Document:

exv10w3

 

Exhibit 10.3

TERM PROMISSORY NOTE

(Floating Rate)

	 	 	 	 	 
	BORROWER’S NAME AND ADDRESS	 	OFFICER	 	MATURITY DATE
	ProLink Holdings Corp.
	 	 	 	 
	ProLink Solutions, LLC

	 	K. Ehrhardt
	 	September 30, 2009
	410 S. Benson Lane
	 	 	 	 
	Chandler, Arizona 85224
	 	 	 	 

	 	 	 	 	 
	$2,500,000.00

	 	Phoenix, Arizona
	 	October 23, 2006

On September 30, 2009 (the “Maturity Date”), for value received, PROLINK HOLDINGS CORP., a Delaware
corporation and PROLINK SOLUTIONS, LLC, a Delaware limited liability company (individually and/or
collectively as the context requires, “Borrower”), jointly and severally, promise to pay to the
order of COMERICA BANK or its successor-in-interest (“Lender”), at its office at 75 East Trimble
Road, San Jose, California 95131, or at such other place as Lender may from time to time designate
in writing, the principal sum of Two Million Five Hundred Thousand and No/100 Dollars
($2,500,000.00), or so much thereof as may be advanced from time to time, together with interest
from the date of disbursement computed on the principal balances hereof from time to time
outstanding, adjusted daily to the rate which is one percent (1.0%) per annum in excess of the Base
Rate of interest (as herein defined) being charged by Lender (“Note”). For the purpose of this
Note, the Base Rate is that rate so announced by Lender as its “base rate” from time to time and
which serves as the basis upon which effective rates of interest are calculated for those loans
making reference thereto. The interest rate payable hereunder shall fluctuate with any change in
the Base Rate, and such fluctuation in the interest rate shall be effective on the effective date
of each and every change in the Base Rate as, from time to time, announced by Lender at its
corporate headquarters in Detroit, Michigan. The interest rate charged herein is further subject
to the rate reduction provisions of Section 2.3 of that certain Loan and Security Agreement
dated of even date herewith (the “Loan Agreement”). Capitalized terms not otherwise defined herein
shall have the same meaning as set forth in the Loan Agreement.

Commencing on December 1, 2006 and on the same day of each successive month thereafter, Borrower
shall make a principal payment of $52,083.33, plus accrued interest with a final payment of all
outstanding principal plus accrued interest on the Maturity Date. Interest shall be computed daily
based upon a three hundred sixty (360) day year for the actual number of days elapsed. Should
interest not be paid when due, it shall become part of the principal and thereafter bear interest
as herein provided.

In addition to the regularly scheduled principal payments provided above, if Borrower (a) is unable
to maintain cash or cash equivalents on its balance sheet of a minimum of One Million Five Hundred
Thousand and No/100 Dollars ($1,500,000.000) as of the end of each fiscal quarter of Borrower’s
fiscal year and/or (b) an Event of Default shall have occurred during such fiscal year, Borrower
shall pay within ten (10) days of delivery to Lender of Borrower’s fiscal year end statements,
pursuant to Section 6.11(b) of the Loan Agreement, thirty percent (30%) of

 

 

Excess Cash Flow as an additional principal payment. This payment shall be applied, in inverse
order of maturity, to the principal balance outstanding under this Note.

Should default be made in the payment of principal or interest when due after the expiration of any
applicable notice and opportunity to cure periods, or in the performance or observance when due of
any term, covenant or condition of any deed of trust, security agreement or other agreement
(including amendments and extensions thereof) securing or pertaining to this Note, after the
expiration of any applicable notice and opportunity to cure periods, then, at the option of Lender
hereof and without notice or demand, the entire balance of principal and accrued interest then
remaining unpaid shall become immediately due and payable and thereafter bear interest, until paid
in full, at the increased rate of three percent (3%) per annum over and above the interest rate(s)
contracted for herein as it may vary from time to time. Borrower acknowledges and agrees that
during the time that any payment of principal, interest or other amounts due under this Note is
delinquent, Lender will incur additional costs and expenses attributable to its loss of use of the
money due and to the adverse impact on Lender’s ability to avail itself of other opportunities.
Borrower acknowledges and agrees that it is extremely difficult and impractical to ascertain the
extent of such costs and expenses and that proof of actual damages would be costly or inconvenient.
Borrower therefore agrees that interest at the increased rate of three percent (3%) per annum over
and above the interest rate(s) contracted for in this Note represents a reasonable sum considering
all the circumstances existing on the date of this Note and represents a fair and reasonable
estimate of such costs and expenses. No delay or omission on the part of Lender hereof in
exercising any right hereunder, or under any such deed of trust, security agreement or other
agreement shall operate as a waiver of such right or of any other right under this Note or under
any such deed of trust, security agreement or other agreement.

