Document:

exh10-9_territory.htm

     

    
      

      

    

     

     

     

    EXHIBIT
      10.9

     

    TERRITORY
      AND
      DEVELOPMENT SCHEDULE ADDENDUM TO THE

    AREA
      REPRESENTATIVE
      AGREEMENT EFFECTIVE FEBRUARY 26, 2007

     

     

     

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TERRITORY
      AND DEVELOPMENT SCHEDULE ADDENDUM

    

    THIS
      ADDENDUM TO THE AREA REPRESENTATIVE AGREEMENT (this
“Addendum”) is effective as of February 26th,
      2007 (the
      "Effective Date"), regardless of the date of signatures, and
      amends and supplements the Area Representative Agreement dated as of December
      1st, 2006 (the
      “Agreement”), between EVOS USA, INC.
      (“we,” “us” or “our”) and
      you, HEALTHY FAST FOOD, INC. (“you,”
“your” or “Area
      Representative”).  You and we are sometimes individually
      referred to as a "party" or collectively as the
      "parties."

     

    OPERATIVE
      TERMS

    

    The
      parties agree
      as follows:

     

    1.  Precedence
      and Defined Terms.  
Terms
      not otherwise defined in this Addendum have the meanings as defined in the
      Agreement.  This Addendum modifies and supersedes any contrary
      provisions of the Agreement.  All other terms and conditions of the
      Agreement remain unaffected by this Addendum.

     

    2.  Negotiated
      Changes.  
After
      negotiations, you and we have agreed to certain modifications to the Agreement,
      at your request and for your benefit.  This Addendum contains the
      agreements between you and us based on those negotiations.

     

    3.  Territory.  
The
      Territory is expanded to include the states of California and
      Washington.

     

    4.  Development
      Schedule.

     

    (a)           Number
      of Restaurants to be Developed.  Due to the addition to the
      Territory, you must now develop a total of 207 EVOS® Restaurants during the
      Development Period.

     

    (b)           Development
      Schedule.  Due to the addition to the Territory, you must now open
      and maintain in operation the following cumulative minimum number of EVOS®
Restaurants operating in the Territory as of the last day of each Development
      Year:

    (HFFI
      Corporate or
      Franchise Stores)

    

    
      	
              Development
                Year

            	
              Number
                of New Restaurants Open and Operating

            	
              Cumulative
                Number to Maintain in Operation

            
	
              1

            	
              5

            	
              5

            
	
              2

            	
              12

            	
              17

            
	
              3

            	
              24

            	
              41

            
	
              4

            	
              30

            	
              71

            
	
              5

            	
              36

            	
              107

            
	
              6

            	
              20

            	
              127

            
	
              7

            	
              20

            	
              147

            
	
              8

            	
              20

            	
              167

            
	
              9

            	
              20

            	
              187

            
	
              10

            	
              20

            	
              207

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (c)           State
      Minimums.  The chart in Exhibit A to the Agreement which shows the
      minimum number of Restaurants by state is revised to reflect the expansion
      of
      the Territory to include the states of California and
      Washington.  Accordingly, the chart below replaces the chart currently
      in Exhibit A of the Agreement:

     

    

    
      	
               

              State

            	
              Year
                5

              Minimum
                Number of Stores

            	
              Year
                3

              Minimum
                Number

            
	
              Arizona

               

            	
              3

            	
              1

            
	
              California

               

            	
              21

            	
              8

            
	
              Colorado

               

            	
              2

            	
              1

            
	
              Kansas

               

            	
              2

            	
              1

            
	
              Nevada

               

            	
              2

            	
              1

            
	
              New
                Mexico

               

            	
              2

            	
              1

            
	
              Ohio

               

            	
              6

            	
              2

            
	
              Oklahoma

               

            	
              2

            	
              1

            
	
              Oregon

               

            	
              2

            	
              1

            
	
              Texas

               

            	
              13

            	
              5

            
	
              Utah

               

            	
              2

            	
              1

            
	
              Washington

               

            	
              3

            	
              1

            
	
              TOTAL

               

            	
              60

            	
              24

            

    

    

    5.  Remaining
      Terms Unaffected.

     

     All
      remaining
      terms and conditions of the Agreement are unaffected by this Addendum, and
      continue to be effective and binding on the parties.

