Document:

ex10-19.htm

    Exhibit
10.19

     

    THIS
NOTE, AND THE SHARES OF COMMON STOCK ISSUABLE UPON CONVERSION OF THIS NOTE (THE
“SECURITIES”)
HAVE BEEN ACQUIRED FOR INVESTMENT PURPOSES ONLY AND MAY NOT BE TRANSFERRED UNTIL
(i) A REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“ACT”) SHALL
HAVE BECOME EFFECTIVE WITH RESPECT THERETO OR (ii) RECEIPT BY THE COMPANY OF AN
OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY TO THE EFFECT THAT
REGISTRATION UNDER THE ACT IS NOT REQUIRED IN CONNECTION WITH SUCH PROPOSED
TRANSFER NOR IS IN VIOLATION OF ANY APPLICABLE STATE SECURITIES LAWS. THIS
LEGEND SHALL BE ENDORSED UPON ANY NOTE ISSUED IN EXCHANGE FOR THIS NOTE AND ANY
SECURITIES ISSUABLE UPON CONVERSION OF THIS NOTE (EXCEPT AS OTHERWISE PROVIDED
BELOW).

     

    CONVERTIBLE
PROMISSORY NOTE

     

    
      	
              $5,647

            	
              July
      10, 2009, with an Effective Date

              as
      provided below 

            

    

     

    FOR VALUE
RECEIVED, ACIES
Corporation, a Nevada Corporation (the “Company”),
having an address of 132 West 36th Street, 3rd Floor, New York, New York 10018,
hereby promises to pay to the order of Pinnacle Three Corporation and/or assigns
(the “Holder”),
at the offices of Holder at 1445 Windjammer Way, Hollywood,
Florida  33160, or such other place as may be designated by Holder to
the Company in writing, the aggregate principal amount of Five Thousand Six
Hundred Forty-Seven Dollars ($5,647), together
with interest on the unpaid principal amount hereof, upon the terms and
conditions hereinafter set forth.  The “Effective
Date” of this Note shall be _________.

     

    
      
        
          
            	
                    1.

                  	
                    Loan Amount.  This Convertible Promissory
      Note (this “Note”
      or “Promissory
      Note”) evidences the loan of Five Thousand Six Hundred Forty-Seven
      Dollars ($5,647), from the Holder to
      the Company during the period from September 24, 2008 to the date of this
      Note (hereinafter referred to as the “Loan” or the “Principal”).

                  
	 
      	 
      	 
      
	
                    2.

                  	
                    Payment Terms.  The Company promises to pay to
      Holder the balance of Principal, together with accrued and unpaid
      interest, on  September 23, 2009 (the “Maturity Date”), unless
      this Note is earlier prepaid as herein provided or earlier converted into
      Common Stock (as hereinafter defined) of the Company pursuant to Section 3
      hereof.  All payments hereunder shall be made in lawful money of the
      United States of America.  Payment shall be credited first to the
      accrued interest then due and payable and the remainder to
      Principal.

                  
	 
      	 
      	 
      
	
                    3.

                  	
                    Interest.  Interest on the outstanding
      portion of Principal of this Note shall accrue at a rate of eighteen
      percent (18%) per annum from the Effective Date until paid in full. 
      All computations of interest shall be made on the basis of a 360-day year
      for actual days elapsed.  Such interest shall accrue and be paid upon
      the Maturity Date of the
Loan.

                  

          

        

      

    

    

    
      
        	 
      	 
      	 
      
	 
      	
                a.

              	
                Notwithstanding
      any provision in this Note, the total liability for payments of interest
      and payments in the nature of interest, including all charges, fees,
      exactions, or other sums which may at any time be deemed to be interest,
      shall not exceed the limit imposed by the usury laws of the State of
      Florida or the applicable laws of the United States of America, whichever
      shall be higher (the “Maximum
      Rate”).

              
	 
      	 
      	 
      
	 
      	
                b.

              	
                In
      the event the total liability for payments of interest and payments in the
      nature of interest, including, without limitation, all charges, fees,
      exactions or other sums which may at any time be deemed to be interest,
      which for any month or other interest payment period exceeds the Maximum
      Rate, all sums in excess of those lawfully collectible as interest for the
      period in question (and without further agreement or notice by, among or
      to the Holder the undersigned) shall be applied to the reduction of the
      principal balance, with the same force and effect as though the
      undersigned had specifically designated such excess sums to be so applied
      to the reduction of the principal balance and the Holder had agreed to
      accept such sums as a premium-free prepayment of principal; provided,
      however, that the Holder may, at any time and from time to time, elect, by
      notice in writing to the undersigned, to waive, reduce or limit the
      collection of any sums in excess of those lawfully collectible as interest
      rather than accept such sums as a prepayment of the principal
      balance.  The undersigned does not intend or expect to pay nor
      does the Holder intend or expect to charge, accept or collect any interest
      under this Note greater than the Maximum Rate.

