Exhibit 10.11
ADDENDUM 5 TO THE BEAVON EMPLOYMENT AGREEMENT OF 8-01-02
The following are amendments to the Xxxxxx Xxxxxx Employment Agreement
with SCHIMATIC Cash Transactions Xxxxxxx.xxx, Inc. dba Smart Chip Technologies
("Company", "SCTN" or "Employer") effective 8-01-02 as amended by Addendums on
7-28-03, 5-05-2004, July 7, 2004, and November 12, 2004.
This Addendum to the employment agreement is to be effective as of July
1, 2004.
For the purpose of cleaning up the "financial and stock overhang" of
the Company, as dictated by the Board of Directors, the Company and Beavon
agreed to certain amendments, some of which have since been determined by the
Board to be detrimental to the Company from a tax standpoint. Therefore, in the
best interest of the Company, the following has been agreed to by Beavon and
approved by the Board:
1. The bonus of the 4 million shares to Xxxxxx Xxxxxx will be
reversed, and revert to the original Employment Agreement as
modified by subsequent Addendums.
2. The elimination of the clauses for Beavon allowing conversion
of back payroll to stock will be reversed, and revert to the
original Employment Agreement with Addendums. Item 1 in
Addendums 4 to the Beavon Employment Agreement will be
reversed, and the salary levels agreed to will remain in
effect until the Company's cash flow allows them to be paid at
fair market value salaries, as approved by the Board.
3. All changes reversed will be treated for accounting purposes
as if they had never occurred.
I HAVE READ THIS AGREEMENT IN ITS ENTIRETY, I UNDERSTAND ITS TERMS, AND AGREE TO
BE BOUND BY ALL OF ITS TERMS. I ALSO UNDERSTAND I HAVE THE RIGHT TO HAVE THIS
AGREEMENT REVIEWED BY INDEPENDENT COUNSEL.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on December
18, 2004.
Employer: Employee:
SCTN Xxxxxx Xxxxxx
000 X. Xxxx Xxxxxxx Xx. 0000 X. Xxxxxxx Xxxx.
Xxx Xxxxx, XX 00000 Xxxxx, XX 00000
By: /s/ Xxxxxxx XxXxxx By:/s/ Xxxxxx Xxxxxx
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Xxxxxxx XxXxxx, Director Xxxxxx Xxxxxx
By: /s/ Xxxxx X. Xxxxx
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Xxxxx X. Xxxxx, Chairman & CEO
