Document:

ex10_2.htm

    
      

    

     

    
      EXHIBIT
10.2

      
 

      

      PURCHASE
AND SALE AGREEMENT

      between

      Matterhorn
Financial Services, LLC,

      as
Seller

      

      -
and -

      

      North
Star Capital Acquisition LLC ,

      as
Buyer

      

      

      Dated and
Effective as of

      January
8, 2010

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      PURCHASE
AND SALE AGREEMENT

      

      THIS
PURCHASE AND SALE AGREEMENT (the "Agreement") is entered into this 8th day of
January, 2010, by and between Matterhorn Financial Services, LLC, a California
limited liability company, with an office and principal place of business at
7001 Village Drive, Suite 255, Buena Park, California  90621
("Seller") and North Star Capital Acquisition LLC, a Minnesota LLC with an
office and principal place of business at 170 North Pointe Parkway Suite 300
Amherst, NY 14228 ("Buyer").

      

      WITNESSETH:

      

      WHEREAS,
Seller desires to sell certain Accounts (as defined herein) which Seller owns or
has the legal right to sell; and

      

      WHEREAS,
Buyer desires to buy those Accounts for the consideration and under the express
terms, provisions, conditions and limitations as set forth herein;
and

      

      WHEREAS,
Seller is willing, subject to the express terms, provisions, conditions,
limitations, waivers and disclaimers as may be expressly set forth herein, to
sell, transfer, assign and convey to Buyer all of Seller's right, title and
interest, in, to and under the Accounts; and

      

      WHEREAS,
Seller is agreeing to enter into this Agreement conditioned upon Performance
Capital Management, LLC (“PCM”), the parent entity of Seller, entering into an
Agreement Regarding Loan with Värde Investment Partners, LP (“Värde”) with
respect to that certain Master Loan Agreement by and among Värde, PCM and Seller
dated June 10, 2004, as amended.

      

      NOW,
THEREFORE, in consideration of the mutual promises herein set forth and other
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Seller and Buyer agree as follows:

      

      ARTICLE
I

      DEFINITIONS

      

      Section
1.1             For
purposes of this Agreement, the following terms shall have the meanings
indicated:

      

      (a)           "Account"
means each and any of the consumer credit card agreements, consumer loans, and
insufficient fund checks, and all supplements and amendments thereto, to be sold
by Seller to Buyer under the terms, conditions, and provisions of this Agreement
and includes for each of the Accounts, all obligations owed to Seller from each
Obligor with respect to each Account all rights, powers, liens or security
interests of Seller with respect to any such Account, and the interest of Seller
in any litigation or bankruptcy to which Seller is a party or claimant relating
to any of the Accounts.

      

      (b)           "Account
Balance" means the unpaid principal balance, interest and fees owed on any
individual Account as of the applicable Cutoff Date less any payments received.
The Account Balance may also include pre-charge-off accrued interest and/or
fees. Should any payments be received by Seller post closing, such payments
should be endorsed to Buyer.

      
        
           

        

        
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      (c)            "Account
Documents" means, to the extent available, the original or any copy (including
any microfilm, microfiche, photocopy or machine-readable format) of credit card
applications, terms and conditions, statements, notes, loans account histories,
insufficient fund checks along with any bank notifications, if
available.

      

      (d)            "Accounts
Schedule" means the schedule, in electronic form, in a form similar to the
attached Exhibit A,
which is incorporated herein by reference, setting forth the following
information for each Account: the Account number(s), if any, for Seller, the
name of the primary Obligor, and the Account Balance.

      

      (e)            
"Agreement" means this Purchase and Sale Agreement, including the cover page and
all Addenda, Exhibits and Schedules hereto.

      

      (f)              "Allocated
Account Price" means the individual price of any Account sold hereby which is
calculated as the product of the Purchase Price Percentage and the Account
Balance for such Account sold hereby.

      

      (g)            "Bill
of Sale and Assignment of Accounts" means the document to be signed and
delivered to Buyer on the Closing Date, in accordance with Section 2.2 herein,
with respect to the Accounts purchased under this Agreement, substantially in
the form attached hereto and incorporated herein by reference as Exhibit
B.

      

      (h)            "Business
Day" means any day on which Seller is open for business other than a Saturday, a
Sunday or a federal holiday.

      

      (i)            
"Claim" means any claim, demand or legal proceeding.

      

      (j)             “Closing
Date” shall mean the date when all of the conditions to Closing as provided
herein have been met. The Closing Date shall take place during normal business
hours on or before January 8, 2010. The closing shall occur at Seller’s
principal place of business located at 7001 Village Drive, Suite 255, Buena
Park, California 90621. If the parties elect in writing five (5) days prior to
the Closing Date to effectuate the closing through escrow or a title company,
then the Closing shall occur telephonically through the escrow.

      

      (k)            "Computer
File" means the computer file or files to be sent by e-mail or Federal Express
priority delivery by Seller to Buyer upon Closing Date. The file shall be in a
mutually acceptable electronic format, and shall contain Account-specific
information for each of the Accounts sold hereby. The Seller will use
commercially reasonable efforts to ensure the accuracy, integrity, and
completeness of the data. The Computer File shall include, but shall not be
limited to, the following fields to the extent reasonably available as of the
Closing Date: (i) Account Balance; (ii) payoff balance; (iii) account number;
(iv) name, last known address and last known phone number of the primary Obligor
(and co-borrowers or guarantors); (v) social security number of the primary
Obligor (and co-borrowers or guarantors); (vi) date of last payment; (vii) last
payment amount; (viii) interest rate; (ix) charge-off date; (x) open date; (xi)
NSF fees; and (xii) post-charge-off payment history by month.

      
        
           

        

        
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      (l)            
"Cutoff Date" means January 4, 2010 for delivery of the Accounts purchased by
Buyer.

      

      (m)            “Funding
Date” means payment of the Purchase Price by Buyer to Seller on the Closing
Date.

      

      (n)            "Issuer"
means the entity which originated an Account, if the Seller did not originate
such Account.

      

      (o)           
"Obligor" means the current and unreleased obligor(s) on an Account, including,
without limitation, any and all co-makers, guarantors, judgment debtors or other
persons or entities liable on the Account.

      

      (p)            "Prior
Owner" means the entity which owned the Account immediately preceding Seller, if
applicable.

      

      (q)           
"Purchase Price" means the Purchase Price Percentage multiplied by the aggregate
Account Balances or $1,575,425.36.

      

      (r)            
"Purchase Price Percentage" means 0.5406485%.

      

      (s)            "Transfer
Documents" means the Bill of Sale and Assignment and such other documents as
Seller and Buyer reasonably agree are necessary, proper or appropriate for the
legal transfer of Seller's right, title and interest in and to the Accounts
purchased pursuant to this Agreement.

