Document:

Filed by Bowne Pure Compliance

EXHIBIT
10.11

Form of Replacement Call Note

SUBORDINATED PROMISSORY NOTE

			
	 	 	 
	$1,000,000.00
	 	November 15, 2007

For value received and intending to be legally bound, Casie Ecology Oil Salvage, Inc., a New
Jersey corporation, MidAtlantic Recycling Technologies, Inc., a Delaware corporation, and Rezultz,
Incorporated, a New Jersey corporation (collectively, “Maker”), hereby jointly and severally
promise to pay, to the order of Gregory W. Call (“Payee”), the principal sum of One Million Dollars
($1,000,000) lawful money of the United States of America, in accordance with the terms and
conditions set forth below, together with interest from and after the date hereof on the
outstanding principal balance at a rate per annum of six and seventy seven one hundredths percent
(6.77%) (the “Interest Rate”).

Interest hereunder shall be computed on the basis of actual days elapsed over the period of a
360-day year.

From the date hereof until December 31, 2009, interest shall accrue hereunder at the Interest
Rate and shall accrete to and thereby increase and become a part of the principal amount of this
Note (hereinafter the “Accreted Principal Balance”).

Commencing on January 1, 2010, the Accreted Principal Balance of this Note, shall accrue
interest at the Interest Rate and such interest on the Accreted Principal Balance, will be paid
monthly, in arrears until all obligations under this Note have been fully paid, satisfied and
discharged.

The Accreted Principal Balance of this Note shall be paid as follows: (i) Three Hundred Thirty
Three Thousand Dollars ($333,000) shall be due and payable on December 31, 2009, and (ii) the
remaining Accreted Principal Balance shall be due and payable on December 31, 2010, together with
any accrued unpaid interest as of such date.

Maker shall have the right to prepay this Note in whole or in part at any time without premium
or penalty.

Each of the following events (each, an “Event of Default”) shall constitute an event of
default hereunder: (a) Maker shall fail to perform any of the terms of this Note; or (b) the
filing of a petition in bankruptcy by or against Maker which is not discharged within sixty (60)
days.

Upon the occurrence of an Event of Default, the entire unpaid principal balance of this Note
shall, at the option of Payee, become due and payable immediately and payment of the same may be
enforced and recovered in whole or in part.

Maker hereby waives presentment for payment, demand, notice of nonpayment, notice of protest
and protest of this Note, and all other notices in connection with the delivery, acceptance,
performance, default or enforcement of the payment of this Note.

Notwithstanding anything to the contrary set forth herein, Payee hereby agrees that all
payments on account of the principal and interest indebtedness under this Note (i) are subject to
the right of setoff by Maker under that certain Stock Purchase Agreement entered into among Maker
and Payee on February 13, 2007, as amended, and (ii) shall be subordinate and subject in right of
payment and priority to the Senior Indebtedness. As used herein, “Senior Indebtedness” shall mean
any indebtedness, liabilities and other obligations of Pure Earth, Inc., Maker and their respective
subsidiaries (whether as primary obligor or as guarantor) to any person with respect to any working
capital, revolving credit or other line of credit facility, any term loan facility, or any other
extension of credit by a bank, insurance company or other financial institution engaged in the
business of lending money (collectively, “Financial Institutions”). The terms “indebtedness,”
“liabilities” and “obligations” are used herein in their most comprehensive sense and include any
and all advances, debts, obligations and liabilities, now existing or hereafter arising, whether
voluntary or involuntary and whether due or not due, absolute or contingent, liquidated or
unliquidated,
determined or undetermined. In furtherance of the foregoing, Payee hereby agrees to execute
and deliver such subordination agreements as may be requested by Maker or its Financial
Institutions from time to time.

 

 

 

If any provision hereof is found by a court of competent jurisdiction to be prohibited or
unenforceable, it shall be ineffective only to the extent of such prohibition or unenforceability,
and such prohibition or unenforceability shall not invalidate the balance of such provision to the
extent it is not prohibited or unenforceable, nor invalidate the other provisions hereof.

This Note may not be assigned or pledged by either Maker or Payee.

This Note shall be construed and enforced in accordance with and governed by the laws of the
Commonwealth of Pennsylvania, without giving effect to principles of conflicts of laws.

IN WITNESS WHEREOF, Maker has duly executed this Note as of the day and year first above
written.

	 	 	 	 	 
	MIDATLANTIC RECYCLING TECHNOLOGIES, INC.	 	 
	 
	 	 	 	 
	By:

	 	/s/ Brent Kopenhaver
 

Brent Kopenhaver, Treasurer
	 	 
	 
	 	 	 	 
	CASIE ECOLOGY OIL SALVAGE, INC.	 	 
	 