    

    Intending
      to be
      bound, you and we sign and deliver this Addendum effective as of the Effective
      Date, regardless of the actual date of signature.

     

     

    
      	HEALTHY
              FAST FOOD, INC.	 	 	EVOS
              USA, INC. 	 
	 	 	 	 	 
	
              By:
                /s/
                Gregory R. Janson

            	 	 	
              By:
                /s/
                Michael Jeffers 

            	 
	
              Name: 
                Gregory R. Janson

            	 	 	
              Name: 
                Michael Jeffers 

            	 
	
              Title: 
                President

            	 	 	
              Title: 
                Vice President

            	 
	Date: 
              2/28/07	 	 	Date: 
              3/5/2007exh10-10_ltragmt.htm

     

    
      

      

    

     

     

     

     

     

     

     

     

     

     

     

     

    EXHIBIT
      10.10

     

    LETTER
      AGREEMENT
      WITH EVOS USA, INC. DATED JULY 10, 2007

     

     

     

     

     

     

    
 

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    

    

    [EVOS
      LETTERHEAD]

    

    

    

    

    

    

    July
      10,
      2007

    

    

    Mr.
      Greg Janson,
      President

    Healthy
      Fast Food,
      Inc.

    1075
      American
      Pacific – Suite C

    Henderson,
      NV  89074

    

    

    

    Dear
      Greg:

    

    This
      letter serves
      as an addendum to the Franchise Agreements executed on i) December 14th, 2005,
      ii) July
      16th, 2006,
      and
      acknowledges that the Royalty has been revised from a flat 5.5% throughout
      the
      term of the agreement to the following scaling:

    

    Year
      1 – Royalty is
      3.5%

    Year
      2 – Royalty is
      4.5%

    Year
      3 and beyond:
      5.5%

    

    Please
      contact me
      with any questions.

    

    We
      wish you all the best in your endeavors!

    

    

                                                                     Healthfully,

    

    

    /s/
      Michael Jeffers

    

    Michael
      Jeffers

         Co-Founder/Vice
      Presidentexh10-11_employment.htm

     

    
      

      

    

     

     

     

     

     

     

    EXHIBIT
      10.11

     

    CONTRACT
      OF EMPLOYMENT AGREEMENT 

    WITH
      BRAD BECKSTEAD DATED JULY 25, 2007

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

     

    EMPLOYMENT
      AGREEMENT

    

    THIS
      EMPLOYMENT
      AGREEMENT (this “Agreement”), dated as of July 25, 2007, by and between
      Healthy Fast Food, Inc., a Nevada corporation (the “Company”) and Brad Beckstead
      (“Beckstead”).

    

    W
      I T N E S S E T H

    

    WHEREAS,
      the Company
      desires to employ Beckstead, and Beckstead desires to accept such employment,
      on
      the terms and conditions set forth herein.

    

    WHEREAS,
      both parties
      acknowledge the inherent risks associated with the office of Chief Financial
      Officer (“CFO”) of a SEC-registered public company.  The CFO co-signs
      with the Chief Executive Officer (“CEO”) all SEC reports certifying the accuracy
      and truthfulness of the information contained within the
      reports.  Material misrepresentations, fraud, and/or material
      misstatements may result in shareholder lawsuits and/or regulatory criminal
      action against the Company, including the CFO.  Both parties
      acknowledge that the CFO shall be properly compensated for accepting the risks
      that are not shared by other Company management, associates, directors or
      officers (with the exception of the CEO).

    

    WHEREAS,
      the Company
      acknowledges that Beckstead will be signing the Company’s SEC registration
      statement on short notice and with limited knowledge of the prior history of
      the
      Company, which increases the inherent risk to Beckstead.

    

    WHEREAS,
      Beckstead
      acknowledges the duties and responsibilities as Company CFO and shall act in
      the
      best interest of the Company at all times.

    

    NOW,
      THEREFORE, in
      consideration of the mutual promises, representations and warranties set forth
      herein, and for other good and valuable consideration, it is hereby agreed
      as
      follows:

    

    1.           Employment.  The
      Company hereby agrees to employ Beckstead, and Beckstead hereby accepts such
      employment, upon the terms and conditions set forth herein.