      

      (t)            
"Wire Transfer Instructions" means the instructions for wire transferring any
portion of the Purchase Price as set forth on Exhibit D attached
hereto.

       

      ARTICLE
II

      PURCHASE
AND SALE OF THE ACCOUNTS

      

      
        	
                Section
      2.1

              	
                Agreement to Sell and
      Purchase Accounts. Seller agrees to sell, and Buyer agrees to
      purchase, the Accounts described in the applicable Accounts Schedule,
      which is attached hereto and incorporated herein by reference as Exhibit A,
      subject to the terms, provisions, conditions, limitations, waivers and
      disclaimers set forth in this
Agreement.

              

      

      

      
        	
                Section
      2.2

              	
                Agreement to
      Assign/Buyer's Right to Act. After Seller's receipt of the Purchase
      Price, on the Closing Date, Seller shall deliver to Buyer a Bill of Sale
      and Assignment in the form attached hereto as Exhibit B,
      executed by an authorized representative of Seller, which Bill of Sale and
      Assignment shall sell, transfer, assign, set-over, quitclaim and convey to
      Buyer all right, title and interest of Seller in and to each of the
      Accounts sold and the proceeds of the Accounts received by Seller, if any,
      from and after the Closing Date. The Bill of Sale and Assignment shall
      have the same effect as an individual and separate bill of sale and
      assignment of each and every Account referenced therein. Buyer shall be
      responsible at its own expense for the recording and/or filing of the
      originals of any such assignments as it deems necessary or appropriate in
      its sole discretion. Buyer shall have no right to communicate with any
      Obligor or otherwise take any action with respect to any Account or any
      Obligor until after the Closing Date. Wire instructions for the transfer
      of the Purchase Price by Seller to Buyer on the Closing Date are attached
      hereto as Exhibit
      E.

              

      

      
        
           

        

        
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                Section
      2.3

              	
                Accounts
      Schedule. Seller will provide an Accounts Schedule similar in form
      to the attached Exhibit A
      hereto on the Closing Date, which will be attached to the Bill of Sale and
      Assignment of Accounts after Seller's receipt of the Purchase
      Price.

              

      

      

      
        	
                Section
      2.4

              	
                Purchase
      Price/Payment. On the Closing Date, and as a condition to Closing,
      the Purchase Price shall be paid to Seller by Buyer on or before 5:00 p.m.
      Eastern Time in United States Dollars by wire transfer of immediately
      available funds in accordance with the Wire Transfer
      Instructions.

              

      

      

      
        	
                Section
      2.5

              	
                Payments
      Received/Adjustments to Purchase Price. To the extent that the
      Seller has received any payments or other consideration distributed or
      paid by or on behalf of an Obligor on or prior to the Closing Date, Seller
      has reduced the Account Balance of such Account for purposes of
      calculating the Purchase Price. Buyer shall be entitled to a refund of the
      Purchase Price Percentage times the payment amount to the extent such
      Account Balance did not reflect a reduction for such
    payment.

              

      

      

      
        	
                Section
      2.6.

              	
                Delivery of
      Post-Closing Date Payments. If Seller shall receive any payments or
      other consideration distributed or paid by or on behalf of any Obligor
      with respect to the Accounts after the Closing Date, Seller shall pay over
      and/or deliver such payments or other consideration to Buyer (without
      interest thereon from Seller) on or within thirty (30) days of receipt of
      such amounts and, if deemed necessary or appropriate by Seller, with an
      endorsement in the form substantially as follows: "Pay to the order of
      [Buyer] without representations, warranties, and without recourse." Seller
      shall indicate on the records related to any of the Accounts transmitted
      to Buyer with the payment remittances the account number, the date of
      receipt of the payment, the amount of the payment and any other detail
      required to allow Buyer to properly post the payments to its collection
      system. If Seller has deposited payments received from any Obligor and
      issues a check or payment therefor to Buyer, Buyer shall retain the risk
      that any such payment so deposited by Seller shall be returned due to
      insufficient funds. Seller shall have a period of thirty (30) days after
      the date Seller delivers to Buyer payments made by or on behalf of any
      Obligor on or after the Closing Date, to notify Buyer in writing that any
      such payments were returned due to insufficient funds and specifying the
      amount thereof, whereupon Buyer shall immediately, and not later than
      thirty (30) days following receipt of such notice, pay to Seller the
      amount of such payment by cashier's or certified check and identifying
      thereon this Agreement.

              

      

      
        
           

        

        
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      ARTICLE
III

      TRANSFER
OF ACCOUNTS AND DOCUMENTS

      

      
        	
                Section
      3.1

              	
                Delivery of Account
      Documents. Seller shall provide Account Documents to Buyer within
      fifteen (15) Business Days following the Closing
  Date.

              

      

      

      
        	
                Section
      3.2

              	
                Pending Legal
      Proceedings. Except as otherwise disclosed by Seller in writing to
      Buyer, no Account sold hereunder is subject to any known legal proceedings
      as of the Closing Date.

              

      

      

      
        	
                Section  3.3

              	
                Collection/Contingent
      Fees. No Account sold hereunder is subject to third-party
      collection or contingency fees as of the Closing Date with the exception
      of any accounts assigned to collection attorneys through Trak America or
      Seller.

              

      

      

      
        	
                Section
      3.4

              	
                Apportionment of
      Costs. Seller shall be responsible for any routine costs, fees or
      expenses incurred by it in connection with its ownership or collection of
      the Accounts prior to the Closing Date. Buyer shall be responsible for any
      costs, fees or expenses incurred by it in connection with its ownership or
      collection of the Accounts on and after the Closing Date. Except as
      otherwise specifically provided in this Agreement, each party will be
      responsible for all fees, costs and expenses which it incurs in connection
      with the negotiation, execution, delivery and performance of this
      Agreement and the transactions contemplated
  hereby.

              

      

      

      
        	
                Section
      3.5

              	
                Affidavit.  On
      the Closing Date, Seller agrees to execute an affidavit (as required by
      the New York Civil Courts, effective September 1, 2009) as to the sale of
      the related Charged-off Accounts in the form attached hereto and
      incorporate by reference herein as Exhibit
      D.