	 	 	 	 
	By:

	 	/s/ Brent Kopenhaver	 	 
	 

	 	 	 	 
	 

	 	Brent Kopenhaver, Treasurer	 	 
	 
	 	 	 	 
	REZULTZ, INCORPORATED	 	 
	 
	 	 	 	 
	By:

	 	/s/ Brent Kopenhaver	 	 
	 

	 	 	 	 
	 

	 	Brent Kopenhaver, Treasurer	 	 
	 
	 	 	 	 
	AGREED AND ACCEPTED:	 	 
	 
	 	 	 	 
	/s/ Gregory W. Call	 	 
	 	 	 
	Gregory W. CallFiled by Bowne Pure Compliance

Exhibit 10.12

PROMISSORY NOTE

	 	 	 
	November 20, 2007
	 	$640,000.00 

FOR VALUE RECEIVED, PEI Disposal Group, Inc., a Delaware corporation (“Maker”), promises to
pay, in lawful money of the United States of America, to Soil Disposal Group, Inc., a New York
corporation (“Payee”), at such place or places as Payee may designate to Maker in writing from time
to time, the aggregate principal sum of Six Hundred Forty Thousand Dollars ($640,000.00). This
promissory note shall not bear interest.

This promissory note represents a portion of the purchase price paid by Maker pursuant to that
certain Asset Purchase Agreement among Maker, Richard Rivkin, Payee and the stockholders of Payee,
dated the date hereof, and is subject to the terms and conditions thereof, including, without
limitation, the setoff rights set forth in Section 6.7 thereof.

The principal balance of this note shall be paid by Maker to Payee in sixteen (16) equal
consecutive bi-monthly installments of $40,000.00, such installments payable on the first day and
the fifteenth day of each succeeding calendar month until fully paid (or if such day is not a
business day, then on the next succeeding business day), with the first such installment due on
December 2, 2007. Maker reserves the right at any time to prepay any or all of the principal
balance remaining due on this promissory note with no penalty.

Payee may not assign this Note without the prior written consent of Maker. The words “Payee”
and “Maker” whenever occurring herein shall be deemed and construed to include the permitted
assigns and successors of Payee and the successors and assigns of Maker. This promissory note shall
be governed by the laws of the Commonwealth of Pennsylvania, without regard to conflict of law
principles. In the event that any provision of this promissory note shall be unenforceable, the
remaining provisions shall continue to be valid and enforceable in accordance with their terms.

	 	 	 	 	 
	 	PEI DISPOSAL GROUP, INC.

 	 
	 	By:  	/s/ Joseph Kotrosits
 	 
	 	 	Joseph Kotrosis, PresidentFiled by Bowne Pure Compliance

Exhibit 10.13

PROMISSORY NOTE #18056

	 	 	 	 	 
	$2,265,000.00

	 	Debtor NAME
	 	Pure Earth Inc., Juda Construction, Ltd.
	 

	 	 	 	and Pure Earth Materials, Inc. as co-borrowers
	 

	 	Address
	 	One Neshaminy Interplex, STE 201
	 

	 	ADRESS
	 	Trevose, PA 19503

FOR VALUE RECEIVED, Pure Earth Inc., Juda Construction, Ltd. and Pure Earth Materials, Inc.
as co-borrowers (“Debtor”) hereby promises to pay to the order of COACTIV CAPITAL PARTNERS LLC
(“Secured Party”), 655 Business Center Drive, Suite 250, Horsham, PA 19044, or any subsequent
holder hereof, the principal sum of Two-million, two-hundred and sixty-five thousand dollars
($2,265,000.00) with interest thereon from the date of the loan evidenced hereby until paid in
full at the rate of 8.5 percent (8.5%) per annum, and payable in forty-eight (48) equal successive
monthly installments of Fifty-five thousand eight-hundred and twenty-eight dollars and forty-one
cents ($55,828.41) in lawful money of the United States of America, commencing on the First (1st)
day of January, 2008 and continuing on the first (1st) day of each and every month
thereafter until paid except the final installment shall be in the amount of the total outstanding
principal and interest due on this Note. Premium for early termination in months one (1) through
twelve (12) of the loan will be net booked value plus 1.5% of the original loan. In months
thirteen (13) through twenty-four (24) the premium will be net booked value plus 1% of the original
loan amount. There will be no pre-payment premium in the months twenty-five (25) through
forty-eight (48).

