Document:

Unassociated Document

    
      

    

    EXHIBIT
      10.7

     

    

      POWER
        OF THE DREAM VENTURES, INC.

      1095
        Budapest

      Soroksari
        ut 94-96

      Hungary

      Tel: +36-1-456-6061

      Fax:
        +36-1-456-6062

      

      June
        6,
        2007

      

      

      CONFIDENTIAL

      

      

      Dr.
        Gábor
        Szilágyi

      2011
        Budakalász

      Jókai
        Mór
        utca 89

      Hungary

      

      

      
        	
                 

              	
                Re:

              	
                Business
                  Services Consulting Agreement

              

      

      

      

      Dear
        Dr.
        Szilágyi:

      

      This
        letter (this “Agreement”) constitutes the agreement between Power of the Dream
        Ventures, Inc., a Delaware corporation and Dr Gabor Szilágyi (“Consultant” or
“GSZ”) pursuant to which GSZ will serve as a the legal representative of the
        company with respect to its business matters in Hungary.  The terms of
        this Agreement are as follows:

      

      
        	
                 

              	
                A.

              	
                Services.  At
                  the Company’s request, GSZ shall provide general business consulting
                  services including, but not limited to the
                  following:

              

      

      

      
        	
                 

              	
                1.

              	
                legal
                  representation of Power of the Dream Venture’s wholly owned Hungarian
                  subsidiary, Vidatech Kft., in all legal matters relating to the
                  operation
                  of Vidatech as stipulated and mandated by Hungarian
                  law.

              

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      B.           Fees
        and Expenses.  In connection with the
        services described in Section A above, the Company shall issue to GSZ a one-time
        payment of one hundred thousand (100,000) shares of the Company’s common stock,
        $.0001 par value per share upon the execution hereof, in consideration of
        securing his commitment to the Company for the term herein provided. In
        addition, the Company hereby agrees, from time to time upon request, to
        reimburse GSZ for all reasonable travel and other out-of-pocket expenses
        incurred in connection with GSZ’s engagement hereunder;
provided, however, that each
        individual expense in excess of Two Hundred Fifty and 00/100 Dollars ($250.00)
        shall require the prior written approval of the Company and, in any event,
        cumulative expenses of GSZ hereunder shall not exceed two thousand and
        00/100 Dollars ($2,000.00).

       

      
        	
                 

              	
                D.

              	
                Term
                  of Engagement. Except as set forth below,
                  the initial term of GSZ’s engagement will begin on the date hereof and end
                  twelve (12) months from the date hereof.  Either party may
                  terminate GSZ’s engagement before the end of the initial term hereto at
                  any time, with or without cause, upon ten (10) days’ prior written notice
                  to the other party.  Notwithstanding any such termination, the
                  provisions in this Agreement regarding Fees and Expenses, Use of
                  Information, Indemnity, Arbitration of Disputes and Confidentiality
                  shall
                  survive and remain in full force and effect and be binding on any
                  successors of the Company. GSZ acknowledges that all materials
                  produced as
                  part of this agreement become the exclusive property of the Company
                  and
                  that GSZ may not use any of said materials without the express
                  written
                  consent of the Company.

              

      

      

      
        	
                 

              	
                E.

              	
                Use
                  of Information. The Company will furnish GSZ
                  such information as GSZ reasonably requests in connection with
                  the
                  performance of his services hereunder.  The Company understands,
                  acknowledges and agrees that, in performing his services hereunder,
                  GSZ
                  will use and rely entirely upon such information as is provided
                  by the
                  Company as well as publicly available information regarding the
                  Company
                  and that GSZ does not assume responsibility for independent verification
                  of the accuracy or completeness of any information, whether publicly
                  available or otherwise furnished to GSZ, concerning the Company
                  including,
                  without limitation, any technical information, engineering data
                  or
                  prototype plans considered by GSZ in connection with the provision
                  of his
                  services.  Accordingly, GSZ shall be entitled to assume and rely
                  upon the accuracy and completeness of all such information and
                  shall not
                  be required to conduct a physical inspection of any of the properties
                  or
                  assets or to prepare or obtain any independent evaluation or appraisal
                  of
                  any of the assets or liabilities of the Company. With respect to
                  any
                  technical data made available to GSZ by the Company and used by
                  GSZ in his
                  work, GSZ shall be entitled to assume that such technical drawings
                  have
                  been reasonably prepared and reflect the best currently available
                  information of the management of the Company as to the matters
                  covered
                  thereby.  If any information provided to GSZ by the Company
                  becomes inaccurate, incomplete or misleading in any material respect
                  during GSZ’s engagement hereunder, the Company shall so advise
                  GSZ.