If any payment of principal or interest under this Note shall not be made within fifteen (15)
calendar days of the date due, a late charge of five percent (5%) of the overdue amount may be
charged by Lender for the purpose of defraying the expenses incident to handling such delinquent
payments. Borrower acknowledges and agrees that it is extremely difficult and impractical to
ascertain the extent of such expenses and that proof of actual damages would be costly or
inconvenient. Borrower therefore agrees that such late charge represents a reasonable sum
considering all of the circumstances existing on the date of this Note and represents a fair and
reasonable estimate of the costs that will be sustained by Lender due to the failure of Borrower to
make timely payments. Such late charge shall be paid without prejudice to the right of Lender to
collect any other amounts provided to be paid or to declare a default under this Note or under the
Deed of Trust referred to in this Note or from exercising any of the other rights and remedies of
Lender, including, without limitation, the right to declare the entire balance of principal and
accrued interest then remaining unpaid immediately due and payable, subject to notice and cure as
provided in the Loan Agreement.

Borrower agrees to pay the contracted rate of interest, which includes interest at the rate set
forth herein and all costs and fees associated with obtaining this credit accommodation to the
extent any such costs and fees are deemed interest under applicable law. Borrower and Lender agree
that none of the terms and provisions contained herein shall be construed to create a contract for
the use, forbearance or detention of money requiring payment of interest at a rate in excess of the
maximum interest rate permitted to be charged by the laws of the State of Arizona. In such

 

 

event, if any holder of this Note shall collect monies which are deemed to constitute interest
which would otherwise increase the effective interest rate on this Note to a rate in excess of the
maximum rate permitted to be charged by the laws of the State of Arizona, all such sums deemed to
constitute interest in excess of such maximum rate shall, at the option of the holder, be credited
to the payment of other amounts payable hereunder or returned to Borrower.

If this Note is not paid when due, whether at its specified or accelerated Maturity Date, Borrower
promises to pay all costs of collection and enforcement of this Note, including, but not limited
to, reasonable attorneys’ fees and costs, incurred by Lender on account of such collection or
enforcement, whether or not suit is filed hereon.

Principal and interest shall be payable in lawful money of the United States without set off,
demand or counterclaim. Borrower waives the defense of the statute of limitations in any action on
this Note. Presentment, notice of dishonor, and protest are waived by all makers, sureties,
guarantors and endorsers of this Note. Such parties expressly consent to any extension of the time
of payment hereof or any installment hereof, to any renewal, and to the release of any or all of
the security given for the payment of this Note or the release of any party liable for this
obligation.

Borrower agrees that Lender may provide any financial or other information, data or material in
Lender’s possession relating to Borrower, this Note, the loan evidenced by this Note, the property
or the improvements, to Lender’s parent, affiliate, subsidiary, participants or service providers,
without further notice to Borrower.

This Note is secured by the Collateral as such capitalized term is defined in the Loan Agreement.
This Note shall be governed and construed in accordance with the laws of the State of Arizona.

Borrower may prepay this Note in whole or in part without penalty. No partial prepayment shall
affect the obligation of Borrower to pay the next and subsequent regular installments payable
hereunder until the entire balance of principal and interest shall have been paid in full.