              
	 
      	 
      	 
      
	 
      	
                c.

              	
                If
      any payment of principal or interest on this Note shall become due on a
      Saturday, Sunday or any other day on which national banks are not open for
      business, such payment shall be made on the next succeeding business
      day.

              

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      
        
          	
                  4.

                	
                  Option to Convert this
      Note.

                	 
      

        

      

    

     

    
      
        
          
            
              
                
                  
                    	 
      	
                            a.

                          	
                            At
      any time prior to the Maturity Date or prior to payment in full by the
      Company, Holder shall have the option to convert the unpaid principal
      balance of this Promissory Note, together with all accrued interest, into
      shares of common stock (the “Shares” and the “Common Stock”) of the
      Company  (the “Conversion Option”) at
      the conversion price of $0.02 per common share (the “Conversion
      Price”);

                          
	 
      	 
      	 
      
	 
      	
                            b.

                          	
                            In
      order to exercise this Conversion Option, the Holder shall surrender this
      Promissory Note to the Company, accompanied by written notice of its
      intentions to exercise this Conversion Option, which notice shall set
      forth the principal amount of this Promissory Note to be converted and
      shall be in the form of Exhibit A,
      attached hereto (“Notice
      of Conversion”). Within ten (10) business days of the Company’s
      receipt of the Notice of Conversion and this Note, the Company shall
      deliver or cause to be delivered to the Holder, written confirmation that
      the Shares have been issued in the name of the Holder;

                          
	 
      	 
      	 
      
	 
      	
                            c.

                          	
                            In
      the event of the exercise of the Conversion Option, Holder shall cooperate
      with the Company to promptly take any and all additional actions required
      to make Holder a stockholder of the Company including, without limitation,
      in connection with the issuance of the Shares, such representations as to
      financial condition, investment intent and sophisticated investor status
      as are reasonably required by counsel for the Company. Holder recognizes
      that the Shares issued upon conversion of this Note will constitute “restricted
      securities” under the Securities
      Act of 1933, as amended, and the resale of which will be subject to the
      limitations of such rules;

                          
	 
      	 
      	 
      
	 
      	
                            d.

                          	
                            The
      Company shall at all times take any and all additional actions as are
      necessary to maintain the required authority to issue the Shares to the
      Holder, in the event the Holder exercises its rights under the Conversion
      Option;

                          
	 
      	 
      	 
      
	 
      	
                            e.

                          	
                            Payment
      to Company prior to Holder’s delivery of a Notice of Conversion shall
      terminate Holder’s option to convert;

                          
	 
      	 
      	 
      
	 
      	
                            f.

                          	
                            Conversion Calculations: No Fractional
      Shares. Conversion calculations pursuant to this Section 4 shall be rounded to the nearest
      whole share of Common Stock, and no fractional shares shall be issuable by
      the Company upon conversion of this Note. Conversion of this Note shall be
      deemed payment in full of this Note and this Note shall thereupon be
      cancelled;

                          
	 
      	 
      	 
      
	 
      	
                            g.

                          	
                            Anti-Dilution Protection. If the Company at
      any time or from time to time on or after the effective date of
      the  issuance of this Note (the “Original Issuance Date”)
      effects a subdivision of its outstanding Common Stock, the Conversion
      Price then in effect immediately before that subdivision shall be
      proportionately decreased, and conversely, if the Company at any time or
      from time to time on or after the Original Issuance Date combines its
      outstanding shares of Common Stock into a smaller number of shares, the
      Conversion Price then in effect immediately before the combination shall
      be proportionately increased; and

                          
	 
      	 
      	 
      
	 
      	
                            h.

                          	
                            No Encumbrances. All Shares of Common Stock
      which may be issued upon conversion of this Note will, upon issuance by
      the Company in accordance with the terms of this Note, be validly issued,
      free from all taxes and liens with respect to the issuance thereof (other
      than those created by the holders), free from all pre-emptive or similar
      rights and be fully paid and non
assessable.

                          

                

              

            

          

        

      

    

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

    
      
        	
                5.

              	
                Redemption.  This
      Note may be redeemed by the Company by payment of the entire Principal and
      interest outstanding under this Note in cash to Holder.  The Company
      must provide notice to Holder not less than thirty (30) days prior to
      affecting such redemption.  During the period from providing of such
      notice to Holder and the Company affecting the redemption, the Company may
      cancel such redemption by providing notice of such cancellation to
      Holder.