              

      

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      
        	
                 

              	
                F.

              	
                Confidentiality.
                  GSZ agrees to keep confidential during the term, and for
                  24
                  months after any termination of this Agreement, all material nonpublic
                  information provided to it by the Company, except as required by
                  law,
                  pursuant to an order of a court of competent jurisdiction or the
                  request
                  of a regulatory authority having jurisdiction over GSZ, or as contemplated
                  by the terms of this Agreement. Notwithstanding anything to the
                  contrary
                  herein, GSZ may disclose nonpublic information to his affiliates,
                  agents
                  and advisors whenever GSZ determines that such disclosure is necessary
                  to
                  provide the services contemplated
                  hereunder.

              

      

      

      
        	
                 

              	
                G.

              	
                Indemnity.
                  GSZ and the Company agree to the provisions with respect
                  to
                  indemnification by the Company of GSZ and certain other parties
                  as set
                  forth on Annex A attached
                  hereto.

              

      

      

      
        	
                 

              	
                H.

              	
                Limitation
                  of GSZ’s Engagement by the Company. The
                  Company acknowledges that GSZ has been retained only by the Company,
                  that
                  GSZ is providing services hereunder as an independent contractor
                  (and not
                  in any fiduciary or agency capacity), and that the Company’s engagement of
                  GSZ is not deemed to be on behalf of, and is not intended to confer
                  rights
                  upon, any shareholder, owner or partner of the Company or any other
                  person
                  not a party hereto as against GSZ.  Unless otherwise expressly
                  agreed in writing by GSZ, no one other than the Company is authorized
                  to
                  rely upon this engagement or any other statements or conduct of
                  GSZ, and
                  no one other than the Company is intended to be a beneficiary of
                  this
                  Agreement.  The Company acknowledges that any recommendations or
                  advice, written or oral, given by GSZ to the Company in connection
                  with
                  GSZ’s engagement are intended solely for the benefit and use of the
                  Company’s management and directors, and any such recommendations or advice
                  are not on behalf of, and shall not confer any rights or remedies
                  upon,
                  any other person or be used or relied upon for any other
                  purpose.

              

      

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      
        	
                 

              	
                I.

              	
                Limitation
                  on GSZ’s Liability to the Company. GSZ and
                  the Company further agree that GSZ shall have no liability to the
                  Company,
                  its security holders or creditors, or any person asserting claims
                  on
                  behalf of or in the right of the Company (whether direct or indirect,
                  in
                  contract, tort, for an act of negligence or otherwise) for any
                  losses,
                  fees, damages, liabilities, costs, expenses or equitable relief
                  arising
                  out of or relating to this Agreement or the services to be rendered
                  hereunder, except for losses, fees, damages, liabilities, costs
                  or
                  expenses that arise out of or are based on any action of or failure
                  to act
                  by GSZ and that are finally determined (by a court of competent
                  jurisdiction and after exhausting all appeals or in an arbitration
                  conducted in accordance with this Agreement) to have resulted solely
                  from
                  the gross negligence or willful misconduct of
                  GSZ.

              

      

      

      
        	
                 

              	
                J.

              	
                Governing
                  Law. This Agreement shall be governed
                  by and
                  construed in accordance with the laws of the State of New
                  York.

