EXHIBIT (4)(1)
MANAGING CONSULTING AGREEMENT
WITH
XXXXX X. XXXXXXXX CONSULTING, INC.
XXXXX X. XXXXXXXX CONSULTING, INC.
Xxx Xxxx Xxxxxxx Xxxxxx
Xxxxx 000
Xxxxx, XX 00000
December 7, 1995
Ms. Xxxxxx Xxxxxxxx
Chairman
XXXXXX XXXXXXXX HOTEL & CASINO, INC.
000 Xxxxxxxxxx Xxxxxx Xxxxx
Xxx Xxxxx, Xxxxxx 00000
RE: MANAGEMENT CONSULTING AGREEMENT
Dear Xx. Xxxxxxxx:
Formalizing our earlier discussions this is to acknowledge and confirm
the terms of our Management Consulting Agreement ("Consulting Agreement") as
follows:
1. APPOINTMENT OF XXXXX X. XXXXXXXX CONSULTING, INC. XXXXXX XXXXXXXX
HOTEL & CASINO, INC. ("XXXX") hereby engages Xxxxx X. Xxxxxxxx Consulting,
Inc. ("BISTRIAN") and BISTRIAN hereby agrees to render services to XXXX as a
management consultant, strategic planner and advisor.
2. DUTIES. During the term of this Agreement, BISTRIAN shall provide
advice to, undertake for and consult with the Company concerning management,
marketing consulting, strategic planning corporate organization and
structure, financial matters in connection with the operation of the business
of the Company, expansion of services, stockholder relations, and shall
review and advise XXXX regarding its overall progress, needs and condition.
BISTRIAN agrees to provide on a timely basis the following enumerated
services plus any additional services contemplated thereby.
(a) The implementation of short range and long term strategic planning
to fully develop and enhance DEBI's assets, resources, products and
services;
(b) Advise and recommend to XXXX additional services relating to the
present business and services provided by XXXX as well as new
products and services that may be provided by XXXX.
3. TERM. The term of this Consulting Agreement shall be for an
eight-month period commencing on the date hereof.
4. COMPENSATION. As compensation for its services hereunder, BISTRIAN
shall be issued options (the "Options") to purchase up to 486,000 shares of
Common Stock, $.0001 par value (the "Shares"), of the Company exercisable at
a price of $0.75 per share.
5. PURCHASE OF SHARES. The exercise price for the Options shall be paid
in cash, and appropriate investment restrictions shall be noted against the
Shares.
6. EXPENSES. BISTRIAN shall be entitled to reimbursement by XXXX of
such reasonable out-of-pocket expenses as BISTRIAN may incur in performing
services under this Consulting Agreement. Any significant expenses shall be
approved in advance in writing by XXXX.
7 REGISTRATION. XXXX agrees to provide BISTRIAN with registration
rights at DEBI's cost and expenses and include the underlying shares of
Common Stock in a registration statement on Form S-8 to be filed by XXXX with
the Securities and Exchange Commission within the proximate future, provided
that the Options may not be exercised prior to the registration statement
being filed with the SEC.
8. CONFIDENTIALITY. BISTRIAN will not disclose to any other person,
firm or corporation, nor use for its own benefit, during or after the term of
this Consulting Agreement, any trade secrets or other information designated
as confidential by XXXX which is acquired by BISTRIAN in the course of its
performing services hereunder. (A trade secret is information not generally
known to the trade which gives XXXX an advantage over its competitors. Trade
secrets can include, by way of example, products or services under
development, production methods and processes, sources of supply, customer
lists, marketing plans and information concerning the filing of pendency of
patent applications). Any financial advice rendered by BISTRIAN pursuant to
this Consulting Agreement may not be disclosed publicly in any manner without
the prior written approval of BISTRIAN.
9. INDEMNIFICATION. XXXX agrees to indemnify and hold BISTRIAN harmless
from and against all losses, claims, damages, liabilities, costs or expenses
(including reasonable attorneys' fees (collectively the "Liabilities") joint
and several, arising out of the performance of this Consulting Agreement,
whether or not BISTRIAN is a party to such dispute. This indemnity shall not
apply, however, and BISTRIAN shall indemnify and hold XXXX, its affiliates,
control persons, officers, employees and agents harmless from and against all
liabilities, where a court of competent jurisdiction has made a final
determination that BISTRIAN engaged in gross recklessness and willful
misconduct in the performance of its services hereunder which gave rise to
the losses, claim, damage, liability, cost or expense sought to be recovered
hereunder (but pending any such final determination, the indemnification and
reimbursement provisions of this Consulting Agreement shall apply and XXXX
shall perform its obligations hereunder to reimburse BISTRIAN for its
expenses.) The provisions of this paragraph 8 shall survive the termination
and expiration of this Consulting Agreement.
10. INDEPENDENT CONTRACTOR. BISTRIAN and XXXX hereby acknowledge that
BISTRIAN is an independent contractor. BISTRIAN shall not hold itself out
as, nor shall it take any action from which others might infer, that it is a
partner of, agent of or a joint venturer of XXXX.
11. MISCELLANEOUS. This Consulting Agreement sets forth the entire
understanding of the parties relating to the subject matter hereof, and
supersedes and cancels any prior communications, understandings and
agreements between the parties. This Consulting Agreement cannot be modified
or changed, not can any of its provisions be waived except by written
agreement signed by all parties. This Consulting Agreement shall be governed
by the laws of the State of Nevada. In any event of any dispute as to the
terms of this Consulting Agreement, the prevailing party in any litigation
shall be entitled to reasonable attorneys' fees.
Please confirm that the foregoing correctly sets forth our understanding
by signing the encloses copy of this letter where provided and returning it
to us at your earliest convenience.
Very truly yours,
XXXXX X. XXXXXXXX CONSULTING, INC.
By: ____________________________
Its: ___________________________
ACCEPTED AND AGREED TO as
of the ___ day of December 1995
XXXXXX XXXXXXXX HOTEL & CASINO, INC.
By: ___________________________
Xxxx Xxxxxx, President
