Document:

Unassociated Document

     

    Exhibit
      10.14

    

      SUPREME
        COURT OF THE STATE OF NEW YORK

      COUNTY
        OF NEW YORK

       

      
        	
                ED/RALPH
                  ASSOCIATES, INC. 

                (formerly
                  known as PARKER, CLARK DATA 

                PROCESSING,
                  INC.) and 

                RALPH/ED
                  ASSOCIATES, INC. 

                (formerly
                  known as PLATINUM I.T. CONSULTING INC.),

                 

                Plaintiffs,

                -against-

                 

                PLATINUM
                  IT CONSULTING, INC. and 

                GLOBAL
                  IT HOLDINGS, INC.,

                 

                Defendants.

              	
                Index
                  No.: 604324/05

                 

                FORBEARANCE
                  AGREEMENT

                 

                 

              

      

      

        WHEREAS,
          on or
          about
          December 12th,
          2005,
          Ed/Ralph
          Associates, Inc. and Ralph/Ed Associates, Inc. (collectively the “Plaintiffs”)
          initiated the above-captioned action to enforce the terms of an August
          26th,
          2004,
          Promissory Note made by defendant Platinum IT Consulting, Inc. (“Platinum”) in
          the principal amount of $1,100,000 U.S. Dollars; and

        

        WHEREAS,
          the
          above-captioned action also seeks to enforce the terms of a Security Agreement
          dated August 26th,
          2004,
          made by Platinum and Global IT Holdings, Inc. (“Global”) in favor of Plaintiffs;
          and

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

        
WHEREAS,
          a
          Judgment in this action was entered on May 18th,
          2006,
          against defendant Platinum for $ 1,263,296.56, as a result of its default
          under
          the terms of the Promissory Note (the “Platinum Judgment”); and 

         

        WHEREAS,
          that
          portion of this action seeking to enforce the Security Agreement against
          Platinum and Global was still pending; and

         

        WHEREAS,
          the parties entered into a settlement agreement, pursuant to CPLR 3215(i)
          dated
          July 28th,
          2006;
          and

         

        WHEREAS,
          Global and Platinum defaulted pursuant to said settlement agreement by
          failing
          to pay $200,000 to Plaintiffs by August 16th
          as
          called for by the Settlement Agreement ; and 

         

        WHEREAS,
          a
          judgment in this action was entered against defendant Global on August
          25, 2006,
          for $1,272,018.50, as a result of its default under the terms of the settlement
          agreement dated July 28, 2006 (the Global Judgment); and 

         

        WHEREAS,
          the
          parties desire to enter into a forbearance agreement, and in exchange for
          good
          and valuable consideration, receipt of which is hereby
          acknowledged;

        

        NOW,
          THEREFORE, IT IS STIPULATED AND AGREED
          by and
          between the respective parties that the Plaintiff shall forbear from enforcing
          the Global Judgment and the Platinum Judgment pursuant to the following
          terms
          and conditions:

        

        
          	
                  1.

                	
                  The
                    above recitals are hereby incorporated as if reinstated herein
                    at
                    length.

                
	 	 
	
                  2.

                	
                  In
                    full settlement of the action, Defendants shall pay to Plaintiffs
                    the sum
                    of $850,000 U.S. Dollars (the “Settled Amount”) in the manner and time set
                    forth below:

                

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

           

        

        
          	
                  (a)
                    

                	
                  $200,000
                    in cash wired to the account of Sadis & Goldberg LLC, Citibank,
                    N.A.,120 Broadway, New York, NY 10271, ABA Routing # 021000089,
                    Acct. #
                    44768732 within twenty four (24) hours of Anslow and Jaclin’s receipt of a
                    copy of this Agreement executed by Plaintiffs, and, notwithstanding
                    anything to the contrary stated elsewhere herein, there shall
                    be no cure
                    period in connection with payment pursuant to this paragraph;
                    and
                    

                
	 	 
	
                  (b)
                    

                	
                   Subsequent
                    payments of $50,000 per month to commence on September 1, 2006
                    and to end
                    on October 1, 2007 to be paid in shares of common stock of Global
                    equal to
                    $50,000 per month based on the market price of Global’s common stock as of
                    first date of each month (“Initial Monthly Issuance”). Plaintiffs and
                    Defendants also agree that in the event that Plaintiffs sell
                    all of the
                    shares issued in connection with a single monthly installment
                    for less
                    than an aggregate net value of $50,000, Plaintiffs are entitled
                    to
                    receive, upon request, additional shares equal to the difference
                    between
                    the aggregate value received by the Plaintiffs and $50,000 (“Additional
                    Monthly Issuance”). Requests for Additional Monthly Issuance shall be made
                    no later than fifteen (15) business days after the Initial Month
                    Issuance
                    for that month.  Plaintiffs and Defendants also agree that in the
                    event that Plaintiffs sell all of the shares issued in connection
                    with a
                    single monthly installment for greater than an aggregate net
                    value of
                    $50,000, Defendants are entitled to receive, upon request, a
                    reduction in
                    the following month’s Initial Monthly Issuance equal to the difference
                    between the aggregate value received by the Plaintiffs and $50,000
                    (“Reduced Monthly Issuance”). The net value of shares shall be the amount
                    that Plaintiffs receive after commission and after all other
                    expenses
                    incurred based on the sale of the shares. 