              

      

      

      
        	
                 

              	
                K.

              	
                Arbitration
                  of Disputes. Except as provided below, any
                  claim or controversy arising out of or relating to this Agreement,
                  or the
                  breach thereof, shall be settled by arbitration in accordance with
                  the
                  Commercial Arbitration Rules of the American Arbitration Association,
                  and
                  judgment on the award rendered by the arbitrator(s) may be entered
                  in any
                  court having jurisdiction thereof. The arbitration of any such
                  claim or
                  controversy shall take place in New York,
                  NY.

              

      

      

      
        	
                 

              	
                L.

              	
                Miscellaneous.
                  This Agreement shall not be modified or amended except
                  in writing
                  signed by GSZ and the Company.  This Agreement shall not be
                  assigned without the prior written consent of GSZ and the
                  Company.  This Agreement constitutes the entire agreement of GSZ
                  and the Company with respect to the subject matter hereof and supersedes
                  all prior agreements.  If any provision of this Agreement is
                  determined to be invalid or unenforceable in any respect, such
                  determination shall not affect such provision in any other respect,
                  and
                  the remainder of the Agreement shall remain in full force and
                  effect.  This Agreement may be executed in counterparts, each of
                  which shall be deemed an original, but all of which together shall
                  constitute one and the same
                  instrument.

              

      

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      In
        acknowledgment that the foregoing correctly sets forth the understanding
        reached
        by GSZ and the Company, please sign in the space provided below, whereupon
        this
        letter shall constitute a binding Agreement as of the date indicated
        below.

      

      
        	 	
                Sincerely,  

              
	 	 	 	 
	 	
                POWER
                  OF THE DREAM VENTURES, INC.  

              
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	
                By

              	 	 
	 	 	
                Name:

              	
                Viktor
                  Rozsnyay, President

              

      

      

      

      
        	
                ACCEPTD
                  AND AGREED THIS 

              
	
                6
                  DAY OF JUNE, 2007: 

              
	  
	
                CONSULTANT: 

              
	  
	  
	  
	 	 

      

      
        	
                Name:

              	
                Dr.
                  Gabor Szilágyi

              	 

      

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      ANNEX
        A

      

      In
        connection with GSZ’s engagement to advise and to assist the Company pursuant to
        the Agreement dated June 6 2007 to which this Annex A is attached, the Company
        agrees to indemnify and to hold harmless GSZ (hereinafter referred to as
        an
“Indemnified Party”), to the full extent allowed by law or equity, from and
        against any and all judgments, losses, claims (whether or not valid), damages,
        costs, fees, expenses or liabilities, joint or several, to which an Indemnified
        Party may become subject, related to or arising out of GSZ’s engagement or
        performance under the Agreement, the transaction contemplated thereby, the
        services rendered by GSZ under the Agreement, or any actual or threatened
        claim,
        litigation, investigation, proceeding or action in any court of before any
        regulatory, administrative or other body relating to any of the foregoing
        (hereinafter referred to collectively as a “Claim”), and shall, upon request,
        reimburse an Indemnified Party for all legal and other costs, fees and expenses
        as they are incurred in connection with investigating, preparing or defending
        a
        Claim, whether or not such Indemnified Party is ever made party to any legal
        proceedings; provided, however, that no such
        indemnification shall be required to be paid to an Indemnified Party with
        respect to a Claim that is finally determined by a court of competent
        jurisdiction (after exhaustion of all appeals) or in an arbitration conducted
        in
        accordance with this Agreement to have resulted solely from the gross negligence
        or willful misconduct of such Indemnified Party.

