EXHIBIT 10.3
CONSULTING AGREEMENT
Consulting Agreement dated as of December 28, 2001, by and between ▇▇▇▇▇
Bay International, Inc., a corporation with offices at ▇▇▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇.,
▇▇▇▇▇ ▇▇▇, ▇▇▇ ▇▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇, ▇▇▇▇▇, (the "Company") and ▇▇▇▇▇ ▇▇▇▇▇▇▇, a
natural person with offices at ▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇., ▇▇▇▇▇ ▇▇▇, ▇▇▇▇ ▇▇▇▇,
▇▇▇▇▇▇▇ ▇▇▇▇▇ (the "Consultant").
W I T N E S S E T H:
The Company desires to engage the services of the Consultant for purposes
of general corporate counseling and advice and more specifically for those
services set forth on Schedule A (collectively, the "Counseling Services").
Consultant desires to perform Consulting Services on behalf of the Company
and desires to be engaged and retained by the Company for such purposes.
ACCORDINGLY, in consideration of the recitals, promises and conditions in
this Agreement, the Consultant and the Company agree as follows:
1. CONSULTING SERVICES. The Company hereby retains the Consultant, and
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the Consultant accepts such retention all on the terms and conditions herein
contained.
2. TERM.
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(a) The initial term (the "Initial Term") of this Consulting Agreement
shall be for a twelve-month period commencing on the date hereof.
(b) Notwithstanding paragraph 2(a), this Agreement may be terminated by
either party prior to the expiration of the Initial Term as follows:
(i) Upon failure of the other party to cure a material default under,
or a breach of, this Agreement (including, but not limited to, the
Company's obligations under Section 5 hereof) within 5 days after
written notice is given as to such breach by the terminating party;
(ii) Upon the bankruptcy or liquidation of the other party, whether
voluntary or involuntary;
(iii) Upon the other party taking the benefit of any insolvency law;
and/or
(iv) Upon the other party having or applying for a receiver appointed
for all or a substantial part of such party's assets or business.
(c) Subject to compliance with Section 5(e) hereof, following the
expiration of the Initial Term, the Agreement will continue in full force and
effect until terminated by either party, for any reason whatsoever, upon thirty
(30) days prior written notice.
(d) Termination will not affect the right (i) of the Consultant to be
paid any fees which are payable as of the effective date of such termination or
to be reimbursed for any reimbursable expenses incurred in connection with the
Consulting Services, or (ii) of any Indemnified Person to receive
indemnification pursuant to the provision set forth in Section of the
Agreement.
3. FEES. In addition to and not in mitigation of, or substitution for,
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the additional fees enumerated in any of the Schedules hereto, the Company shall
pay and deliver to the Consultant, simultaneously with the execution and
delivery of this Agreement, an initial engagement fee consisting of a cash
payment in the amount of $25,000.
4. EXPENSES. The Company will reimburse the Consultant for its
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expenses, reasonably incurred by the Consultants, in execution of the Consulting
Services on behalf of the Company. Expenses shall be paid monthly in arrears
and the first payment shall be made on September 1, 2001. The expense shall be
paid until the termination of this Agreement and all outstanding expenses shall
be paid on the date of the termination of this Agreement. Notwithstanding
anything in this Agreement to the contrary, the Consultant may require to pay,
and the Company at the direction of the Consultant will pay, any expenses, which
alone or in the aggregate may exceed US$250 directly in advance.
5. DUTIES OF THE COMPANY.
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(a) The Company shall supply the Consultant, on a regular and timely
basis, with all approved data and information about the Company, its management,
its products and its operations, and the Company shall be responsible for
advising the Consultant of any facts which would affect the accuracy of any
prior data and information previously supplied to the Consultant so that the
Consultant may take corrective action.
(b) The Company shall promptly supply the Consultant with: full and
complete copies of all filings with all federal and state securities agencies;
full and complete copies of all stockholder reports and communications, whether
or not prepared with the Consultants' assistance; all data and information
supplied to any analyst, broker-dealer, market maker or other member of the
financial community; and all product/services brochures, sales materials, etc.
(c) The Company shall contemporaneously notify the Consultant if any
information or data being supplied to the Consultant has not been generally
released or promulgated.