              

      

    

     

    
      
        	 
      	
                a.

              	
                This
      Note may be prepaid in whole or in part at any time without
      penalty.

              
	 
      	 
      	 
      
	 
      	
                b.

              	
                Any
      partial prepayment shall be applied to any principal Loan amount
      outstanding and shall not postpone the due date of any subsequent monthly
      installment or change the minimum amount of such monthly
      installment.

              
	 
      	 
      	 
      
	 
      	
                c.

              	
                The
      Holder may apply any and all amounts received by it for application to the
      Loan evidenced hereby in such order and manner as the Holder in its
      discretion may determine. The undersigned understands and agrees that if
      for any reason the undersigned fails to pay any amount due under this Note
      on or before the date when due, the Holder shall be entitled to damages
      for the detriment caused thereby, but that it is extremely difficult and
      impractical to ascertain the extent of such
  damages.

              

      

    

     

    
      	 
      	 
      	 
      
	
              6.

            	
              Representations and Warranties
      of the Company. The Company represents and warrants to Holder as
      follows:

               

            

    

     

    
      	 
      	 
      	 
      
	 
      	
              a.

            	
              The
      execution and delivery by the Company of this Note (i) are within the
      Company’s corporate power and authority, and (ii) have been duly
      authorized by all necessary corporate action.  Further, the
      undersigned is a duly authorized representative of the Company and has
      been authorized by a resolution of the board of Directors of the Company
      to exercise any and all documents necessary to effectuate the transaction
      contemplated hereby.

            
	 
      	 
      	 
      
	 
      	
              b.

            	
              This
      Note is a legally binding obligation of the Company, enforceable against
      the Company in accordance with the terms hereof, except to the extent that
      (i) such enforceability is limited by bankruptcy, insolvency,
      reorganization, moratorium or other laws relating to or affecting
      generally the enforcement of creditors’ rights, and (ii) the availability
      of the remedy of specific performance or in injunctive or other equitable
      relief is subject to the discretion of the court before which any
      proceeding therefore may be
brought.

            

    

    

    
      
        	
                7.

              	
                Representations, Warranties and
      Covenants of Holder. Holder represents and warrants to the Company,
      and agrees, as follows:

              

    

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

    
      
        
          	 
      	
                  a.

                	
                  This
      Note and any Conversion Shares issuable upon conversion of this Note are
      being acquired by Holder for its own account for investment and not with a
      view to, or for sale in connection with, any distribution
      thereof.

                
	 
      	 
      	 
      
	 
      	
                  b.

                	
                  Holder
      is an “accredited
      investor” within the meaning of Rule 501 under the Securities
      Act.

                
	 
      	 
      	 
      
	 
      	
                  c.

                	
                  Holder
      has sufficient knowledge and experience in financial and business matters
      and is capable of evaluating the risks and merits of Holder’s investment
      in the Company; Holder believes that Holder has received or had access to
      all information Holder considers necessary or appropriate to make an
      informed investment decision with respect to this Note; and Holder is able
      financially to bear the risk of losing Holder’s full investment in this
      Note.

                
	 
      	 
      	 
      
	 
      	
                  d.

                	
                  Holder
      understands that this Note and any Shares converted pursuant hereto have
      not been registered under the Securities Act or registered or qualified
      under any the securities laws of any state or other jurisdiction, are
      “restricted
      securities,” and cannot be resold or otherwise transferred unless
      they are registered under the Securities Act, and registered or qualified
      under any other applicable securities laws, or an exemption from such
      registration and qualification is available. Prior to any proposed
      transfer of this Note or any Shares, Holder shall, among other things,
      give written notice to the Company of its intention to effect such
      transfer, identifying the transferee and describing the manner of the
      proposed transfer and, if requested by the Company, accompanied by (i)
      investment representations by the transferee similar to those made by
      Holder in this Section 7 and (ii) an
      opinion of counsel satisfactory to the Company to the effect that the
      proposed transfer may be effected without registration under the
      Securities Act and without registration or qualification under applicable
      state or other securities laws. Each certificate for any Shares shall bear
      a legend to the foregoing effect.

                
	 
      	 
      	 
      
	 
      	
                  e.

                	
                  The
      Holder has read and reviewed the Company’s latest periodic and current
      report filings on the Securities and Exchange Commission’s EDGAR webpage
      at www.sec.gov, including the risk
      factors, results of operations and financial statements included
      therein;

                

        

      

    

    

    
      
        
          
            	 
      	 
      
	
                    8.

