POST-JUDGMENT SETTLEMENT AGREEMENT
Exhibit 10.13
UNITED
STATES DISTRICT COURT FOR THE
EASTERN
DISTRICT OF PENNSYLVANIA
DARIUS
INTERNATIONAL, INC.
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CIVIL
ACTION
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and
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NO.
05-cv-6184
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INNERLIGHT
INC, f/k/a
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DARIUS
MARKETING, INC.,
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Plaintiffs,
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vs.
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XXXXXX
X. XXXXX
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and
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XXXXXXX
X. XXXXX,
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Defendants
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POST-JUDGMENT
SETTLEMENT
AGREEMENT
The
parties in the above-captioned litigation wish to settle their Post-Judgment
claims and disputes, in the manner hereinafter set forth.
In
consideration of the mutual promises set forth herein, and intending to be
legally bound, the parties agree as follows:
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1.
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By
entering into this Agreement, it is the intention of the parties to
compromise and settle all Post-Judgment outstanding issues in this
case.
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2.
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The
parties agree that the sum of $283, 531.69 is being held by Plaintiffs on
account of commissions accrued under the parties’ Asset Purchase Agreement
and Consulting/Non-Compete Agreements, since May,
2008. Plaintiffs agree to pay one-half of this amount, or
$141,765.75, to Defendants upon performance of the conditions to be set
forth in paragraphs 3 and 4 hereof. The remaining one-half
shall be paid to Plaintiffs immediately upon execution of this
Agreement. The amount being paid to Defendants and the amount
paid to Plaintiffs are agreed to be in full settlement and satisfaction of
(1) all of Plaintiffs’ claims for attorney’s fees under the Court’s order
in this case dated April 23, 2008, and (2) all claims and litigation that
have arisen between the parties subsequent to such
order.
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3.
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All
motions filed by the parties in this case and currently pending before the
Court shall be withdrawn and discounted, with prejudice,
namely:
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·
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Plaintiffs’
motion for attorneys’ fees;
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Plaintiffs’
motion to dismiss Defendants’ motion for preliminary injunction for lack
of jurisdiction.
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Plaintiffs’
motion to dismiss Defendants’ post-trial relief with regard to the Court’s
order dated April 23, 2008; and
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Defendants’
motion for preliminary injunction.
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4.
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Defendants
shall withdraw and discontinue their appeal of the Courts’ injunction
order dated April 20, 2006, and shall not file any appeal with regard to
the Order dated April 23, 2008. Plaintiffs shall not
appeal.
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5.
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Defendants
shall not make any request for any audit or accounting with regard to any
commissions under the Consulting Agreement for months prior to November,
2008, and shall withdraw and pending audit
requests.
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6.
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Defendants
shall permanently remove from their website, xxxxxxxxxxxxxx.xxx,
or any other websites under their control, (1) all press releases
discussing the Court’s order of April 23, 2008 and the litigation between
the parties, (2) all references to Innerlight, or any litigation with
Innerlight, in the “legal defense fund” portion of the website, and (3)
any alleged disparaging or critical information about Plaintiffs or any of
their products, and shall not place any similar information on any such
website in the future. Each party agrees to issue a press
release, in a form and content approved in advance by the other party,
stating that the parties plan to work together to promote such
Innerlight’s products as conform to Defendants’ science and
standards.
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7.
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Defendants
shall be entitled to sell one “greens” product (known as Doc Broc Power
Plants) besides Innerlight’s products. Once the parties have
successfully worked out Plaintiff’s costs and pricing for this product,
Plaintiffs will include this product in Plaintiff’s product line, together
with such non-greens products presently being sold by Defendants as the
parties may jointly agree. Defendants will replace their
powdered “phruits and pholiage” product with Innerlight’s Supergreens
product on their website, and will promote and sell such Innerlight
products on their website, as meet Defendant’s science and
standards.
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8.
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Plaintiffs
will pay commissions to Defendants under the parties’ Consulting
Agreement, commencing with the payment for October due on or about
November 15, 2008, and shall pay all future commissions monthly, and in a
timely manner as they accrue, so long as Defendants are not in default
under their Consulting and Non-Competition Agreement with
Plaintiffs.
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9.
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The
existing agreements between the parties, including but not limited to, the
Non-Competition Agreement and the Consulting Agreement, shall not be
amended or modified by this agreement and shall remain in full force and
effect, except as modified by the Court’s Order and Opinion of April 23,
2008.
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10.
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All
provisions of the Court’s order dated April 23, 2008 shall remain in full
force and effect.
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IN
WITNESS WHEREOF, the parties have executed this Settlement Agreement as of the
dates set forth opposite their names.
DARIUS
INTERNAITONAL, INC.
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DATE:
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11/07/09
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By:
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/s/
Xxxxx Xxxxxx
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INNERLIGHT
INC.
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DATE:
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11/07/09
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By:
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/s/
Xxxxx Xxxxxx
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DATE:
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11/06/09
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By:
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s/
Xxxxxx X. Xxxxx
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Xxxxxx
X. Xxxxx
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DATE:
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11/06/09
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By:
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/s/
Xxxxxxx X. Xxxxx
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Xxxxxxx
X. Xxxxx
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