10.1


EXHIBIT 10.1




SUPPLY AGREEMENT




THIS SUPPLY AGREEMENT (together with the schedules hereto, this “Agreement”), dated as of June 30, 2011 (the “Effective Date”), is entered into by and between Autodily Rachot S.R.O., a Czech Republic Spolecnost S Rucením Omezenym, frequently translated into the English language as “limited liability company” (“Supplier”), and Rainbow International, Corp., a Nevada, United States of America, corporation (“Purchaser”).




RECITALS




A. Purchaser desires to purchase certain products, as defined in Recital B, below (the “Products”), from Supplier and Supplier desires to supply Purchaser the Products for sale.




B.  As used in this Agreement, “Products” mean, those certain Bohemian crystal products manufactured or otherwise produced in the Czech Republic by Supplier or its agents, initially as set forth in Schedule I hereto, and such other products or product lines from time to time agreed to by Purchaser and Supplier.




AGREEMENTS




NOW THEREFORE, in consideration of the agreements and covenants set forth herein, and intending to be legally bound thereby, the parties hereto agree as follows:




1. Product Terms; Licenses and Agreements as to Use.




1.1 Appointment.  Purchaser hereby appoints Supplier, and Supplier accepts such appointment, to act as a non-exclusive supplier of the Products to Purchaser.




1.2  Prices.  The prices paid by Purchaser to Supplier for Products shall initially be as set forth in Schedule I hereto.  Purchaser shall have the right to purchase up to an aggregate of US $250,000 of Products at item prices identified in Schedule I.  Prices are exclusive of all taxes, insurance, and shipping and handling charges, which are Purchaser’s sole responsibility.




1.3  Resale of Products.   Products may, in the sole discretion of Purchaser, be packaged, marketed and commercially resold by Purchaser under Purchaser’s own brand(s).




2. Orders and Payment.




2.1 Orders.  Purchaser shall order the Products in writing and delivered to Supplier.  The terms and conditions of each order shall be as provided by this Agreement, and the provisions of either party’s form of purchase order, acknowledgment or other business forms will not apply to any order notwithstanding the other party’s acknowledgment or acceptance of such form.  






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2.2  Shipment.  Shipment will be F.O.B. to Purchaser’s specified warehouse (“Delivery Point”), freight collect, at which time title and risk of loss will pass to Purchaser.  All freight, insurance and other shipping expenses from Delivery Point, as well as any expenses related to Purchaser’s special packing requests, will be borne by Purchaser unless otherwise agreed to in writing by Supplier.




2.3  Payment.  Purchaser shall make all payments for the Products pursuant to written payment instructions provided from time to time by Supplier to Purchaser.  All payments shall be made in United States Dollars.




2.4  Cancellation.  Purchaser may cancel any order of Product prior to shipment referenced in Section 2.2 hereof, provided,  however, that such cancelation is made in a writing delivered to Supplier prior to shipment, or if such cancellation made orally to Supplier, such cancellation is confirmed in writing not later than three (3) days after oral cancelation is made.   If Purchaser cancels an order of Product which has been accepted by Supplier, Purchaser shall reimburse Supplier within three (3) days of Supplier’s reasonable demonstration of evidence for any costs incurred by Supplier related to such order of Purchaser prior to the time Supplier receives knowledge of the cancelation.




3. Term and Termination.




3.1  Term.  This Agreement shall commence on the Effective Date and have a term which expires December 31, 2012, unless terminated earlier as provided herein.  




3.2  Termination for Insolvency.  At the option of Supplier or Purchaser, this Agreement shall terminate immediately if: (i) a receiver is appointed for the other party or its property; (ii) any proceedings are commenced by or for the other party under any bankruptcy, insolvency or debtors’ relief law; (iii) any proceedings are commenced against the other party under any bankruptcy insolvency or debtor’s relief law, and such proceedings have not been vacated or set aside within sixty (60) days from the date of commencement thereof; or (iv) the other party commences to dissolve under applicable corporate law statutes.




3.3  Termination/Expiration Accounting.  All amounts payable by Purchaser to Supplier shall survive termination and become immediately due and payable upon termination. 