                  	
                    Certain Waivers by the
      Company.  Except as
      expressly provided otherwise in this Note, the Company and every endorser
      or guarantor, if any, of this Note waive presentment, demand, notice,
      protest and all other demands and notices in connection with the delivery,
      acceptance, performance, default or enforcement of this Note, and assent
      to any extension or postponement of the time of payment or any other
      indulgence, to any substitution, exchange or release of collateral
      available to Holder, if any, and to the addition or release of any other
      party or person primarily or secondarily liable.

                  
	 
      	 
      
	
                    9.

                  	
                    Assignment by
      Holder.  If and
      whenever this Note shall be assigned and transferred, or negotiated,
      including transfers to substitute or successor trustees, the holder hereof
      shall be deemed the “Holder” for all purposes
      under this Note.

                  
	 
      	 
      
	
                    10.

                  	
                    Amendment.  This Note may not be changed
      orally, but only by an agreement in writing, signed by the party against
      whom enforcement of any waiver, change, modification or discharge is
      sought.

                  

          

        

      

    

     

    
      
        	
                11.

              	
                Costs and Fees.  Anything else in this Note to
      the contrary notwithstanding, in any action arising out of this Agreement,
      the prevailing party shall be entitled to collect from the non-prevailing
      party all of its attorneys’ fees.  For the purposes of this
      Note, the party who receives or is awarded a substantial portion of the
      damages or claims sought in any proceeding shall be deemed the “prevailing” party and
      attorneys’ fees shall mean the reasonable fees charged by an attorney or a
      law firm for legal services and the services of any legal assistants, and
      costs of litigation, including, but not limited to, fees and costs at
      trial and appellate levels.

              

      

    

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

    
      
        
          
            
              
                
                  
                    	
                            12.

                          	
                            Governing Law.  It is the intention of the
      parties hereto that the terms and provisions of this Note are to be
      construed in accordance with and governed by the laws of the State of
      Florida, except as such laws may be preempted by any federal law
      controlling the rate of interest which may be charged on account of this
      Note.

                          
	 
      	 
      
	
                            13.

                          	
                            No Third Party
      Benefit.  The
      provisions and covenants set forth in this Agreement are made solely for
      the benefit of the parties to this Agreement and are not for the benefit
      of any other person, and no other person shall have any right to enforce
      these provisions and covenants against any party to this
      Agreement.

                          
	 
      	 
      
	
                            14.

                          	
                            Jurisdiction, Venue and Jury
      Trial Waiver.  The
      parties hereby consent and agree that, in any actions predicated upon this
      Note, venue is properly laid in Miami-Dade County, Florida and that the
      Circuit Court in and for Miami-Dade County, Florida, shall have full
      subject matter and personal jurisdiction over the parties to determine all
      issues arising out of or in connection with the execution and enforcement
      of this Note.

                          
	 
      	 
      
	
                            15.

                          	
                            Interpretation.  The term “Company” as used herein
      in every instance shall include the Company’s successors, legal
      representatives and assigns, including all subsequent grantees, either
      voluntarily by act of the Company or involuntarily by operation of law and
      shall denote the singular and/or plural and the masculine and/or feminine
      and natural and/or artificial persons, whenever and wherever the contexts
      so requires or properly applies.  The term “Holder” as used herein
      in every instance shall include the Holder’s successors, legal
      representatives and assigns, as well as all subsequent assignees,
      endorsees and holders of this Note, either voluntarily by act of the
      parties or involuntarily by operation of law.  Captions and
      paragraph headings in this Note are for convenience only and shall not
      affect its interpretation.

                          
	 
      	 
      
	
                            16.

                          	
                            WAIVER OF JURY
      TRIAL.  THE COMPANY
      AND HOLDER HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT
      EITHER MAY HAVE TO TRIAL BY JURY IN RESPECT TO ANY LITIGATION BASED
      HEREON, OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS NOTE AND ANY
      AGREEMENT CONTEMPLATED TO BE EXECUTED IN CONJUNCTION HEREWITH, OR ANY
      COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS, (WHETHER VERBAL OR
      WRITTEN) OR ACTIONS OF EITHER PARTY.  THE COMPANY ACKNOWLEDGES
      THAT THIS WAIVER OF JURY TRIAL IS A MATERIAL INDUCEMENT TO THE HOLDER IN
      EXTENDING CREDIT TO THE COMPANY, THAT THE HOLDER WOULD NOT HAVE EXTENDED
      SUCH CREDIT WITHOUT THIS JURY TRIAL WAIVER, AND THAT THE COMPANY HAS BEEN
      REPRESENTED BY AN ATTORNEY OR HAS HAD AN OPPORTUNITY TO CONSULT WITH AN
      ATTORNEY IN CONNECTION WITH THIS JURY TRIAL WAIVER AND UNDERSTANDS THE
      LEGAL EFFECT OF THIS WAIVER.

