2003-06-05-PEDC - Laserfiche WebLink

Home Browse Search

PEDC as liquidated damages to PEDC for the Company's failure to Close. 4. The Company shall be eligible to receive monetary credits against the annual principal installments owing on the Note as set forth in the Loan Agreement and in Section C below, with such credits to equal $1.00 to be · applied to the principal installment becoming due each year for every $10.00 paid by the Company in salary to all new employees working for the Company in the Paris, Texas location; provided, however, ·that the maximum amount of the credit allowed in any twelve (12) month period shall not exceed the annual Loan payment amount of $100,000.00 due to PEDC from the Company, and there shall be no carry-over or accumulation of credit to be made on the Note by PEDC from one annual period under the Note to the next, notwithstanding that additional credit was earned from salaries paid out by the Company during that year. No portion of the salaries, dividends, other income and profits paid by the Company to its CEO or other principal officers in charge of the Business and/or the shareholders of the Company will be included in calculating principal credits to be contributed by PEDC to the Company toward the annual principal installments, nor will more than $60,000.00 of any compensation of any kind whatsoever paid to any individual director, officer or employee of the Company in any one year be included in calculating these principal credits to be granted on the Note by PEDC. The employment of new employees engaged to work for the Company in the Paris, Texas, area will be verified by the customary means utilizing Texas Workforce Commission reporting data, which will be provided to PEDC by the Company on a regular and continuing basis during the term of the Loan. B. Obligations of the Company to PEDC. 1. The Company will commence business operations in Paris, Texas, on or before June 16, 2003. "Commencing business" shall mean, in addition to opening its doors for the operation of the business, having in place on June 16, 2003 (a) a binding lease for the use of not less than 20,000 square feet in one or more buildings in Paris, Texas,. of suitable size to accommodate the operations of the Company for at least the first two (2) years of its business, or until the Company's new building upon the Land is completed for occupancy prior to the second anniversary of this Agreement, whichever occurs first; and (b) having sufficient personnel and employees on hand, working at the Paris, Texas leased premises, to conduct business operations and to begin the employment process of hiring new employees to work for the Company at this location. 4