              

      

      

        
          
             

          

          
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      ARTICLE
IV

      COLLECTION

      

      
        	
                Section
      4.1

              	
                Use of Seller's
      Name. Buyer will not use or refer to the name of Seller (or Prior
      Owner or Issuer, if applicable) and will not portray itself as Seller's
      agent, partner, or joint venturer with respect to the Accounts, or as the
      agent, partner or joint venturer of Prior Owner or Issuer, if applicable.
      However, Buyer may use the name of Seller (and/or Issuer, if applicable)
      for purposes of identifying an Account in communications with the Obligors
      in order to collect amounts outstanding on the Accounts, and as reasonably
      necessary in any offering materials relating to the Accounts. In
      contacting an Obligor, filing suit, or selling Accounts, Buyer will not
      state or represent in any way that Buyer is contacting the Obligor, filing
      suit or selling loans for or on behalf of Seller (or Prior Owner or
      Issuer, if applicable) or that any of the above will take any action with
      regard to the Account or the
Obligor.

              

      

      

      
        	
                Section
      4.2

              	
                Reporting to Credit
      Bureaus. Seller will report the Accounts to the appropriate credit
      reporting agencies as sold/transferred. Except as required by law, Seller
      shall have no further obligation with respect to credit
      reporting.

              

      

       

      ARTICLE
V

      NO
OBLIGATION TO REPURCHASE ACCOUNTS

      

      Buyer is
purchasing the Accounts “as is” and Seller shall not be responsible for
repurchasing or obligated to repurchase any accounts.

      

      
ARTICLE VI

      REPRESENTATIONS,
WARRANTIES AND COVENANTS OF BUYER

      

      Buyer
hereby represents, warrants and covenants in accordance with Buyer’s actual
knowledge, as of the Closing Date, as follows:

      

      
        	
                Section
      6.1

              	
                Independent
      Evaluation. Buyer warrants and represents that it is a
      sophisticated investor, has knowledge and experience in financial and
      business matters that enable it to evaluate the merits and risks of the
      transaction contemplated by this Agreement, and that its bid for and
      decision to purchase the Accounts pursuant to this Agreement is and was
      based upon the Buyer's own independent evaluation of information deemed
      relevant to Buyer, and of the information and representations, warranties,
      and covenants herein made available by Seller or Seller's personnel,
      agents, representatives or independent contractors to Buyer, which Buyer
      acknowledges and agrees were made available to it and which it was given
      the opportunity to inspect to its complete satisfaction. Buyer has relied
      solely on its own investigation and it has not relied upon any oral or
      written information provided by Seller or its personnel, agents,
      representatives or independent contractors. Buyer acknowledges and agrees
      that no employee, agent, representative or independent contractor of
      Seller has been authorized to make, and that Buyer has not relied upon,
      any statements other than those specifically contained in this Agreement.
      Buyer acknowledges that Seller has attempted to provide accurate
      information to all prospective bidders but that Seller does not represent,
      warrant or insure the accuracy or completeness of any information or its
      sources of information contained in the materials submitted to Buyer or
      any other bidders. Buyer has made such independent investigations as it
      deems to be warranted into the nature, validity, enforceability,
      collectibility, and value of the Accounts, and all other facts it deems
      material to its purchase and is entering into this transaction solely on
      the basis of that investigation and the Buyer's own
    judgment.

              

      

      
        
           

        

        
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                Section
      6.2

              	
                Authorization.
      Buyer, and the undersigned representative of Buyer, acting individually
      represent and warrant that Buyer is duly and legally authorized to enter
      into this Agreement and has complied with all laws, rules, regulations,
      charter provisions and bylaws to which it may be subject and that the
      undersigned representative is authorized to act on behalf of and bind
      Buyer to the terms of this
Agreement.

              

      

      

      
        	
                Section
      6.3

              	
                Binding
      Obligations. This Agreement and all of the obligations of Buyer
      hereunder are the legal, valid and binding obligations of Buyer,
      enforceable in accordance with the terms of this Agreement, except as such
      enforcement may be limited by bankruptcy, insolvency, reorganization or
      other similar laws affecting the enforcement of creditors' rights
      generally.

              

      

      

      
        	
                Section
      6.4

              	
                No Breach or
      Default. The execution and delivery of this Agreement and the
      performance of its obligations hereunder by Buyer will not conflict with
      any provision of any law or regulation to which Buyer is subject or
      conflict with or result in a breach of or constitute a default under any
      of the terms, conditions or provisions of any agreement or instrument to
      which Buyer is a party or by which it is bound or any order or decree
      applicable to Buyer, or result in the violation of any law, rule,
      regulation, order, judgment or decree to which Buyer or its property is
      subject.

              

      

      

      
        	
                Section
      6.5

              	
                Pending
      Litigation. There is no proceeding, action, investigation or
      litigation pending or, to the best of Buyer's knowledge, threatened
      against the Buyer which, individually or in the aggregate, may have a
      material adverse effect on this Agreement or any action taken or to be
      taken in connection with the Buyer's obligations contemplated herein, or
      which would be likely to impair materially its ability to perform under
      the terms of this Agreement.

              

      

      
        
           

        

        
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                Section
      6.6

              	
                Approvals and
      Notices. No consent, approval, authorization, or order of,
      registration or filing with, or notice to, any governmental authority or
      court is required under federal laws, or the laws of any jurisdiction, for
      the execution, delivery, and performance of or compliance by Buyer with
      this Agreement or the consummation of any other transaction contemplated
      hereby.

              

      

      

      
        	
                Section
      6.7

              	
                Economic Risk.
      The transactions contemplated by this Agreement do not involve, nor are
      they intended in any way to constitute, the sale of a "security" or
      "securities" within the meaning of any applicable securities laws, and
      none of the representations, warranties or agreements of Buyer shall
      create any inference that the transactions involve any "security" or
      "securities". Buyer acknowledges, understands and agrees that the
      acquisition of these Accounts involves a high degree of risk and are
      suitable only for persons or entities of substantial financial means who
      have no need for liquidity and who can hold the Accounts indefinitely or
      bear the partial or entire loss of their
value.

              

      

      

      
        	
                Section
      6.8

              	
                Nondisclosure.
      Buyer is in full compliance with its obligations under the terms of any
      Confidentiality Agreement executed by Buyer to review the information made
      available by Seller or its personnel, agents, representatives or
      independent contractors to all potential bidders for the Accounts.
      Furthermore, Buyer shall keep the terms of the Agreement confidential,
      including the fact that it has purchased the Accounts from
      Seller.  This Section 6.8 shall survive any termination of this
      Agreement.

              

      

      

      
        	
                Section
      6.9

              	
                Identity. Buyer
      is a "United States person" within the meaning of Paragraph 7701(a)(30) of
      the Internal Revenue Code of 1986, as
amended.

