Exhibit 10.7


    Contractor
      Agreement

     

    


     

    This
      agreement (the “Agreement”) was concluded on this 27th
      day of
      September, 2005 by and between

     

    California
      NewsTech Corporation, a
      Nevada
      USA corporation, duly registered located at 825 Van Ness Ave. Suite 406-607,
      San
      Francisco, California 94109, herby represented by Mr. Marian Munz in his
      capacity as President & CEO, hereinafter referred to as “Company”;
      and

     

    Sirbu&Sirbu
      SNC,
      a
      Romanian company duly registered with the Trade Register of District Teleorman
      under no J34/357/2003, Fiscal Code R 15643179, with registered address at
      Teleorman District, Rosiorii de Vede, Elena Doamna Street, building J102,
      entrance B, floor 3, apartment 7, herby represented by Mr. Julian Sirbu in
      his
      capacity as Administrator, hereinafter referred to as “Contractor”

     

    WHEREAS,
      the Contractor provides services to the general public as a professional
      services provider

     

    WHEREAS,
      the Company is in the business of Internet advertising and 

     

    WHEREAS,
      the Company desires to utilize the Contractor’s services, rendered at
      Contractor’s office or, if required by the Company and accepted by the
      Contractor, at the Company’s location,

     

    it
      is
      therefore

     

    AGREED
      AS
      FOLLOWS:

     

    1. Scope
      of
      Services:

     

    Contractor
      agrees, pursuant to the terms herein, to provide specialized consulting
      services, afferent to the needs of the company and to allocate Julian Sirbu
      as
      the acting Manager of Research & Development for the Company.

     

    These
      services shall include, without limiting, the following:

     

    -
      management of all offshore software development services;

     

    -
      hands-on software development;

     

    -
      implementation-

     

    -
      making
      sure that all processes for data and code back-up and security are in
      place.

     

    Contractor
      will render these services upon specific request, instructions and authorization
      of the Company only, according to the Purchase Orders.

     

    2. Termination:

     

    Contractor
      services under the Agreement will begin and terminate pursuant to the period
      covered by the Purchase Order and any renewals or extensions thereof. This
      Agreement shall be for a period of 12 months, commencing on October 1, 2005
      and
      terminating in September 30, 2006. However, this Agreement may be terminated
      by
      either party on 30 days written notice, unless Contractor commits a breach
      of
      this Agreement, at which time this Agreement may be immediately terminated
      by
      the Company.


     

    3. Restrictions:

     

    During
      the term of the Agreement and any renewals thereof, and for thirty six (36)
      months after the expiration of the initial and renewal periods, Contractor
      agrees that neither of its personnel will provide or attempt to provide,
      directly or indirectly, any services to any competitor of the
      Company.

     

    4. Contractor
      Representations:

     

    Contractor
      represents that all information provided by it including, but not limited to,
      the resume, interview and references are true, accurate and complete; the
      Contractor is not restricted by an employment or other contractor agreement;
      it
      has all the skills and training necessary to perform the services required
      by
      this Agreement; and Contractor has and maintains books and records which reflect
      items of income and expenses of its trade or business and offers its services
      to
      third parties.

     

    Contractor
      makes these representations with the knowledge that the Company will rely on
      the
      representations. In addition to any other remedies the Company may have, it
      may
      terminate this Agreement in the event of any misstatement or
      misrepresentation.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    5. Payment
      Terms:

     

    Contractor
      services monthly payment will be at $2,000 plus 2,000 stock options exercisable
      at $2 per share of the Company common stock, for a minimum 40 hours per week,
      dedicated fully to the Company. The Contractor will issue invoices for its
      services and internet connection, in USD.

     

    The
      Invoices will be due for payment within five calendar days of the invoice date
      or -if the case- based on a mutual agreement.

     

    Any
      payment delay will raise the final expenses with 1 percent per day for 7 days.
      After that any Contractor activity will end until the payment is
      made.

     

    6. Expenses:

     

    No
      travel, living, training, entertainment or other costs that Internet connection
      will be billed by or paid to Contractor unless otherwise agreed. Contractor
      shall provide its own tools, equipment or other materials. The Internet
      connection cost has to be pre-approved by the Company.

     

    7. Confidential
      Information:

     

    All
      information (pertaining to any of Company’s inventions, designs, tools,
      equipment, unpublished written materials, plans, processes, costs, methods,
      systems, improvements, or other private or confidential materials) which is
      obtained by Contractor in the performance of Contractor’s work and which is not
      publicly disclosed by Company shall be considered as confidential and
      proprietary to Company.

