On August 8, 2008, the Company entered into a lease for office
space, commencing on September 1, 2008 through August 31, 2011. Rent is payable in advance, in annual installments. The
initial years rent was $46,200, increasing as defined. The Company has an option to extend the lease for an additional
An agreed Judgment was filed against the Company in the 57th
Circuit Court, Judicial District, State of Michigan, in the amount of $38,668 on February 25, 2011 by the landlord of the real
estate lease dated August 8, 2008. Subsequently, a Real Estate Lease Addendum and Affirmation of Debt was agreed to
and effective as of May 2, 2011 providing for a week-to-week lease commencing May 2, 2011, at $5,000, per week and to repay the
debt owed of $40,373.11 by May 31, 2011.
As of June 30, 2011, the Company has commenced payment of
the week-to-week lease and as of March 31, 2012, has a liability to the landlord of $53,176.