      

      In
        the
        event that the foregoing indemnity is unavailable or insufficient for any
        reason
        (other than by reason of the terms hereof) to hold any Indemnified Party
        harmless, then the Company shall contribute to any amounts paid or payable
        by an
        Indemnified Party in such proportion as appropriately reflects the relative
        benefits received by such Indemnified Party and to the Company in connection
        with the matters to which the Claim relates.  If an allocation solely
        on the basis of benefits is judicially determined to be impermissible, then
        the
        Company shall contribute in such proportion as appropriately reflects the
        relative benefits and relative fault of the Company and such Indemnified
        Party,
        as well as any other equitable considerations.  In no event shall the
        Company contribute less than the amount necessary to ensure that the aggregate
        liability of GSZ for contribution pursuant to this paragraph in connection
        with
        all Claims do not exceed the amount of fees actually received by GSZ under
        the
        Agreement.  For purposes hereof, relative benefits to the Company and
        GSZ shall be deemed to be in the same proportion that the total value received
        or contemplated to be received by the Company and/or its security holders
        bears
        to the fees paid to GSZ under the Agreement, and other relative fault of
        each
        indemnified party an the Company shall be determined by reference to, among
        other things, whether the actions and omissions to act were by such Indemnified
        Party or the Company and the parties’ relative intent, knowledge, access to
        information, and opportunity to correct or prevent such action or
        omission.

      

      All
        amounts due to an Indemnified Party hereunder shall be payable by the Company
        promptly upon request by such Indemnified Party.  In addition, the
        Company agrees to pay all costs and expenses (including attorneys’ fees)
        incurred by an Indemnified Party to enforce the terms of this Annex
        A.

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

      Dr.
        Gabor
        Szilágyi

      June
        6,
        2007

      

      

      The
        Company agrees not to enter into any waiver, release or settlement of any
        Claim
        (whether or not GSZ is a formal party to such Claim) in respect of which
        indemnification may be sought hereunder without the prior written consent
        of GSZ
        (which consent will not be unreasonably withheld), unless such waiver, release
        or settlement includes an unconditional release of GSZ from all liability
        arising out of such claim.

      

      The
        provisions of this Annex A shall be in addition to any liability which the
        Company may otherwise have to GSZ; shall not be limited by any rights that
        GSZ
        may otherwise have; shall remain in full force and effect regardless of any
        termination of GSZ’s engagement; and shall be binding upon any successors or
        assigns of GSZ and the Company.

       

      
7Unassociated Document

    
      

    

    EXHIBIT
      10.8

    

    AMENDMENT
      NO. 1 TO LETTER CONSULTING AGREEMENT

    BY
      AND BETWEEN

    POWER
      OF THE DREAM VENTURES, INC. AND

    MR.
      GABOR SZILAGYI

    

    *
      * *
      *

    

    

    AMENDMENT
      NO. 1 dated
      June 6, 2007 (the “Amendment”) to Letter Consulting Agreement dated June 6, 2007
      by and between Power of the Dream Ventures, Inc., a Delaware corporation (the
      “Company”) (the “Agreement”) and Dr. Gabor Szilágyi (“Consultant or
      GSZ”).

    

    RECITALS:

    

    WHEREAS,
GSZ
      and the
      Company entered into the Agreement on June 6, 2007, pursuant to which, GSZ
      is to
      provide business consulting services to and for the benefit of the
      Company;

    

    WHEREAS,
in
      consideration for his business consulting services, GSZ is to be paid a one-time
      payment of one hundred thousand (100,000) shares of Common Stock, $.0001 par
      value per share, of the Company (the “Consulting Shares”);

    

    WHEREAS,
it
      was always
      contemplated between the parties that the issuance of the Consulting Shares
      to
      GSZ was to be effected pursuant to the registration exemption provided by
      Regulation S as promulgated under the Securities Act of 1933, as amended (the
      “1933 Act”);

    

    WHEREAS,
this
      Amendment is for the express and limited purpose of documenting and confirming
      that all of the pre-requisites for qualification under Regulation S exist with
      respect to the Company’s issuance and delivery of the Consulting Shares to
      GSZ.

    

    NOW,
      THEREFORE, in
      consideration of the premises and the mutual covenants and conditions herein
      contained, the Agreement is hereby amended by this Amendment as
      follows:

    

    
      	
               

            	
              1.