4. Warranty.




4.1  Warranty Term.  Supplier’s warranty, as stated in Section 4.3, period is for ninety (90) days from the shipment date. 




4.2  Returns of Defective Products.  Returns of defective Products under warranty in section 4.3 will be processed through return processing centers and consolidated for shipment semi-monthly or monthly to Supplier by Purchaser.  Returns of defective Products will be paid for by Supplier when Supplier authorized carriers are used. Return shipment charges via unauthorized carriers and all customs or broker’s fees are the responsibility of Purchaser. 






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4.3  Supplier Warranty.  Supplier warrants that the Products will merchantable, meaning that the Products will pass without objection in the trade of Bohemian crystal, be of not less than fair and average quality for Bohemian crystal, and fit for the ordinary purpose for which such Products are sold.  In no event, however, shall Supplier bear any responsibility under its warranty or otherwise for any errors or damages caused by or resulting from misuse or changes in the Products caused or made by Purchaser, nor shall Supplier bear any responsibility for any warranties covering the Purchaser Products.




4.4  Remedies.  Supplier’s sole obligation, and Purchaser’s sole remedy, with respect to any nonconformities in the Products shall be for Supplier to use its reasonable efforts to correct such nonconformities. 




4.5  Purchaser Customer Warranties.  Purchaser shall be solely responsible to its customers for warranties covering Purchaser products, or warranties covering the Products beyond the scope of the Supplier warranties set forth in this Agreement, provided that Supplier shall provide reasonable assistance to Purchaser without charge to the extent that the customer complaint is a result of nonconformities in the Products during the Purchaser Products warranty period described in Section 6.1.




4.6 No other warranties.  Supplier and its contractors/vendors disclaim all other warranties and conditions, either express or implied, including, but not limited to, fitness for a particular purpose, title and non-infringement, with respect to the products and the provision of or failure to provide services.




4.7 Express Disclaimer.  Supplier makes no warranties or representations as to the products, except as set forth above.  All implied warranties and conditions, including but not limited to fitness for a particular purpose and noninfringement, are hereby disclaimed.




5. Limitation of Liability.  The liability of Supplier and its contractors/vendors arising out of or relating to this agreement or the supply of products hereunder, shall be limited to the actual amounts paid by Purchaser to Supplier for the products giving rise to such damages, and shall in no event include loss of profits, cost of procuring substitute goods or services, or any incidental, indirect or consequential damages of any kind, even if Supplier is aware of the possibility of such damages.




6. Confidentiality.  Each of the parties hereto agrees to hold confidential and proprietary information and trade secrets obtained from the other, and designated as such in writing by the disclosing party, in confidence and not to use or disclose such confidential and proprietary information and trade secrets to third parties without the consent of the other party, except that each of parties may disclose such information to their respective employees and agents who need to know such information for the purposes of operating their respective businesses.  The parties agree that the provisions contained in this paragraph shall survive the termination of this Agreement.






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7. General.




7.1  Assignment.  Neither party may assign, delegate, or transfer this Agreement, or any of its rights or duties hereunder, without the prior written consent of the other party.  Any attempted assignment or delegation in violation of this section shall be void.  The provisions of this Agreement shall be binding upon and inure to the benefit of the parties, their successors and permitted assigns. Notwithstanding the foregoing, Supplier may assign its rights and duties hereunder in connection with a merger, consolidation, spin-off, corporate reorganization, acquisition, or sale of all or substantially all the assets of Supplier.




7.2  No Partnership or Joint Venture.  Nothing contained herein will in any way constitute any association, partnership, or joint venture between the parties hereto, or be construed to evidence the intention of the parties to establish any such relationship.  Neither party will have the power to bind the other party or incur obligations on the other party’s behalf without the other party’s prior written consent.




7.3  Modification and Waiver.  No modification to this Agreement, nor any waiver of any rights, will be effective unless assented to in writing by the party to be charged, and the waiver of any breach or default shall not constitute a waiver of any other right hereunder or any subsequent breach or default.




7.4  Notices.  Any required or permitted notices hereunder must be given in writing at the address of each party set forth below, or to such other address as either party may substitute by written notice to the other in the manner contemplated herein, by one of the following methods: hand delivery; registered, express, or certified mail, return receipt requested, postage prepaid; or nationally-recognized private express courier.  Notices will be deemed given on the date received.