                          
	 
      	 
      
	
                            17.

                          	
                            Copies and
      Signatures.  A copy of this Promissory Note signed by one
      party and faxed to another party shall be deemed to have been executed and
      delivered by the signing party as though an original.  A
      photocopy of this Promissory Note shall be effective as an original for
      all
purposes.

                          

                  

                

              

            

          

        

      

    

    

    

    
      	
              SIGNATURE
      PAGE TO FOLLOW -

            

    
      
         

      

      
        -5-

        
          

        

      

      
         

      

    

    

     

    IN
WITNESS WHEREOF, the undersigned have caused this Convertible Promissory Note to
be executed and delivered by duly authorized officers as of the date first above
written.

     

    
      
        	 
      	
                ACIES CORPORATION, a
      Nevada Corporation

              
	 
      	 
      	 
      
	 
      	 
      	 
      
	 
      	
                By: /s/
      Oleg Firer

              	 
      
	 
      	
                Oleg
      Firer, President

              	 
      

      

    

    

    

    Holder:

    

    Pinnacle
Three Corporation

    

    By: /s/ Leon Goldstein

    

    Its:
President

     

    Printed
Name: Leon
Goldstein

    
      
         

      

      
        -6-

        
          

        

      

      
         

      

    

    EXHIBIT
A

    

    Conversion Election
Form

    

    

    ____________,
200_

    

    Acies
Corp.

    14 Wall
Street, Suite 1620

    New York,
NY  10005

    

    Re:           Conversion of Promissory
Note

    

    Gentlemen:

    

    You are hereby notified that, pursuant
to, and upon the terms and conditions of that certain Convertible Promissory
Note of Acies Corp. (the “Company”),
in the principal amount of $5,647 (the “Note”),
held by me (us), I (we) hereby elect to exercise my (our) Conversion Option (as
such term in defined in the Note), in connection with $__________ of the amount
currently owed under the Note, effective as of the date of this writing, which
amount will convert in ________________ shares of the Company’s Common
Stock.

    

    Please issue certificate(s) for the
applicable shares of the Company’s Common Stock issuable upon the Conversion, in
the name of the person provided below.

    

    

    

    
      	 
      	
              Very
      truly yours,

            
	 
      	 
      
	 
      	 
      
	 
      	
              ___________________________

            
	 
      	
              Name:

            

    

    

    

    Please
issue certificate(s) for Common Stock as follows:

    

    ______________________________________________

    Name

    

    ______________________________________________

    Address

    

    ______________________________________________

    Social Security No. of
Shareholder

    
      
         

      

      
        -7-ex_10-44.htm

    
      

      

    

    Exhibit
10.44

     

     

    CONSULTING
AGREEMENT

     

    This
Consulting Agreement ("Agreement") entered into as
of May 1, 2009 (the "Effective
Date") by and between Location Based Technologies, Inc., a Nevada
corporation (“the Company”), and Tina Florance ("Consultant") and supersedes the Agreement between the
Company and Tina Florance dated January 2, 2008.

     

    W I T N E S S E T
H:

     

    WHEREAS,
Company is a technology and telecommunications company that has designed and
patented wireless communications products and systems combining advanced
wireless location based services technology to provide features
of  utilizing a proprietary software system; and

     

    WHEREAS,
Company wishes to assure itself of the services of Consultant for the period and
upon the terms and conditions provided in this Agreement; and

     

    WHEREAS,
Consultant is willing to serve and to provide consulting to the Company on a
project basis for said period and upon the terms and conditions provided in this
Agreement.

     

    NOW,
THEREFORE, in consideration of the mutual covenants and agreements contained
herein, the parties hereto agree as follows:

     

    1.           Period

     

    a.           Term.  Subject
to the terms and conditions of this Agreement, Company hereby agrees to use
Consultant for maintaining the accounting office. The capacity as set forth
herein, commencing on the Effective Date and continuing in full force and effect
until such time as the execution of each Task is completed, but in no event
longer than three (3) years from the Effective Date (the "Consultancy
Term").

     

    b.           Duties and
Responsibilities.  During the Term, Consultant agrees to devote
her working time and attention to the project and tasks faithfully and
efficiently perform all reasonable responsibilities and duties to the best of
her skills and abilities, in a competent and professional manner.