6. REPRESENTATION AND INDEMNIFICATION BY COMPANY.
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(a) The Company shall be deemed to make a continuing representation of
the accuracy of any and all material facts, material, information, and data that
it supplies to the Consultant and the Company acknowledges its awareness that
the Consultant will rely on such continuing representation in disseminating such
information and otherwise performing its public relations functions.
(b) The Consultant, in the absence of notice in writing from the
Company, will rely on the continuing accuracy of material, information and data
supplied by the Company.
(c) The Company hereby agrees to indemnify the Consultants against, and
to hold the Consultant harmless from, any claims, demands, suits, loss, damages,
etc. arising out of the Consultant's reliance upon the accuracy and continuing
accuracy of such facts, material, information and data, unless the Consultant
has been negligent in fulfilling his duties and obligations hereunder.
(d) The Company hereby agrees to indemnify the Consultant against, and
to hold the Consultant harmless form, any claims, demands, suits, loss, damages,
etc. arising out of the Consultant's reliance on the general availability of
information supplied to the Consultant and the Consultant's ability to
promulgate such information, unless the Consultant has been negligent in
fulfilling his duties and obligations hereunder.
7. REPRESENTATION AND INDEMNIFICATION BY CONSULTANT.
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(a) The Consultant agrees to provide the Consulting Services hereunder
in a good and workmanlike manner consistent with the performance standards
observed by other professionals undertaking such functions.
(b) The Consultant agrees that it will not release or disseminate any
information pertaining to the Company without providing the Company with an
advance copy thereof and obtaining authorization for such release and
dissemination.
(c) The Consultant hereby agrees to indemnify the Company against, and
to hold the Company harmless from, any claims, demands, suits, loss, damages,
etc. arising out of any inaccurate statement or misrepresentation provided that
such indemnification shall not pertain to any information provided by or
attributable to the Company.
8. RELATIONSHIP OF PARTIES. The Consultant is an independent
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contractor, responsible for compensation of its agents, employees and
representatives, as well as all applicable withholding therefrom and taxes
thereon (including unemployment compensation) and all workers' compensation
insurance. This Agreement does not establish any partnership, joint venture, or
other business entity or association between the parties, and neither party is
intended to have any interest in the business or property of the other.
9. MISCELLANEOUS.
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(A) ENTIRE AGREEMENT; AMENDMENTS. This Agreement, together with the
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Schedules and Exhibits hereto, contain the entire understanding of the parties
with respect to the subject matter hereof and supersede all prior agreements and
understandings, oral or written, with respect to such matters.
(B) NOTICES. Any and all notices or other communications or deliveries
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required or permitted to be provided hereunder shall be in writing and shall be
deemed given and effective on the earliest of (i) the date of transmission, if
such notice or communication is delivered via facsimile at the facsimile
telephone number specified in this Section prior to 4:30 p.m. (Eastern Standard
time) on a Business Date, (ii) the Business Day after the date of transmission,
if such notice or communication is delivered via facsimile at the facsimile
telephone number specified in this Agreement later than 4:30 p.m. (Eastern
Standard time) on any date and earlier than 11:59 p.m. (Eastern Standard time)
on such date, (iii) the Business Day following the date of mailing, if sent by
nationally recognized overnight courier service, or (iv) upon actual receipt by
the party to whom such notice is required to be given. The address for such
notices and communications shall be as follows:
If to the Company: ▇▇▇▇▇ Bay International, Inc.
▇▇▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇.
▇▇▇ ▇▇▇▇▇, ▇▇. ▇▇▇▇▇
If to the Consultant: ▇▇▇▇▇ ▇▇▇▇▇▇▇
▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇.
▇▇▇▇▇ ▇▇▇
▇▇▇▇ ▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇
Tel: (▇▇▇) ▇▇▇-▇▇▇▇
Facsimile: (▇▇▇) ▇▇▇-▇▇▇▇
Attention: ▇▇▇▇▇
or such other address as may be designated in writing hereafter, in the
same manner, by such party.
(C) AMENDMENTS; WAIVERS. No provision of this Agreement may be waived
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or amended except in a written instrument signed, in the case of an amendment,
by both the Company and the Consultant, or, in the case of a waiver, by the
party against whom enforcement of any such waiver is sought. No waiver of any
default with respect to any provision, condition or requirement of this
Agreement shall be deemed to be a continuing waiver in the future or a waiver of
any other provision, condition or requirement hereof, nor shall any delay or
omission of either party to exercise any right hereunder in any manner impair
the exercise of any such right accruing to it thereafter.