            	
              A
                new Section “M” is hereby added to the Agreement which shall read, in its
                entirety, as follows:

            

    

    

    “M.           Regulation
      S Representations, Warranties & Covenants.

    

    GSZ
      further acknowledges, represents,
      warrants and covenants to the Company that:

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     (a)           the
      Consulting Shares are being offered and sold to GSZ in reliance on the
      exemptions from the registration requirements of the 1933 Act provided by the
      provisions of Regulation S as promulgated under the 1933 Act, and that the
      Consulting Shares may not be resold in the United States or to a US Person
      as
      defined in Regulation S, except pursuant to an effective registration statement
      or an exemption from the registration provisions of the 1933 Act as evidenced
      by
      an opinion of counsel acceptable to the Company, and that in the absence of
      an
      effective registration statement covering the Consulting Shares or an available
      exemption from registration under the 1933 Act, the Consulting Shares must
      be
      held indefinitely.  GSZ further acknowledges that neither this
      Amendment nor the Agreement is intended as a plan or scheme to evade the
      registration requirements of the 1933 Act;

    

    (b)           GSZ
      is a resident of the Republic of Hungary;

    

    (c)           GSZ
      is not a “US Person” as that term is defined in Rule 902 of Regulation S, as
      more fully set forth in Section 2 of this Amendment;

    

    (d)           GSZ
      is not, and on the date that he receives the Consulting Shares will not be,
      an
      affiliate of the Company;

    

    (e)           that
      all offers and sales of the Consulting Shares shall be made in compliance with
      all applicable laws of any applicable jurisdiction and, particularly, in
      accordance with Rules 903 and 904, as applicable, of Regulation S or pursuant
      to
      registration of the Consulting Shares under the 1933 Act or pursuant to an
      exemption from registration.  In any case, none of the Consulting
      Shares have been and will be offered or sold by GSZ to, or for the account
      or
      benefit of a U.S. Person or within the United States until after the end of
      a
      one year period commencing on the date on which this Amendment is accepted
      by
      the Company (the “Distribution Compliance Period”), except
      pursuant to an effective registration statement as to the Consulting Shares
      or
      an applicable exemption from the registration requirements of the 1933
      Act.

    

    (f)           the
      Consulting Shares have not been offered to GSZ in the United States and the
      individual making the decision to purchase the Consulting Shares and executing
      and delivering this Amendment on behalf of GSZ were not in the United States
      when the decision was made and this Amendment was executed and
      delivered;

    

    (g)           GSZ
      will not engage in any activity for the purpose of, or that could reasonably
      be
      expected to have the effect of, conditioning the market in the United States
      for
      any of the Consulting Shares; and

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    (h)           neither
      GSZ nor any of his affiliates will directly or indirectly maintain any short
      position, purchase or sell put or call options or otherwise engage in any
      hedging activities in any of the Common Stock of the Company until after the
      end
      of the Distribution Compliance Period, and acknowledges that such activities
      are
      prohibited by Regulation S.”

    

    
      	
               

            	
              2.

            	
              A
                new Section “N” is hereby added to the Agreement, which shall read, in its
                entirety, as follows:

            

    

    

    “N.           Regulation
      S – Definition of US Person.

    

    Rule
      902
      (k)(1): "U.S. person" means:

    
      	
               

            	 

    

    
      	
               

            	
              i.

            	
              Any
                natural person resident in the United
                States;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              ii.

            	
              Any
                partnership or corporation organized or incorporated under the laws
                of the
                United States;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              iii.

            	
              Any
                estate of which any executor or administrator is a U.S.
                person;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              iv.

            	
              Any
                trust of which any trustee is a U.S.
                person;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              v.

            	
              Any
                agency or branch of a foreign entity located in the United
                States;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              vi.

            	
              Any
                non-discretionary account or similar account (other than an estate
                or
                trust) held by a dealer or other fiduciary for the benefit or account
                of a
                U.S. person;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              vii.