              

      

      

      
        	
                Section
      6.10

              	
                Enforcement/Legal
      Actions. Buyer covenants, agrees, warrants and represents that
      Buyer shall not institute any enforcement or legal action or proceeding in
      the name of Seller (or Issuer or Prior Owner, if applicable), or any
      subsidiary or affiliate thereof. Buyer further covenants, agrees, warrants
      and represents that Buyer shall not make reference to any of the foregoing
      entities in any correspondence to or discussion with any particular
      Obligor regarding enforcement or collection of the Accounts, except to
      identify the subject debt or as necessary to
      show the chain of assignments. Buyer also represents, warrants and
      covenants that it will comply in all respects with all applicable laws
      including, but not limited to, those relating to debt collection
      practices, in connection with the Accounts and not to take any enforcement
      action against any Obligor which would be commercially unreasonable and
      that Buyer will not misrepresent, mislead, deceive, or otherwise fail to
      adequately disclose to any particular Obligor the identity of Buyer as the
      owner of the Accounts.

              

      

      
        
           

        

        
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Section 6.11

              	
                Broker. Buyer
      warrants and represents that it has not engaged any broker or agent in
      connection with this Agreement or the transactions contemplated by this
      Agreement or to which this Agreement relates and Buyer covenants to defend
      with counsel approved by Seller and hold harmless and indemnify Seller
      from and against any and all costs, expense or liability for any
      compensation, commissions and charges claimed against Seller by any broker
      or agent based upon a written agreement with Buyer relating to this
      Agreement or the transactions contemplated
  herein.

              

      

      

      
        	
                Section
      6.12

              	
                Survival. The
      representations and warranties set forth in this Article VI shall survive
      the closing of the transactions herein
  contemplated.

              

      

      

      ARTICLE
VII

      REPRESENTATIONS
AND WARRANTIES OF SELLER

      

      Seller
hereby represents, warrants and covenants and in accordance with
Seller’s actual knowledge, as of the Closing Date, as follows:

      

      
        	
                Section
      7.1

              	
                Authorization.
      Seller represents and warrants that Seller is duly and legally authorized
      to enter into this Agreement and has complied with all laws, rules,
      regulations, charter provisions and bylaws to which it may be subject and
      that the undersigned representative is authorized to act on behalf of and
      bind Seller to the terms of this
Agreement.

              

      

      
        	
                 
      

              	 

      

      
        	
                Section
      7.2

              	
                Binding
      Obligations. This Agreement and all of the obligations of Seller
      hereunder are the legal, valid and binding obligations of Seller,
      enforceable in accordance with the terms of this Agreement, except as such
      enforcement may be limited by bankruptcy, insolvency, reorganization or
      other similar laws affecting the enforcement of creditors' rights
      generally.

              

      

      

      
        	
                Section
      7.3

              	
                No Breach or
      Default. The execution and delivery of this Agreement and the
      performance of its obligations hereunder by Seller will not conflict with
      any provision of any law or regulation to which Seller is subject or
      conflict with or result in a breach of or constitute a default under any
      of the terms, conditions or provisions of any agreement or instrument to
      which Seller is a party or by which it is bound or any order or decree
      applicable to Seller, or result in the violation of any law, rule,
      regulation, order, judgment or decree to which Seller or its property is
      subject.

              

      

      
        
           

        

        
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                Section
      7.4

              	
                Title to
      Accounts. Seller is duly and legally authorized to sell, transfer,
      convey and assign its rights, title and interest therein. Seller has not
      made any prior assignment, conveyance, transfer or sale of any of its
      rights or interests in the
Accounts.

              

      

      

      
        	
                Section
      7.5

              	
                Broker. Seller
      warrants and represents that it has not engaged any broker or agent in
      connection with this Agreement or the transactions contemplated by this
      Agreement or to which this Agreement relates, except __________________,
      (the "Loan Sale Advisor") for whose fees Seller shall be solely
      responsible in accordance with its agreement with Loan Sale Advisor and
      Seller covenants to defend with counsel approved by Buyer and hold
      harmless and indemnify the Buyer from and against any and all costs,
      expense or liability for any compensation, commissions and charges claimed
      against Buyer by any broker or agent based upon a written agreement with
      Seller relating to this Agreement or the transactions contemplated
      herein.

              

      

      

      
        	
                Section
      7.6

              	
                Survival. The
      representations and warranties set forth in this Article VII
      shall survive the closing of the transactions herein
      contemplated.

              

      

      

      
        	
                Section
      7.7

              	
                To
      the best of Seller’s knowledge, each of the Accounts has been maintained
      and serviced in compliance with all applicable state and federal consumer
      credit laws, including, without limitation, the Truth-in-Lending Act, the
      Equal Credit Opportunity Act, and the Fair Credit Billing
    Act.

              

      

      

      
        	
                Section
      7.8

              	
                To
      the best of Seller’s knowledge, none of the Charged-off Accounts are
      subject to pending collection
litigation.

              

      

       

      
        	
                Section
      7.10

              	
                The
      due diligence information supplied to Purchaser by Seller concerning the
      Accounts to be sold to Purchaser hereunder, is materially true and
      accurate to the best of Seller’s
knowledge.

              

      

      

      
        	
                Section
      7.11

              	
                No
      IRS Form 1099-C has been issued on any Account to be purchased by
      Buyer.

              

      

      

        
          
             

          

          
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      ARTICLE
VIII

      INDEMNIFICATION

      

      
        	
                Section
      8.1

              	
                Buyer's
      Indemnification. From and after the Closing Date, Buyer shall
      indemnify and hold Seller and its directors, officers and employees
      (“Seller Indemnitees”) harmless against and from any and all liability
      for, and from and against any and all losses or damages Seller Indemnitees
      may suffer as a result of, any claim, demand, cost, expense, or judgment
      of any type, kind, character or nature asserted by any third party (herein
      "claims"), including, without limitation, all reasonable expenses incurred
      by Seller Indemnitees in investigating, preparing or defending against any
      such claims and reasonable attorneys' fees both for such defense and all
      costs and expenses incurred by Seller Indemnitees to enforce this
      indemnification, which Seller Indemnitees shall incur or suffer as a
      result of:

              

      

      

      (i)  any
act or omission of Buyer or Buyer's agents, assigns or transferees in connection
with the Accounts and its purchase of the Accounts pursuant to the
Agreement;

      (ii)  the
material inaccuracy of any of Buyer's representations or warranties
herein;

      (iii)  the
material breach of any of Buyer's covenants herein; or

      (iv)  any
claim by any Obligor regarding the origination, servicing, collection or
administration of the Accounts by Buyer or Buyer's agents.

      The
obligations of Buyer under this Article VIII shall survive the closing of the
transactions herein contemplated.

