Exhibit 10.13
CirTran Corporation
Form 10-KSB
PROMISSORY NOTE AND CONFESSION OF JUDGMENT
This Promissory Note and Confession of Judgment is made and
entered into this 26th day of September, 2000, by and between
Arrow Electronics, Inc., ("Plaintiff") through its undersigned
counsel, and Circuit Technology Corp. ("Defendant").
RECITALS:
1. WHEREAS, Defendant owes to Plaintiff the sum of $215,
250.76, plus interest at 8% per annum from March 17, 2000,
pursuant to a Judgment entered in Civil No. 990409504 in the
Third Judicial District Court, for Salt Lake County, State of
Utah ("the Lawsuit") on said date, for goods, services and/or
other things of value provided by Plaintiff for Defendant for
which payment has not been made; and,
2. WHEREAS, Plaintiff has placed this account for collection
with the law firm of Xxxxxxx & Xxx Xxxx; and,
3. WHEREAS, Plaintiff and Defendant desire to enter into an
agreement which retires the subject debt.
NOW THEREFORE, in consideration of the premises and mutual
covenants and conditions contained herein, the parties agree as
follows:
1. Defendant promises to pay and Plaintiff shall agree to
accept the sum of $199,647.92, plus interest at 8% per annum
September 23, 2000, as payment in full of the above obligation
provided payments are made as set forth below.
2. Defendant shall deliver payments in the form of a
cashier's checks or certified funds, to the care of Xxxxxxx & Xxx
Xxxx at 0000 Xxxx Xxxx Xxxxx Xxxx., #000, Xxxx Xxxx Xxxx, Xxxx
00000-0000, counsel for Plaintiff, or in the form of a wire
transfer (routing number
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Xxxxxxx & Xxx Xxxx Attorneys Trust
Account, First Security Bank of Utah, NA., Routing No. 000000000,
Account No. 089 00028 01), to retire the debt referenced in
paragraph 1 above as follows:
1. Payment of not less than $6,256.24 due on or before
September 28, 2000; and
2. payments of not less than $6,256.24 on or before the 28th
day of each month thereafter until the sums in paragraph 1 are
paid in full.
3. Upon timely receipt of the payment due September 28, 2000,
Plaintiff and defendant shall execute and file a joint motion,
stipulation, and order in the Lawsuit to set aside the judgment
referred to in Paragraph A above, and dismiss the Lawsuit.
1. In the event Defendant fails to deliver any payment within
five days after any payment becomes due as set forth above,
Plaintiff, or Plaintiff's counsel, shall fax notice of such
default to Defendant's counsel, Xxxxx X. Xxxxxxxxx, at (801) 415-
3000, and to Defendant c/o Xxxxx Xxxxxxxx at (000) 000-0000. If
Defendant fails to deliver the delinquent payment to Plaintiff's
counsel within 5 days from the date notice of such default is
faxed to Defendant and Defendant's counsel, Plaintiff shall be
entitled to accelerate the balance owing and enter this
Confession of Judgment against Defendant with the Court supported
by an affidavit of default to be executed by Plaintiff's attorney
setting forth the default and stating the balance owing.
Plaintiff shall thereupon be entitled to bring an action and
enter judgment without additional notice to Defendant or
Defendant's counsel.
2. Defendant does hereby confess judgment in favor of
Plaintiff for the sum of $215,520.76, plus interest thereon at
the rate of 16% per annum from March 15, 2000, less any payments
made hereunder, as to be conclusively established by the
affidavit of Plaintiff's
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counsel, should that be necessary, in
the event of its default.
3. This Promissory Note and Confession of Judgment shall in no
manner impair or prejudice the right of Plaintiff to collect any
amounts which may be owing under the law by Defendant to
Plaintiff in the event of default. Plaintiff reserves all rights
with respect thereto, which come into existence and may be
exercised only in the event of default of Defendant hereunder.
DATED: September 26, 2000.
Defendant
Circuit Technology Corporation
By: /s/ Xxxxx Xxxxxxxx
Xxxxx Xxxxxxxx
Title: President
DATED: September 26, 2000.
Plaintiff
Arrow Electronics, Inc.
By: /s/ Arrow Electronics, Inc.
Title:______________
APPROVED AS TO FORM:
DURHAM XXXXX & XXXXXXX XXXXXXX & XXX XXXX
/s/ Xxxxx Xxxxxxxxx /s/ Xxxxxxx X. Xxxxxxx
Xxxxx Xxxxxxxxx Xxxxxxx X. Xxxxxxx
Attorney for Defendant Attorney-in-
fact for Arrow Electronics, Inc.
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VERIFICATION
On the 26 day of September, 2000, personally appeared before
me Xxxxx Xxxxxxxx, President, who was by me duly sworn, did say,
that, the said Xxxxx Xxxxxxxx executed the foregoing Promissory
Note and Confession of Judgment and that he is authorized to
execute the same in behalf of said corporation.
SUBSCRIBED AND SWORN to before me this 26 day of September,
2000.
/s/ Notary Public
Notary Public
Residing at:
My commission expires:
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