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Note 13: Subsequent Events
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12 Months Ended |
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Dec. 31, 2011
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| Subsequent Events [Text Block] |
Note
13: Subsequent Events
The
Company evaluated subsequent events pursuant to ASC 855 and
has determined there are the following events to
disclose:
As
discussed in Note 4: Notes Payable and Accrued Interest
– Related Parties, four of the Officers of the Company
have various notes outstanding for loans made to the Company
and subordinated notes for converted salaries that were
unpaid as of December 31, 2010. These notes had a
maturity date of December 31, 2012. On March 7,
2012, the Officers each agreed to execute extension
agreements to change the maturity date on their respective
notes to January 15, 2015, with no change in the
terms.
As
discussed in Note 4: Notes Payable and Accrued Interest
– Related Parties, Isabel Moeller has a note
outstanding for a loan to the Company with a maturity date of
December 31, 2012. On March 7, 2012, Ms. Moeller
agreed to execute an extension agreement to change the
maturity date on the note to January 15, 2015, with no change
in the terms.
In
March 2012, the Company and Dr. Shulamit Ritblatt agreed to
terminate the joint venture agreement for Circle of
Education, LLC (“COE”). COE
transferred equal right of ownership in the intellectual
property developed as of the date of termination
(“IP”) to each of the Company and Dr. Ritblatt,
and in exchange for the rights to the IP, Dr. Ritblatt
transferred her units of COE to the Company. Each
party will have the right to continue development of the IP
and products based on the IP with no further obligation to
the other party. Subject to certain limitations
for specific channels of distribution reserved for each party
for a period of twelve months from the execution of the
agreements, both parties have non-exclusive and
non-restrictive rights to the use, sublicense or sale of the
IP and products created based on the IP.
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