     

    The
      terms
      of Contractor’s assignment including the Contractor’s compensation and the
      assignment terms of other Company’s employees and the scope of Contractor’s work
      shall be considered confidential. Contractor shall not at any time during or
      after such employment, disclose such information not the nature of the service
      which Contractor render to Company, except to authorized representative of
      Company. All programming code and computer software developed by Contractor
      for
      the Company under the terms of the contract, is considered pay for hire and
      the
      property of the Company and it is owned 100% by the Company.

     

    8. Relationship
      of the Parties:

     

    The
      parties to this Agreement agree that the relationship created by this Agreement
      is that of Company-Independent Contractor and that on employer/employee
      relationship by or between the Contractor and the Company is intended by any
      party.

     

    9. Contractor
      Employees:

     

    It
      shall
      be the Contractor’s responsibility to provide Worker’s compensation insurance
      and, if applicable, pay any premium “overtime” rate, for its employees who work
      on the project covered by this Agreement and to make required FICA, FUTA, income
      tax withholding or other payments related to such employees. In the event of
      any
      claims brought or threatened by any party against the Company related to the
      status, acts or omissions of Contractor or its personnel, Contractor agrees
      to
      cooperate in all reasonable respects, including supporting the assertions of
      Contractor status made in this Agreement. Contractor further agrees to file
      all
      necessary income tax reports and forms on a timely basis and make all payments
      due to the appropriate taxing authority.

     

    10. Right
      to
      Supervise:

     

    Contractor
      shall utilize his own independent judgment and discretion in the performance
      of
      the work without supervision or right to supervise or control as to the means
      and manner including time, location and sequencing of performance by the
      Company.

     

    11. Service
      to Others:

     

    Contractor
      may provide services to others during the term of this Agreement provided that
      it does not interfere with his obligations and performance
      hereunder.

     

    12. Risk
      of
      Loss:

     

    Contractor
      hereby releases Company from any liability relating to representations about
      the
      task requirements or to the conditions under which the Contractor will be
      working. Contractor shall be solely responsible and liable for the services
      it
      provides hereunder and will not look to Company for any indemnification or
      sharing of risk in the performance of its duties or the resulting work
      product.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    13. Insurance:

     

    Contractor
      agrees to indemnify and hold Company harmless from any and all liability or
      expense that Company may incur by reason of bodily injury to any person, or
      property damage, or both, caused in whole or in part by the acts of the
      Contractor’s employees while performing work or services pursuant to this
      Agreement, including reasonable attorney’s fees.

     

    14. Cost
      of
      Suits:

     

    If
      Company is successful in recovering damages or obtaining injuctive relief,
      Contractor agrees to be responsible for paying all of Company’s expenses in
      seeking such relief, including all costs of bringing suit and all reasonable
      attorney’s fees.

     

    15. Entire
      Agreement:

     

    This
      Agreement and any attachments or exhibits hereto represent the entire agreement
      and understanding of the parties and any modification thereof shall not be
      effective unless contained in writing signed by both parties. Any prior
      agreements have been merged into this Agreement.

     

    16.
      Severability:

     

    Each
      provision of the Agreement shall be considered severable such that if any one
      provision of clause conflicts with existing or future applicable law, or may
      not
      be given full effect because such law, this shall not affect any other provision
      of the Agreement which can be given effect without the conflicting provision
      of
      clause.

     

    17. Right
      to
      Assign:

     

    Contractor
      is to provide services through its personnel named in the Purchase Order, for
      whom it is responsible, and may not assign its rights under this Agreement
      or
      any Purchase Order and may not subcontract it obligation hereunder to
      others.

     

    18. Conflicts:

     

    To
      the
      extent that there may be any conflict between the terms of this agreement and
      any Purchase Order which may be given hereto, this Agreement shall take
      precedence.

     

    19. Governing
      Law and Forum

     

    The
      validity, performance and construction of this Agreement shall be governed
      by
      and interpreted in according with the laws of California, USA.

     

    Any
      disputes among the Parties, arising out of or related to this Agreement, shall
      be settled under the Rules of Arbitration of the County of San Francisco, USA.
      The language of the arbitration will be English.

     

    This
      Agreement shall be executed in two counterparts, one for each Party, both of
      which taken together shall constitute one instrument.

     

    IN
      WITNESS WHEREOF, the parties have hereunto set their hands and seals on the
      date
      first above written.

     

    
      	Company: 	Contractor:
	 	 
	California NewsTech
              Corporation 	
              Sirbu
                & Sirby SNC

            
	Marian Munz 	Sirbu Julian
	By: /s/ Marian
              Munz	By: /s/ Sirbu Julian
	Title: President	Title:
              Administrator