Latin America Ventures, Inc.: Exhibit 10.1 - Filed by newsfilecorp.com











Exhibit 10.1




CANCELLATION AGREEMENT




 CANCELLATION AGREEMENT, dated May 12, 2010 (this “Agreement”), by and among Latin America Ventures, Inc., a Nevada corporation (the “Company”), and Pierre Galoppi and Halter Financial Investments, LP
(each, a “Cancelling Party,” and together, the “Cancelling Parties”). 


BACKGROUND




 Concurrently herewith, the Company is entering into a Share Exchange Agreement with Minera Licancabur S.A., a Chilean company (“Minera”), and the shareholders of Minera (the “Shareholders”), pursuant
to which the Company will acquire from the Shareholders 99.9% of the issued and outstanding capital stock of Minera in exchange for 6,000,000 shares of the Company’s Common Stock (the “Share Exchange Transaction”). 


 It is a condition precedent to the consummation of the Share Exchange Transaction that the Cancelling Parties enter into this Agreement, which will effectuate the cancellation of 3,600,100 shares of the Company’s Common Stock held by Pierre
Galoppi and 400 shares of the Company’s Common Stock held by Halter Financial Investments, LP (together, the “Subject Shares”). The Cancelling Parties are entering into this Agreement to, among other things, induce
Minera and the Shareholders to enter into the Share Exchange Transaction and the Cancelling Parties acknowledge that Minera and the Shareholders would not consummate the transactions contemplated by the Share Exchange Transaction unless the
transactions contemplated hereby are effectuated in accordance herewith.


AGREEMENT




 NOW, THEREFORE, in consideration of the mutual promises herein contained and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 


1. 


Cancellation of Subject Shares. The Cancelling Parties have delivered to the Company for cancellation stock certificates representing the Subject Shares along with duly executed medallion guaranteed stock
powers covering the Subject Shares (or such other documents acceptable to the Company’s transfer agent) and hereby irrevocably instruct the Company and the Company’s transfer agent to cancel the Subject Shares such that the Subject Shares
will no longer be outstanding on the stock ledger of the Company and such that the Cancelling Parties shall no longer have any interest in the Subject Shares whatsoever.  The Company shall immediately deliver to the Company’s transfer agent
irrevocable instructions providing for the cancellation of the Subject Shares.


2. 


Representations by the Cancelling Parties. 


(a) 


Each Cancelling Party owns its Subject Shares, of record and beneficially, free
and clear of all liens, claims, charges, security interests, and encumbrances of any kind whatsoever. Each Cancelling Party has sole control over its Subject Shares or sole discretionary authority over any account in which they are held.  Except for
this Agreement, no person has any option or right to purchase or otherwise acquire the Subject Shares, whether by contract of sale or otherwise, nor is there a “short position” as to the Subject Shares. 


(b) 



Each Cancelling Party has full right, power and authority to execute, deliver
and perform this Agreement and to carry out the transactions contemplated
hereby. This Agreement has been duly and validly executed and delivered by each
Cancelling Party and constitutes a valid, binding
obligation of such Cancelling Party, enforceable against it in accordance with its terms (except as such enforceability may be limited by laws affecting creditor's rights generally). 











3. 


Further Assurances. Each party to this Agreement will use his or its best efforts to take all action and to do all things necessary, proper, or advisable in order to consummate and make effective the
transactions contemplated by this Agreement (including the execution and delivery of such other documents and agreements as may be necessary to effectuate the cancellation of the Subject Shares). 


4. 


Amendment and Waiver. Any term, covenant, agreement or condition of this Agreement may be amended, with the written consent of the Company and the Cancelling Parties, or compliance therewith may be waived
(either generally or in a particular instance and either retroactively or prospectively), by one or more substantially concurrent written instruments signed by the Company and the Cancelling Parties. 


5. 


Survival of Agreements, Representations and Warranties, etc.  All representations and warranties contained herein shall survive the execution and delivery of this Agreement. 


6. 


Successors and Assigns. This Agreement shall bind and inure to the benefit of and be enforceable by the Company and the Cancelling Parties, and their respective successors and assigns. 


7. 


Governing Law.  This Agreement (including the validity thereof and the rights and obligations of the parties hereunder and thereunder) and all amendments and supplements hereof and thereof and all waivers and
consents hereunder and thereunder shall be construed in accordance with and governed by the internal laws of the State of New York without regard to its conflict of laws rules, except to the extent the laws of Nevada are mandatorily applicable. 


8. 


Miscellaneous.  This Agreement embodies the entire agreement and understanding between the parties hereto and supersedes all prior agreements and understandings relating to the subject matter hereof.  In case
any provision of this Agreement shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. This Agreement may be executed in any number of
counterparts and by the parties hereto on separate counterparts but all such counterparts shall together constitute but one and the same instrument. This Agreement may be reproduced by any electronic, photographic, photostatic, magnetic, microfilm,
microfiche, microcard, miniature photographic, facsimile or other similar process and the original thereof may be destroyed.  The parties agree that any such reproduction shall, to the extent permitted by law, be as admissible in evidence as the
original itself in any judicial or administrative proceeding (whether or not the original is in existence and whether or not the reproduction was made in the regular course of business) and that any enlargement, facsimile or further reproduction
shall likewise be admissible in evidence. Facsimile execution and delivery of this Agreement is legal, valid and binding execution and delivery for all purposes. 


[Signature Page Follows]


 







2











 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written. 


LATIN AMERICA VENTURES, INC.




By: /s/ Pierre Galoppi                                                 
  

Name: Pierre Galoppi 

Title: Chief Executive Officer




/s/ Pierre Galoppi                                                         


Pierre Galoppi 




HALTER FINANCIAL INVESTMENTS, LP




By: /s/ Timothy P. Halter                                           


Name: Timothy P. Halter

Title: Chairman



 


 


 







[Signature Page to Cancellation Agreement]