            	
              Any
                discretionary account or similar account (other than an estate or
                trust)
                held by a dealer or other fiduciary organized, incorporated, or (if
                an
                individual) resident in the United States;
                and

            

    

    
      	
               

            	 

    

    
      	
               

            	
              viii.

            	
              Any
                partnership or corporation if:

            

    

    
      	
               

            	 

    

    
      	
               

            	
              A.

            	
              Organized
                or incorporated under the laws of any foreign jurisdiction;
                and

            

    

    
      	
               

            	 

    

    
      	
               

            	
              B.

            	
              Formed
                by a U.S. person principally for the purpose of investing in securities
                not registered under the Act, unless it is organized or incorporated,
                and
                owned, by accredited investors (as defined in Rule 501(a)) who are
                not
                natural persons, estates or
                trusts.

            

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    Rule
      902(k)(2):  The following are not "U.S.
      persons":

    
      	
               

            	 

    

    
      	
               

            	
              i.

            	
              Any
                discretionary account or similar account (other than an estate or
                trust)
                held for the benefit or account of a non-U.S. person by a dealer
                or other
                professional fiduciary organized, incorporated, or (if an individual)
                resident in the United States;

            

    

    

    
      	
               

            	
              ii.

            	
              Any
                estate of which any professional fiduciary acting as executor or
                administrator is a U.S. person if:

            

    

    

    
      	
               

            	
              A.

            	
              An
                executor or administrator of the estate who is not a U.S. person
                has sole
                or shared investment discretion with respect to the assets of the
                estate;
                and

            

    

    

    
      	
               

            	
              B.

            	
              The
                estate is governed by foreign law;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              iii.

            	
              Any
                trust of which any professional fiduciary acting as trustee is a
                U.S.
                person, if a trustee who is not a U.S. person has sole or shared
                investment discretion with respect to the trust assets, and no beneficiary
                of the trust (and no settlor if the trust is revocable) is a U.S.
                person;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              iv.

            	
              An
                employee benefit plan established and administered in accordance
                with the
                law of a country other than the United States and customary practices
                and
                documentation of such country;

            

    

    
      	
               

            	 

    

    
      	
               

            	
              v.

            	
              Any
                agency or branch of a U.S. person located outside the United States
                if:

            

    

    
      	
               

            	 

    

    
      	
               

            	
              A.

            	
              The
                agency or branch operates for valid business reasons;
                and

            

    

    

    
      	
               

            	
              B.

            	
              The
                agency or branch is engaged in the business of insurance or banking
                and is
                subject to substantive insurance or banking regulation, respectively,
                in
                the jurisdiction where located; and

            

    

    
      	
               

            	 

    

    
      	
               

            	
              vi.

            	
              The
                International Monetary Fund, the International Bank for Reconstruction
                and
                Development, the Inter-American Development Bank, the Asian Development
                Bank, the African Development Bank, the United Nations, and their
                agencies, affiliates and pension plans, and any other similar
                international organizations, their agencies, affiliates and pension
                plans.

            

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    Rule
      902(l):  United States. "United States" means the United
      States of America, its territories and possessions, any State of the United
      States, and the District of Columbia.

    

    2.           Except
      as amended by this Amendment, the remaining terms and provisions of the
      Agreement shall remain unchanged.

    

    IN
      WITNESS WHEREOF, each of the Company and GSZ have executed this
      Amendment, agreeing to be bound by the terms hereof, as of the day and year
      first-above written.

    

    
      	 	
              POWER
                OF THE DREAM VENTURES, INC.

            
	 	 	 	 
	 	 	 	 
	 	
              By

            	  
	 	 	
              Name:

            	
              Viktor
                Rozsnyay, President

            
	 	 	 	 
	 	 	 	 
	 	
              CONSULTANT:

            
	 	 	 	 
	 	 	 	 
	 	 
	 	
              Name:

            	
              Dr.
                Gabor Szilágyi

            

    

     

     

    5

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