If to Supplier: Autodily Rachot S.R.O.

Cimburkova 730/27

Prague 13000

Czech Republic




If to Purchaser: Rainbow International, Corp.         Pekarska 36

Brno 60200

Czech Republic




7.5  Severability.  If for any reason any provision of this Agreement shall be held by a court of competent jurisdiction to be invalid or unenforceable, the remaining provisions of this Agreement shall remain in full force and effect.






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7.6  Entire Agreement.  This Agreement and the schedules and exhibits attached hereto constitute the entire and exclusive agreement between the parties hereto with respect to the subject matter hereof and supersede any prior agreements between the parties with respect to such subject matter.




IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed by their duly authorized representatives. 




SUPPLIER:




AUTODILY RACHOT S.R.O.













By:      /s/    Andrius Skirbutis   

        Name: Andrius Skirbutis

        Title:  President




PURCHASER:




RAINBOW INTERNATIONAL, CORP.













By:      /s/    Vladimir Bibik

        Name:  Vladimir Bibik

        Title:  President



























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SCHEDULE I




Price list




			
	Item number

	Item

	Price (USD)


	X-140-1002

	Box, 140 mm / 105 mm

	184.51


	X-160-1005

	Basket, 160 mm / 98 mm

	56.54


	X-165-1007

	Basket, 165 mm / 140 mm

	84.29


	X-180-1003

	Basket, 180 mm / 165 mm

	97.28


	X-200-1011

	Basket, 200 mm / 189 mm

	128.69


	X-220-1009

	Basket, 220 mm / 192 mm

	151.93


	X-230-1004

	Basket, 230 mm / 192 mm

	154.62


	X-255-1008

	Basket, 255 mm / 200 mm

	189.12


	X-300-1023

	Basket, 300 mm / 200 mm

	312.14


	 
	 
	 

	 
	Vases

	 

