Document:

AXM Pharma, Inc. Exhibit 10.12

Exhibit 10.12

CONTRACT AGREEMENT

This AGREEMENT shall be effective on this 25th day of October 2005 and is made between Bryle Lerner ("Consultant") and AXM Pharma, Inc., a Nevada Corporation having offices at 7251 West Lake Mead Blvd, Suite 300, Las Vegas, Nevada, 89128 ("Client").

1.0 PREMISES

WHEREAS, the Consultant has expertise in the area of business development, corporate strategy, joint ventures, mergers and acquisitions; and 

WHEREAS, having reviewed the Consultant's background and experience, the Client has made a determination as to the competency of Consultant to assist the Company with such matters;

NOW 

THEREFORE, in consideration of the premises, covenants and conditions contained in this AGREEMENT, and intending to be legally bound, the parties mutually agree as follows:

2.0

AUTHORITY AND RESPONSIBILITY OF CONSULTANT

2.1

 Byrle Lerner will be the consultant of record and will perform the services listed in Section 2.2 below.  No other individual will be substituted as Consultant without the express written permission of the Client.

2.2

The Consultant will use his best efforts to assist with the following:

a)

Aid in Client's corporate strategy and business planning, and arranging meetings when appropriate;

b)

Attend key meetings for Client for the purpose of business development;

c)

Provide assistance with regard to structuring of proposed mergers and acquisitions by Client; 

d)

Liaising with Client's accountants and legal advisors when necessary to assist with Client's business development; 

e)

All other services which the Consultant sees fit to render under this AGREEMENT; and

f)

Consultant shall not be responsible for any fundraising on behalf of Client.

3.0

AUTHORITY AND DUTIES OF CLIENT.

a) Client shall provide Consultant with all necessary information about the company and will provide a representative to act as a liaison to the Consultant.  

4.0

LEVEL OF EFFORT; TERM OF AGREEMENT

a) The term of this AGREEMENT is one year.

4.1

This AGREEMENT may be terminated by either party with 30 days written notice.

4.3

The Consultant will use his best efforts throughout the term of the AGREEMENT.

5.0

FEES AND TERMS OF SALE

a) At the time of the signing of this AGREEMENT, the Consultant shall receive 60,000 restricted shares of Common Stock of AXM Pharma, Inc and 100,000 warrants to purchase common stock at $2.15.  The shares and underlying shares of the warrants shall have piggyback registration rights.b) In addition, the Consultant shall receive reimbursement for all reasonable out-of-pocket expenses incurred as a result of performing the services described in Section 2.

6.0

PROPRIETARY INFORMATION

a) The Consultant agrees to safe­guard confidential information of Client and will not disclose or permit the use or disclosure of any such in­formation, except as authorized in advance by Client in writing.  The Consultant further agrees to surrender all confidential data to Client either on request, can­cellation, or termination of this AGREEMENT and will not retain copies, notes, or memoranda of such data. The obligations specified in this section shall be deemed to survive the termination of this AGREEMENT.

7.0

RELATIONSHIP OF PARTIES

a) This AGREEMENT does not create an employer-employee or agent-servant relationship between the parties.  At all times under this AGREEMENT the Consultant shall be considered an independent contractor.b) Consultant shall not be responsible for any obligation or liability incurred or assumed by the Client or its employees, affiliates, representatives, agents, or subcontractors and the Client hereby indemnifies and holds Consultant harmless from any claim arising from the acts or omissions of such persons.

8.0

MODIFICATIONS; ENTIRE AGREEMENT

a) This writing contains the entire AGREEMENT of the parties.  No representations were made or relied upon by any party other than those expressly set forth herein.  No agent, 

employee, or repre­sentative of a party is empowered to alter or modify any of the terms in this AGREEMENT unless such modification is done in writing and signed by the signatories below, or other authorized representatives designated, in writing, by the respective parties.

9.0

SEVERABILITY

a) 

Any provision of this AGREE­MENT that is invalid, illegal or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity, illegality, or unenforce­ability, without affecting in any way the remaining provisions hereof in such jurisdiction or rendering that or any other provision of this AGREEMENT invalid, illegal, or unenforceable in any other jurisdiction.

