XML 34 R23.htm IDEA: XBRL DOCUMENT v3.7.0.1
Subsequent Events
12 Months Ended
Dec. 31, 2016
Subsequent Events [Abstract]  
Subsequent Events

17. SUBSEQUENT EVENTS

 

On March 1, 2017, the Company and 940A entered into a conversion agreement. Under the agreement the Company issued 940A 4,587,190 shares of restricted common stock in satisfaction of $63,303.23, which represented all past due and payable amounts to 940A under that certain Exclusive License Agreement by and between the parties as of March 1, 2017, As of the date of the agreement the Company was more than 3 months in arrears on royalty payments due under the Exclusive License Agreement. The shares were issued at a price per share of $0.0138, which exceeds the closing price of the Company’s common stock as reported on the OTC Markets on the date immediately preceding the closing. The shares issued to the 940A were issued pursuant to an exemption from registration under the Securities Act of 1933, as amended, in reliance on the exemption provided by Section 3(a)(9) of that act.