	V-080-1011

	Mini Vase, height 80 mm

	16.04


	V-080-1017

	Mini Vase, height 80 mm

	16.81


	V-080-1021

	Mini Vase, height 80 mm

	16.99


	V-080-1028

	Mini Vase, height 80 mm

	17.40


	V-080-1036

	Mini Vase, height 80 mm

	17.88


	V-080-1045

	Mini Vase, height 80 mm

	18.52


	V-080-1052

	Mini Vase, height 80 mm

	19.47


	V-080-1063

	Mini Vase, height 80 mm

	21.54


	V-080-1071

	Mini Vase, height 80 mm

	22.38


	V-090-1007

	Mini Vase, height 90 mm

	22.43


	V-100-1004

	Mini Vase, height 100 mm

	33.98


	V-102-1006

	Mini Vase, height 102 mm

	24.38


	V-104-1003

	Mini Vase, height 104 mm

	23.46


	V-105-1011

	Mini Vase, height 105 mm

	21.01


	V-107-1009

	Mini Vase, height 107 mm

	31.91


	V-116-1002

	Mini Vase, height 116 mm

	26.99


	V-126-1005

	Mini Vase, height 126 mm

	27.46


	V-130-1001

	Mini Vase, height 130 mm

	26.70


	V-132-1021

	Mini Vase, height 132 mm

	38.43


	V-148-1008

	Mini Vase, height 148 mm

	41.19


	V-150-1003

	Vase, height 155 mm

	24.15


	V-155-1012

	Vase, height 155 mm

	25.45


	V-155-1019

	Vase, height 155 mm

	26.09


	V-155-1032

	Vase, height 155 mm

	36.05


	V-155-1045

	Vase, height 155 mm

	40.84


	V-160-1008

	Vase, height 160 mm

	47.35


	V-180-1003

	Vase, height 180 mm

	23.86


	V-180-1012

	Vase, height 180 mm

	26.99


	V-180-1017

	Vase, height 180 mm

	28.71


	V-180-1032

	Vase, height 180 mm

	44.50


	V-180-1044

	Vase, height 180 mm

	51.43


	V-180-1057

	Vase, height 180 mm

	70.87


	V-181-1003

	Vase, height 181 mm

	31.90


	V-200-1017

	Vase, height 200 mm

	93.38


	V-205-1006

	Vase, height 205 mm

	23.86


	V-205-1015

	Vase, height 205 mm

	26.04


	V-205-1021

	Vase, height 205 mm

	30.01


	V-205-1039

	Vase, height 205 mm

	42.91


	V-205-1052

	Vase, height 205 mm

	50.24


	V-205-1059

	Vase, height 205 mm

	52.45


	V-205-1072

	Vase, height 205 mm

	56.70


	V-205-1085

	Vase, height 205 mm

	63.26


	V-205-1091

	Vase, height 205 mm

	67.05


	V-230-1005

	Vase, height 230 mm

	26.63


	V-230-1012

	Vase, height 230 mm

	28.23


	V-230-1019

	Vase, height 230 mm

	35.86


	V-230-1023

	Vase, height 230 mm

	36.34


	V-230-1046

	Vase, height 230 mm

	52.19


	V-230-1061

	Vase, height 230 mm

	65.75


	V-250-1012

	Vase, height 250 mm

	45.75


	V-250-1017

	Vase, height 250 mm

	46.16


	V-250-1022

	Vase, height 250 mm

	81.13


	V-250-1031

	Vase, height 250 mm

	98.66


	V-255-1008

	Vase, height 255 mm

	38.41


	V-255-1013

	Vase, height 255 mm

	40.95


	V-255-1023

	Vase, height 255 mm

	45.40


	V-255-1045

	Vase, height 255 mm

	63.08


	V-255-1061

	Vase, height 255 mm

	78.88


	V-255-1069

	Vase, height 255 mm

	79.37


	V-255-1078

	Vase, height 255 mm

	91.43


	V-255-1089

	Vase, height 255 mm

	100.50


	V-255-1093

	Vase, height 255 mm

	101.55


	V-260-1023

	Vase, height 260 mm

	71.78


	V-260-1042

	Vase, height 260 mm

	107.89


	V-275-1003

	Vase, height 275 mm

	44.02


	V-275-1045

	Vase, height 275 mm

	138.90


	V-280-1024

	Vase, height 280 mm

	80.18


	V-300-1014

	Vase, height 300 mm

	81.97


	V-305-1009

	Vase, height 305 mm

	48.11


	V-305-1012

	Vase, height 305 mm

	49.40


	V-305-1038

	Vase, height 305 mm

	102.50


	V-305-1052

	Vase, height 305 mm

	121.30


	V-305-1061

	Vase, height 305 mm

	142.76


	V-310-1019

	Vase, height 310 mm

	105.22


	V-355-1011

	Vase, height 355 mm

	128.43


	 
	 
	 

	 
	Glasses

	 

	B-035-1002

	Brandy Glass, 35 ml (6 pcs)

	90.43


	B-080-1007

	Brandy Glass, 80 ml (6 pcs)

	99.07


	B-105-1011

	Brandy Glass, 105 ml (6 pcs)

	104.10


	B-170-1000

	Brandy Glass, 170 ml (6 pcs)

	125.02


	B-230-1005

	Brandy Glass, 230 ml (6 pcs)

	131.75


	B-300-1006

	Brandy Glass, 300 ml (6 pcs)

	142.53


	B-420-1003

	Brandy Glass, 420 ml (6 pcs)

	151.11


	B-750-1001

	Brandy Glass, 750 ml (6 pcs)

	289.05


	C-100-1002

	Champagne Flute, 100 ml / 185 mm (6 pcs)

	111.74


	C-100-1009

	Champagne Flute, 100 ml / 215 mm (6 pcs)

	121.12


	C-150-1004

	Champagne Flute, 150 ml / 203 mm (6 pcs)

	102.93


	C-160-1007

	Champagne Flute, 160 ml / 215 mm (6 pcs)

	123.12


	C-160-1010

	Champagne Saucer, 160 ml / 150 mm (6 pcs)

	151.07


	C-160-1012

	Champagne Flute, 160 ml / 215 mm (6 pcs)

	126.34


	C-160-1016

	Champagne Saucer, 160 ml / 155 mm (6 pcs)