                

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

        Upon
          completion of these payments in the time and manner called for herein,
          the
          entire sum of the Settled Amount shall have been paid in full.

         

        
          	
                  3.

                	
                  The
                    Global common stock shall be delivered to a brokerage account
                    identified
                    by Plaintiffs. 

                
	 	 
	
                  4.

                	
                  Each
                    of the following events shall constitute an "Event of
                    Default":

                

        

        

        
          	
                  (i)

                	
                  If
                    the initial cash payment set forth in paragraph 2 is not wired
                    to Sadis
                    & Goldberg’s escrow account within 24 hours of Anslow and Jaclin’s
                    receipt of a copy of this agreement executed by
                    Plaintiffs;

                
	 	 
	
                  (ii)

                	
                  If
                    an Initial Monthly Issuance of Global common stock is not delivered
                    to the
                    brokerage account on the first day of the month as called for
                    by this
                    Agreement;

                
	 	 
	
                  (iii)

                	
                  If
                    an Additional Monthly Issuance of Global common stock is not
                    delivered to
                    the brokerage account within five (5) business days after written
                    request
                    by Plaintiffs;

                
	 	 
	
                  (iv)

                	
                  If
                    Global makes a general assignment for the benefit of creditors;
                    a bulk
                    sale; a sale of substantially all the assets of its business;
                    or files a
                    voluntary petition for relief under any chapter or provision
                    of the
                    Bankruptcy Code, 11 U.S.C. '
                    101 et. seq.
                    or
                    any amendment or revision thereof, or if Global shall have filed
                    against
                    it an involuntary petition for relief under any chapter or provision
                    of
                    the Bankruptcy Code or any amendment or revision
                    thereof.

                

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

        
          	
                  5.

                	
                  Upon
                    the occurrence of an Event of Defualt identified in paragraph
                    4(i),
                    Plaintiffs shall be entitled to immediately resume enforcement
                    of the
                    Judgments.Upon the occurrence of any other “Event of Default”, the
                    Defendants shall have five business days from their receipt of
                    written
                    notice of the Event of Default, to cure said Default, except
                    in the event
                    that Defendants fail to deliver the Global common stock in the
                    amount,
                    time or manner called for by this Agreement, they shall have
                    thirty (30)
                    days from their receipt of written notice of the Event of Default
                    to cure
                    said Default. However, if more then three Events of Default occur
                    in a six
                    month period, the Defendants shall not be entitled to cure the
                    fourth
                    Event of Default and the Plaintiffs shall be entitled to proceed
                    under
                    paragraph “6” hereof. 

                
	 	 
	
                  6.

                	
                  If
                    an Event of Default is not timely cured, Plaintiffs shall be
                    entitled to
                    immediately resume enforcement of the Global Judgment, the Platinum
                    Judgment and entitled to immediately resume enforcement of the
                    Security
                    Agreement against Defendants. All monies paid under this Agreement
                    shall
                    be applied to the outstanding amount of the Judgments. 

                
	 	 
	
                  7.

                	
                  Except
                    as to those duties and obligations set forth herein, upon the
                    full payment
                    of the Settlement Amount in the time and manner called for by
                    this
                    Agreement, Plaintiffs hereby unconditionally release and forever
                    discharge
                    Defendants and each of their heirs, joint venturers, partners,
                    affiliates,
                    parent corporations, subsidiaries, officers, directors, agents,
                    employees,
                    shareholders, legal counsel, predecessors, successors and assigns,
                    of and
                    from any and all manner of actions, causes, causes of action,
                    claims,
                    liabilities, suits, threats, contracts, controversies, torts,
                    Agreement,
                    promises, damages, judgments, execution of claims, and demands
                    whatsoever
                    in law or in equity, known or unknown, suspected or unsuspected,
                    which
                    Plaintiffs ever had, now has or may hereafter have against Defendants,
                    by
                    reason of any matter, cause or thing, whatsoever, including,
                    without
                    limitation, any claims for unknown damages or injuries, or unknown
                    consequences or complications of known damages or injuries. Should
                    an
                    Event of Default go uncured, this release shall not be
                    valid.

                
	 	 

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

        
          	
                  8.  
                    

