BERMAN CENTER, INC. AMENDMENT NO. 1 TO SECURED CONVERTIBLE PROMISSORY NOTE
Exhibit
10.1
THIS
NOTE
HAS NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED
(THE
“SECURITIES
ACT”),
OR
THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES
AND
MAY NOT BE SOLD OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS
OR
PURSUANT TO AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF
SUCH
ACT AND SUCH LAWS
XXXXXX
CENTER, INC.
AMENDMENT
NO. 1 TO SECURED CONVERTIBLE PROMISSORY NOTE
This
Amendment No. 1 (this “Amendment”),
dated
May 24, 2007, amends that certain Secured Convertible Promissory Note pursuant
to which Xxxxxx Center, Inc. (the “Company”)
borrowed from Hunter Fund LTD (the “Holder”)
the
aggregate principal amount of $225,000 dated as of March 7, 2007 (the
“Note”).
All
capitalized terms used herein and not defined shall have the meanings given
to
them in the Note.
RECITALS:
WHEREAS,
the
Company entered into the Note issued to the Holder pursuant to which the
Company
promised to pay the Holder the principal sum of Two Hundred Twenty-Five Thousand
Dollars ($225,000.00), with interest at the rate of fifteen percent (15%)
per
annum;
WHEREAS,
Section
16 of the Note states that the Note may be modified or amended by an agreement
in writing signed by the parties; and
WHEREAS,
the
Holder wishes to loan to the Company, and the Company wishes to borrow, an
additional Sixty Thousand Dollars ($60,000.00) (“Additional
Loan Amount”)
under
the same terms and conditions of the Note for legal costs and expenses,
including without limitation, expenses arising from the Company’s preparation,
filing, and declaration of effectiveness by the Securities and Exchange
Commission of a registration statement to be filed by the Company that will
register, among other securities, shares that may be issued upon conversion
of
the Note.
NOW
THEREFORE,
for
good and valuable consideration, the receipt and sufficiency of which are
hereby
acknowledged, the parties hereto agree as follows:
1. The
Company promises to pay to the Holder the principal sum of the Additional
Loan
Amount with interest from the date hereof at the rate of fifteen percent
(15%)
per annum on the unpaid balance hereof until paid.
2. The
Company and Holder agree that the Additional Loan Amount shall be subject
to the
same terms and conditions of the Note, a copy of which is attached hereto
as
Exhibit
A,
including, but not limited to, the Due Date, Default Rate, Conversion,
registration rights, the first priority security interest in all assets of
the
Subsidiary, indemnification rights, and all other terms and conditions of
the
Note; provided
that, however,
the
Company, pursuant to the last sentence of Section 11 to the Note, shall only
be
obligated to (i) make a one-time payment of an aggregate fee amount equal
to
$10,000 to the placement agent, Hunter World Markets, Inc., and (ii) issue
an
aggregate of 213,333 shares of the Company’s common stock to Hunter World
Markets, Inc. and/or its designees in connection with the execution of this
Amendment.
3. Holder
shall have the rights of a secured party under the Uniform Commercial Code
for
the Additional Loan Amount, and to effect the foregoing, each of the Company
and
the Subsidiary agrees to execute promptly such additional security documentation
as Holder may request and hereby authorizes Holder to file financing and
other
statements as Holder deems advisable to perfect the first priority security
interest granted herein.
4. The
Company and Holder make the same representations and warranties as contained
in
the Note as of the date of this Amendment No. 1.
5. Except
as
amended herein, the Note shall remain in full force and effect.
6. This
Amendment may be executed in any number of facsimile counterparts, each of
which
shall be an original, but which together constitute one and the same instrument.
This Amendment may be executed and delivered by facsimile.
[SIGNATURE
PAGE TO FOLLOW]
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IN
WITNESS WHEREOF, the Company and Xxxxxx have executed this Amendment No.
1 to
the Secured Convertible Promissory Note as of the date first written
above.
XXXXXX
CENTER, INC.,
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/s/
Xxxxx X.X. Xxxxxx
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By: |
Xxxxx
X.X. Xxxxxx, LCSW, Ph.D.
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Its: |
Chief
Executive Officer and President
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Address:
000
Xxxx Xxxxxxx, Xxxxx 000
Xxxxxxx,
Xxxxxxxx 00000
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XXXXXX
HEALTH & MEDIA,
INC.,
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/s/
Xxxxx X.X. Xxxxxx
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By: |
Xxxxx
X.X. Xxxxxx, LCSW, Ph.D.
|
||
Its: |
Chief
Executive Officer and President
|
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Address:
000
Xxxx Xxxxxxx, Xxxxx 000
Xxxxxxx,
Xxxxxxxx 00000
|
HUNTER
FUND LTD.,
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/s/
Xxxx Xxxxxx
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By: |
Xxxx
Xxxxxx
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Its: |
President
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Address:
Hunter
Fund Ltd.
0000
Xxxxxxxx Xxxx.
Penthouse
Suite
Beverly
Hills, CA 90212
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