      

      
        	
                Section
      8.2

              	
                Seller's
      Indemnification. From and after the Closing Date, Seller shall
      indemnify and hold Buyer and its directors, officers and employees (“Buyer
      Indemnitees”) harmless against and from any and all liability for, and
      from and against any and all losses or damages Buyer Indemnitees may
      suffer as a result of, any claim, demand, cost, expense, or judgment of
      any type, kind, character or nature asserted by any third party (herein
      "claims"), including, without limitation, all reasonable expenses incurred
      by Buyer Indemnitees in investigating, preparing or defending against any
      such claims and reasonable attorneys' fees both for such defense and all
      costs and expenses incurred by Buyer Indemnitees to enforce this
      indemnification, which Buyer Indemnitees shall incur or suffer as a result
      of:

              

      

      

      
(i) any act or omission of Seller or Seller's
agents (but not including any independent contractors such as collection
agencies or attorney or law firms retained to collect Accounts) in connection
with the Accounts and its sale of the Accounts pursuant to the
Agreement;

      
        
           

        

        
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                (ii)
      the material inaccuracy of any of Seller's representations or warranties
      herein, (iii) the material breach of any of Seller's covenants herein;
      or

              

      

      (iv) any
claim by any Obligor regarding the origination, servicing, collection or
administration of the Accounts by Seller or Seller's agents.

      
        	
                 
      

              	
                The
      obligations of Seller under this Article VIII shall survive the closing of
      the transactions herein
contemplated.

              

      

      

      
        	
                Section
      8.3

              	
                Procedure for
      Indemnification. Any party seeking indemnification with respect to
      a claim or loss shall give prompt written notice thereof to the party
      against whom indemnification is sought. Indemnitor shall have the right to
      assume the defense of any and all claims for which indemnification is
      sought hereunder, and indemnitee agrees to cooperate with indemnitor in
      any such defense. If the amount of any claim or loss shall, at any time
      subsequent to payment pursuant to this Agreement, be reduced by recovery,
      settlement or otherwise, the amount of such reduction, less any expenses
      incurred in connection therewith, shall promptly be repaid by the
      indemnitee to the related indemnitor. If the Indemnitor elects to assume
      the defense, the Indemnitee shall retain the right to consent to the
      selection of counsel, the terms of settlement and any use of Indemnitee's
      or its affiliate's name in any settlement or any notification,
      advertisement or publication of the
settlement.

              

      

      

      
        	
                Section
      8.4

              	
                Insurance.  Buyer
      and Seller agree to each maintain professional (E&O) insurance
      coverage for a period of at least one (1) year after the Closing Date with
      a limit of at least $1 million
dollars.

              

      

      

      ARTICLE
IX

      ASSIGNMENT
OF RIGHTS TO THIRD PARTIES

      

      
        	
                Section
      9.1

              	
                Notice. If
      Buyer wishes to resell. or transfer any of the Accounts to a third party
      (including without limitation, any of Buyer's affiliated companies), Buyer
      need not give Seller written notices of Buyer's desire to
      transfer.

              

      

      

      ARTICLE
X

      NOTICES

      

      Unless
otherwise provided for herein, notices and other communications required or
permitted hereunder shall be in writing (including a writing delivered by
facsimile transmission) and shall be deemed to have been duly given (a) when
delivered, if delivered personally or (b) when delivered but no later than the
second Business Day following mailing sent by overnight mail or overnight
courier, in each case to the parties at the following addresses (or at such
other addresses as shall be specified by like notice):

      
        
           

        

        
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      If to the
Seller:

      Attn:
David Caldwell

      Tel:
714-736-3790

      Fax:714-736-3733

      E-mail:
dcaldwell@pcmllc.us

      

      With
courtesy copy to: 

      Attn:

      Tel:

      Fax:

      E-mail:

      

      If to the
Buyer:

      Attn:David
Paris

      Tel:716-799-0511

      Fax:716-639-0990

      E-mail:dparis@zenithacq.com

      

      With
courtesy copy to:

      Attn:

      Tel:

      Fax:

      E-mail:

      

      ARTICLE
XI

      MISCELLANEOUS
PROVISIONS

      

      
        	
                Section
      11.1

              	
                Termination.  9.  Termination.  This
      Agreement may be termination by either Buyer or Seller if: (i) a material
      breach of or default under the Agreement has occurred, which has not been
      waived by the non-breaching party or cured by the breaching party within
      five (5) business days of the receipt of notice by the non-breaching party
      of the breach or default; or (ii) if any of the conditions to such party’s
      obligations to close have not been satisfied in a timely
      fashion.

              

      

      

      
        	
                Section
      11.2

              	
                Further
      Assurances.  On the Closing Date, Seller and Buyer will
      each take such other actions and execute such other documents as are
      reasonably necessary to close the transactions contemplated
      herein.

              

      

      
        
           

        

        
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                Section
      11.1

              	
                Severability.
      If any term, covenant, condition or provision hereof is unlawful, invalid,
      or unenforceable for any reason whatsoever, and such illegality,
      invalidity, or unenforceability does not affect the remaining parts of
      this Agreement, then all such remaining parts hereof shall be valid and
      enforceable and have full force and effect as if the invalid or
      unenforceable part had not been
included.

              

      

      

      
        	
                Section
      11.2

              	
                Rights Cumulative;
      Waivers. The rights of each of the parties under this Agreement are
      cumulative and may be exercised as often as any party considers
      appropriate under the terms and conditions specifically set forth. The
      rights of each of the parties hereunder shall not be capable of being
      waived or varied otherwise than by an express waiver or variation in
      writing. Any failure to exercise or any delay in exercising any of such
      rights shall not operate as a waiver or variation of that or any other
      such right. Any defective or partial exercise of any of such rights shall
      not preclude any other or further exercise of that or any other such
      right. No act or course of conduct or negotiation on the part of any party
      shall in any way preclude such party from exercising any such right or
      constitute a suspension or any variation of any such
  right.

              

      

      

      
        	
                Section
      11.3

              	
                Headings. The
      headings of the Articles and Sections contained in this Agreement are
      inserted for convenience only and shall not affect the meaning or
      interpretation of this Agreement or any provision
  hereof.

              

      

      

      
        	
                
Section 11.4

              	
                Construction.
      Unless the context otherwise requires, singular nouns and pronouns, when
      used herein, shall be deemed to include the plural of such noun or pronoun
      and pronouns of one gender shall be deemed to include the equivalent
      pronoun of the other gender.

              

      

      

      
        	
                Section
      11.5

              	
                No Strict
      Construction. This Agreement is the joint work product of Seller
      and Buyer, which has been negotiated by the parties and their respective
      counsel, and will be fairly interpreted in accordance with its terms. In
      the event of any ambiguity regarding the terms or intent of any provisions
      of this Agreement, this Agreement shall not be strictly construed against,
      and no inferences shall be drawn against, any party by reason of the fact
      that such party may have drafted such particular
  provision.