10.0

WAIVERS

a) Any waiver by a party to any term or condition of this AGREEMENT by the other party shall not affect or impair the waiving party's right with respect to any subsequent act or omission of the same type, nor shall it be deemed to waive any other right under this AGREE­MENT; nor shall any delay or omission of a party to exercise any right arising under this AGREE­MENT affect or impair such party's rights as to the same or any future delay or omission; nor shall the failure of a party to this AGREE­MENT to require or exact full and complete compliance with any one or more of the provisions of this AGREEMENT be construed as in any manner changing such provi­sion or provisions.

11.0

AUTHORITY TO ACT

a) The parties hereto warrant and represent that they have the full power and authority to enter into this AGREEMENT and to consummate the transactions contemplated hereby and have been duly authorized to execute this AGREEMENT.

12.0

NOTICES

a) All notices, purchase orders, and other communications contemplat­ed under this AGREEMENT  shall be in writing and shall be either personally delivered, or trans­mitted by certified mail, facsimile transmission, wire, or other device reasonably calculated to effect delivery of documents within five (5) business days. Unless otherwise agreed to by all the parties, such notices, orders, and communica­tions shall be sent, as appropriate, to the parties at the addresses noted below:

If to Consultant:

Byrle Lerner

2615 Pacific Coast Highway, Suite 210

Hermosa Beach, CA 90254

If to the Client:

AXM Pharma, Inc.

7251 West Lake Mead Blvd, Suite 300

Las Vegas, Nevada, 89128

13.0

CONTROLLING LAW AND DISPUTE RESOLUTION

a) This AGREEMENT shall be interpreted, controlled, and en­forced in accordance with the substantive laws of the State of New York.b) Each party shall bear its own expenses in any litigation conducted under this section.

c) Any controversy or claim arising out of or relating to this AGREEMENT, or breach of this AGREEMENT is to be settled by arbitration in New York, NY in accordance with the Commercial Arbitration Rules of the American Arbitration Association, and judgment on the award rendered by the arbitrators may be entered in any court having jurisdiction.  There must be three arbitrators, one to be chosen directly by each party at will and the third arbitrator to be selected by the two arbitrators so chosen.  Each party will pay the fees of the arbitrator he or she selects and his or her own attorneys, and the expenses of his or her witnesses and all other expenses connected with presenting his or her case.  Other costs of the arbitration, including the cost of any record or transcripts of the arbitration, administrative fees, the fee of the third arbitrator, and all other fees and costs, will be borne equally by the parties.

14.0     TERMINATION

a) This AGREE­MENT shall be deemed terminated upon the occurrence of any one or more of the following events:

(i) A party commits a breach of one or more material terms and conditions of this AGREEMENT and the nonbreaching party elects to terminate this AGREEMENT; (ii)  In the Opinion of the Client, the Consultant fails to put forth a satisfactory level of effort in performing the duties described in Section 2.0; 

(iii) A party becomes insol­vent, or subject to a petition in bankruptcy, or is placed under the control of a receiver, liquidator, or committee of creditors; or

(iv) Upon mutual consent of the parties.

b) Termination of this Agreement for any reason shall not effect the compensation to be paid to consultant pursuant to Section 5.

IN WITNESS WHEREFORE, the parties hereto have duly executed this Contract for Consulting Services.

Consultant  

BY:

_____________________________

Printed Name:

Byrle Lerner

Title:

______________________________

Date:_______________________________

AXM Pharma, Inc.

BY:___________________________

Printed Name:_Peter Cunninghman__                     

Title:______President/CEO________

Date:__________________________AXM Pharma, Inc. Exhibit 10.13

Exhibit 10.13

Aurelius Consulting Group, Inc

 Marketing Agreement

This AGREEMENT (the “Agreement”) made and entered into this __ day of September 2004, by and between Aurelius Consulting Group, Inc., located at Maitland City Plaza, 225 S. Swoope Ave, Suite 214, Maitland, Florida 32751 (hereinafter referred to as “ACG“) and AXM Pharma, Inc.. (hereinafter referred to as the “Company”), located at 4695 MacArthur Court, 11th Floor, Newport Beach, CA  92660

WITNESSETH:

For and consideration of the mutual promises and covenants contained herein, the parties hereto agree as follows:

1. EMPLOYMENT

The Company hereby hires and employs ACG and employs ACG as an independent contractor; and ACG does hereby accept its position as an independent contractor to the Company upon the terms and conditions hereinafter set forth. It is acknowledged and agreed by the Company that ACG carries no professional licenses, and is not rendering legal advice or performing accounting services, nor acting as an investment advisor or broker/dealer within the meaning of the applicable state and federal securities laws.  

