EXHIBIT 10.1(c)
ADDENDUM
EXPANSION OF LICENSE AUTHORITY TO LICENSED PRODUCTS
WHEREAS, the Parties hereto, Traptec Corporation, licensor, and On Alert
Systems, Inc., licensee having executed this Conditional License Agreement on
September 29, 2003, and have extended this agreement until March 5, 2005, do
hereby agree to the following expansion of this agreement as follows:
The previous date of March 5, 2005 is now extended until January 2, 2010.
Non-exclusive license to market all previously licensed products as well as all
new products developed by licensor or any licensee of licensor, including the
marketing of products under licensor's distributorship agreement with World Wide
Eyes, LLC.
Exhibit "A" is hereby expanded to include all of the additional provisional
patents, patent pending, issued patents, continuations in part, concepts,
designs and all other properties developed by the licensor. These properties
include but are not limited to the following:
U. S. Patent No. 6,600,417, Graffiti detection system and method of detecting
same. July 29, 2003.
U. S. Patent No. 6,288,643, Graffiti detection system and method of detecting
same. September 11, 2001.
U. S. Patent App. 10/627,478
U. S. Patent No. 6,281,787 B1, Vehicle Tire Leak Detection System and method of
using same. August 28, 2001.
Additional concepts and Trademarks owned or that are being developed by Traptec
and to be covered under this Agreement include:
BioTrap
GroundSounder
MineEliminator
SafeSky
ShotsFired
SniperSpotter
FlatFlash
One half (1/2) of all paid invoices related to marketing expenditures by
licensee shall be repaid out of Licensor's share of the profits.
License fee under 3.1 is hereby amended so that to maintain this license after
one year from today's date, that is, as of April 14, 2005, the minimum annual
fee to be paid to Licensor shall be no less than $ 50,000. Thereafter, If there
are no quarterly payments from income, the minimum quarterly fee shall be
$25,000, to be paid in quarterly payments as set out in 3.3 of this agreement.
Thus, the minimum annual fee to maintain this license is $100,000 paid quarterly
after the first full year.
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Under 2.1 Protection of Rights, it is the Licensor's responsibility to maintain
the patents. In the event Licensor fails to properly protect the patents,
Licensee at its option, may expend whatever funds are necessary to pay required
fees, and/or file protective litigation. All such expenditures (fees, attorney
expenses, experts, court costs etc.) by licensee shall be repaid in full with a
20% bonus, to be deducted from licensor's share of income.
SO AGREED AS OF APRIL 14, 2004.
TRAPTEC CORPORATION
/s/ Xxxxxx X. Xxxx
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Xxxxxx X. Xxxx, President & CEO
ON ALERT SYSTEMS, INC.
/s/ Xxxxxxx X. Xxxxxxxx
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Xxxxxxx X. Xxxxxxxx, CEO
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