	154.52


	C-180-1005

	Champagne Saucer, 180 ml / 153 mm (6 pcs)

	104.89


	G-240-1007

	Goblet, 240 ml (6 pcs)

	168.55


	G-280-1003

	Goblet, 280 ml (6 pcs)

	105.74


	L-025-1005

	Liqueur Glass, 25 ml (6 pcs)

	120.22


	L-035-1014

	Liqueur Glass, 35 ml (6 pcs)

	134.78


	L-060-1002

	Liqueur Glass, 60ml (6 pcs)

	75.98


	L-060-1031

	Liqueur Glass, 60ml (6 pcs)

	137.78


	N-020-1006

	Noggin, 20 ml (6 pcs)

	90.26


	N-025-1009

	Noggin, 25 ml (6 pcs)

	89.37


	N-025-1012

	Noggin, 25 ml (6 pcs)

	91.79


	N-030-1007

	Noggin, 30 ml (6 pcs)

	113.51


	N-040-1003

	Noggin, 40 ml (6 pcs)

	105.10


	N-045-1004

	Noggin, 45 ml (6 pcs)

	93.39


	N-045-1012

	Noggin, 45 ml (6 pcs)

	101.07


	N-050-1002

	Noggin, 50 ml (6 pcs)

	72.09


	N-055-1006

	Noggin, 55 ml (6 pcs)

	98.07


	N-055-1014

	Noggin, 50 ml (6 pcs)

	105.10


	S-050-1003

	Sherry Glass, 50 ml (6 pcs)

	113.28


	S-060-1011

	Sherry Glass, 60 ml (6 pcs)

	124.78


	S-065-1008

	Sherry Glass, 65 ml (6 pcs)

	139.33


	S-070-1007

	Sherry Glass, 70 ml (6 pcs)

	123.46


	S-090-1001

	Sherry Glass, 90 ml (6 pcs)

	81.18


	S-090-1017

	Sherry Glass, 90 ml (6 pcs)

	115.83


	T-170-1009

	Tumbler, 170 ml (6 pcs)

	99.67


	T-200-1037

	Tumbler, 200 ml (6 pcs)

	120.43


	T-220-1023

	Tumbler, 220 ml (6 pcs)

	108.84


	T-240-1014

	Tumbler, 240 ml / 98 mm (6 pcs)

	102.10


	T-320-1012

	Tumbler, 320 ml / 95 mm (6 pcs)

	108.84


	T-320-1028

	Tumbler, 320 ml (6 pcs)

	129.02


	T-340-1012

	Tumbler, 340 ml (6 pcs) / 100 mm (6 pcs)

	112.51


	T-340-1021

	Tumbler, 340 ml / 95 mm (6 pcs)

	148.39


	T-350-1008

	Tumbler, 350 ml / 155 mm (6 pcs)

	119.55


	T-360-1025

	Tumbler, 360 ml (6 pcs)

	173.28


	W-130-1027

	Wine 130, ml (6 pcs)

	149.74


	W-150-1013

	Wine 150, ml (6 pcs)

	118.43


	W-150-1022

	Wine 150, ml (6 pcs)

	119.17


	W-150-1033

	Wine 150, ml (6 pcs)

	139.33


	W-160-1005

	Wine 160, ml (6 pcs)

	108.50


	W-170-1002

	Wine 170, ml (6 pcs)

	98.20


	W-170-1029

	Wine 170, ml (6 pcs)

	151.98


	W-180-1018

	Wine 180, ml (6 pcs)

	167.34


	W-210-1009

	Wine 210, ml (6 pcs)

	122.95


	W-220-1006

	Wine 220, ml (6 pcs)

	105.89


	W-220-1019

	Wine 220, ml (6 pcs)

	161.93


	 
	 
	 

	 
	Plates and Trays

	 

	P-128-1001

	Plate, 128 mm

	63.45


	P-128-1056

	Plate, 128 mm (6 pcs)