              

      

      

      
        	
                Section
      11.6

              	
                Binding Effect.
      This Agreement and the terms, covenants, conditions, provisions,
      obligations, undertakings, rights and benefits hereof, including the
      Addenda, Exhibits and Schedules hereto, shall be binding upon, and shall
      inure to the benefit of, the undersigned parties and their respective
      heirs, executors, administrators, representatives, successors, and
      assigns.

              

      

      
        
           

        

        
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                Section
      11.7

              	
                Prior Understandings;
      Entire Agreement. This Agreement supersedes any and all prior
      discussions and agreements between Seller and Buyer with respect to the
      purchase of the Accounts and other matters contained herein, and this
      Agreement contains the sole and entire understanding between the parties
      hereto with respect to the transactions contemplated
    herein.

              

      

      

      
        	
                Section
      11.8

              	
                Integrated
      Agreement. This Agreement and all Addenda, Exhibits and Schedules
      hereto constitute the final complete expression of the intent and
      understanding of the Buyer and the Seller. This Agreement shall not be
      altered or modified except by a subsequent writing, signed by Buyer and
      Seller.

              

      

      

      
        	
                Section
      11.9

              	
                Counterparts.
      This Agreement may be executed in any number of counterparts, each of
      which shall constitute one and the same instrument, and either party
      hereto may execute this Agreement by signing any such
      counterpart.

              

      

      

      
        	
                Section
      11.10

              	
                Non-Merger/Survival.
      Each and every covenant hereinabove made by Buyer or Seller shall survive
      the delivery of the Transfer Documents and shall not merge into the
      Transfer Documents, but instead shall be independently
      enforceable.

              

      

      

      
        	
                Section
      13.13

              	
                Governing Law/Choice
      of Forum. This Agreement shall be construed, and the rights and
      obligations of Seller and Buyer hereunder determined, in accordance with
      the laws of the
      State of California, without giving effect to any choice of law
      principles. Buyer unconditionally and irrevocably consents to submit to
      the exclusive jurisdiction of the courts of the State of California for
      any actions, suits or proceedings arising out of or related to this
      Agreement (and Buyer agrees not to commence any action, suit or proceeding
      relating thereto except in such courts). In the event of litigation under
      this Agreement, the prevailing party shall be entitled to an award of
      attorneys' fees and costs.

              

      

       

      
        	
                Section
      13.14

              	
                No Third-Party
      Beneficiaries. This Agreement is for the sole and exclusive benefit
      of the parties hereto, and none of the provisions of this Agreement shall
      be deemed to be for the benefit of any other person or
    entity.

              

      

      
        
           

        

        
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Section 13.15

              	
                UCC Filings Against
      Seller. Immediately
      upon the sale of the Accounts to Buyer from Seller on the Closing Date and
      at any time thereafter, the Buyer may file, in each appropriate office any
      UCC financing statement, and any amendments or any continuation statements
      thereto, required to perfect the sale of Accounts by Seller to
      Buyer.

              

      

      

      
        	
                Section
      13.16

              	
                Limited Power of
      Attorney. On the Closing Date, Seller shall execute and deliver to
      Buyer a Limited Power of Attorney in the form of Exhibit C
      covering the Accounts sold.

              

      

      

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

      

      
        	 
      	
                Matterhorn
      Financial Services LLC

              	 
      	
                North
      Star Capital Acquisition LLC

              
	 
      	 
      	 
      	 
      	 
      	 
      
	 
      	 
      	 
      	 
      	 
      	 
      
	 
      	
                By:

              	
                /s/
      David J. Caldwell

              	 
      	
                By:

              	
                /s/
      David Paris

              
	 
      	
                Name:

              	 
      	 
      	
                Name:

              	
                David
      Paris

              
	 
      	 
      	
                Its

              	 
      	 
      	
                Its
      CEO

              
	 
      	 
      	
                Duly
      Authorized

              	 
      	 
      	
                Duly
      Authorized

              

      

      

        
          
             

          

          
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      List of
Exhibits

      

      

      Exhibit A
– Accounts Schedule

      

      Exhibit B
– Bill of Sale and Assignment of Accounts

      

      Exhibit C
– Limited Power of Attorney

      

      Exhibit D
– Form of New York State Affidavit

      

      Exhibit E
- Seller’s Wire Transfer Instructions

      
        
           

        

        
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      EXHIBIT
A

      

      ACCOUNTS
SCHEDULE

      

      

      Summary
of Accounts Sold:

      

      Aggregate
Balances: $ 291,395,467.30

      Number of
Accounts: 251,104

      

      

      LIST OF
ACCOUNTS TO BE ATTACHED

      

      REFER
TO ATTACHED CD

      
        
           

        

        
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EXHIBIT B

       

      BILL OF
SALE AND ASSIGNMENT OF ACCOUNTS

      

      Matterhorn
Financial Services, LLC, a limited liability company organized under the laws of
California with an office at 7001 Village Drive, Suite 255, Buena Park, CA 90621
("Seller") hereby absolutely sells, transfers, assigns, sets-over and conveys to
North Star Capital Acquisition LLC, a limited liability company organized under
the laws of Minnesota with an office at 170 North Pointe Parkway, Suite 300,
Amherst, NY 14228 ("Buyer") without recourse and without representations or
warranties, express or implied, of any type, kind or nature except as set forth
in the Agreement (hereinafter defined):

      

      (a) all
of Seller's right, title and interest in and to each of the Accounts identified
in the Account Schedule attached as Exhibit A to the
Agreement (hereinafter defined) (the "Accounts"), and

      (b) all
principal, interest or other proceeds of any kind with respect to the Accounts,
but excluding any payments or other consideration with respect to the Accounts
received by or on behalf of Seller on or prior to the Closing Date of the
Agreement (hereinafter defined).

      

      This Bill
of Sale is being executed and delivered pursuant to and in accordance with the
terms and provisions of that certain Purchase and Sale Agreement made and
entered into by and between the Seller and the Buyer dated January 8, 2010 (the
"Agreement"). The Accounts are defined and described in the Agreement and are
being conveyed hereby subject solely to the terms, conditions and provisions set
forth in the Agreement.

      

      This Bill
of Sale shall be governed by the laws of the State of California without regard
to the conflicts-of-laws rules thereof.

