our Articles further provide that,
subject to the approval of a Court, we shall indemnify a current or former director or
officer, or a person who acts as a director or officer of a corporation of which we are or
were a shareholder or a creditor, and the person's heirs and legal representatives,
in respect of an action by or on behalf of QSound or a body corporate to procure a judgment in its favour,
to which the person is made a party by reason of being or having been a director or
officer or body corporate, from and against all costs, charges and expenses reasonably
incurred by the person in connection with such action if the person fulfills the
conditions set out in sections (a) and (b) of the preceding paragraph. A person referred
to in this paragraph shall be entitled to indemnity from QSound in respect of all costs,
charges and expenses reasonably incurred by the person in connection with the defense of
any civil, criminal or administrative action or proceeding to which the person is made a
party by reason of being or having been a director or officer of QSound or body corporate,
if the person seeking indemnity: (a) was substantially successful on the merits of the
person's defense of the action or proceeding; and (b) fulfills the conditions set out
in sections (a) and (b) of the preceding paragraph.
Item 7.   Exemption from
Registration Claimed
Not Applicable.
Item 8.   Exhibits
EXHIBIT
NUMBER
DESCRIPTION
4
.1
M. Patty Chakour Option Agreement
4
.2
Stanley E. McDougall Option Agreement
4
.3
D. Tony Stelliga Option Agreement
4
.4
Shawn Richards Option Agreement
4
.5
Employee Stock Option Plan
4
.6
Stock Option Plan for Outside Directors
5
.1
Opinion of Joanna Varvos, Esq.
23
.1
Consent of Joanna Varvos, Esq. (included in Exhibit 5.1)
23
.2
Consent of Grant Thornton LLP, Independent Registered Public Accounting Firm
23
.3
Consent of KPMG LLP, Independent Registered Public Accounting Firm
24
.1
Power of Attorney (see Signature Page)
Item 9.   Undertakings
(a)
       Rule 415 Offering.
QSound hereby undertakes:
(1)                 To
file, during any period in which offers or sales are being made, a
          post-effective amendment to this Registration Statement:
(i)    
          To include any prospectus required by Section 10(a)(3) of the Securities Act of
          1933;
(ii)    
          To reflect in the prospectus any facts or events arising after the effective
          date of this Registration Statement (or the most recent post-effective amendment
          thereof), which, individually or in the aggregate, represent a fundamental
          change in the information set forth in this Registration Statement.
          Notwithstanding the foregoing, any increase or decrease in volume of securities
          offered (if the total dollar value of securities offered would not exceed that
          which was registered) and any deviation from the low or high end of the
estimated maximum offering range may be reflected in the form of prospectus filed with the
Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price
represent no more than 20 percent change in the maximum aggregate offering price set forth
in the "Calculation of Registration Fee" table in the effective registration
statement;
(iii)    
          To include any material information with respect to the plan of distribution not
          previously disclosed in this Registration Statement or any material change to
          such information in this Registration Statement;
provided, however,
that the
undertakings set forth in paragraphs (a)(1)(i) and (a)(1)(ii) above do not apply if this
Registration Statement is on Form S-3, Form S-8 or Form F-3, and the information required
to be included in a post-effective amendment by those paragraphs is contained in periodic
reports filed by us pursuant to Section 13 or Section 15(d) of the Securities Exchange Act
of 1934 that are incorporated by reference in this Registration statement.
(2)                 That,
for the purpose of determining any liability under Securities Act of 1933,           each
such post-effective amendment shall be deemed to be a new registration
          statement relating to the securities offered therein, and the offering of such
          securities as that time shall be deemed to be the initial
bona fide
offering
thereof; and
(3)                 To
remove from registration by means of post-effective amendment any of the
          securities being registered which remain unsold at the termination of the
          offering.
(b)
Filings Incorporating Subsequent Exchange Act Documents by Reference.
QSound hereby undertakes that, for
the purposes of determining any liability under the Securities Act of 1933, each filing of
our annual report pursuant to Section 13(a) or Section 15(b) of the Securities Exchange
Act of 1934 (and, where applicable, each filing of an employee benefit plan's annual
report pursuant to Section 15(d) of the Securities Exchange Act of 1934) that is
incorporated by reference in the Registration Statement shall be deemed to be a new
registration statement relating to the securities offered therein and the offering of such
securities at that time shall be deemed to be the initial bona fide offering thereof.
(c)
Indemnification for Liabilities
.
Insofar as indemnification for
liabilities arising under the Securities Act of 1933 may be permitted to directors,
officers and controlling persons of QSound pursuant to the foregoing provisions, or
otherwise, we have been advised that in the opinion of the Securities and Exchange
Commission such indemnification is against public policy as expressed in the Securities
Act of 1933 and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by QSound of expense
incurred or paid by a director, officer or controlling person in the successful defense of
any action, suit or proceeding) is asserted by such director, officer or controlling
person in connection with the securities being registered, we will, unless in the opinion
of our counsel the matter has been settled by controlling precedent, submit to a court of
an appropriate jurisdiction the question whether such indemnification by it is against
public policy as expressed in the Securities Act of 1933 and will be governed by the final
adjudication of such issue.
SIGNATURES
Pursuant to the requirements of the
Securities Act of 1933, QSound Labs, Inc. certifies that it has reasonable grounds to
believe that it meets all the requirements for filing on Form S-8 and has duly caused this
Registration Statement to be signed on its behalf by the undersigned, thereunto duly
authorized, in the City of Calgary, Province of Alberta, on April 28, 2006.
QSOUND LABS, INC.
BY:   /s/ David Gallagher
___________________________________________
David Gallagher
Director, President and Chief Executive Officer
POWER OF ATTORNEY
Each person whose signature appears
below constitutes and appoints David Gallagher and Joanna Varvos, or either of them,
his/her attorneys-in-fact, with the power of substitution, for him/her in any and all
capacities, to sign any amendments to this Registration Statement, and to file the same,
with exhibits thereto and other documents in connection therewith, with the Securities and
Exchange Commission, hereby ratifying and confirming all that each of said
attorneys-in-fact, or their substitute or substitutes, may do or cause to be done by
virtue hereof.
Pursuant to the requirements of the
Securities Act of 1933, this Registration Statement has been signed by the following
persons in the capacities and on the dates indicated.
Signature
Title
Date
/s/
David Gallagher
David Gallagher
President, Chief Executive Officer and Director
(Principal Executive, Accounting and Financial
Officer)
April 28, 2006
/s/
Stanley McDougall
Stanley McDougall
Director
April 28, 2006
/s/
Patty Chakour
M. Patty Chakour
Director and Authorized U.S. Representative
April 28, 2006
/s/
Tony Stelliga
Tony Stelliga
Director
April 28, 2006
EXHIBIT INDEX
EXHIBIT
NUMBER
DESCRIPTION
4
.1
M. Patty Chakour Option Agreement
4
.2
Stanley E. McDougall Option Agreement
4
.3
D. Tony Stelliga Option Agreement
4
.4
Shawn Richards Option Agreement
4
.5
Employee Stock Option Plan
4
.6
Stock Option Plan for Outside Directors
5
.1
Opinion of Joanna Varvos, Esq.
23
.1
Consent of Joanna Varvos, Esq. (included in Exhibit 5.1)
23
.2
Consent of Grant Thornton LLP, Independent Registered Public Accounting Firm
23
.3
Consent of KPMG LLP, Independent Registered Public Accounting Firm
24
.1
Power of Attorney (see Signature Page)