     

    c.           Services.  During
the Term, Consultant further agrees not to engage in any business or perform any
services that are competitive with the business of or services provided by
Company or that may be deemed to constitute a conflict of
interest.  Notwithstanding anything to the contrary contained in
 Section
1(c), Consultant shall not be prohibited from (i) rendering services to
relatives, charitable or community organizations; (ii) managing her personal
investments in such manner as to not interfere with the performance of her
duties hereunder; or (iii) owning no more than five percent (5%) of the equity
securities of a corporation or other entity, so long as (A) such services or
activities are not rendered to any business which is competitive with the
business of Company, and (B) such services or activities do not in any way
interfere with the performance of Consultant's duties and responsibilities
hereunder.

     

    2.           Compensation.  During
the Term, Consultant shall be entitled to the compensation package and benefits
provided below.

     

    a.           Base Consulting.  During
the Consulting Term, in full consideration for the services to be rendered by
Consultant, Consultant shall receive cash compensation for worked performed set
at $5,000.00 per month with the exception of September and October which shall
be set at $15,000.00 per month. The Consultant will invoice the Company on a
monthly basis.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    b.           Additional
Consulting.  During the Consulting Term, the Company may
request Consultant to work on various projects outside the scope of Consultant’s
normal responsibilities.  For such services, the Consultant will bill
the Company on a project basis and may be made paid in the form of cash or
stock.

     

    b.           Stock for
Performance.  Consultant shall participate in the overall
performance of the company by receiving a grant of common stock shares based on
Performance as follows:

     

    
      
        
          
            	
                    NUMBER

                  	
                    VESTING

                  
	
                    25,000
      common stock shares for each fiscal quarter-end

                  	
                    For
      professional services rendered in connection with each quarterly 10-Q
      review (February 28, May 31, and November 30). Common stock shares to be
      issued in the month following quarter-end.

                  
	
                    50,000
      common stock shares for fiscal year-end

                  	
                    For
      professional services rendered in connection with each annual 10-K audit
      (August 31). Common stock shares to be issued in the month following
      year-end.

                  
	
                    50,000
      common stock shares

                  	
                    Upon
      the sale of 1,000,000 FCC approved PocketFinder
    devices.

                  

          

        

      

    

     

    *Should
the Company be acquired prior to two (2) years or prior to achieving the
milestones, the Company shall issue all common stock shares
immediately.

     

    c.           Resignation.  Consultant
may resign her current position with Company and thereby terminate her
agreement, by giving thirty (30) days notice in writing.  Upon
resignation, Consultant terminates any and all participation in the Warrants for
Performance as described in Section 2. b.

     

    d.           Termination of
Consulting.  Company may Terminate Consulting at any time
during the Agreement by giving consultant thirty (30) days notice in
writing.  Upon Termination, Company is obligated only to pay any and
all outstanding invoices.  Earned Warrants may be held until their
exercise date.

     

    3.           Confidential
Information.

     

    a.           Company
Information.  Consultant acknowledges that during the course of
employment, Consultant will have access to information about Company and that
Consultant's employment with Company shall bring Consultant into close contact
with proprietary information of Company.  In recognition of the
foregoing, Consultant agrees at all times during and following Consultant's
employment with Company, to hold in confidence, and not to use, except for the
benefit of Company, or to intentionally disclose to any person, firm,
corporation or other entity without written authorization of Company, any
"Confidential Information" of Company which Consultant obtains or
creates.  Consultant understands that "Confidential Information"
means any Company proprietary information, technical data, trade secrets or
know-how, including, but not limited to, research, product plans, products,
services, suppliers, customer lists, prices and costs, markets, software,
developments, inventions, laboratory notebooks, processes, formulas, technology,
designs, drawing, engineering, hardware configuration information, marketing,
licenses, finances, budgets or other business information disclosed to
Consultant by Company in writing or by drawings of parts or equipment, or
created by Consultant during the period of Consultant 's term during working
hours.  Consultant understands that "Confidential Information"
includes information pertaining to any aspects of Company's business which is
either information not known by actual or potential competitors of Company or is
proprietary information of Company or its customers or suppliers, whether of a
technical nature or otherwise.  Consultant further understand that
Confidential Information does not include any of the foregoing items which have
become publicly known and made generally available through no wrongful act of
Consultant.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    b.           Third Party
Information. Consultant recognizes that Company has received and in the
future will receive confidential or proprietary information from third parties
subject to a duty on Company's part to maintain the confidentiality of such
information and to use such information only for certain limited
purposes.  Consultant agrees to hold all such confidential or
proprietary information in confidence and not to intentionally disclose it to
any person, firm or corporation or to use it except as necessary in carrying out
my work for Company consistent with Company's agreement with such third
party.

