SETTLEMENT AGREEMENT AND MUTUAL RELEASES
Exhibit 10.3
SETTLEMENT AGREEMENT AND MUTUAL RELEASES
This Settlement Agreement (this "Agreement") is made as of this 14th day of March, 2017 (the “Effective Date”), by and between MyDX, Inc. (“MYDX”) and Vista Capital Investments, LLC (“Vista”). MYDX and Vista are hereinafter referred to jointly as the "Parties" and make this Agreement in reference to the following:
WHEREAS, MYDX executed a Convertible Promissory Note dated May 24, 2016 in favor of Vista (the “Convertible Note”);
WHEREAS, Vista has claimed that it is still entitled to certain payments under the Convertible Note and the Prior Note and MYDX denies that Vista is entitled to the full amount of such payments. There is a present dispute regarding the total amount remaining owed on the Note;
WHEREAS, Vista has submitted a conversion request on March 13, 2017 for the issuance of 68,437,500 shares, and;
WHEREAS, the Parties wish to settle, resolve and compromise all claims, disputes or other issues that may exist between them.
NOW THEREFORE, in consideration of the mutual releases and promises contained herein and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows:
1. Settlement Amount.
a. The Parties agree that in full and final satisfaction of any and all claims, disputes or issues that exist between them:
(i) Vista shall entitled to the issuance of 35,000,000 shares in full satisfaction of its conversion request and any remaining amounts due to Vista, no further issuance of any MYDX shares or other instruments of any kind shall be due to Vista and Vista shall immediately instruct the transfer agent, Nevada Agency and Transfer Company, of same and that, with the exception of the issuance of 35,000,000 shares pursuant to this agreement, all outstanding conversions notices are void and of not further effect and no further reserve shall be maintained;
(ii) Neither Vista nor MYDX shall be entitled to any additional cash or other payment from each other of any kind.
2. Compromise. The Parties agree and acknowledge that this Agreement is the result of a compromise and shall not be construed as an admission by any of the Parties of any liability, wrongdoing, or responsibility on their part or on the part of their predecessors, successors, assigns, agents, parents, subsidiaries, affiliates, officers, directors, or employees. Indeed, the Parties expressly deny any such liability, wrongdoing or responsibility.
3. Payment in Full. The provisions agreed to the parties as set forth in Section 1 shall be in full and final satisfaction of any amounts claimed or owed by either of the parties.
4. Releases.
a. Upon effectuation of the matters set forth in Section 1 above, the return of the MYDX shares to treasury as set forth in Section 5 below, the Note marked as “Paid in Full”, MYDX and its predecessors, successors, parents, direct and indirect subsidiaries, affiliates, assigns, heirs, agents, transferees, and current and former directors, officers, managers, members, shareholders, partners, employees, representatives, and attorneys (the “MYDX Releasors”) hereby release Vista and its predecessors, successors, parents, direct and indirect subsidiaries, affiliates, assigns, heirs, agents, transferees and current and former directors, officers, managers, members, shareholders, partners, employees, representatives, and attorneys (collectively the "Released Vista Parties"), from and against any and all actions, suits, judgments, claims, proofs of claim, demands, damages, attorneys’ fees, causes of action, debts, liabilities, or controversies of any kind whatsoever, whether at law or in equity, whether before a local, state or federal court or state or federal administrative agency or commission, or arbitration administrator, and whether now known or unknown, matured or unmatured, liquidated or unliquidated, that MYDX now has or may have had, or thereafter claims to have on behalf of itself, or any other person or entity, from the beginning of the world up through and including the date of this Agreement, including based on the Note.
b. Upon effectuation of the matters set forth in Section 1 above and the receipt of the MYDX shares set forth in Section 1, Vista and its predecessors, successor, parents, direct and indirect subsidiaries, affiliates, assigns, heirs, agents, transferees, and current and former directors, officers, managers, members, shareholders, partners, employees, representatives, and attorneys (the “Vista Releasors”) hereby release MYDX and its predecessors, successors, parents, direct and indirect subsidiaries, affiliates, assigns, heirs, agents, transferees, and current and former directors, officers, managers, members, shareholders, partners, employees, representatives, and attorneys (collectively the "Released MYDX Parties"), from and against any and all actions, suits, judgments, claims, proofs of claim, demands, damages, attorneys’ fees, causes of action, debts, liabilities or controversies of any kind whatsoever, whether at law or in equity, whether before a local, state or federal court or state or federal administrative agency or commission, or arbitration tribunal or administrator, and whether now known or unknown, matured or unmatured, liquidated or unliquidated, that Vista now has or may have had, or thereafter claims to have on behalf of itself, or any other person or entity, from the beginning of the world up through and including the date of this Agreement, including but not limited to the Note.
