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SUBSEQUENT EVENTS
3 Months Ended
Sep. 30, 2011
Notes to Financial Statements 
SUBSEQUENT EVENTS

On February 10, 2011, the Company filed a demand for arbitration (the “Demand”) with the American Arbitration Association (“AAA”) in Oakland County, Michigan based on a dispute between the Company and Beringea surrounding a capital raising agreement that was entered into on October 15, 2009. We have alleged that Beringea has failed to perform under the agreement, misinformed us about “tail” liability, and has wrongfully withheld funds due to us. We have sought $400,000 in damages.  On September 30, 2011 a final arbitration award (the “Award”) was issued by an AAA arbitrator. According to the Award, we are entitled to recover $202,500 from Beringea on the claim of gross negligence, and $88,000 for the costs of enforcing the agreement, including attorneys’ fees and expenses. All other claims sought in the Demand were denied.  As of November 7, 2011, no proceeds have been received.

 

On November 4, 2011, the Company signed a lease for a new office which it will move into in December 2011 at an approximate rent of $5,000 per month. The new offices will be in Rochester, Michigan where the Company currently resides.

 

In accordance with ASC 855-10, the Company has analyzed its operations subsequent to September 30, 2011 through November 1, 2011 and has determined that it does not have any material subsequent events to disclose in these financial statements other than the events discussed above.