Time is of the essence hereof. If any installment or any other sum due under this Note is not
paid when due, the Debtor agrees to pay, in addition to the amount of each such installment or
other sum, a late payment charge of the higher of ten percent (10%) of the amount due or $25.00 not
to exceed the maximum amount permitted by law. If (a) Debtor fails to make payment of any amount
due hereunder within ten (10) days after the same becomes due and payable; or (b) Debtor is in
default under, or fails to perform under any term or condition contained in this Note or the
Security Agreement of even date herewith between the Debtor and Secured Party, then the entire
principal sum remaining unpaid, together with all accrued interest thereon and any other sum
payable under this Note or any other agreement, at the election of Secured Party, shall immediately
become due and payable, with interest thereon at the lesser of eighteen percent (18%) per annum or
the highest rate not prohibited by applicable law from the date of such accelerated maturity until
paid.

THE DEBTOR HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS THE SECURED PARTY, BY ITS ATTORNEY, OR
THE PROTHONOTARY OR THE CLERK OF ANY COURT OF RECORD IN THE COMMONWEALTH OF PENNSYLVANIA OR IN ANY
JURISDICTION WHERE PERMITTED BY LAW, UPON THE OCCURRENCE OF AN EVENT OF DEFAULT AS DEFINED IN THE
LOAN AGREEMENT OR AT ANY TIME THEREAFTER, TO APPEAR FOR THE DEBTOR AND CONFESS AND ENTER JUDGMENT
AGAINST IT IN FAVOR OF THE SECURED PARTY IN ANY JURISDICTION IN WHICH THE DEBTOR OR ANY OF ITS
PROPERTY IS LOCATED FOR THE AMOUNT OF ALL OBLIGATIONS, TOGETHER WITH COSTS OF SUIT AND WITH ACTUAL
COLLECTION COSTS (INCLUDING REASONABLE ATTORNEYS’ FEES), WITH OR WITHOUT DECLARATION, AND WITHOUT
STAY OF EXECUTION, AND WITH RELEASE OF ERRORS AND THE RIGHT TO ISSUE EXECUTION FORTHWITH, AND FOR
DOING SO THIS AGREEMENT OR A COPY VERIFIED BY AFFIDAVIT SHALL BE A SUFFICIENT WARRANT. THE DEBTOR
HEREBY WAIVES AND RELEASES ALL RELIEF FROM ANY AND ALL APPRAISEMENT, STAY OR EXEMPTION LAW OF ANY
STATE NOW IN FORCE OR HEREAFTER ENACTED. THIS AUTHORITY AND POWER SHALL NOT BE EXHAUSTED BY THE
EXERCISE THEREOF AND SHALL CONTINUE UNTIL THE OBLIGATIONS ARE FULLY PAID, PERFORMED, DISCHARGED AND
SATISFIED.

 

 

 

BEING FULLY AWARE OF ITS RIGHTS TO PRIOR NOTICE AND HEARING ON THE VALIDITY OF ANY CLAIMS THAT
MAY BE ASSERTED AGAINST IT BY THE SECURED PARTY UNDER THIS NOTE BEFORE JUDGMENT CAN BE ENTERED AND
BEFORE ASSETS OF THE DEBTOR CAN BE GARNISHED AND ATTACHED, THE BORROWER HEREBY KNOWINGLY,
VOLUNTARILY AND INTENTIONALLY WAIVES THESE RIGHTS AND EXPRESSLY AGREES AND CONSENTS TO THE SECURED
PARTY, UPON THE OCCURRENCE OF AN EVENT OF DEFAULT, OR AT ANY TIME THEREAFTER, ENTERING JUDGMENT
AGAINST THE DEBTOR BY CONFESSION AND ATTACHING AND GARNISHING THE BANK ACCOUNTS AND OTHER ASSETS OF
THE DEBTOR, WITHOUT PRIOR NOTICE OR OPPORTUNITY FOR A HEARING. THE DEBTOR ACKNOWLEDGES THAT IT HAS
HAD THE ASSISTANCE OF COUNSEL IN THE REVIEW AND EXECUTION OF THIS NOTE AND FURTHER ACKNOWLEDGES
THAT THE MEANING AND EFFECT OF THE FOREGOING PROVISIONS CONCERNING CONFESSION OF JUDGMENT HAVE BEEN
FULLY EXPLAINED TO THE DEBTOR BY SUCH COUNSEL.

The Debtor authorizes the Secured Party to date and complete this note in accordance with the
terms of the loan evidenced hereby, to accept additional co-Debtors, to release co-Debtors, to
change or extend dates of payment and to grant indulgences all without notice or affecting the
obligations of the Debtor.