      

      
        	
                DATED:
      January 8, 2010

              	 
      
	 
      	 
      
	 
      	
                SELLER:
      Matterhorn Financial Services, LLC

              
	 
      	 
      
	 
      	
                By:

              
	 
      	
                Title:

              

      

      

        
          
             

          

          
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EXHIBIT C

       

      LIMITED
POWER OF ATTORNEY

      

      KNOW ALL
MEN BY THESE PRESENTS, that Matterhorn Financial Services, LLC, a California
limited liability company ("Seller"), with respect to those certain purchased
Accounts, described in that certain Purchase and Sale Agreement dated January 8,
2010 (the "Agreement") by and between Seller and North Star Capital Acquisition
LLC, a Minnesota limited liability company ("Buyer"), hereby names, constitutes
and appoints Buyer, or any of its authorized agents, employees or
representatives, its duly authorized attorney and agent with limited power and
authority as it relates to the Accounts to: (i) endorse checks and other
negotiable instruments which may be received by Buyer; (ii) perfect, maintain,
and release any security interests; (iii) transfer and obtain any titles,
evidence of ownership or Account Documents; (iv) settle any insurance claims or
litigation and apply for any insurance, warranty or sales tax refunds; and (v)
to perform any and all acts relating to the Accounts which the undersigned was
entitled to do as the owner of said Accounts. Capitalized terms used herein and
not otherwise defined herein shall have the meanings set forth in the
Agreement.

      

      EXECUTED
this 8th day of January, 2010

      

      Seller:
Matterhorn Financial Services, LLC

      

      

      By:

      Name:

      Title:

      

      

      STATE OF
___________________)

      COUNTY OF
________________)

      

      On this
the _______ day of __________, 2009, before me the undersigned officer,
personally appeared ______________________, who acknowledged him/herself to be
the____________ of ______________, a ____________________ corporation, signer
and sealer of the foregoing instrument, and that he/she as such officer, being
authorized so to do, acknowledged the execution of the same to be his/her free
act and deed as such officer and the free act and deed of said
corporation.

      

      IN
WITNESS WHEREOF, I hereunto set my hand.

      

      ___________________________

      Commissioner
of the Superior Court

      Notary
Public

      
        
           

        

        
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      EXHIBIT
D

      

      FORM OF
NEW YORK STATE AFFIDAVIT

      

      

      
        AFFIDAVIT
OF SALE

        OF
ACCOUNT

        BY DEBT
SELLER

        

        

        

        State of
New York, County of_________________.

        

        _________________being
duly sworn, deposes and says:

        

        I am over
18 and not a party to this action. I am the _________________ (title) of
_________________ (debt seller). In that position I am the custodian of the debt
seller's books and records, and am aware of the procedures used for the sale and
assignment of electronically stored business records.

        

        On
_________________ (date) _________________ (debt seller) sold a pool of
charged-off accounts (the Accounts) by a Purchase and Sale Agreement and a Bill
of Sale to _________________ (debt buyer). _________________ (debt seller) had
previously bought the Accounts from _________________ on
_________________.

        The
original creditor was _________________. All records received by
_________________ (debt seller) were received with affidavits attesting that the
records were kept in the regular course of business. The records were
incorporated into the debt sellers records and are kept in the regular course of
business.

        

        I believe
that there are no errors in these accounts. The above statements are true to the
best of my knowledge.

        

        Signed
this _____________ day of _____________,_______.

        

        
          	 
      	 
      
	 
      	
                  (Name
      of Affiant)

                

        

        

        Sworn
before me this _____________ day of _____________,_______.

        

        _______________________

        (Notary
Stamp)

      

      
        
           

        

        
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      EXHIBIT
E

      

      SELLER’S
WIRE TRANSFER INSTRUCTIONS

      

      

      

      

      

      

      

      Bank:
Comerica Bank

      ABA:
121-137-522

      Account
Name: Matterhorn Financial Services LLC

      Account
Number: 1892738848

       

       

    

    22 of
22ex10_3.htm

    
      

    

     

    
      EXHIBIT
10.3

      

      

      AGENCY

      SERVICE
AGREEMENT

      

      

      

      This
Agreement, dated the 5th day
of January 2010, is between Performance Capital Management LLC a California
Limited Liability Company with its principal place of business located at 7001
Village Dr Suite 255, Buena Park CA 90621 (hereinafter “Debt Owner”) and
Oliphant Financial Group, LLC a Florida Limited Liability Company with its
principal place of business located at 9009 Town Center Parkway, Lakewood Ranch,
FL 34202 (“hereinafter “Agency”).

      

      Agency is
a collection agency in the primary business of collecting accounts receivable on
behalf of its clients.

      

      Debt
Owner is a company in the primary business of purchasing, managing and
collecting distressed-debt portfolios, and desires to utilize Agency in the
collection of accounts receivable.

      

      In
consideration of the mutual promises made in this Agreement, Debt Owner engages
Agency and Agency agrees to perform services for and on behalf of Debt Owner,
under the following terms and conditions:

      

      1.           Term.    This
Agreement will commence on the date first written above and continue until
terminated in accordance with Section 9.

      

      2.           Accounts.    From
time to time, in its sole discretion, Debt Owner will provide certain credit
accounts to Agency for management services or collection of
receivables.  Debt Owner has sole discretion in determining which
Accounts Debt Owner will provide to Agency, except that Debt Owner will not
knowingly provide Accounts involving bankruptcy, fraud, forgery, or disputed
balances.  The term “Account” means the unpaid accounts receivable,
legal instruments, contract rights, and all other rights possessed under the
Uniform Commercial Code or otherwise.  Debt Owner will provide, at its
discretion, Agency with documentation and information Debt Owner possesses
relating to the Accounts, which may help Agency collect on those
Accounts.  Debt Owner warrants that they will not knowingly provide
Accounts to Agency unless such Accounts are expressly authorized by an agreement
creating the debt or permitted by law and are owed by the consumer identified in
Debt Owner’s records as the obligor; that they will disclose all material facts
regarding debtor’s legal representation; that they will agree to promptly notify
Agency of payments received directly on Accounts placed for collection; and that
any interest or additional charges added to any Account by Debt Owner or that
Debt Owner directs Agency to add, are authorized by contract or are otherwise
authorized by law.

      
        
           

        

        
          1 of
5

          
            

          

        

        
           

        

      

      3.           Settlements
and Compromises.    Agency is authorized to settle
Accounts for less than the entire balance subject to certain Debt Owner
restrictions. Agency shall use its best judgement when making a settlement to
debtors including payment programs.  Agency may accept proposals of
compromise or settlement of an Account for less than the agreed upon settlement
percentage of the amount owed, subject to Debt Owner’s prior approval regarding
the Account. Repayment schedules will not exceed 120 days on settlements or 12
months on full balance payment arrangements

      

      4.           Fees.    Debt
Owner shall pay Agency for collection of Accounts a contingency fee set forth in
Exhibit 1 of the gross amount of monies collected on all placements. Agency will
be entitled to these fees on amounts collected by or paid directly to Debt Owner
on Accounts which Debt Owner has sent to Agency and which have not, pursuant to
the terms of this Agreement, been returned to Debt Owner. Agency will bear all
costs and expense involved with collecting an Account.