2. TERM

The initial term of this Agreement shall be for twelve (12) months (“Term”) from the date written above, but under the provision set forth in Section 3.6. 

3. DUTIES AND OBLIGATIONS OF ACG

ACG shall provide the following services and have the following duties and obligations under this Agreement.

·

Specialist Marketing Team 

·

Retail, Institutional, Analyst coverage

·

Website Presence  

·

Aurelius Profile and Research Links

·

Bi-Monthly Featured Stock Page on Corporate Website 

·

E-mail campaign (bi-monthly) 

·

Aurelius Micro-Cap Newsletter (one issue) 

Maitland City Plaza, 225 S. Swoope Ave., Suite 214, Maitland, Florida 32751 (407)-644-4256, fax: (407) 644-0758

ACG agrees that it will only communicate regarding The Company to licensed brokerage professionals and will not engage in any solicitation of the public with regard to The Company or its securities.  Notwithstanding the foregoing, ACG may provide approved information regarding the Company (i) in response to unsolicited inquiries by the Company’s shareholders; (ii) to valid trade and industry publications, newspapers and periodicals; and (iii) otherwise engage in communications which are normal and customary for an investor relations firm and which do not involve solicitation of investors in connection with its role as an investor relations firm for the Company.  ACG further agrees that it will only disclose information specifically provided to it by the Company regarding The Company for dissemination and will keep confidential any information marked as such by The Company.  ACG agrees that it will not make any undisclosed payments to brokers or others and will generally act within the letter and the spirit of U.S. securities laws, rules and regulations at all times.

Neither the ACG nor any of its principals is subject to any sanction or restriction imposed by the SEC, the NASD, any state securities commission or department, or any other regulatory or governmental body or agency, which would prohibit, limit or curtail the ACG’s execution of this Agreement or the performance of its obligation hereunder. 

3.1  Progress Reports: ACG will provide AXM PHARMA with a  detailed quarterly progress report. The report will include buying activity generated by ACG’s   efforts; analysts, stockbrokers, media, and fund managers contacted; due diligence packages sent; and general market feedback and shall contain a written affirmation from the Consultant that it is in compliance with the terms of this Agreement on the date of such report. 

3.2 ACG will introduce the Company to its broker network; disseminate information about the company; quantify book buying activity; and as appropriate organize   teleconferences, city-wide broker conferences, and on-site due diligence meetings with select groups of brokers, micro-cap analysts and fund managers; and focus on creating consistent increases in daily trading activity.

3.3 ACG will be available to the Company to field any calls from firms, individual investors/shareholders and brokers inquiring about the company.

3.4 At the Company’s request, strive to obtain the Company analyst coverage and/or investment banking sponsorship.

3.5 ACG will report to the Company the results of its efforts no less frequently that quarterly, or as requested by the Company, and in sufficient detail, as to permit the Company to evaluate the effectiveness of   ACG’s   services. 

3.6 After the first three months of service, the Company will maintain the right to evaluate ACG’s   performance every ninety (90) days in order to determine whether to continue the relationship as set forth in this Agreement.  

Maitland City Plaza, 225 S. Swoope Ave., Suite 214, Maitland, Florida 32751 (407)-644-4256, fax: (407) 644-0758

4. ACG’S   COMPENSATION 

Upon the execution of this Agreement, the Company hereby covenants and agrees to pay ACG as follows during the Term hereof:

·

12,500 shares of AXJ stock per quarter, delivered no later than 10 days after the starting date of each quarter. 

5. AC’S EXPENSES AND COSTS 

The Company shall pay all reasonable costs and expenses incurred by ACG, its officers, employees and agents, in carrying out its duties and obligations pursuant to the provision of this Agreement, excluding ACG’s general and administrative expenses and costs, but including and not limited to the following costs and expenses; provided all costs and expense items in excess of $1.00 (One U.S. Dollars) must be approved by the Company in writing prior to ACG’s incurrence of the same: 

5.1 Travel expenses, including but not limited to transportation, lodging and food expenses, when such travel is conducted on behalf of the Company. 