	 	 	 	 	 	 	 
	 	 	BORROWER:	 	 
	 
	 	 	 	 	 	 
	 	 	PROLINK HOLDINGS CORP., a Delaware

corporation	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Michael Browne	 	 
	 

	 	Name:
	 	 

Michael Browne
	 	 
	 

	 	Title:
	 	Chief Financial Officer	 	 
	 
	 	 	 	 	 	 
	 	 	PROLINK SOLUTIONS, LLC, a Delaware limited

liability company	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Michael Browne	 	 
	 

	 	Name:
	 	 

Michael Browne
	 	 
	 

	 	Title:
	 	Chief Financial Officer	 	 

 

 

NOTICE: THIS NOTE CONTAINS PROVISIONS FOR A VARIABLE INTEREST RATE WHICH MAY RESULT IN INCREASES
IN THE INTEREST RATE AND IN THE MONTHLY INSTALLMENTS.Exhibit 4.22

    THIS
      TERMINATION AGREEMENT
      (the
“Agreement”) is entered into at the City of Montreal, Province of Quebec, on the
      12th
      day of
      September, 2006

    

    
      	
              BETWEEN:

            	
              ANTHONY
                BARBUSCI,
                executive, residing at 166 Meaney Street, Kirkland,
                Quebec

            

    

    

    
      	 	
              (the
                “Employee”)

            

    

    

    
      	
              AND:

            	
              DYNASTY
                GAMING INC.,
                a
                corporation duly constituted under the laws of Canada, herein acting
                and
                represented by Albert Barbusci, its President and Chief Executive
                Officer,
                and Mark Billings, its Chief Financial Officer, duly authorized as
                they so
                declare

            

    

    

    
      	 	
              (the
                “Corporation”)

            

    

    

    

    WHEREAS
      the
      Employee has been employed by the Corporation since October 2001;

    

    WHEREAS
      the
      Employee has resigned as corporate secretary of the Corporation effective as
      of
      October 6, 2006;

    

    WHEREAS
      the
      Employee’s employment with the Corporation shall be terminated as of December
      31, 2006;

    

    WHEREAS
      the
      Corporation and the Employee (collectively the “Parties”) have agreed to the
      terms and conditions of the Employee’s severance package;

    

    NOW
      THEREFORE,
      in
      consideration of the premises, the mutual promises herein contained and other
      good and valuable consideration, the receipt and sufficiency of which the
      Parties hereby acknowledge, the Parties agree as follows:

    

    
      	1.  	
              The
                preamble forms an integral part of this
                Agreement.

            

    

     

    
      	2.  	
              The
                Employee’s resignation as secretary of the Corporation is accepted
                effective October 6, 2006.

            

    

     

     

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    
      	3.  	
              The
                Employee’s employment with the Corporation is terminated effective
                December 31, 2006 (the “Termination Date”). Notwithstanding the
                Termination Date, the Corporation and the Employee agree that the
                Employee
                shall not be required to present himself for work after October 6,
                2006.

            

    

     

    
      	4.  	
              Until
                the Termination Date, the Corporation shall continue to pay the Employee
                his current salary and the Employee shall be entitled to receive
                his
                current benefits, including, without limitation, payment of automobile
                lease, participation in group insurance plan, monthly expense allowance,
                four weeks paid vacation annually, and participation in the Corporation’s
                stock option plan. 

            

    

     

    
      	5.  	
              On
                January 2, 2007, the Corporation shall pay to the Employee as a
                termination payment, in complete and final settlement of any and
                all
                claims related to the termination of the Employee’s employment (including,
                without limitation, claims for remuneration, severance and accrued
                vacation), the amount of eighty-three thousand six hundred and fifty-five
                dollars ($83,655), representing nine (9) months salary, subject to
                such
                payroll and withholding deductions as may be required by
                law.

            

    

     

    
      	6.  	
              The
                Corporation has requested that the Employee be available to assist
                the
                Corporation with respect to certain regulatory matters for a period
                of one
                year following the Termination Date, and the Employee has agreed
                to do so
                in consideration for the extension of the term of all existing stock
                options previously granted to the Employee, the whole upon the terms
                and
                conditions of a consulting agreement to be entered into by the Parties
                on
                this date (the “Consulting
                Agreement”).