                	
                  Plaintiffs
                    represent and warrant to Defendants that the individual(s) signing
                    this
                    Agreement has been duly authorized to sign the Agreement on behalf
                    of
                    Plaintiffs, and Plaintiffs further represent and warrant that,
                    upon
                    execution, this Agreement shall be valid, legally binding and
                    enforceable
                    against Plaintiff in accordance with its terms.  

                
	 	 
	
                  9. 
                    

                	
                  Defendants
                    represent and warrant to Plaintiffs that the individual(s) signing
                    this
                    Agreement have been duly authorized to sign the Agreement on
                    behalf of the
                    respective entities, and Defendants further represent and warrant
                    that,
                    upon execution, this Agreement shall be valid, legally binding
                    and
                    enforceable against Defendant in accordance with its terms. 
                    

                
	 	 
	
                  10.
                    

                	
                  This
                    Agreement shall be construed and interpreted as a whole and in
                    accordance
                    with its fair meaning, and without regard to, or taking into
                    account, any
                    presumption or other rule of law requiring construction or interpretation
                    against the party preparing this Agreement or any part hereof.
                    

                
	 	 

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

        
          	
                  11.
                    

                	
                  The
                    parties shall each bear their own expenses, legal costs and attorneys’
                    fees incurred in connection with the negotiation and execution
                    of this
                    Agreement.

                
	 	 
	
                  12.
                    

                	
                  This
                    Agreement contains the entire agreement and understanding of
                    the parties
                    concerning the subject matter hereof.  All prior and contemporaneous
                    agreements, representations, negotiations, and understandings
                    of the
                    parties, oral or written, are merged herein and/or expressly
                    declared void
                    and are superseded by this Agreement.  The parties warrant that no
                    representations have been made to or relied upon by any party
                    to induce
                    the execution of this Agreement except as set forth
                    herein.

                
	 	 
	
                  13.  

                	
                   This
                    Agreement, its application and interpretation, and all rights
                    and
                    obligations of the parties hereunder shall be governed by and
                    construed
                    exclusively in accordance with the laws of the State of New York,
                    excluding any choice of law rules which would apply the laws
                    of another
                    jurisdiction.

                
	 	 
	
                  14. 

                	
                  Any
                    disputes regarding this Agreement shall be exclusively resolved
                    in the
                    state or federal courts, as applicable, located in New York.  Each
                    party consents to the exclusive jurisdiction of such courts and
                    agrees not
                    to bring any action under this Agreement except in New
                    York.

                
	 	 
	
                  15.  

                	
                    This
                    Agreement may not be altered, modified or amended, except in
                    writing
                    signed by the party to be bound.

                
	 	 

        

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

        
          	
                  16.  

                	
                  The
                    parties shall make, execute and deliver all such documents and
                    perform all
                    such acts from time to time, prior to and following the consummation
                    of
                    this Agreement, to carry out the full intent and purpose of this
                    Agreement.

                
	 	 
	
                  17.
                    

                	
                  The
                    parties hereto each represent and warrant that they have read
                    this
                    Agreement, understand its terms, have authority to enter into
                    this
                    Agreement, and intend to be legally bound thereby. 
                    

                
	 	 
	
                  18. 

                	
                  The
                    parties hereto each represent and warrant that they have been
                    given an
                    opportunity to consult with an attorney regarding this settlement
                    and the
                    terms of this Agreement.

                
	 	 
	
                  19. 

                	
                  This
                    Agreement may be executed in multiple counterparts, each of which
                    shall be
                    an original, and all of which shall constitute one and the same
                    agreement.

                
	 	 
	
                  20.  

                	
                  This
                    Agreement shall be effective only when it has been fully executed
                    and
                    delivered by all of the parties
                    hereto.

                

        

         

                   
          IN WITNESS WHEREOF, the parties hereto have executed this Agreement on
          this
          11th
          day of
          September, 2006.

         

        ED/RALPH
          CORPORATION 

         

         

        By:_____________________________

         

        Its
          _____________________________

         

        
          
             

          

          
             

            
              

            

          

          
             

          

        

         

         

        RALPH/ED
          CORPORATION 

         

         

        By:_____________________________

         

        Its
          _____________________________

         

         

        PLATINUM
          IT CONSULTING, INC.          

         

         

        By:______________________________                  
          

         

        Its_______________________________     
          

         

         

         

        GLOBAL
          IT
          HOLDINGS, INC. 

         

         

        By:_____________________________

         

        Its
          _____________________________WARRANT
      CLARIFICATION AGREEMENT

    

    This
      Warrant Clarification Agreement (this “Agreement”), dated October 27, 2006, is
      to the Warrant Agreement, dated as of July 13, 2005 (the “Warrant Agreement”),
      by and between Fortress America Acquisition Corporation, a Delaware corporation
      (“Company”), and Continental Stock Transfer & Trust Company, a New York
      corporation (“Warrant Agent”).

