11. Commitments

3 Months Ended

Mar. 31, 2016

Notes

11. Commitments

11. COMMITMENTS

a)       On September 14, 2014, the Company finalized an agreement with CardioComm Solutions Inc. (“CardioComm’) for the development of a customized software for the ECG.  The term of this agreement is later of 5 years or completion of all services from the effective date of agreement, which is September 14, 2014.  Pursuant to this agreement, the Company paid CardioComm a non-refundable royalty advance of $224,775 (CAD 250,000), which was fully expensed during year ended December 31, 2014 as the Company is still under research and development phase. In addition, the Company has committed to pay $584,415 for design of a Windows Operating System ECG Management Software in accordance with an estimated payment schedules for the work performed.  During the three months ended March 31, 2016 and 2015, Company paid $65,520 and $72,513, respectively which were expensed and included in research and development expenses. 

b)       On July 4, 2014, the Company entered into an operating lease contract for its office premises in Mississauga, Ontario for a one year term. The monthly lease payment was $3,910 which was increased to $7,931. The lease agreement also include provisions of Cloud Hosting services at $2,737 per month and telephone and internet services at $1,173 per month.

c)       On January 8, 2016, the Company entered into a lease agreement for its office premises in California, USA for a monthly base rent of $16,530.