The Debtor hereby waives (a) the requirements of demand, presentment, protest, notice of
protest and dishonor and all other demands or notices of any kind in connection with the delivery,
acceptance, performance, default, dishonor or enforcement of this Note; (b) the right, if any, to
the benefit of, or to direct the application of, any security hypothecated to the Secured Party,
until all indebtedness of the Debtor to the Secured Party, howsoever arising shall have been paid;
and (c) the right to require the Secured Party to proceed against the Debtor, or to pursue any
other remedy in the Secured Party’s power.

The Debtor agrees that the Secured Party may proceed against either Debtor, if more than one,
directly and independently of the other or any guarantors. All obligations of the Debtors, if more
than one, shall be joint and several.

This Note and the Security Agreement of even date herewith constitute the entire agreement of
the Debtor and Secured Party with respect to the subject matter hereof and supersede all prior
understandings, agreements and representations, express or implied.

It is the intention of the parties hereto to comply with the applicable usury laws;
accordingly, it is agreed that, notwithstanding any provision to the contrary in this Note or any
other agreement between the parties, in no event shall this Note require the payment or permit the
collection of interest in excess of the maximum amount permitted by applicable law.

THIS NOTE WILL BE GOVERNED BY THE LAWS OF THE COMMONWEALTH OF PENNSYLVANIA. ALL DISPUTES ARISING
UNDER THIS NOTE AND ANY RELATED AGREEMENTS SHALL BE RESOLVED IN THE FEDERAL OR STATE COURTS LOCATED
IN PENNSYLVANIA. THE DEBTOR AND SECURED PARTY EACH AGREE TO WAIVE AND TO TAKE ALL REQUIRED STEPS
TO WAIVE ALL RIGHTS TO A JURY TRIAL. THE DEBTOR SPECIFICALLY WAIVES ANY DEFENSE BASED UPON FORUM
NON CONVENIENS AND ADMITS THAT THE COURT OF COMMON PLEAS FOR MONTGOMERY COUNTY, PENNSYLVANIA AND
THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF PENNSYLVANIA ARE CONVENIENT FORUMS TO
RESOLVE ALL DISPUTES ARISING UNDER THIS NOTE AND ANY RELATED AGREEMENTS.

	 	 	 	 	 
	 	 	Pure Earth, Inc., Juda Construction, Ltd.
	 	 	and Pure Earth Material, Inc. as co-borrowers
	 
	 	 	 	 
	 

	 	By
	 	See Signature Page
	 

	 	Date:	 	 

 

 

 

Signature Page Attachment

Agreement between CoActiv Capital Partners LLC, as Secured Party, and Pure Earth Inc., Juda
Construction, Ltd. and Pure Earth Materials, Inc., as co-borrowers, as Debtor (Agreement Number
18056)

This Signature Page is attached to and incorporated into each of the documents listed below:

	 	1.	 	Promissary Note #18056
	 
	 	2.	 	Security Agreement #18056
	 
	 	3.	 	Schedule A
	 
	 	4.	 	Certificate of Acceptance

The undersigned hereby acknowledge that they have read and understand the terms of the above-listed
documents, that they have the authority to execute the documents on behalf of either Pure Earth
Inc., Juda Construction, Ltd. and Pure Earth Materials, Inc., as co-borrowers or CoActiv Capital
Partners LLC (as designated below), and that by signing this document, they hereby execute each of
the above-listed documents and bind their respective party (as designated below) thereto.

	 	 	 	 	 	 	 	 	 	 	 
	Borrower : Pure Earth Inc.	 	 	 	Borrower : Pure Earth Materials, Inc.	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	Signature

	 	/s/ Brent Kopenhaver
 

	 	 	 	Signature
	 	/s/ Brent Kopenhaver
 

	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	Print Name

	 	Brent Kopenhaver
	 	 	 	Print Name
	 	Brent Kopenhaver	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	Title CFO       Date 11/19/07	 	 	 	Title Treasurer       Date 11/19/07	 	 

Borrower : Juda Construction, Ltd.

	 	 	 	 	 
	Signature

	 	/s/ Brent Kopenhaver
 

	 	 
	 
	 	 	 	 
	Print Name

	 	Brent Kopenhaver	 	 
	 
	 	 	 	 
	Title Pres & Treas.       Date 11/19/07	 	 

Secured Party: CoActiv Capital Partners LLC

	 	 	 	 	 
	Signature

	 	/s/ David J. Kowals
 

	 	 
	 
	 	 	 	 
	Print Name

	 	David J. Kowals	 	 
	 
	 	 	 	 
	Title SVP       Date 11/28/07	 	 

655 Business Center Drive, Suite 250, Horsham, PA 19044

Phone: 267-960-4000 Fax: 267-960-4001 www.CoActivCapital.com

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