    

    WHEREAS,
      Section
      3.3.2 of the Warrant Agreement provides that Company shall not be obligated
      to
      deliver any securities pursuant to the exercise of a warrant unless a
      registration statement under the Securities Act of 1933, as amended (“Securities
      Act”), with respect to the common stock underlying the warrants is effective.

    

    WHEREAS,
      in
      furtherance of the foregoing, the Company’s final prospectus, dated July 13,
      2005, indicated (i) that no warrant would be exercisable unless at the time
      of
      exercise a prospectus relating to the common stock issuable upon exercise of
      the
      warrant is current and the common stock has been registered or qualified or
      deemed to be exempt under the securities laws of the state of residence of
      the
      holder of the warrant and (ii) that the warrant may be deprived of any value
      and
      the market for the warrant may be limited if the prospectus relating to the
      common stock issuable upon the exercise of the warrant is not current or if
      the
      common stock is not qualified or exempt from qualification in the jurisdictions
      in which the holder of the warrant resides.

    

    WHEREAS,
      as a
      result of certain questions that have arisen regarding the accounting treatment
      applicable to the warrants, the parties hereto deem it necessary and desirable
      to amend the Warrant Agreement to clarify that the registered holders do not
      have the right to receive a net cash settlement in the event the Company does
      not maintain a current prospectus relating to the common stock issuable upon
      exercise of the warrants at the time such warrants are exercisable.

    

    NOW,
      THEREFORE,
      in
      consideration of the mutual agreements contained herein and other good and
      valuable consideration, the receipt and sufficiency of which are hereby
      acknowledged, and intending to be legally bound hereby, the parties hereto
      agree
      to amend the Warrant Agreement as set forth herein.

    

    1.
       Warrant
      Agreement.
      The
      Warrant Agreement is hereby clarified and amended, effective as of the date
      of
      the Warrant Agreement, by adding the following sentence as the penultimate
      sentence of Section 3.3.2:

    

    “Furthermore,
      in no event will the Company be obligated to pay such registered holder any
      cash
      or other consideration or otherwise “net cash settle” the Warrant.”

    

    2. Miscellaneous.

    

    (a) Governing
      Law.
      The
      validity, interpretation, and performance of this Agreement and of the Warrants
      shall be governed in all respects by the laws of the State of New York, without
      giving effect to conflicts of law principles that would result in the
      application of the substantive laws of another jurisdiction. The Company hereby
      agrees that any action, proceeding or claim against it arising out of or
      relating in any way to this Agreement shall be brought and enforced in the
      courts of the State of New York or the United States District Court for the
      Southern District of New York, and irrevocably submits to such jurisdiction,
      which jurisdiction shall be exclusive. The Company hereby waives any objection
      to such exclusive jurisdiction and that such courts represent an inconvenience
      forum. Any such process or summons to be served upon the Company may be served
      by transmitting a copy thereof by registered or certified mail, return receipt
      requested, postage prepaid, addressed to it at the address set forth in Section
      9.2 of the Warrant Agreement. Such mailing shall be deemed personal service
      and
      shall be legal and binding upon the Company in any action, proceeding or
      claim.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (b) Binding
      Effect.
      This
      Agreement shall be binding upon and inure to the benefit of the parties hereto
      and to their respective heirs, legal representatives, successors and
      assigns.

    

    (c) Entire
      Agreement.
      This
      Agreement sets forth the entire agreement and understanding between the parties
      as to the subject matter thereof and merges and supersedes all prior
      discussions, agreements and understandings of any and every nature among them.
      Except as set forth in this Agreement, provisions of the Warrant Agreement
      which
      are not inconsistent with this Agreement shall remain in full force and effect.
      This Agreement may be executed in counterparts.

    

    (d) Severability.
      This
      Agreement shall be deemed severable, and the invalidity or unenforceability
      of
      any term or provision hereof shall not affect the validity or enforceability
      of
      this Agreement or of any other term or provision hereof. Furthermore, in lieu
      of
      any such invalid or unenforceable term or provision, the parties hereto intend
      that there shall be added as part of this Agreement a provision as similar
      in
      terms to such invalid or unenforceable provision as may be possible and be
      valid
      and enforceable. 

    
      
         

      

      
        -2-

        
          

        

      

       

    

    

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

    
      	 	 	 
	 	
              FORTRESS
                AMERICA
                ACQUISITION 

              CORPORATION

            
	 
 	 
 	 
 
	
            	By:  	/s/ Harvey Weiss
	 	
              
Harvey
              Weiss, President

    
      	 	 	 
	 	
              CONTINENTAL
                STOCK
                TRANSFER & TRUST 

              COMPANY

            
	 
 	 
 	 
 
	
            	By:  	/s/ Steven G. Nelson
	 	
              
Steven
              G. Nelson,
              President

    

     

    

    
      
         

      

      
        -3-

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