	247.53


	P-155-1003

	Plate, 155 mm

	34.38


	P-160-1004

	Plate, 160 mm

	50.97


	P-180-1002

	Plate, 180 mm

	60.14


	P-195-1007

	Plate, 195 mm

	88.53


	P-205-1002

	Plate, 205 mm

	89.11


	P-220-1009

	Plate, 220mm

	103.82


	P-260-1011

	Plate, 260mm

	182.05


	P-270-1001

	Plate, 270mm

	98.54


	P-270-1014

	Plate, 270mm

	159.56


	P-280-1004

	Plate, 280mm

	174.17


	P-280-1016

	Plate, 280mm

	220.20


	P-300-1004

	Square Tray, 300 mm

	176.17


	P-305-1004

	Plate, 305 mm

	198.76


	P-305-1009

	Plate, 305 mm

	222.65


	P-320-1002

	Square Tray, 320 mm

	250.81


	P-340-1003

	Square Tray, 340 mm

	219.70


	P-400-1003

	Fish Tray, 400 mm

	218.78


	P-450-1003

	Fish Tray, 450 mm

	236.26


	P-450-1031

	Plate, 450 mm

	488.98


	 
	 
	 

	 
	Bowls

	 

	O-080-1008

	Bowl, 80 mm / 64 mm

	25.74


	O-080-1013

	Bowl, 80 mm / 64 mm

	28.34


	O-080-1001

	Swan, height 80 mm

	28.42


	O-114-1008

	Bowl, 114 mm / 64 mm

	71.49


	O-116-1002

	Bowl, 116 mm / 74 mm

	43.98


	O-120-1003

	Bowl, 120 mm / 84 mm

	42.02


	O-120-1011

	Bowl, 120 mm / 59 mm

	51.91


	O-133-1002

	Swan, height 133 mm

	71.74


	O-150-1004

	Bowl, 150 mm /84 mm

	92.51


	O-150-1027

	Footed Bowl, 150 mm /120 mm

	123.22


	O-155-1003

	Bowl, 155 mm / 84mm

	57.47


	O-155-1009

	Bowl, 155 mm / 90 mm

	74.04


	O-160-1005

	Bowl, 160 mm /89 mm

	71.81


	O-175-1013

	Bowl, 175 mm / 105 mm

	128.50


	O-205-1002

	Bowl, 205 mm / 50 mm

	65.34


	O-205-1007

	Bowl, 205 mm / 115 mm

	82.44


	O-205-1014

	Bowl, 205 mm / 115 mm

	114.91


	O-205-1022

	Bowl, 205 mm / 115 mm

	144.41


	O-205-1029

	Bowl, 205 mm / 115 mm

	147.15


	O-210-1006

	Bowl, 210 mm / 98 mm

	127.98


	O-230-1015

	Bowl, 230 mm / 135 mm

	148.58


	O-230-1019

	Bowl, 230 mm / 135 mm

	151.69


	O-230-1027

	Bowl, 230 mm / 135 mm

	198.98


	O-240-1009

	Bowl, 240 mm / 135 mm

	169.56


	O-250-1001

	Bowl, 250 mm / 60 mm

	97.89


	O-250-1018

	Bowl, 250 mm / 135 mm

	154.65


	O-255-1020

	Bowl, 255 mm / 135 mm

	160.56


	O-255-1035

	Bowl, 255 mm / 135 mm

	229.34


	O-260-1011

	Bowl, 260 mm / 135 mm

	120.22


	O-280-1005

	Bowl, 280 mm / 135 mm

	146.90


	O-280-1014

	Bowl, 280 mm / 135 mm

	196.69


	O-300-1005

	Bowl, 300 mm / 74 mm

	230.94


	O-305-1003

	Bowl, 305 mm / 74 mm

	217.34


	O-310-1014

	Bowl, 310 mm / 80 mm

	216.56


	O-310-1021

	Bowl, 310 mm / 80 mm

	364.11


	O-330-1007

	Footed Bowl, 330 mm/ 130 mm

	278.37


	O-345-1012

	Bowl, 345 mm / 80 mm

	284.63


	O-350-1004

	Bowl, 350 mm / 80 mm

	222.31


	O-355-1009

	Bowl, 355 mm / 135 mm

	285.46


	O-355-1015

	Bowl, 355 mm / 80 mm

	307.47


















6