      

      5.           Indemnification.    Each
party shall indemnify and hold harmless the other parties, its officers,
directors, and employees from and against any and all liability, loss, damage,
cost or expense (including court costs and reasonable attorney fees) for any
claims, demands, suits or causes of action, of whatsoever nature and by whomever
asserted, in any way (i) arising out of, resulting from, or relating to the
breach of this Agreement by that party, and (ii) arising out of, resulting from
or relating to the actions of that party to this Agreement which are beyond the
reasonable control of the other party or parties.

      

      6.           Insurance.
   Agency
warrants that it has and maintains an Errors and Omissions insurance policy in
an amount no less than 1 million dollars and that it will amend said policy to
name Performance Capital Management LLC as an additional insured.

      

      7.           Agency
Monies Collected.    Agency shall be accountable for
all monies collected on each Account.  Agency shall hold such monies
in Agency’s trust account for the benefit of Debt Owner.  Agency shall
submit a bi-weekly progress report advising who has paid and how many promise to
pays and postdated checks are in house to date. The report will have PCM account
number listed on it.  The Agency shall submit a monthly remittance
report to Debt Owner listing each account on which a collection was made and the
gross amount collected for each Account and the PCM account number for each
account money was collected on.  Net amounts shall be included in a
bank wire to Debt Owner in an amount equal to the sum of all monies collected
during the month less the Agency’s fee. The monthly remittance is to be received
by Debt Owner on or before the First (1st) day of the month for the previous
month’s collections unless the First day falls on a Saturday, Sunday or Holiday
in which case it will be due on the Monday after the weekend or
Holiday.

      

      8.           Recall.  Debt owner may recall
any account referred to Agency upon thirty (30) days notice, however if being
recalled for good cause (account was paid prior, sold prior, involved in lawsuit
or has a complaint against Agency or Debt Owner, etc,) Agency shall cease all
collection activity and return the account to Debt Owner
immediately.

      
        
           

        

        
          2 of
5

          
            

          

        

        
           

        

      

       

      9.           Termination.    Either
party may terminate this Agreement upon thirty (30) days prior written notice to
the other party.  Agency agrees to return all Accounts including
accounts who have made payment plan arrangements to Debt Owner along with a
financial record of the Accounts including amount collected, commission
retained, additional fees, interest and charges added to the Account as
authorized by Debt Owner, current address and phone number, current status code
and what the status code means.

      

      10.         Confidentiality.    Agency
agrees to keep confidential all information herein and/or related to Debt Owner
and the Account Debtors, including but not limited to Privacy Provisions of the
Gramm-Leach-Bliley Act of 1999 for which Agency obtains or develops as a result
of collecting Accounts.  All such information may be used solely by
Agency as necessary for the performance of Agency’s obligations under this
agreement.

      

      11.         Relationship
of Parties.    Nothing in this Agreement is intended
to create nor may it create any relationship between the parties other than
independent contractors.  No association, joint venture, partnership,
or any agency relationship is created or exists between the
parties.

      

      12.         Assignment.    This
Agreement may not be assigned to any party without the prior written consent of
the other party, such consent not to be unreasonably withheld, except that any
party may transfer its rights and obligations to a parent, affiliate, or
subsidiary.  Debt Owner agrees that Agency may utilize collection
services of third party collection agencies for the servicing and collection of
subject Accounts.

      

      13.         Severability.     If
any portion of this Agreement is found by a court to be illegal or ineffectual,
the remaining portions of the Agreement shall stay in force and shall be
construed to most accurately reflect the legal intent of the parties at the time
the legal or ineffectual document was signed.

      

      14.         Notices.    Notices,
approvals, and requests for approvals provided for and allowed herein shall be
given in writing, and shall be addressed and sent certified mail, return receipt
requested or by way of national air courier, addressed as follows:

      
 

      
        	
                 
      To

              	
                Oliphant
      Financial Group, LLC

              	 
      	
                To

              	
                Performance
      Capital Management LLC

              
	 
      	
                9009
      Town Center Parkway

              	 
      	 
      	
                7001
      Village Dr  Suite 255

              
	 
      	
                Lakewood
      Ranch, FL 34202

              	 
      	 
      	
                Buena
      Park, CA. 90621

              

      

      

        
          
             

          

          
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      15.         Governing
Law.     This Agreement will be interpreted
according to the laws of the State of Florida.  Any conflict not
resolved by out-of-court negotiation between the parties shall be heard in a
court with appropriate jurisdiction located in Sarasota County
Florida.

      

      16.         Modification.    No
variation or modification of the Agreement or waiver of any of its terms or
provisions shall be deemed valid unless in writing as an amendment hereto signed
by the parties.

      

      17.         Successors
and Assigns.    Subject to Paragraph 10, each
provision of this Agreement shall extend to, bind and inure to the benefit of
Debt Owner and Agency and their respective legal representatives, successors,
and assigns.

      

      18.         Representations
and Warrants.   Agency Represents and Warrants to PCM that it
will comply with the Fair Debt Collection Practices Act, 15 U.S.C.A. 1692 et
seq., the Fair Credit Reporting Act, the Federal Bankruptcy Code and all other
debt collection laws. Agency further agrees to comply with Title V of the Graham
– Leach – Bliley Act of 1999 which currently restricts the non affiliated, third
party sharing of Account Debtor non-public personal information. Agency
Represents and Warrants that it is licensed and is authorized to collect in all
jurisdictions where it will perform services under this agreement.  In
addition to State Licensing and bonding requirements, Agency will comply with
all other applicable laws and regulations of the United States and each State in
which the Agency operates.  Agency further agrees it will not engage
in any collection action, which may be deemed unfair, deceptive, or
harassing.

      

      

      IN
WITNESS WHEREOF, the parties have executed this Agreement through their duly
authorized representatives as of the day and year first written
above.

      

      
        	
                Oliphant
      Financial Group, LLC

              	 
      	
                Performance
      Capital Management LLC

              
	 
      	 
      	 
      	 
      	 
      
	
                By:

              	
                /s/ Thomas R. Noble

              	 
      	
                By:

              	
                /s/ David J. Caldwell

              
	 
      	 
      	 
      	 
      	 
      
	
                Printed
      Name Thomas R. Noble

              	 
      	
                Printed
      Name: Dave Caldwell

              
	 
      	 
      	 
      	 
      	 
      
	
                Title:
      Chief Operating Officer

              	 
      	
                Title: Chief Operations
      Officer

              

      

      

        
          
             

          

          
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      EXHIBIT
1

      

      

      Fee
schedule

      

      

      

      45%
to 52% of Gross receipts on all accounts assigned.

      

      

      
        	
                Account
      type

              	
                #
      accounts

              	
                $balance

              

      

      
 

    

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Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}]]