            

    

     

    
      	7.  	
              The
                Employee agrees to return to the Corporation on or before the Termination
                Date any door and file keys, any credit cards, documents, records,
                software, equipment and any other items belonging to the
                Corporation.

            

    

     

    
      	8.  	
              The
                Employee acknowledges that in the course of his employment with the
                Corporation he has had access to confidential information of the
                Corporation and its subsidiaries (the “Confidential Information”). The
                Employee agrees and covenants that he will keep secret all Confidential
                Information and will not, directly or indirectly, either before or
                after
                the Termination Date, disclose or disseminate to anyone or make use
                of,
                otherwise than for the fulfillment of his employment duties prior
                to the
                Termination Date, any Confidential Information. Notwithstanding the
                foregoing, the obligations of confidentiality and non-disclosure
                shall not
                apply to information that:

            

    

     

    
      	(i)  	
              becomes
                a part of the public domain through no fault of the
                Employee;

            

    

     

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	(ii)  	
              is
                at the time of disclosure already in the possession of or becomes
                lawfully
                available to the recipient on a non-confidential basis from a third
                party
                entitled to make such disclosures;

            

    

     

    
      	(iii)  	
              is
                required to be disclosed in virtue of any law, regulation, policy
                or order
                by any competent authority provided that the Employee has given the
                Corporation five (5) days prior notice of such disclosure;
                or

            

    

     

    
      	(iv)  	
              is
                specifically released in writing by the Corporation from confidential
                status.

            

    

     

    
      	9.  	
              The
                Employee hereby irrevocably releases and fully discharges the Corporation,
                its directors, officers, shareholders and affiliates, from any and
                all
                claims, actions, causes of action, charges, complaints, obligations,
                rights, demands, debts, damages, costs, attorneys fees, losses,
                liabilities or accounting of whatever nature concerning or relating
                to the
                Employee’s employment with the Corporation and the termination thereof,
                save and except that this release and discharge shall not apply to
                the
                performance of the Corporation’s obligations (including payment of salary
                and severance) under this Agreement or the Consulting
                Agreement.

            

    

     

    
      	10.  	
              The
                Corporation hereby irrevocably releases and fully discharges the
                Employee
                from any and all claims, actions, causes of action, charges, complaints,
                obligations, rights, demands, debts, damages, costs, attorneys fees,
                losses, liabilities or accounting of whatever nature concerning or
                relating to the Employee’s employment with the Corporation and the
                termination thereof, save and except that this release and discharge
                shall
                not apply to the performance of the Employee’s obligations under this
                Agreement or the Consulting
                Agreement.

            

    

     

    
      	11.  	
              The
                Employee acknowledges that the meaning, effect and the terms of this
                Agreement and the release herein contained have been fully explained
                to
                him.

            

    

     

    
      	12.  	
              The
                provisions of this Agreement shall enure to the benefit of, and be
                binding
                upon, the Parties hereto and their respective successors, assigns,
                heirs
                and legal representatives.

            

    

     

    
      	13.  	
              This
                Agreement shall be governed by the laws of
                Quebec.

            

    

     

    
      	14.  	
              This
                Agreement constitutes a transaction between the Parties in accordance
                with
                articles 2631 and following of the Civil Code of
                Quebec.

            

    

     

    
      	15.  	
              The
                parties have agreed that this Agreement and related documents be
                drafted
                in English. Les parties ont convenu que la présente entente et tout autre
                document y afférant soient rédigés en
                anglais.

            

    

     

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF,
      the
      parties have signed this Agreement in Montreal, Quebec, this 12th
      day of
      September, 2006.

     

    
      	 	 	 
	 	 
	 
 	 
 	 
 
	
            	      
              	/s/ 
	 	
              
Anthony
              Barbusci

    

     

    
      	 	 	 
	 	 
	 
 	 
 	Dynasty
              Gaming Inc.
 
	 	       
              	/s/ 
	 	
              
Per:
              Albert Barbusci, President and CEO

    

     

    
      	 	 	 
	 	 
	 
 	 
 	 
 
	 	  	/s/ 
	 	
              
Per:
              Mark Billings, CFO
	 	 

    

    

     

     

     

     

    4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}]]