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EXHIBIT 10.3
ADDENDUM "A" TO LICENSE AGREEMENT
(License Fee)
This Addendum "A" to License Agreement (the "Addendum A") is entered
into on this 15th day of March, 1997, by and among Xxxxxxx Xxxxxxx, an
individual ("Licensor"), Xxxxxxx'x Thunder Karts, Inc., a Louisiana corporation
("Xxxxxxx'x") and Karts International Incorporated, a Nevada corporation
("Licensee").
W I T N E S S E T H
WHEREAS, Xxxxxxx'x is a wholly owned subsidiary of Licensee;
WHEREAS, Licensor and Xxxxxxx'x entered into that certain License
Agreement effective March 15, 1996 (the "License Agreement");
WHEREAS, the License Agreement granted to Xxxxxxx'x a license to
utilize United States Patent Number 5,477,940, issued December 26, 1995, for
"Acceleration Pedal Override Apparatus for Self-Propelled Motorized Cart with
Aligned Brake and Accelerator Pushrod Type Operator Pedals" (the "Pedal
Override Apparatus");
WHEREAS, Xxxxxxx'x desires to assign its rights under the License
Agreement to Licensee and Licensee agrees to accept such assignment;
WHEREAS, Licensor and Licensee desire to modify the License Agreement
to set forth the fee which Licensee will pay to Licensor specifically for the
extension of the license relating to the Pedal Override Apparatus; and
WHEREAS, unless otherwise defined, all defined terms contained herein
shall have the same meanings assigned to them in the License Agreement.
NOW THEREFORE, in consideration of the sum of ten dollars ($10.00) and
other good and valuable consideration, the receipt of which is hereby
irrevocably acknowledged, the parties hereto hereby agree as follows:
1. Assignment. Xxxxxxx'x assigns to Licensee all of its right,
title and interest under the License Agreement and Licensee accepts all of
Xxxxxxx'x right, title and interest under the License Agreement. Licensor
hereby consents to such assignment.
2. License. Without in any other way modifying the other terms
and conditions of the License Agreement, except as set forth herein, Licensee,
and any of its affiliates or subsidiaries are granted, during the term of this
Addendum A, an exclusive license to the Pedal Override Apparatus.
3. Term. The term of this Addendum A shall be for a period of
three years commencing on the Effective Date.
ADDENDUM "A" TO LICENSE AGREEMENT - Page 1
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4. License Fee. Solely with regard to the licensing of the Pedal
Override Apparatus as set forth in Section 1 hereof, Licensee, simultaneously
with the execution of this Addendum A, hereby agrees to pay to Licensor for
exclusive use of the Pedal Override Apparatus, during the term of this Addendum
A, an initial license fee of $10,000.
5. Royalty. No royalty payment is due Licensor for use of the
Pedal Override Apparatus pursuant to this Agreement.
6. Miscellaneous. The parties hereto acknowledge and incorporate
herein by reference those provisions in Section 7 of the License Agreement.
IN WITNESS WHEREOF, the parties have caused this Addendum to be
effective as of March 15, 1997 (the "Effective Date").
XXXXXXX XXXXXXX XXXXXXX'X THUNDER KARTS, INC.
Xxxxxxx Xxxxxxx By: /s/ V. XXXX XXXXXXXX
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V. Xxxx Xxxxxxxx, President
KARTS INTERNATIONAL
INCORPORATED
By: /s/ V. XXXX XXXXXXXX
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V. Xxxx Xxxxxxxx, President
ADDENDUM "A" TO LICENSE AGREEMENT - Page 2