     

    4.           Inventions.

     

    a.           Inventions
Retained and Licensed.  Consultant represents and warrants to Company
that there are no inventions, original works of authorship, developments,
improvements, or trade secrets which were made by Consultant prior to the
commencement of her employment with the Company (collectively, "Prior Invention(s)"), which
belong solely to Consultant or belong to Consultant jointly with another, which
relate in any way to any of Company's proposed businesses, products or research
and development, and which are not assigned to Company hereunder.  If,
in the course of the Employment Period, Consultant incorporates into a Company
product, process or machine a Prior Invention owned by Consultant or in which
Consultant has an interest, Company is hereby granted and shall have a
non-exclusive, royalty-free, irrevocable, perpetual, worldwide license (with the
right to sublicense) to make, have made, copy, modify, make derivative works of,
use, sell and otherwise distribute such Prior Invention as part of or in
connection with such Company product, process or machine.

     

    b.           Assignment of
Inventions.  Consultant agrees that Consultant will promptly
make full written disclosure to Company, will hold in trust for the sole right
and benefit of Company, and hereby assign to Company, or its designee, all my
right, title and interest throughout the world in and to any and all inventions,
original works of authorship, developments, concepts, know-how, improvements or
trade secrets, whether or not patentable or registerable under copyright or
similar laws, which Consultant may solely or jointly conceive or develop or
reduce to practice, or cause to be conceived or developed or reduced to practice
during the Employment Period that (i) relate at the time of conception or
development to the actual or demonstrably proposed business or research and
development activities of Company; (ii) result from or relate to any work
performed for Company during normal business hours; and (iii) are developed
through the use of Confidential Information (collectively, "Inventions").  Consultant
further acknowledges that all Inventions, which are made by Consultant (solely
or jointly with others) within the scope of and during the period of
Consultant’s employment with Company, are "works made for hire" (to the greatest
extent permitted by applicable law) and are compensated by the Base Salary,
unless regulated otherwise by law.

     

    c.           Inventions on Consultant's
Own Time.  The provisions of Section 7(a) and 7(b)
above do not apply to any invention which qualifies fully under the provisions
of California Labor Code §2870, which provides as follows:

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    § 2870 - Invention
on Own time - Exemption from Agreement

     

    (1).  Any
provision in an employment agreement which provides that an Consultant shall
assign, or offer to assign, any of her or her rights in an invention to his or
her employer shall not apply to an invention that the Consultant developed
entirely on his or her own time without using the employer's equipment,
supplies, facilities, or trade secret information except for those inventions
that either (i) relate at the time of conception or reduction to practice of the
invention to the employer's business, or actual or demonstrably anticipated
research or development of the employer; or (ii) result from any work performed
by the Consultant for the employer.

     

    (2).  To
the extent a provision in an employment agreement purports to require an
Consultant to assign an invention otherwise excluded from being required to be
assigned under subdivision (a) of Section 2870, the provision is against the
public policy of this state and is unenforceable.

     

    d.           Patent and Copyright
Rights.  Consultant agrees to assist Company, or its designee,
at Company's expense, in every reasonable way to secure Company's rights in the
Inventions and any copyrights, patents, trademarks, mask work rights, moral
rights, or other intellectual property rights relating thereto in any and all
countries, including the disclosure to Company of all pertinent information and
data with respect thereto, the execution of all applications, specifications,
oaths, assignments, recordations, and all other instruments which are necessary
in order to apply for, obtain, maintain and transfer such rights and in order to
assign and convey to Company, its successors, assigns and nominees the sole and
exclusive rights, title and interest in and to such Inventions, and any
copyrights, patents, mask work rights, or other intellectual property rights
relating thereto.

     

    5.           Return of Company
Documents.  Consultant agrees that, at the time of termination
of consulting with Company for any reason, Consultant will deliver to Company
(and will not keep in my possession, recreate or deliver to anyone else) any and
all Confidential Information and all other documents, materials, information or
property belonging to Company, its successors or assigns. Consultant further
agrees that any property situated on Company's premises and owned by Company,
including disks and other storage media, filing cabinets or other work areas, is
subject to inspection by Company personnel at any time with or without
notice.

     

    6.           Injunctive
Relief.  Consultant expressly acknowledge that any breach or
threatened breach of any of the terms and/or conditions set forth in Sections 6 and 7 of
this Agreement will result in substantial, continuing and irreparable injury to
Company.  Therefore, Consultant hereby agrees that, in addition to any
other remedy that may be available to Company, Company shall be entitled to
injunctive relief, specific performance or other equitable relief by a court of
appropriate jurisdiction in the event of any breach of threatened breach of the
terms of this Agreement.