    
      
        Employment
          Agreement Private and Confidential

        
        

      

      
        p.
          1

        
          

        

      

      
        
        

      

    

    2.           Position
      and Duties.

    

    
      	
               

            	
              (a)

            	
              Beckstead
                shall serve as the Chief Financial Officer of the Company and shall
                perform the duties consistent with such office, as from time-to-time
                may
                be prescribed by the Company’s Board of Directors and is not managed or
                directed by any other party (either internal or external), irrespective
                of
                their standing with the Company.

            

    

    

    (b)           Beckstead
      shall perform the following enumerated duties:

    

    (i)          Sarbanes-Oxley
      compliance

    (ii)         All
      SEC quarterly and annual filings

    (iii)        Accounting
      and document management oversight

    (iv)         Development
      of accounting policies and procedures

    (v)          Preparation
      of financial statements and footnotes

    
      	
               

            	
              (vi)

            	
              Design
                and implementation of internal accounting controls in accordance
                with SOX
                404 regulations

            

    

    (vii)        Development
      of performance benchmarks

    (viii)       Development
      of one-year and five-year forecasting models

    (x)          Audit
      coordination

    

    
      	
               

            	
              (c)

            	
              Beckstead
                hereby expressly acknowledges that he shall perform only the duties
                enumerated above and shall have neither the right nor the obligation
                to
                perform other duties not enumerated
                above.

            

    

    

    3.           Term.  This
      Agreement shall commence on the date hereof and shall end on the third
      anniversary hereof, at which time the Agreement shall be renegotiated based
      on
      the Company’s state of development.  In the event the Company
      determines that it will not become a SEC reporting company, this Agreement
      shall
      terminate thirty (30) days from the date of such determination without recourse
      by both parties.

    

    4.           Compensation.

    

    All
      compensation shall be negotiated and approved by the Company’s Board of
      Directors and/or the Compensation Committee, if such a committee is
      established.

    

    
      	
               

            	
              (a)

            	
              Cash
                Compensation.  Cash compensation is paid in consideration
                for Beckstead’s time commitment and the risks associated with the office
                of Company CFO.  Cash compensation shall be as
                follows:

            

    

    

    (i)           $84,000
      annual cash compensation payable as follows:

    
      
        Employment
          Agreement Private and Confidential

        
        

      

      
        p.
          2

        
          

        

      

      
        
        

      

    

    A.           Salary
      of $3,000 per month with all related income tax withholdings; and

    

    B.           Rent
      of $4,000 per month payable to 61883, LLC (a real estate holding company owned
      1% by Beckstead and 99% by Beckstead’s spouse).  Company may use
      Beckstead’s office for receptionist services and as the corporate mailing
      address.

    

    [Note:  Both
      parties acknowledge that cash compensation is renegotiable any time based on
      Beckstead’s increased time commitments and/or duties and
      responsibilities.]

    

    
      	
               

            	
              (b)

            	
              Stock
                Options.  Stock options are paid by the Company as
                incentive to Beckstead to accept the duties and responsibilities
                and
                inherent risks associated with being the Company’s CFO, and as incentive
                to remain committed to the Company for the duration of the
                Term.  The Company shall grant Beckstead 70,000 stock options on
                the signing date of this Agreement, exercisable at $4.40 per share,
                and
                issueable on an “earn-out” basis as
                follows:

            

    

    

    
      	
               

            	
              (i)

            	
              50%
                as a signing bonus which vest at a rate of 25% per quarter for the
                first
                year

            

    

    
      	
               

            	
              (ii)

            	
              25%
                on the first anniversary date from the date of employment which vest
                at a
                rate of 25% per quarter

            

    

    
      	
               

            	
              (iii)

            	
              25%
                on the second anniversary date from the date of employment which
                vest at a
                rate of 25% per quarter

            

    

    

    [Note:
      35,000 options (50% of 70,000) would be issued for year one with 8,750 options
      vesting per quarter.  17,500 (25% of 70,000) options would be issued
      for years two and three with 4,375 options vesting per quarter.]

    

    
      	
               

            	
              (c)

            	
              Bonuses.  Cash
                and/or option bonuses are payable at the discretion of the Company’s Board
                of Directors.