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Nothing contained in this release shall prevent the Parties from asserting or pursuing any claim to enforce the terms of this Agreement.
5. Return of Reserve Shares to MYDX Treasury.
All remaining shares of MYDX that are held by the transfer agent after disbursement of the 35,000,000 shares shall immediately be returned by the transfer agent to treasury, and Vista consents to same and will take any steps required by the transfer agent to advise the transfer agent of such consent. No further reserve of shares for Vista shall be maintained.
6. Miscellaneous Terms and Conditions.
a. Following execution of this Agreement, the Parties shall as soon as practicable take the actions and prepare any and all additional appropriate documents reasonably necessary to effectuate this Agreement.
b. Each Party shall bear its own attorneys’ fees and costs.
c. This Agreement may be modified only by a written document signed by the Parties. No waiver of this Agreement or of any of the promises, obligations, terms, or conditions hereof shall be valid unless it is written and signed by the Party against whom the waiver is to be enforced.
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d. This Agreement shall be binding upon and shall inure to the benefit of the Parties thereto, their predecessors, successors, parents, subsidiaries, affiliates, assigns, agents, directors, officers, employees, and shareholders.
e. If any part or any provision of this Agreement shall be finally determined to be invalid or unenforceable under applicable law, that part shall be ineffective to the extent of such invalidity or unenforceability only, without in any way affecting the remaining parts of said provision or the remaining provisions of said Agreement. Furthermore, the Parties agree that in the event of an illegal, invalid or unenforceable provision, the Parties shall use their best efforts to induce the reviewing court to substitute a legally enforceable provision effectuating the intent of the Parties (as can be discerned from the subject provision and the rest of the Agreement) as closely as possible, and, should the court be unwilling to perform such substitution, to use their best efforts to do so between themselves and to add such new provision to this Agreement.
f. This Agreement shall be governed by and construed in accordance with laws of the State of Florida, without regard to its choice of law rules. The state or federal courts situated in Florida shall retain exclusive jurisdiction over any and all disputes arising out of or otherwise relating to the subject matter of this Agreement.
g. Each Party acknowledges that it has read the document thoroughly and completely, has had the opportunity to consult legal counsel of its choosing, understands the rights, remedies and allegations surrounding the execution of this document, and that the document is executed voluntarily.
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h. Each person who executes this Agreement by or on behalf of each respective Party warrants and represents that he or she has been duly authorized and empowered to execute and deliver this Agreement on behalf of such Party.
i. The Parties cooperated in the drafting of this Agreement, and in the event that it is determined that any provision herein is ambiguous, that provision shall not be presumptively construed against either Party.
k. In the event that either Party breaches any term of this Agreement and the other Party is required to employ counsel to enforce its rights, the prevailing Party shall be entitled to recover its attorneys’ fees and costs incurred therein.
k. This Agreement contains the complete agreement between the Parties with respect to its subject matter and supersedes any and all prior agreements, understanding, promises, warranties, and representations made by each Party to the other concerning the subject matter.
l. The Parties hereby warrant and represent that they have not assigned or in any way transferred or conveyed all or any portion of the claims covered by this Agreement, and to their knowledge, no other person or entity has a right to any claim that purports to be settled by this Agreement. The Parties acknowledge and agree that this warranty and representation is an essential and material term of this Agreement, without which they would not have entered into it. The Parties each agree to defend and to hold each other harmless against the claims of any other person or entity asserting a claim or right that purports to be settled by the Agreement.
7. Counterparts / Facsimile Signatures. This Agreement may be executed in counterparts, and each counterpart, when executed, shall have the efficacy of a signed original. This Agreement may be executed by facsimile signatures which shall be deemed to have the same force and effect as an original signature.
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WHEREFORE, having fully read and understood the terms of this Agreement, the Parties sign their names below with the intention that they shall be bound by it.
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VISTA CAPITAL INVESTMENTS, LLC :
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