(D) HEADINGS. The headings herein are for convenience only, do not
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constitute a part of this Agreement and shall not be deemed to limit or affect
any of the provisions hereof. All words used in this Agreement will be
construed to be of such number and gender as the circumstances require.
(E) SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon and
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insure to the benefit of the parties and their successors and permitted assigns.
This Agreement is intended for the benefit of the parties hereto and their
respective permitted successors and assignees, and other than with respect to
permitted assignees is not for the benefit of, nor may any other person hereof
enforce any provision. Anything in the foregoing to the contrary
notwithstanding, subject to compliance with applicable securities laws, the
Consultant may assign and/or transfer all or a portion of the consideration
payable by the Company hereunder.
(F) GOVERNING LAW. This Agreement shall be governed by and construed
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and enforced in accordance with the internal laws of the State of Florida
without regard to the principles of conflicts of law thereof. Each party hereby
irrevocably submits to the non-exclusive jurisdiction of the United States
Federal District Court for the Middle District of Florida for the adjudication
of any dispute hereunder or in connection herewith or with any transaction
contemplated hereby or discussed herein, and hereby irrevocably waives, and
agrees not to assert in any suit, action or proceeding, any claim that it is not
personally subject to the jurisdiction of any such court, or that such suit,
action or proceeding is improper.
(G) SEVERABILITY. In case any one or more of the provisions of this
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Agreement shall be invalid or unenforceable in any respect, the validity and
enforceability of the remaining terms and provisions of this Agreement shall not
in any way be affecting or impaired thereby and the parties will attempt to
agree upon a valid and enforceable provision which shall be a reasonable
substitute therefore, and upon so agreeing, shall incorporate such substitute
provision in this Agreement.
(H) REMEDIES. In addition to being entitled to exercise all rights
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provided herein or granted by law, including recovery of damages, the Subscriber
will be entitled to specific performance or the obligations of the Company
hereunder. The Company and the Subscriber agree that monetary damages would not
be adequate compensation for any loss incurred by reason of any breach of its
obligations described in the foregoing sentence and hereby agrees to waive in
any action for specific performance of any such obligation the defense that a
remedy at law would be adequate.
IN WITNESS WHEREOF, the parties have hereunto set their hands and seals the
day and year first above written.
▇▇▇▇▇ ▇▇▇▇▇▇▇
By: /s/▇▇▇▇▇ ▇▇▇▇▇▇▇
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▇▇▇▇▇ ▇▇▇▇▇▇▇
▇▇▇▇▇ Bay International, Inc.
By:/s/▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
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Authorized Signatory/▇▇▇▇▇ ▇▇▇▇▇▇▇
SCHEDULE A
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To the Consulting Agreement dated as of December 28, ▇▇▇▇
▇▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇ International, Inc. and ▇▇▇▇▇ ▇▇▇▇▇▇▇
1.1 STRATEGIC PLANNING SERVICES. The following strategic planning
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services shall be provided to the company by the Consultant which will undertake
for and consult with the Company concerning management, marketing, consulting,
strategic planning, corporate organization and structure, financial matters in
connection with the operation of the business of the Company, expansion of
services, and shall review and advise the Company regarding its overall
progress, needs and condition. The Consultant agrees to provide on a timely
basis the following enumerated services plus any additional services
contemplated thereby:
(a) Advise the Company in the implementation of short and long term
strategic planning to fully develop and enhance the Company's assets,
resources, products and services.
(b) Advise the Company relative to the recruitment and employment of
key executives consistent with the expansion of operations of the
Company.
(c) Advise and recommend to the Company additional services relating
to the present business and services provided by the Company as well
as new products and services that may be provided by the Company.
(d) Advise the officers and employees of the company concerning
matters relating to the management and organization of the company,
their financial policies, the terms and conditions of employment, and
generally any matter arising out of the business affairs of the
company.
1.2 DISCLAIMER BY CONSULTANT. The Consultant makes no representation
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that as a result of the services to be provided by it (a) the price of the
Company's publicly traded securities will increase (if applicable), (b) any
person will purchase securities in the Company as a result of the contract, or
(c) any investor will lend money to or invest in or with the Company. In
addition, the Consultant makes no representation that he is a securities
attorney or equivalent and reliance should not be made on those statements. The
Company should consult legal counsel for such decisions as deemed appropriate by
the Company.