     

    7.           Miscellaneous.

     

    a.           Governing Law. This
Agreement is deemed to be entered into and performed in Orange County,
California.  Except as otherwise explicitly noted, this Agreement
shall be governed by and construed in accordance with the laws of the State of
California, without giving effect to the conflict of law rules of
California.  The parties hereby submit to the exclusive jurisdiction
of the state of California in connection with any dispute arising from or
related to this Agreement, and Los Angeles County shall be the sole venue
therefore.

     

    b.           Modifications and
Amendments.  This Agreement may be modified or amended only by
a written instrument executed by the parties hereto and approved in writing by a
duly authorized officer of Company, no modification or amendment shall be
effective absent such approval.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    c.           Independence and
Severability.  Each of the rights enumerated above shall be
independent of the others and shall be in addition to and not in lieu of any
other rights and remedies available to Company at law or in
equity.  If any of the covenants contained herein or any part of any
of them is hereafter construed or adjudicated to be invalid or unenforceable,
the same shall not affect the remainder of the covenant or covenants or rights
or remedies which shall be given full effect without regard to the invalid
portions.  If any of the covenants contained herein are held to be
invalid or unenforceable because of the duration of such provision or the area
or scope covered thereby, Consultant agrees that the court or arbitrator making
such determination shall have the power to reduce the duration, scope and/or
area of such provision and in its reduced form said provision shall then be
enforceable.

     

    d.           Notice.  For
the purpose of this Agreement, notices and all other communications provided for
in this Agreement shall be in writing and shall be deemed to have been duly
given as of the date if delivered in person or by telecopy, on the next business
day, if sent by a nationally recognized overnight courier service, and on the
second business day if mailed by registered mail, return receipt requested,
postage prepaid, and if addressed to the Company then at its principal place of
business, or if addressed to Consultant, then her last known address on file
with the Company.

     

    e.           Waiver.  The
observation or performance of any condition or obligation imposed upon
Consultant hereunder may be waived only upon the written consent of
Company.  Such waiver shall be limited to the terms thereof and shall
not constitute a waiver of any other condition or obligation of Consultant under
this Agreement.

     

    f.           Assignment.  This
Agreement is personal to Consultant and shall not be assigned by her. Company
may assign its rights hereunder to (a) any corporation or other legal entity
resulting from any merger, consolidation or other reorganization to which
Company is a party or (b) any corporation, partnership, association or other
legal entity or person to which Company may transfer all or substantially all of
the assets and business of Company existing at such time.  All of the
terms and provisions of this Agreement shall be binding upon and shall inure to
the benefit of and be enforceable by the parties hereto and their respective
successors and permitted assigns.

     

    g.           Headings.  The
headings have been inserted for convenience only and are not to be considered
when construing the provisions of this Agreement.

     

    h.           Counterparts.  This
Agreement may be executed in one or more counterparts and transmitted by
facsimile, a copy of which shall constitute an original and each of which, when
taken together, shall constitute one and the same agreement.

     

    i.           Survival of
Provisions.  Notwithstanding anything to the contrary in this
Agreement, Sections 3,
4, 5, 6, and 7 of this Agreement shall survive the termination of this
Agreement for the period of time so specified or implied in such Sections,
respectively.

     

    j.           Arbitration.  Any
controversy, dispute or claim of any nature whatsoever involving Company and
Consultant or Consultant's spouse or family, including without limitation any
claims arising out of, in connection with, or in relation to this Agreement or
Consultant's employment with Company, any claims of unlawful discrimination,
sexual harassment or wrongful termination, and any issues of arbitrability of
any such disputes, will be resolved by final and binding arbitration before the
American Arbitration Association in Los Angeles, California, in accordance with
its employee arbitration rules.

     

    k.           Entire
Agreement.  This Agreement constitutes the entire understanding
between the parties hereto in respect of the employment of Consultant by
Company, superseding all negotiations, prior discussions, prior written, implied
and oral agreements, preliminary agreements and understandings with Company or
any of its officers, employees or agents.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    IN
WITNESS WHEREOF, this five (5) page Agreement is executed and agreed to as of
May 1, 2009.

     

    CONSULTANT

    
      
        
          
            
              	 	 	 	 	 
	
                      /s/
      Tina Florance

                    	 	 	
                       

                    	 
	
                      Tina
      Florance

                    	 	 	
                       

                    	 

            

          

        

      

    

     

    Location
Based Technologies, Inc.

    
      
        	 	 	 	 	 
	
                /s/
      Joseph F. Scalisi

              	 	 	
                /s/
      Desiree Mejia

              	 
	
                Joseph
      F. Scalisi, Co-President 

              	 	 	
                Desiree
      Mejia – Chief Operating Officer

              	 

      

    

     

     

    6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00160-of-00352.parquet"}]]