CirTran Corporation (CIRX)

[Sparklefarkle]

Playboy relieved them of that requirement when they said that the distribution channel that Cirtran had built was significantly more important in future value than the sales created to date. They agreed not to terminate the agreement which was reversed with new management which is the action that has destroyed Cirtran and the Playboy Energy Drink channel. Playboy will pay for this.

As far as accruals, you need to have a legitimate reason to accrue an expense and if you believe that royalties are not due until some decision is rendered, you don't have to accrue them. The irs could perceive the accrual as a tax avoidance measure and create other problems. Cirtran is in the right not to accrue.

And don't call me Sparky! Only my friends can call me Sparky!