5.2 Seminars, expositions, money and investment shows. 

5.3 Radio and television time and print media advertising costs, when applicable.

5.4 Subcontract fees and costs incurred in preparation of research reports, when applicable.

5.5 Cost of on-site due diligence meetings, if applicable. 

5.6 Printing and publication costs of brochures and marketing materials which are not supplied by the Company. 

6. COMPANY’S DUTIES AND OBLIGATIONS 

The Company shall have the following duties and obligations under this Agreement: 

6.1 Cooperate fully and timely with ACG so as to enable ACG to perform its obligations under this Agreement. 

6.2 The Company will act diligently and promptly in reviewing materials submitted to it from to time by ACG and inform ACG of any inaccuracies of which it is aware contained therein prior to the dissemination of such materials.

    

Maitland City Plaza, 225 S. Swoope Ave., Suite 214, Maitland, Florida 32751 (407)-644-4256, fax: (407) 644-0758

6.3 Give full disclosure of all material facts concerning the Company to ACG and update such information on a timely basis. 

7. NONDISCLOSURE 

Except as may be required by law, regulation, or in the course of the Company’s normal business, the   Company   shall not disclose the contents and provisions of this Agreement to any individual or entity without ACG’s   consent.   

Company shall instruct its officers, directors, employees, agents and affiliates of this obligation. If the Company shall provide any information to ACG for background or other purposes which it shall identify as confidential or non-public information, ACG shall not disclose such information to any party, except as may be required by law pursuant to a written opinion of competent counsel, during the term of this Agreement and for a period of one year thereafter, and ACG shall inform its employees, agents, officers, directors and agents of this obligation.

8. MISCELLANEOUS 

8.1. Notices. Any notice or other communication required or permitted to be given hereunder shall be in writing, and shall be deemed to have been duly given when delivered personally or sent by registered or certified mail, return receipt request, postage prepaid to the parties hereto at their addresses indicated hereinafter.  Either party may change his or its address for the purpose of this paragraph by written notice similarly given. 

8.2 Entire Agreement. This Agreement represents the entire agreement between the Parties in relation to its subject matter and supersedes and voids all prior agreements between such Parties relation to such subject matter. 

8.3 Amendment of Agreement.  This Agreement may be altered or amended, in whole or in part,    only in writing signed by both Parties. 

8.4 Waiver. No waiver of any breach or condition of its Agreement shall be deemed to be a   waiver   of any other subsequent breach or condition, whether or a like or different nature, unless such shall be signed by the person making such waivers and/or which so provides by its terms. 

8.5 Captions.  The captions appearing in this Agreement are inserted as matter of convenience and for reference and in no way affect this Agreement, define, limit or describe its scope or any of is provisions. 

8.6   Situs.   This Agreement shall be governed by and construed in accordance with the laws of   the   State of Nevada, without reference to the conflict of laws provisions thereof.  

Maitland City Plaza, 225 S. Swoope Ave., Suite 214, Maitland, Florida 32751 (407)-644-4256, fax: (407) 644-0758

8.7 Benefits; Assignment.  This Agreement shall inure to the benefit of and be binding upon the   Parties   hereto, their successors and permitted assigns.  This Agreement may not be assigned by   either Party without the written consent of the other Party.      

8.8 Currency.  In all instances, references to monies used in this agreement shall be deemed to be United States dollars.

9. COUNTERPARTS

This Agreement may be executed in counterpart and by fax transmission, each counterpart being deemed an original. 

IN WITNESS WHEREOF, the Parties have executed this Agreement on the day and year first above written. 

AXM PHARMA, INC.

 By: ______________________ 

   

      Duly Authorized

     ________________________

      Print Name 

 

 CONFIRMED AND AGREED 

AURELIUS CONSULTING GROUP, INC.

By: _________________ 

______________________ 

       

       Duly Authorized                             Witness 

     __________________                    ______________________ 

       

       Print Name                                      Print Name 

Maitland City Plaza, 225 S. Swoope Ave., Suite 214, Maitland, Florida 32751 (407)-644-4256, fax: (407) 644-0758

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}]]