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7. COMMITMENTS AND CONTINGENCIES
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6 Months Ended |
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Dec. 31, 2013
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| Notes to Financial Statements | |
| NOTE 7 - COMMITMENTS AND CONTINGENCIES |
Legal Matters:
From time to time, we may be involved in litigation relating to claims arising out of our operations in the normal course of business. As of December 31, 2013, there were no pending or threatened lawsuits that could reasonably be expected to have a material effect on the results of our operations.
Operating Agreements:
In November 2009, the Company entered into a commercialization agreement whereby the Company agreed to pay royalties of 2% of net revenues. Additionally, the Company agreed to pay 5% of each and every license agreement subscribed for. The contact is cancellable at any time by either party. To date, no amounts are owed under the agreement.
In May 2011, the Company entered into an agreement with a consultant whereby the consultant would provide acquisition services and be paid success fees in cash and equity based upon a stipulated percentage of the transaction price. No such acquisitions have occurred as of the date of this filing.
Operating Leases:
No formal agreement has been entered regarding leasing of office space but an accrued expense of $5,354 has been recognized for the period in anticipation of a month to month agreement retroactive to July 1, 2013 at $887 per month.
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