            

    

    

    5.           Time
      Commitment.  Beckstead shall initially devote a minimum of
      twenty-five (25) hours per week to the position of CFO.  The time
      commitment may be reassessed at any time based on the demands of the position
      and the needs of the Company.

    

    6.           Termination.  The
      employment of Beckstead may be terminated prior to the expiration of the Term
      in
      the manner described in this section.  For purposes of this paragraph,
“cause” shall exist if, and only if, Beckstead has been indicted for committing
      a crime which constitutes a felony or misdemeanor involving moral turpitude
      under applicable law or has entered a plea of guilty or nolo contendere with
      respect thereto; has violated securities laws, rules or regulations; has
      committed any act which constitutes fraud or negligence under applicable
      law,

    
      
        Employment
          Agreement Private and Confidential

        
        

      

      
        p.
          3

        
          

        

      

      
        
        

      

    

    has
      breached any of the material terms of this Agreement; or upon Beckstead’s
      death.

    

    (a)           Termination
      by Company With Cause shall void all terms of the Employment Agreement
      except for any cash compensation due as of the date of termination.

    

    (b)           Termination
      by Company Without Cause shall result in the escalation of cash
      compensation for a twelve (12) month period.

    

    (c)           Resignation
      by Beckstead With Good Reason shall result in the escalation of cash
      compensation for a twelve (12) month period.  For purposes of this
      paragraph, “good reason” shall mean any material diminution in Beckstead’s
      title, reporting relationship or duties and responsibilities as contemplated
      by
      this Agreement or failure by Company to pay or provide the compensation under
      this Agreement; provided that, in any such event, Beckstead shall give Company
      written notice thereof which shall specify in reasonable detail an circumstances
      constituting good reason, and there shall be no good reason with respect to
      any
      such circumstance cured by Company within thirty (30) days after such
      notice.

    

    (d)           Resignation
      by Beckstead Without Cause shall void all terms of the Employment Agreement
      except for any cash compensation due as of the date of resignation.

    

    (e)           The
      Company’s Options upon Disability.  If Beckstead becomes
      physically or mentally disabled during the Term and any extension thereof so
      that he is unable to perform the services required of him pursuant to this
      Agreement for a period of two successive months, or an aggregate of two months
      in any 12-month period, the Company shall have option, in its discretion, to
      terminate this Agreement with cause by giving written notice
      thereof.

    

    [Note:  Termination
      treatment terms of all options are covered under the Company’s Stock Option
      Plan.]

    

    7.           Indemnity
      Agreement.  Both parties shall sign an indemnity agreement with
      mutually-agreeable terms exclusive of the Employment Agreement.

    

    8.           D&O
      Insurance.  The Company shall maintain proper D&O insurance
      covering Beckstead at all times.  Lapse in D&O insurance coverage
      for any reason can be grounds for Beckstead’s resignation “with good
      reason.”

    

    9.           Change
      in Company Control.  A change in Company control, other than the
      anticipated IPO, shall result in the escalation of cash compensation for a
      twelve (12) month period.  For purposes of this paragraph, “change in
      Company control” means the occurrence of any of the following (A) the
      acquisition, following the Company’s anticipated IPO, directly or indirectly (in
      one or more

    
      
        Employment
          Agreement Private and Confidential

        
        

      

      
        p.
          4

        
          

        

      

      
        
        

      

    

    related
      transactions) by any person (other than Beckstead), or two or more persons
      acting as a group, of beneficial ownership (as that term is defined in Rule
      13d-3 under the Securities Exchange Act of 1934, as amended) of more than 50%
      of
      the outstanding voting capital stock of the Company; (B) the merger or
      consolidation of the Company with one or more other corporations as a result
      of
      which the holders of the outstanding voting capital stock of the Company
      immediately before the merger hold less than 50% of the voting capital stock
      of
      the surviving or resulting corporation; (C) the sale of all or substantially
      all
      of the assets of the Company or its subsidiaries taken as a whole, and this
      Agreement is not assumed by the acquiring person in connection therewith; or
      (D)
      the Company or any of its members enters into any agreement providing for any
      of
      the foregoing and the transaction contemplated thereby is ultimately
      consummated.

    

    10.           Services
      Rendered Prior to Date of Agreement.  Company acknowledges that
      Beckstead has performed services prior to the date of this Agreement, and that
      compensation for services performed in July of 2007 will include the hours
      rendered by Beckstead prior to the date hereof at the hourly rate of $70.00/hour
      [Calculated as $7,000/month divided by 100 hours/month.]  For example,
      if Beckstead rendered 20 hours of services prior to the date hereof, then July’s
      total compensation would include 20 hours at $70.00/hour plus the agreed upon
      compensation for the 25 hours/week commitment from the Official Start date
      through the end of the month.

    

    11.           Confidential
      Matters.  Beckstead shall keep secret all confidential matters of
      Company, and shall not disclose them to anyone outside of Company, either during
      or after the Beckstead’s employment with Company, except that disclosure of
      confidential matters will be permitted:  (i) to the Company, its
      affiliates and their respective advisors; (ii) if such confidential matters
      have
      previously become available to the public through no fault of Beckstead; (iii)
      if required by any court or governmental agency or body or is otherwise required
      by law; (iv) if necessary to establish or assert the rights of Beckstead
      hereunder or under the Company’s By-Laws; or (v) if expressly consented to by
      the Company.  Beckstead shall deliver promptly to Company upon
      termination of his employment, or at any time Company may request, all
      confidential memoranda, notes, records, reports and other documents (and all
      copies thereof) relating to the business of Company which Beckstead may then
      possess or have under his control.

    

    12.           Complete
      Understanding.  This Agreement sets forth the complete and
      exclusive agreement and understanding of the parties hereto, and supersedes
      and
      terminates any and all prior agreements, arrangements and understandings whether
      written or oral, express or implied.  No representation, promise or
      inducement has been made by either party that is not embodied in this Agreement,
      and neither party shall be bound by or liable for any alleged representation,
      promise or inducement not herein set forth.

    
      
        Employment
          Agreement Private and Confidential

        
        

      

      
        p.
          5

        
          

        

      

      
        
        

      

    

    13.           Mutual
      Representations.

    

    
      	
               

            	
              (a)

            	
              Beckstead
                represents and warrants to the Company that the execution and delivery
                of
                this Agreement and the fulfillment of the terms hereof (i) will not
                constitute a default under or conflict with any agreement or other
                instrument to which he is a party or by which he is bound and (ii)
                do not
                require the consent of any person.

            

    

    

    
      	
               

            	
              (b)

            	
              The
                Company represents and warrants to Beckstead that this Agreement
                has been
                duly authorized, executed and delivered by the Company and that the
                fulfillment of the terms hereof (i) will not constitute a default
                under or
                conflict with any agreement or other instrument to which it is a
                party or
                by which it is bound and (ii) do not require the consent of any
                person.

            

    

    

    
      	
               

            	
              (c)

            	
              Each
                party hereto warrants and represents to the other that this Agreement
                constitutes the valid and binding obligation of such party enforceable
                against such party in accordance with its
                terms.

            

    

    

    13.           Governing
      Law; Jurisdiction.  This Agreement shall be governed by and
      construed according to the laws of the State of Nevada as applicable to
      agreements executed in and to be wholly performed within such
      State.  In the event of any dispute arising under this Agreement, the
      parties hereto hereby irrevocably submit to the exclusive jurisdiction of the
      Federal and State courts located in the State of Nevada and each waives any
      objection thereto based on lack of venue, forum non conveniens or any
      similar-type grounds.

    

    IN
      WITNESS WHEREOF,
      the Company has caused this Agreement to be duly executed in its corporate
      name
      by one of its officers duly authorized to enter into and execute this Agreement,
      and Beckstead has manually signed his name hereto, all as of the day and year
      first written above.

    

    
      	 HEALTHY
              FAST FOOD, INC.:	 	 	BECKSTEAD: 	 
	 	 	 	 	 
	
              /s/ 
Henry
                Cartwright                          
                

            	 	 	
              /s/ 
Brad
                Beckstead                 
                7/25/07

            	 
	
              Henry
                Cartwright                                         
                7/25/07

            	 	 	
              Brad
                Beckstead,
                CPA

            	 
	
              Chief
                Executive Officer

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